Contracting out

Contracts for difference have caught regulators' eyes as being at the centre of possible market abuse scandals. Talk is brewing of a clampdown, with the UK regulator due to publish the results of a consultation paper this month. But are the fears justified? Gareth Gore reports

Surprise is always the favoured form of attack, not least when the strategy can save a company millions. But when defence and aerospace giant BAE Systems used a surprise weapon of its own in a takeover bid for the UK-based military vehicle manufacturer Alvis back in June 2004, some investors started to cry foul. Under the noses of Alvis shareholders, BAE had effectively sewn up the fate of a large chunk of the company behind closed doors - and with a group of investors that held not a single