An alternate arm converter includes at least one converter limb that defines first and second limb portions. Each limb portion includes at least one director switch connected in series with a chain-link converter between one of two DC terminals and an AC terminal of the converter. The chain-link converters are operable to generate a voltage waveform at the AC terminal, and the director switches are operable to switch the respective chain-link converters in and out of circuit between the respective DC terminal and the AC terminal. The converter also includes a controller configured to selectively control the switching of each director switch to form a current circulation path including each limb portion and the DC network. The controller, during formation of the current circulation path, forces an alternating current to flow through the current circulation path to transfer energy between the chain-link converters of the limb portions.