Georgia’s ill-fated attempt to prevent the secession of South Ossetia and Abkhazia is set to cost the country billions of dollars, but financial backing from western Europe and the US should help to ensure that the country’s economy remains one of the most open and business-friendly of the states that were formerly part of the Soviet Union.

US long/short fund Andor Capital, spun out of Pequot Capital in 2001, is closing its doors and returning money to investors. The fund manages more than $2 billion in assets. Co-founder David Benton said in a letter to investors that he wanted to devote more time to his family and other interests.

Concerns about an economic slowdown now weigh on capital markets.

The blow-up of corporate trades in China might lead to regulatory restraints on transparent, run-of-the-mill derivatives use.

Government intervention in financial markets goes against the grain of any US administration. However, it appears preventing closure of the mortgage finance markets is more important than ideology.

Commodity prices will need to go higher again to prompt consumer and producer actions that bring them down.

But exchange still looks like a political tool.

Many banks will become less-levered, more conservative, far duller institutions promising much lower and more utility-like returns to investors

US leaders might ponder the lessons of Venezuela and Iran.

Despite a new round of fundraising for distressed ABS, a market floor is not necessarily in sight.

The present round of bank reorganizations look as if they might not be as efficacious as leaving things well alone.

Deutsche Bank has appointed Tiina Lee as head of European financial institutions capital origination. It is a new role at the bank that combines capital origination for debt and equity capital markets. The rationale is to take the bank’s alignment of the capital markets businesses in debt and equity to the next level, says Deutsche Bank. The present crisis, with banks, especially, in dire need of capital makes this type of approach from intermediaries increasingly important.

The European retail structured products market could be more than twice the size previously thought, according to Greenwich Associates.

Some European banks are coming through the credit crisis relatively unscathed, or even with enhanced market positions and reputations. Never has differentiation been more important.

"We have all the signs of emerging markets in the US now – there’s stagflation, growing unemployment, excess debt, poor monetary management – I just wonder when the US will be included in the EMBI+"

VTB, Russia’s second-largest banking group, continues to add to the array of western talent in its investment banking business. Its latest hire is Herbert Moos, who has been named as chief executive of VTB Bank Europe in London. Moos joins from Lehman Brothers, where he spent 14 years, most recently as chief financial officer for Asia-Pacific ex-Japan. Moos will be responsible for developing the investment business of VTB in London, Asia and the Middle East. He will report to Yuri Soloviev, head of investment banking.

Mexico’s central bank governor has achieved rock-star status with his tough line on inflation by standing up to the president’s pressure to reduce interest rates.

The bank has shone through Kazakhstan’s financial sector gloom thanks to the chief executive’s cautious policies that he put in place while rivals were borrowing abroad to fund over-risky lending. Elliot Wilson reports.

"For the rest of the bank, we’re actually managing the businesses; with the problem assets we’re not really managing them at all, we’re just managing the accounting"

The spectacular growth of Middle Eastern markets is attracting new ventures of all sizes. But smaller, more specialized firms are increasingly popular. Jethro Wookey reports.

Has the credit crunch led even the brightest students to lose all interest in the financial services industry?

Does Syria’s long-awaited equity market finally mean business? Alex Warren reports.

There is an old joke that represents a quick and easy way to understand the basic principles of political and economic ideologies:

Markets are more susceptible to the herd mentality and the creation of bubbles because of agents’ behaviour. Following the money can solve a large part of the asset price puzzle.

Under his presidency, Pakistan made huge progress in attracting foreign investment, privatization and bolstering the banking system.

The Brazilian billionaire built Banco Pactual into one of Latin America’s foremost investment banks before selling it to UBS in 2006. After an inglorious and turbulent two-year stint at the Swiss firm, he is returning to his entrepreneurial roots by setting up a new asset management company. He talks to Chloe Hayward about his plans.

The Philippines’ finance secretary has stabilized the economy during his three-year tenure, but external shocks could derail his plans.

The vice governor for international affairs says financial sanctions will not halt the country's growth, as president Ahmadinejad tells the UN the US's years of domination are over.

Outstanding contribution to finance: Dr Sri Mulyani Indrawati, Indonesia

In contrast to the US and western Europe, the private equity industry in Russia is in rude health. Guy Norton reports from Moscow on the rationale for the optimistic outlook.