Fri Oct 08, 2021 6:47 pm #1875520
VRB_20kt wrote:I must confess that I thought the power companies bought futures. It seems that they effectively offered their customers uncovered options. It’s a bizarre way to run a company and turns the entire operation into a substantial gamble - which some of them have lost spectacularly.
Ah but..... you are assuming the business was designed to be a, good old fashioned long term business. What if one set up a limited company, paid oneself massive wages (or better still, dividends), stuck the max into off-shore pensions, paid other huge pots to your other companies and, having not hedged against upwards energy prices (to save the company short term), your company went bust..... Do you lose anything?
Seen it too many times. It's a business model but not one that benefits many people.
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