Avoiding the Bubble – when the music stops!
I am struck by the recent large number of decentralised finance (DeFi) company collapses such as Celsius and 3AC (Three Arrow). These failures have rightly increased calls for regulation with…
Crypto the new Subprime?
There are similarities between crypto and subprime, however there is little threat to the financial system. Today, mainstream economist rail against crypto and financial theorists show it is an inefficient…
LTCM – It Could Never happen Again – Well it Did!
After LTCM, leverage was identified as a key factor in its collapse, it was a feature of the Global Financial in 2008 and yet again in the case of Archegos…
Dead Companies Walking?
Although there have been relatively few liquidations during the pandemic crisis, this can be attributed to forbearance and government supports. Given the unprecedented drop in company revenues and the high…
Hertz – Bankrupt Stock Sale!
Interesting times when the US Securities Exchange Commission feels compelled to stop Hertz, in bankruptcy, selling new shares to the market. Given the capital structure of the company, any shares…