The founders of mini-mart leviathan Couche-Tard devised a clever way to balance supporters and detractors of dual-class stock by eliminating voting rights over time. The idea would suit Facebook and many others, if only bad tendencies fueled by ego could somehow be overcome.
An agreement among feuding OPEC members to cut production may still be elusive. But the Saudis and other oil-producing nations are in no position to ramp up. As U.S. oil output is set to fall sharply this year, the price of energy is likely to keep heading upwards.
A victory for Brexit will trigger political turmoil and acrimonious divorce talks. Investment will grind to a halt as firms wait for the fog to clear. That could cause a recession.
Bubbles are essentially illusions of wealth. So look no further than the gap between what pensioners have been promised and the assumptions about returns on their inadequate savings for a glimpse into the next source of financial fragility.
That’s the question every investment banker now asks when selling a company or asset anywhere in the world. M&A advisers are even flying China specialists across oceans for pitches. Anbang-like hiccups won’t stop the trend. But extra due diligence and vigilance is required.
Forget the Bank of Japan’s negative interest rate blunder, or the government’s muddled fiscal policies. Prime Minister Shinzo Abe’s corporate-governance reforms hold the most promise. The pushy investor’s fight with the operator of Seven-Eleven convenience stores offers a useful glimpse.
If the IMF and the EU can’t quickly resolve their conflict over Greece’s bailout, graphically highlighted by a WikiLeaks transcript, Athens could run out of cash in July. The sense of crisis would mount in the preceding weeks, just as the UK votes on whether to stay in the EU.
That’s the tension at the center of “Dry Powder,” an off-Broadway play about private equity. Like most dramatizations of high finance, it engages in caricature. But the show also offers genuine insight into the emerging risks Wall Street faces from rising income inequality.
This year marks the 300th anniversary of the start of John Law’s ambitious, and ultimately failed, economic experiment. Much like today’s central bankers, Law thought printing banknotes and forcing interest rates lower would solve all of France’s problems. He was so very wrong.
An offer to reduce disorderly migration would cut the risk of Britain leaving the EU and Greece quitting the euro. It would also shore up German Chancellor Merkel’s position, helping stabilise the EU and the Schengen Area. What it won’t do is stop anti-migrant populism in Europe.