Euromoney January 1999
Don't knock it. Warburg Dillon Read, the investment banking arm of UBS, comes out the clear winner in this January's poll of polls. Its virtue is consistency and coverage world-wide. While the US houses have their strengths at home, not one can consistently outperform WDR in every market. WDR may have benefited from the effects of the merger on poll results. But that doesn't detract from its commanding position in every major category: underwriting, trading and advising. It's only major weakness is mergers and acquisitions. Merrill Lynch, last year's number one, is let down by results in Euro-commercial paper, foreign exchange and risk management. Deutsche Bank continues to rise overall, but its weaknesses are equity research, Asian equity and advisory. Citigroup with its Salomon addition looks good on paper, but its low-scoring departments are Eurobonds, equities, and credit and equity research. Last year's second half shuffled the pack and we look forward to a wildly different pecking order next January. David Shirreff reports.
Euromoney January 1999
In a period of mega bank mergers, how can smaller players compete? Through unparalleled regional expertise, say Austria's three leading financial institutions. They are carving out a niche as the experts in eastern Europe. Market downturns haven't put them off this approach. Each has a distinct strategy for expansion. But can they live with the big boys? Marcus Walker reports.
Euromoney January 1999
So far there's no world-beating example of an internet bank. Euromoney and the Centre for the Study of Financial Innovation (CSFI) decided to fill the gap in three easy stages. First, drafting the structure. Second, launching a virtual retail bank. Third, diversifying into all areas, to build a veritable Merrill Lynch of the ether. That's the theory. Here's what happened at stage one, as reported by David Shirreff.
Euromoney January 1999
On the first working day of January 1999 big institutional investors throughout euroland will wake up to find that they are no longer limited to holding domestic equities. But how do you go about swapping a national stock portfolio for an Emu-wide one? You can't just call your broker and sell half your portfolio. There are derivatives - options on pan-European indices, equity swaps and reverse convertibles - that can provide exposure quickly and simply. Or you can speak to the specialist portfolio traders - the guys who have quietly spent the last couple of years installing computer systems to process huge order volumes.
Euromoney January 1999
Allianz has a 100-year history of managing insurance assets. Internationalization of capital markets, fierce competition in asset management and the arrival of the euro have prompted the company to set up a third-party investment firm. Is Allianz Asset Management ready for the challenge ahead?
Euromoney January 1999
The Asian crisis, globalization and John Manser's desire for order have all conspired to end the independence of Hong Kong's last serious investment bank. Once the cornerstone of profitability at Robert Fleming and Jardine Matheson, Jardine Fleming is to be merged with its UK-based parent. It is the end of an era.
Euromoney January 1999
Last month the grain floor at the Chicago Board of
Trade voted in a chairman after its own heart. To the big banks trading on the Chicago exchanges it looked like another setback for the modernization they crave. It's not just electronic trading that's at issue, but also cooperation - and possibly mergers - between Chicago's three derivatives exchanges that may prove vital
to stave off competition.
Euromoney January 1999
The chiefs at GE Capital Services attribute their success to not behaving like bankers. Their approach moving from financial services into related businesses has amassed assets of $255 billion and contributes 40% of parent GE's income. But driving force Gary Wendt has just retired and along with him goes or so it seems his strategy of growth by acquisitions. Where next for his creation?
Euromoney January 1999
Telecoms companies kept the capital markets afloat during the second half of 1998. They could play a similar role this year. Charles Olivier considers the industry's financing plans for 1999.
Euromoney January 1999
Ukraine is at the cross-roads. Too limited reform has left it on the brink of default, opposition parties demanding a return to central planning. Either the country embraces market economics, and wins IMF support, or it rejects them, and invites economic collapse. Reunion with Russia might then be the only option.
Euromoney January 1999
Robert Sexton of Salans Hertzfeld & Heilbronn, Paris, explains how debt-equity swaps could help foreign creditors seeking recovery of Russian loans given the precedent of the US junk bond crisis
Euromoney January 1999
The Czech Republic's voucher privatization left old managements in control of companies still owned - now indirectly - by the state. Though not the only reason for the country's transformation from regional leader to laggard, the mishandled sale of state assets weighs heavy on the economy. Will the government get the sale of the big state-owned banks right? Rebecca Bream reports.
Euromoney January 1999
Romania will default on its foreign debt without assistance from the IMF and World Bank. This is unlikely to be forthcoming unless a politically induced log jam on economic restructuring and privatization is overcome. At last the government has recognized the crisis. Rebecca Bream reports.
Euromoney January 1999
When Frank Quattrone left Morgan Stanley in 1996, nearly everyone thought Morgan's technology franchise would go with him. But the Wall Street firm's edge in California wasn't blunted. Quattrone's magic has now faded, and all competitors bar one seem to be floundering. Michelle Celarier reports
