Barclays Sells Contingent Capital. What’s Contingent Capital?

Traders at the Barclays booth on the floor of the New York Stock Exchange on Jan. 2, 2013 Photograph by Scott Eells/Bloomberg

There are only two ways to finance a company: with equity and with debt. You sell pieces of what you do in return for a piece of the profit. Or you borrow money, hoping you do what you do well enough to pay the money back and have enough left over for profit. One is fish, the other fowl. There is no in-between. Anyone who tells you different is trying to sell you Chicken of the Sea.

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