The small but influential firm buys the equity or debt of troubled companies and then uses its influence to push for restructuring.

ECONOMIST: Dealing in duds

Banks are also raising their stakes in their most troubled borrowers, via debt-for-equity swaps, in return for tepid restructuring schemes.

ECONOMIST: Japanese stockmarkets

On this plan, the EFSF could then be a proper European Monetary Fund, with one side managing adjustment programmes and (where necessary) orderly debt restructuring, and the other side using ECB liquidity to support confidence in solvent but troubled governments, by buying their bonds on the secondary market.

BBC: Central banks and the 'spirit of 2008'