Increasing share buybacks might be rational but they only exacerbate the problem
The shrinking UK stock market is a worry for fund managers and has wider implications for the UK as a listing venue as well as the UK’s economic growth, say analysts at Peel Hunt. This article explores the so-called de-equitisation of the UK stock market, or plainly put the substitution of debt for equity via share buybacks and cash acquisitions. More than 45 companies exited the UK market in...