Bailout 6: Getting an equity infusion
The bank gets bailed out by an equity infusion from a sovereign wealth fund.
Duration : 0:12:2
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14 Responses to “Bailout 6: Getting an equity infusion”
Because the SWF …
Comment made on March 8th, 2009 at 6:12 pmBecause the SWF would then own 80% of the bank, and it’s in their best interest for it to stay afloat, and that requires them paying over the market value for them, instead of just buying more. If they simply bought more shares, they would dilute the share value further, thus losing money etc… (its better off for the bank to have less shares)
exactly, and this …
Comment made on March 8th, 2009 at 6:12 pmexactly, and this is whats happening in real life right now…doesn’t make sense. they are technically buying way above market value…because co’s can’t sell it privately.
Why would the SWF …
Comment made on March 8th, 2009 at 6:12 pmWhy would the SWF pay more then market value? That doesn’t make sense in this example.
You rock! I am a …
Comment made on March 8th, 2009 at 6:12 pmYou rock! I am a teacher & I really enjoy your delivery style. Keep up the great work!!
THE FED!!
This …
THE FED!!
This video has the FIRST mention of the
FEDERAL RESERVE in the series.
THE ‘FED’ is the real ‘crucks’ of the PROBLEM!
END the FED NOV 22nd
Comment made on March 8th, 2009 at 6:12 pmendthefed(dot)us
Wow. That last …
Wow. That last part was very interesting. So a foreign investor could buy the majority stock of a failing company. And instantly see an increase in stock price despite the fact that tons of new stock have been created.
I think I can see now why all of these businesses have been gobbling each other up the last couple years.
It still seems counter-intuitive though
Comment made on March 8th, 2009 at 6:12 pmWe’re “Goldman …
Comment made on March 8th, 2009 at 6:12 pmWe’re “Goldman Brothers” or “Lehman Sachs” lol!
Khan great job! …
Comment made on March 8th, 2009 at 6:12 pmKhan great job! This is far more rewarding than watching TV. Do you have a playlist explaining how you gained your experience and your insight? Why you started doing you tube videos? Are you hiring? Can I submit my resume to you for a job so that I might learn some more first hand?
the loan was due …
Comment made on March 8th, 2009 at 6:12 pmthe loan was due because corporations often take out loans for a short term like 3 months.
it’s a shame that …
Comment made on March 8th, 2009 at 6:12 pmit’s a shame that 10,000 people have seen Bailout 1 and only 853 people have seen bailout 6 so far. This just tells me people aren’t as interested in or able to understand this subject as they say they are.
Sal, why did the …
Comment made on March 8th, 2009 at 6:12 pmSal, why did the company need to pay of Loans A and B (in the previous video)? Could they not have not paid them off and accrued a bit more interest while still holding on to those solid bonds?
He doesn’t teach at …
Comment made on March 8th, 2009 at 6:12 pmHe doesn’t teach at MIT, but he should.
I DID go to MIT, …
Comment made on March 8th, 2009 at 6:12 pmI DID go to MIT, and don’t think it was explained as well there. Great work!
Thanks professor. …
Comment made on March 8th, 2009 at 6:12 pmThanks professor. If I had you as a teacher I’d have gone to MIT lol.
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