Hedge Your Hedge Say it ain’t so.  How many more obscure, undercapitalized financial institutions are lurking in the midst?  According to a New York Times investigative article, and summarized here, Customer Asset Protection Company (Capco), based in Burlington, Vermont, may be at risk. Capco provides catastrophic insurance to wealthy clients in the event their brokerage firm collapses.  …

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Milken: Why Capital Structure Matters

Modigliani-Miller Proposition II CAPM

Michael Milken, the former junk bond king, explains why capital structure matters and how it should be modified with regard to market signals.