The mystery that is: Re-Capitalisation and the Economic Crisis

What exactly is capital? Well in this case it's the outstanding mortgages (the money it has lent and expects to get back) plus the value of the business itself, all minus the debts it owes (including to savers).For example - bank "Safe & Secure" has lent out £1000 (plus...

The mystery that is: Debt-for Equity Swaps

Time to do some debunking and strip out some of the obscuring lingo from Debt-for Equity Swaps.Basically, this is a way of raising capital for banks (e.g. giving them more money so they can keep on lending/ not go bust). However, its advocates say that it's not at the...