“A CDS is a financial contract that allows investors to ‘bet’ on whether a borrower will default on its loan…. some CDS investors are collaborating w/ financially distressed borrowers to guarantee the profitability of their CDS positions—’engineering’ the CDS’ outcome” #corpgov https://t.co/XpzYgqJ1xH
— Stefan Padfield (@ProfPadfield) March 2, 2019
“Captives are a large but murky part of the insurance world. Hawaii pitches itself to the captive industry on its website, boasting about low taxes and corporate-friendly laws.” #corpgov ht @AnnMLipton https://t.co/L0dqU1NANO
— Stefan Padfield (@ProfPadfield) March 2, 2019
“Which role a company plays — principal or agent — will drive how revenue will be recognized. The rules say revenue is presented on a gross basis when the company acts as the principal, but only the net amount it expects to keep … when it’s the agent.” #corpgov https://t.co/d12ejagbWC
— Stefan Padfield (@ProfPadfield) March 2, 2019
companies “are starting to share … concerns w/ investors ….. as … regulators … wind down the London interbank offered rate, or Libor, now used in setting interest rates on hundreds of trillions in debt from mortgages to corporate loans” https://t.co/4YfwVpuTMi #corpgov
— Stefan Padfield (@ProfPadfield) March 3, 2019
“concept of corporations as quasi governments represents a path … untaken …. puts into sharp relief the vast expansion of corporate rights rather than responsibilities …, a potential logic … for subjecting corporations to additional limits” 42 SeattleU.L.Rev. 617 #corpgov
— Stefan Padfield (@ProfPadfield) March 3, 2019