A 4D windfall, then a death

This news has been reported in many local newspapers. The gamblers who won decided to enjoy by drinking and getting themselves drunk. In the end, a tragedy resulted and I consider this as a way for Allah to remind people not to participate in gambling activities.

Alcoholic drinks and gambling are two very serious crimes in Islam and thus no one should even try to get near them. However there are many schemes that are not considered gambling but seems like gambling. I, personally consider that any scheme where you are entitled to get a substantial amount of money or can make huge monetary gains through a lucky draw should be regarded as gambling and there are many such schemes being run. Islamic scholars should study the issues of gambling very seriously and then alert Muslims to stay away from such practices.

BUTTERWORTH: An outing by five friends to celebrate their 4-digit winnings ended in tragedy when the car they were in plunged into the sea near the Bagan Dalam wharf early yesterday.

Four of them swam to safety, but the 24-year-old driver is believed to have drowned in the 12.45am incident.

His body has yet to be recovered as it is believed to have been swept away by strong currents.


It is learnt that the five -- aged between 24 and 53 -- from Tikam Batu, Kedah, had spent the evening at a nightspot in Bukit Mertajam before the accident occurred.

Deputy Seberang Prai Utara police chief Superintendent Mohd Shukri Awang said initial investigations showed the group had partied at the nightspot after two of them had a windfall in a 4D draw.

Read more: A 4D windfall, then a death http://www.nst.com.my/nst/articles//14rakans/Article/#ixzz1ZQATWnOX

Retirement Income Using the 4% Rule

I recently stumbled on this rule and found out that the idea has been discussed in quite a lot of articles. This should be an area that actuarial science students can explore.

How much can I safely withdraw from my retirement funds?

Simple – use the 4% rule. This will give you a great chance of not running out of your money and it’s valid for 25+ year periods. If you are at an advanced life stage where 25 years is a dream then the 4% can be adjusted upwards.

The way the 4% rule works is that you start by taking 4% out of your portfolio in the first year – this includes dividends, interest, withdrawals. The next year you take out the same figure you took out the first year plus inflation. So if you start by taking $40,000 out and then inflation is 3% then the second year you take out $40,000 + 3% ($1200) = $41,200. Every year after that you adjust the previous year’s withdrawal amount by the inflation rate.

... Read more here and this article The 4% Rule—At What Price? by
Jason S. Scott, William F. Sharpe, and John G. Watson
April 2008

Kweko Adoboli and the UBS Fiasco

By CARRICK MOLLENKAMP, PAUL SONNE and DEBORAH BALL

LONDON—An alleged trading scheme at UBS AG went undetected for three years before it was finally discovered, triggering a $2 billion loss, U.K. authorities indicated Friday as they charged a 31-year-old trader at the Swiss bank with fraud.

Read more here

The shit waiting in the derivatives market: After UBS, who could be next

The article contains a lot of information useful to students who are analyzing the derivatives market. My apologies for the crude title but I suppose it attracts attention.

Noramfaizul 'was insured'

The news article mentioned that "all Bernama employees were covered by term life and personal accident insurance policies which were applicable worldwide". This would mean that Allahyarham Noramfaizul was covered by term life and personal accident insurance policies. I hope the term insurance policy does not have an exclusion clause for death by shooting in a war zone which normally is included in most policies. Also can this death be considered as death due to an accident? If the said exclusion clause is included in the term life policy and the death is not considered as an accident, then the family of the deceased will not be able to claim any benefit from both the policies mentioned. So it is necessary that other forms of compensation be considered. SOCSO should provide compensation for death while in the course of employment. Other than that, BERNAMA itself must provide some form of compensation. If the compensations provided are not enough, Malaysians need to pitch in and donate to provide much needed finance for the wife and children of the deceased Allahyarham Noramfaizul. The need is a long-term one and must be looked into immediately.