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Best and the rest of 2020

YEAH yeah yeah

Sick of essays mourning the disaster that was last year? Same.

Let’s get with it.

WW84 — Ah he he he. One of the biggest misfires of the year, and despite the high definition digital camerawork one of the gauziest movies of the year — gauzy action sequences, gauzy plot mechanic, gauzy villain (you’re not even sure why he does what he does, he has to keep explaining it to you), gauzy heroine. Diana Prince (Gal Gadot), wooden as in the first movie, can’t seem to be bothered to shake herself awake through much of this one — though the moment when she does (in a street corner, involving the love of her life) you probably wish she didn’t bother. Director Patty Jenkin’s action sequences mostly involve a cartoonish golden lasso that looks as if it was filched from a Super Friends Saturday morning cartoon, and her various bodies villainous and heroic fly around as if she hadn’t any notion how bodies in rest and motion should behave. Rumor has it a third Wonder Woman will happen — can they finally rope Kathryn Bigelow in to direct?

Mank — Well, not really; felt I had to address this title too before moving on. I like a lot of David Fincher’s late work — I think Mindhunter is very good and Zodiac his flatout masterpiece — but Mank is pitched between a too-careful recreation of ‘40s filmmaking (complete with cigarette burns and popping sounds) and a sterile digital approximation of one. The script — by David’s father Jack — proposes a secretly leftist Herman Mankiewicz who writes the script of Citizen Kane as belated revenge on William Randolph Hearst’s Machiavellian campaign against Upton Sinclair’s failed gubernatorial bid. The joker in the pack are the words “writes the script” — apparently Jack and David subscribe to Pauline Kael’s largely discredited assertion that Mr. Mankiewicz alone, without the help of Mr. Welles (and John Houseman), wrote the script. As history it’s questionable, as biopic risible, as an example of what ‘40s filmmaking was really like — well, you’re better off watching Citizen Kane.

Wolfwakers (Tomm Moore, Ross Stewart) — Mind you I loved Mr. Moore’s previous works: Secret of the Kells was gorgeously animated, an illuminated book come to glorious life, and so was Song of the Sea; both had a bittersweet adult sensibility that I appreciated, one that recognizes not everything works out best, that some broken families will never fully heal. Wolfwalkers feels different; the animation is still gorgeous but the story — of a young girl who befriends a wolf girl seeking to awaken her sleeping wolf mother — makes the kind of soppy in-your-face attempt at direct emotional appeal that reminds one of the worst of Disney, or Pixar. Of all of Moore’s works to date, the closest to being a dog.   

Ma Rainey’s Black Bottom — George C. Wolfe and producer Denzel Washington’s adaptation of August Wilson’s play is appreciated best as a small-screen visualization of August Wilson’s play: sumptuously produced, beautifully cast, adequately directed. Viola Davis is a force of nature as the eponymous Ma: demanding ice-cold Cokes, constantly playing brinkmanship with her record producers, belting out one show stopping song after another — but the real revelation is Chadwick Boseman abandoning his noble Black Panther persona to play Levee Green, the talented self-destructive trumpeter barely hanging on to his position in Ma’s backup band.

I’m Thinking of Ending Things — Charlie Kaufman plays his intricate metaphysical narrative games as well as anyone, and on occasion hits emotional paydirt: the melancholy tang of Eternal Sunshine of the Spotless Mind, the brave Lisa Hesselman (Jennifer Jason Leigh) standing out in a sea of uniform faces in Anomalisa. I’m actually willing to follow Kaufman pretty far up the recesses of his convoluted ass but it would help (as in the case of Eternal Sunshine and Michel Gondry’s fluid filmmaking, and Anomalisa with its beautifully detailed sets and puppets) to give me something to look at, instead of enigmas and mysteries halfheartedly staged and shot.

The Invisible Man — Leigh Whannell’s slickest script (not a fan of of his gimmicky Saw franchise), this shift in focus from the eponymous man to his emotionally abused wife is great fun, despite the clunky plotting and inconsistencies (Looking at you Oh swiftly vanishing splash of white paint!). Helps in no small measure to cast Elisabeth Moss as the aforementioned wife: no one plays terrified and abused and yet — somehow, some way — steely-strong the way Ms. Moss does.

Rebecca (Ben Wheatley) — Blasphemy! How dare they do a remake of Alfred Hitchcock’s beloved Oscar winning classic? Well, first of all, Oscars are a meaningless ritual; second, Mr. Hitchcock’s classic isn’t all that: too much interference from producer David Selznick, the master of middlebrow filmmaking (Mr. Hitchcock would do better six years later, with Notorious); third, Wheatley’s interpolations and smooth seductive style do make some kind of sense, until the disastrous Club Med ending. Oh well, there’s always the book.

Da 5 Bloods — Spike Lee’s Vietnam War movie corrective has five comrades go back into ‘Nam to recover lost CIA gold. The film is didactic and self-indulgently loud, the filmmaking characteristically exuberant; what lifts the proceedings to another level is DelRoy Lindo’s King Lear performance as a MAGA hat-wearing vet, haunted by ghosts he can’t exorcise.

Fireball: Visitors from Darker Worlds — Werner Herzog’s documentaries and fiction features have always had a starry eyed faraway look, the awareness that none of this is all, that beyond the horizon is something different, perhaps better; his eyes have never seemed starrier or more faraway (though we never see him onscreen) then here, his oddball wide ranging documentary on meteorites. The rocks themselves are fascinating: Mr. Herzog serves them up as an array of exotic erotic aliens, spiked and pitted and barbarically beautiful, like the throbbing glowing crystalline virus in The Andromeda Strain only real, and not as unfriendly. Just as fascinating are the creation myths and death rituals and stories people create around these rocks — for every traveler from outer space, it seems, people come up with an even stranger explanation for the visit.

Japan Sinks (Masaaki Yuasa) — I’ve heard the complaints: the plot is too coincidental; the animation in certain episodes wretched; this isn’t the Mr. Yuasa we know and love. To which I say: it’s as coincidental as life itself (if you don’t think life’s coincidental you need to read up on probability); it’s what Yuasa managed with the budget given him by Netflix; and Mr. Yuasa’s style shifts radically with every production (if you haven’t learned that by now you aren’t a fan).

Beyond that there’s a mood captured not unlike these pandemic times: of empty streets, and the constant search for food and water; of families thrown together for survival; of the paranoid chill inspired by a stranger’s passing. Easily Mr. Yuasa’s most emotionally moving work, and a perfect metaphor for the disaster of a year that was 2020.

Emma — and sometimes you don’t want grim and realistic; sometimes you want the effervescence of Jane Austen, as interpreted by photographer and first-time feature filmmaker Autumn de Wilde, who envisions Austenland as a series of constantly shifting fireplace screens and stunningly shot tableaus, through which waddle a gaggle of scarlet-robed Margaret Atwood handmaidens. It’s comedy of the highest order, with Anya Taylor-Joy — she of the Margaret Keane eyes — at one point flicking open a carriage screen panel so sarcastically you can’t help but giggle.

Is it better than Amy Heckerling’s Clueless? Well, no — that transported Ms. Austen’s shallow but precisely observed world of early 19th century England to the shallow but precisely observed world of 1990s Beverly Hills high schools, a triumphant feat of reimagination, and my favorite Austen adaptation. This has a style and spirit all its own, though, and I’m thoroughly seduced.

Fan Girl — Antoinette Jadaone’s updated, more darkly comic take on Lino Brocka’s classic Bona, with real-life celebrity Paulo Avelino (acting as both star and producer) extravagantly slandering himself in an act of (presumably fictional) self-flagellation. Mr. Avelino is the draw, but Charlie Dizon gives the breakout performance: her acting here is fresh and exciting as she walks the line between pathos and comedy. Ms. Jadaone’s script gives both actors the chance to shine, her direction shifting from showbiz realism to fangirl fantasy, sometimes within the same scene.

We Still Have To Close Our Eyes — John Torres, maddeningly enigmatic as ever, taking footage from Lav Diaz, Dodo Dayao, and his own films, and fashioning a no-budget dystopia where “remote avatars” take over bodies and teach them how to ride motorbikes. Well that’s the idea; in the wrong hands — in the Philippines everything falls into the wrong hands — the bikers (or convicts, or, at one point, children) do worse. Cops rove the streets, seeking these remote controllers; at one point men push a motorbike out of the way while the rider, lying broken on the ground, stares lifelessly at the camera. All done in under 13 eerie evocative minutes.

Midnight in a Perfect World (Dodo Dayao) — I thought Violator one of the best of recent horrors; I think this sophomore effort proves that the originality and self-assured talent of that debut was no fluke. This time Mr. Dayao proposes a Philippine society of the future that works fairly well: clean rivers, on-time public transportation, and all. Only, why are there occasional “blackouts” from which two or three people disappear? And why are the creatures (Aliens? Interdimensional visitors a la Lovecraft?) so insistent on giving us a happy contented existence, producing healthier, happier, meatier versions of ourselves?

Lahi, Hayop (Genus Pan) — Lav Diaz using his spare leisurely storytelling style to tell an allegorical fable, of evolutionary development (or the relative lack of) and how we as a species have not developed much further than apes. A withering statement on present Philippine society.

First Cow — I liked Kelly Reichardt’s Meek’s Cutoff well enough; a gently eccentric Western that doesn’t even get to its first medium shot till a few minutes into the film and doesn’t get to its first closeup (of the film’s putative star, Michelle Williams) till nearly the film’s end. The film reminds one of John Ford’s Wagon Master though Ms. Reichardt doesn’t seem to want to emulate Ford; her concerns are stranger, otherworldly almost.

The film First Cow most resembles I’d say is McCabe and Mrs. Miller: the entrepreneurial spirit in a beautifully desolate Northwestern town, the random characters assembled seemingly out of nowhere — and, wait, is that Rene Auberjonois muttering to himself on the sidelines? Again, though Ms. Reichardt seemingly takes off from another old master (this one of more recent vintage), her concerns and obsessions are her own, in an elegantly told deliberately paced narrative.

Don’t know what it is about the Slavic sensibility — the bleak wintry landscapes, the equally bleak personalities, the long history of war, repression, suffering — that I seem to respond to what they have to say best, at least this year, under these circumstances. Hence my next two choices — one Russian, the other Czech — both in my book the best of 2020:

The Nose or The Conspiracy of Mavericks — Andrey Khrzhanovskiy’s 50-year quest to realize Nikolai Gogol’ bizarre short story onscreen, arguably the longest in the history (only The Other Side of the Wind with its 48-year gestation period comes close), has resulted in this, an often hilarious, wildly imaginative yet somehow timeless (critics would say anachronistic or worse yet inconsistent) work of art. I say the animation — using a mix of stop-motion and cut-outs — is breathtakingly done, with a whirling dizzying spirit matched only by Shostakovich’s whirling dizzying music.

The Painted Bird — Vaclav Marhoul’s adaptation of Jerzy Kosinski’s novel has been compared to Elem Klimov’s searing Come and See, but where the latter is a propulsive straight-ahead film about the atrocities inflicted by Nazis on the Belarusians, the latter is a sprawling, sometimes meandering narrative that goes on for nearly three hours. The horrors of Come and See revolve mainly around the Nazis with their distinct style of sadism: well-equipped, deadly efficient, marked by touches of black humor; The Painted Bird sketches a darker vision of the world, where Slavic peasants are as capable of cruelty — they just don’t have the equipment to get things done as quickly, though they do have the determination and imagination to improvise something just as ingenious. Come and See’s Flyora (Aleksei Kravchenko) gave an extraordinary performance of nearly unrelieved intensity, his increasingly war-stressed face one of the most unforgettable images in recent cinema; The Painted Bird’s boy (Petr Kotlar) has a more ambiguous, altogether more mysterious presence: both in the thick of it all and yet somehow above it all, he somehow acts as both the film’s hardpressed protagonist and its cooly ironic commentator.

BSP looking to auction off other tenors of securities

THE BANGKO SENTRAL ng Pilipinas (BSP) is studying the possibility of offering other tenors of its securities depending on market developments and liquidity conditions.

“The BSP has the flexibility to consider the issuance of longer-dated BSP securities particularly during periods of persistent structural excess liquidity in the system,” BSP Governor Benjamin E. Diokno said in a virtual briefing on Thursday.

Mr. Diokno said specific tenors and offer volumes will continue to be based on the central bank’s assessment of market developments and liquidity conditions.

The central bank in September started offering short-term securities as another tool to mop up excess liquidity in the market and better guide interest rates.

Demand for the 28-day bills reached P1.532 billion since its launch until Dec. 18, which was the last auction date for 2020. This is an oversubscription of its cumulative offerings worth P890 billion in the same period.

“As of Dec. 18, outstanding placements in the BSP securities amounted to P259.7 billion. Said amount accounts for 14.2% of the total amount of system liquidity absorbed by the BSP through its liquidity management facilities,” Mr. Diokno said.

The BSP in October halted offering 28-day term deposits which have the same tenor as its bills.

However, Mr. Diokno said the tenor has not been phased out and “remains very much in the BSP’s monetary toolkit.”

“It will continue to be part of our set of fine-tuning instruments to deal with short-term fluctuations in system liquidity,” he said.

“We will decide on the appropriate configuration of offered tenders for our monetary operations based on industry consultations,” Mr. Diokno said.

Meanwhile, BSP Department of Economic Research Senior Director Zeno Ronald R. Abenoja said they have approached some trust entities to explore how to increase their involvement in the BSP bills.

“We’ll also take into account market appetite for longer securities based on discussions and consultations with counterparts,” Mr. Diokno said. — L.W.T. Noble

Making ‘promotion from within’ successful

I’m the human resources manager of a medium-sized corporation. I just started with the company this week. During the onboarding process and review of current policies, I noticed one important factor that is missing that I hoped to fill as part of my initial goals. I’m referring to the company’s lack of a “promotion from within” policy. When I asked my boss about it, he told me that management should be flexible with promotions. He told me it’s the main reason why I was hired in the first place. Can you help me change his mind? — Lady Luck.

Women at a college dorm were discussing how to turn down a proposed date with someone they don’t like. Many confessed to being at a loss for words when facing that situation. One of them came up with a list of 10 handy excuses, which she shared with the group.

It worked pretty well until one girl got nervous and said to her prospective date: “I’d like to go out with you, Tom. But I can’t because of number seven.”

Your boss can’t simply hide behind excuses. He must be specific on why management prefers to be “flexible about promotion,” and whether it is aware of the possible adverse implications for employee morale. If there is no concrete policy on promotion, then how can management motivate people to do their best in the absence of prospects for growing in the organization?

“Flexible about promotion” is a no-win situation for both employees and management. Any promotion made without a clear policy is a recipe for low employee morale, low productivity, and high turnover, among other things. It can have serious repercussions.

Therefore, there’s no other option but to come out with a formal policy to help minimize, if not eliminate, problems and ensure fairness in the promotion process. Here are some important requirements to help you in drafting an objective policy that may convince your management to abandon its flexibility mindset:

One, establish a comprehensive succession plan. This lies at the heart of any “promotion from within” policy. This is a key element of business continuity planning, which lays out the courses of action for emergency situations, whether manmade or natural. Without a succession plan, your organization will be like a ship without a compass on a turbulent ocean.

Two, recognize the value of meritocracy over seniority. If you have to consider only one factor, it should be consistent, above-average work performance over the preceding three years at least. This must be validated by tangible accomplishments as reflected in performance ratings, commendations, and various awards inside and outside of the organization. Seniority may only be used as a last resort to break any tie between two candidates for promotion, which is unlikely to happen.

Three, create a systematic coaching program featuring bosses. Make this a key performance indicator for all managers. If workers have not learned anything and must rely heavily on their boss’s decisions, then that boss has failed as a coach. This also means that the boss can’t be promoted himself because there’s no one who can perform his job. It is as simple as that.

Four, establish a procedure for dynamic inter or intra-department transfers. Even at the risk of losing hardworking employees to other departments, managers must give way for the good of the organization overall. Transfers must be done every three years as a matter of routine. If the managers are confident about their coaching skills, then they should not worry about training other workers.

Five, expose all employees to challenging assignments. This is related to number four, and establishes the principle that transfers are not be limited to other departments or other postings within the department, but may include secondment to affiliates, subcontractors, and major clients. The objective is to teach all qualified personnel to become multi-skilled and be well-versed in the many facets of the company’s business.

Last, validate all these things through an annual morale survey, otherwise known as an employee satisfaction survey or organizational climate survey. Management should be able to understand whether it is doing a good job. It is also useful to hire an external consultant to lend objectivity and professionalism to the process.

Even if you have done all of the above, you can’t simply promote people on the basis of excellent work performance. It’s no guarantee that the newly-promoted can handle the new duties. For example, some people may work well even under pressure or in managing the most difficult tasks on their own, but beyond that, they may be completely different dealing with workers or teams.

If there is an opportunity to promote some people to supervisory positions, they still could be the wrong person for the job. If that happens, the best thing to do is to promote people to staff functions that do not perform line tasks. This means assigning them to an advisory or support capacity like research, working with the general public or government agencies, or other related assignments.

If promoting some people is not practical, you can hire external candidates as a matter of exception rather than as a general rule. After all, it’s laborious, expensive, and demotivating for those who feel they’re qualified and yet not appointed to the job. Any indication from you that veteran workers are considered lacking in capacity to assume higher responsibility means you can’t expect much from the holdover workers, and also run the risk of them displaying animosity to the newcomers.

 

Send anonymous questions to elbonomics@gmail.com or via https://reyelbo.consulting

NGCP ready to ‘take steps’ towards IPO

By Angelica Y. Yang

NATIONAL Grid Corporation of the Philippines (NGCP) is pressing onward with preparations to hold its initial public offering (IPO), the power grid operator’s spokesperson said, prompting analysts to look into the company’s attractiveness.

“We were previously advised that market conditions may not be ideal at the moment, but we continue to take steps to prepare for an eventual IPO,” NGCP spokesperson Cynthia P. Alabanza told BusinessWorld on Viber.

She added that the privately owned company has always been preparing for its public listing since 2014, while keeping in mind its “compliance to its franchise.”

Asked about the estimated size of the IPO and other details, Ms. Alabanza said that nothing was definite, and that she was not at liberty to disclose more information.

In 2019, Ms. Alabanza told the Senate that the IPO was delayed because of the absence of price control arrangements, pending disputes among state agencies, and the public threats against NGCP’s concession.

The National Transmission Corp. (TransCo) said on Thursday that it welcomed NGCP’s long-overdue public listing.

“We welcome NGCP’s long-overdue IPO, which — if indeed forthcoming — we hope to be in keeping with the spirit of the law, which is to strengthen power consumers’ rights through a fair distribution of NGCP’s ownership to the Filipino People,” Transco President Melvin A. Matibag told BusinessWorld on Viber.

Two years ago, the state-led TransCo asked the Energy Regulatory Commission to deny NGCP’s petition to defer its IPO, saying that the grid operator should not be allowed to benefit from its inaction on the provisions of its franchise.

BusinessWorld has reached out to the Department of Energy for comment on NGCP’s eventual listing, but has not yet received a reply as of press time.

INVESTORS WEIGH NGCP’S APPEAL
AAA Southeast Equities, Inc. Research Head Christopher John Mangun said that the IPO would be attractive to investors as it would come from a “utility company that has been favored by long-term investors and institutions.”

Asked about Synergy Grid & Development Philippines, Inc. (SGP), which was previously seen as the vehicle firm for NGCP’s backdoor listing, Mr. Mangun said it was one option that could be considered, but it would in turn affect dividends.

“The backdoor [listing] through SGP was one option that they were leaning towards from the beginning since the owners are the same and it would consolidate their holdings, however it would significantly impact dividends as the public would have indirect ownership over the company rather than direct through IPO,” Mr. Mangun said.

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said that the attractiveness of NGCP’s proposed IPO would depend on various factors. These include its pricing, industry standing, financial performance, overall valuation, and future business or industry prospects, and the public interest or security involved in the industry or business.

Meanwhile, Regina Capital Development Corp. Managing Director Luis A. Limlingan said that investors would most likely find the IPO “attractive if it is reasonably priced, given prevailing market conditions.”

He also said that NGCP has a business model that investors would be interested in.

“Their power transmission operations is also an attractive business model, which investors would have a keen interest in,” he said.

The biggest business lessons of 2020

“The coronavirus will peak in March and will die down in April.” These are the unanimous pronouncements from a medical doctor and an economist when I attended a business lunch seminar in early February 2020, about the prospects on the coronavirus. I must admit that it was comforting to hear those words from experts, exactly the words I needed to hear. All businessmen in the filled hotel ballroom expressed a sigh of relief, and in fact, agreed with the prognostications.

In mid-March, the coronavirus did not show any sign of waning, registering 140 cases with 12 deaths. On March 12, President Duterte announced the “community quarantine” of Metro Manila that would start at 12 midnight on March 15 up to April 14 that covers 16 cities and one municipality, banning majority of means of travel and halting mass transportation.

Several countries announced lockdowns during the same period, heralding the onset of a pandemic and a global crisis. Businesses were caught by surprise. In the Philippines, companies hurriedly implemented business continuity plans and struggled to tweak their business models. By September 2020, the country had the most business closures among medium, small, and micro enterprises (MSMEs) which stood at 70%, the highest in the region according to a study of Asian Development Bank.

Governments and businesses obviously downplayed the gravity of the coronavirus. As early as Jan. 30 last year, the World Health Organization declared the 2019-nCoV outbreak a Public Health Emergency of International Concern. But what businessmen like me heard from expert opinion in February last year reduced the coronavirus to just a fleeting infection.

This brings us to one of the biggest business lessons of 2020 — the need to detect and recognize black swans and grey swans and plan for their impact.

Grey swans are events with low probability of occurring but producing high to extremely high impact globally, such as COVID-19, population growth, climate change, a stock market crash, and Brexit.

Grey swan is a by-product of black swan, a term popularized by Nassim Nicholas Taleb in his best-selling book with the same title. He described a black swan as an extremely unpredictable event that is beyond what is normally expected of a situation and has potentially severe consequences. Black swan examples he cited include the rise of the internet, the personal computer, World War I, the dissolution of the Soviet Union, and the 9/11 terrorist attacks.

Recognizing black swans and grey swans and preparing for their impact is easier said than done. Businessmen and educated leaders are subject to cognitive biases that cloud one’s judgement.

One is optimism bias, which causes some people to believe they are less likely to experience the impact of a negative event. Most of us are victims to this when we dismissed the scale of the coronavirus’ effect. We also observed how traditional retailers held on to their brick-and-mortal business model during the quarantine, clinging to the false optimism that everything will be normal soon.

Another is confirmation bias, or the tendency to search for, interpret, favor and recall information in a way that confirms or supports one’s beliefs or values. I saw this when we businessmen, liked and agreed with the speakers who said that the spread of the coronavirus will end soon.

We need to be cognizant of black swans and grey swans and be wary of our cognitive biases by learning what needs to be learned, balancing opposing views about a potential event, and preparing and acting on the impact assessment.

This brings us to another lesson from 2020 — the bias for action in response to grey swans. Some companies quickly learned about changes in their customer behaviors during the quarantine, and calculatedly innovated their business models, like how Jollibee invested in cloud kitchens and how San Miguel and Emperador retooled their production lines to produce disinfecting alcohol.

But many companies, those which are casualties of the pandemic, adopted a wait-and-see stance and dilly-dallied on their investments. Investing in innovations even before an external event happens is another life-long lesson that businessmen should embrace. Those organizations which have digitally transformed before the pandemic are reaping the rewards of staying ahead of the curve in this time of digitization.

Grey swans and even black swans are bound to happen at some point in time. Another pandemic, a global cybersecurity attack, accelerated global warming, and war between nations are just some of the external events that we need to be constantly scanning, assessing, and preparing for. These may present both opportunities and threats to businesses. We just need to learn the lessons of 2020.

 

Reynaldo C. Lugtu, Jr. is CEO of Hungry Workhorse Consulting, a digital and culture transformation consulting firm. He is the Chairman of the Information and Communications Technology Committee of the Financial Executives Institute of the Philippines (FINEX.) He is Fellow at the US-based Institute for Digital Transformation. He teaches strategic management in the MBA Program of De La Salle University.

rey.lugtu@hungryworkhorse.com

Stuff to do (01/08/21)

Alliance Français de Manille Storytelling Session

THE FRENCH cultural association Alliance Français de Manille will be holding its first storytelling session for children for 2021 on Saturday, Jan. 9, at 11 a.m. The session will be on Catharina Valckx’s Billy et le Gros Dur, about a cowboy hamster named Billy who, together with his worm friend Jean-Claude, try to unmask the badger bandit terrorizing the neighborhood and stealing from the poor. The storytelling session is intended for children aged three years old and above and the story will be told in both French and English. Access to the session is free via the Facebook page of Alliance Français de Manille.

Enderun webinar on parenting in the digital age

ENDERUN colleges will be hosting a webinar about the important role of parents and the very nature of Generation Z entitled, “For Parents: Guiding Gen Z in their Future Careers,” on Jan. 9, 2 p.m., via Zoom. Inspirational speaker Francis Kong will be talking at the webinar about parenting in the digital age. The talk is ideal for parents with children between the ages of 10 to 24 who are considered part of Generation Z. The members of this generation are known as the true digital natives, as they have been highly exposed to the internet, social networks, and mobile systems since birth and are now living in competitive and technology-driven environments as they approach high school, college, and the workforce. With the increasing demands and impact of digital transformation, it is relevant to discuss the critical skill sets the children need to possess that will prepare them for the jobs of the future. To register for the webinar, visit http://bit.ly/Event-GenZParents.

Manulife financial wellness webinar

MANULIFE will be holding a financial wellness webinar on Jan. 13, 3:30 p.m., where its financial advisers will tell Filipinos how they can better manage their finances in 2021. The webinar will be joined by actresses Anne Curtis and Jasmine Curtis-Smith, basketball player Kobe Paras and actor Andre Paras. The virtual event will be hosted by Luis Manzano. To join the webinar, register at manulife.pub/ReadySetGoals.

The Farm at San Benito Healing Festival

THE FARM at San Benito will be holding its first healing arts festival from Jan. 11 to 13, to be held onsite at the Farm’s amphitheater. Among the events included in the festival are Crystal Healing Bowls and Gong Bath by Francesca Warnke, Jan. 11, 1:30 p.m.; and an Introduction to Authentic Happiness Life Coaching and Vocal Sound Healing by Sita Shakti, Jan. 12, 6:30 p.m. To learn more about the event and to register, visit Healing Festival 2021 | The Farm at San Benito.

Benilde seminars of basic Filipino Sign Language

A THREE-part webinar on the basics of Filipino Sign Language (FSL) will be hosted by the School of Deaf Education and Applied Studies (SDEAS) of the De La Salle-College of Saint Benilde. The lectures aim to equip families, students, educators, professionals and members of the community with the knowledge and skills essential to become more informed about the world of the deaf. The webinar will be held on Jan. 16, 23, and 30, from 10 a.m. to noon. Ticket to the webinar cost P600 and come with full access to all three webinars and video recordings of the sessions. It will likewise grant access to online FSL posters and video tutorials for an FSL song, plus 60 Christmas-related FSL signs and a raffle entry. To register, go to bit.ly/6060webinars.

Philippine ranking sinks in index measuring ‘global connectedness’

Philippine ranking sinks in index measuring ‘global connectedness’

How PSEi member stocks performed — January 7, 2021

Here’s a quick glance at how PSEi stocks fared on Thursday, January 7, 2021.


PSEi up as Democrats gain control of US Senate

By Revin Mikhael D. Ochave, Reporter

PHILIPPINE SHARES closed higher on Thursday as market sentiment was lifted after the Democratic Party gained control of the United States (US) Senate and on the better showing of US markets.

Ending its two-day skid, the 30-member Philippine Stock Exchange index (PSEi) improved by 71.76 points or 1.01% to close at 7,119.61, while the broader all shares index rose 41.35 points or 0.97% to end at 4,271.49.

Timson Securities, Inc. Head of Online Trading Darren Blaine T. Pangan said in a mobile phone message that the market ended in positive territory as the Democratic party secured control of the US Senate.

Reuters reported that two US Senate seats in runoff elections in Georgia were swept by Democrats as Jon Ossoff and Raphael Warnock were projected as the winners in their respective Senate races on Wednesday.

The sweep gave the Democratic Party control of both chambers of Congress and the White House for the first time in a decade.

“Moreover, investors may have picked up bargain shares as the index ended just above the 7,000 mark yesterday (Wednesday),” Mr. Pangan said.

For Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco, the market ended in green territory as investors took cues from the performance of the Dow Jones Industrial Average (DJIA).

On Wednesday, the DJIA and S&P 500 indices increased 1.44% and 0.57%, while the Nasdaq Composite index fell by 0.61%.

“The local bourse also climbed as bargain hunters took advantage of the market’s prior two straight days of decline,” Mr. Tantiangco said in a mobile phone message.

All sectoral indices edged up at the close of Thursday’s trading. Financials soared by 59.1 points or 4.28% to 1,439.47; mining and oil went up 372.16 points or 3.84% to 10,052.91; services climbed 13.01 points or 0.86% to 1,516.21; holding firms increased 41.98 points or 0.58% to 7,269.76; property went up 5.87 points or 0.16% to 3,685.05; and industrials gained 7.1 points or 0.07% to 9,462.3.

Advancers bested decliners, 159 against 72, while 31 names ended unchanged.

Value turnover on Thursday reached P8.73 billion with 46.43 billion issues switching hands, lower than the P11.91 billion with 22.68 billion issues seen in the previous trading session.

Net foreign selling declined to P680.38 million yesterday from the net P685.39 million that left the market on Wednesday.

“Before the weekend, we’ll have to see if 7,000 holds. Otherwise, 7,300 may be considered the nearest resistance area,” Timson Securities’ Mr. Pangan said.

Peso retreats as oil prices rise

THE PESO weakened against the greenback on Thursday as oil prices rose, threatening a higher import bill for the country.

The local unit finished trading at P48.07 per dollar yesterday, shedding 3.7 centavos from its P48.033 close on Wednesday, data from the Bankers Association of the Philippines showed.

The peso opened Thursday’s session at P48.045 versus the dollar. Its intraday best was at P48.04 while it closed at its weakest level for the day.

Dollars traded went up to $518.45 million yesterday from $488.8 million on Wednesday.

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said the local unit depreciated due to the recent pickup in oil prices.

“The peso was slightly weaker after the latest rise in global oil prices above the $50-per-barrel level, which may increase the country’s oil import bill that entail purchase of more dollars,” Mr. Ricafort said in a text message.

Reuters reported that oil prices inched up on Thursday following a fall in US stock prices as well as the decision of Saudi Arabia to cut output in the next two months. 

Price per barrel for Brent crude rose 0.8% or 44 cents to $54.74 by 0734 GMT following some overnight gains.

Saudi Arabia, which is home to the biggest oil export facilities, said it would slash a million barrels per day from its February and March outputs.

For today, Mr. Ricafort gave a forecast range of P48.04 to P48.09 per dollar. — LWTN with Reuters

Velasco files House measures to suspend PhilHealth, SSS rate hikes

SPEAKER Lord Allan Q. Velasco on Thursday filed House Bill (HB) No. 8316, which authorizes the President to suspend scheduled increases in member contributions to the Philippine Health Insurance Corp. (PhilHealth) “in times of national emergency or when the public interest so requires.”

The measure proposes to amend Republic Act (RA) No. 11223 or the Universal Health Care Law, according to the text of the bill.

Mr. Velasco also filed HB 8317, which authorizes the President to suspend scheduled increases in the contributions to the Social Security System (SSS). The power to suspend entails consultation with the Secretary of Finance, who is an ex-officio member of the Social Security Commission (SSC.)

The PhilHealth measure, which is similar to HB 8300 filed by Marikina City Representative Stella Luz A. Quimbo on Wednesday, gives the President the power to suspend rate hike in consultation with the Secretaries of Health and Finance and the PhilHealth chairman.

“Suspending the imposition of the new PhilHealth premium rates will provide a much-needed relief from the negative effects of the pandemic and will assure Filipinos that the government is sensitive to their sentiments,” according to the bill.

RA No. 11223 authorizes a 0.5% percentage point increase in premium contributions every year between 2021 and 2025. The premium rate for this year will increase to 3.5% of members’ monthly basic salary from 3% in the previous year, raising the minimum contribution to P350 from the current P300.

RA No. 11199 or Social Security Act of 2018, empowers the SSC, the governing body for the SSS, to increase the contribution rate by 1 percentage point every other year between 2019 and 2025.

SSS contribution rates rise to 13% of basic salary starting this month, from 12% last year. — Kyle Aristophere T. Atienza

Private sector to take lead role in building LNG infrastructure

THE Department of Energy (DoE) said it expects the private sector to take the lead in building out the country’s liquefied natural gas (LNG) infrastructure, including terminals to receive imports, and will back efforts to “encourage” private groups to engage in such projects.

DoE Head of Public Affairs Jive Bullock told BusinessWorld via Viber Wednesday that the infrastructure needs for LNG imports include jetties, storage, regasification terminals, onshore gas processing plants and pipelines.

She gave no details on how the government intends to “stimulate” private sector participation, which in the energy industry typically involves an incentive scheme for key projects. Executive Order No. 30 from 2017, for instance, authorizes streamlined approval procedures for a category of generating assets classified as Energy Projects of National Significance.

Ms. Bullock made the remarks on LNG to BusinessWorld Wednesday.

“The DoE agrees with Senator (Sherwin T.) Gatchalian. We cannot wait for Malampaya to run out before taking action, so we are really encouraging private sector participation and interest in developing the country’s LNG industry,” Ms. Bullock said.

Developing the country’s natural gas industry, according to her, would require the construction of LNG carrier jetties, storages, regasification terminals, onshore gas processing plants and pipelines.

Mr. Gatchalian, who chairs the Senate’s energy committee, had issued a statement that in light of the impending decline of the Malampaya gas field, the Philippines’ sole domestic source of gas, it was the DoE’s mission “to encourage the private sector to build receiving terminals for imported LNG.”

“Because we haven’t discovered new sources of gas in our country, we have to resort to importing LNG just to make sure that those 3,200-megawatt gas-fired power plants keep on running,” he said, referring to the five gas-run plants that account for 20% of the Luzon grid’s installed capacity.

On Jan. 5, Mr. Gatchalian, the DoE and the Energy Regulatory Commission (ERC) participated in a Senate hearing on the proposed Midstream Natural Gas Industry Development Act, or Senate Bill No. 1819.

The measure seeks to regulate the midstream natural gas industry, covering operations such as aggregation, supply, importation, receipt, unloading, loading, processing, storage, regasification, transmission and transportation of natural gas in original or liquified form.

During the hearing, representatives from the DoE and ERC asked for more time to submit their respective agencies’ detailed comments on the proposed bill.

DoE Assistant Secretary Leonido J. Pulido III and ERC officer-in-charge for the Investigation Enforcement Division for Generation Companies Leila O. Cirio both said that they would submit their formal comments on the bill by Monday. — Angelica Y. Yang

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