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Japan’s megabanks embarked on a year-end fundraising spree that will spill over into 2009, despite spending much of 2008 seeming to enjoy excess capital reserves as they invested billions of dollars in foreign financial institutions. Deteriorating conditions in domestic stock markets, to which Japan’s top banks are heavily exposed, and the poor banking environment in general, mean that they are seeking to shore up their capital positions. The optimistic outlook is that the banks are raising funds in anticipation of high demand for loans in the new year. Sumitomo Mitsui Financial Group’s $5.8 billion preferred share issuance priced on December 11 was the largest deal of that kind from Japan ever, with the firm aiming to raise further funds in January. Three days earlier, on December 8, Mitsubishi UFJ Financial Group, the country’s largest banking group by assets, priced a ¥417 billion ($4.5 billion) common equity offering at a 3% discount to the share price. The group’s share price was the worst performing among Japan’s top three banks during the run-up to the deal’s pricing but the stock has since recovered.

The impact of the credit crunch has been far-reaching, with global property markets left severely damaged. What started off as a largely isolated problem of the US sub-prime mortgage market and some structured credit intensified and spread across the globe over the course of 2008. The repercussions will continue to impede business and thwart growth in property throughout 2009.

Not so long ago, HSBC’s Latin American debt franchise could have been described as promising but limited. That’s no longer the case. As some of its rivals struggle to maintain their position in the region, the UK bank is growing new relationships fast. Unlike many competitors, HSBC is still able to offer a full range of services, including writing a cheque when needed. "In the last couple of months, a lot of new clients have been knocking on the door that weren’t before – our overall pipeline for 2009 is now stronger than it was in 2008," says Gerardo Mato, managing director, head of global capital markets and banking, Americas.

The decline in valuations in developed markets is causing some investors to take another look at opportunities in the US and UK but not necessarily at the expense of emerging market allocations.

When setting out to raise capital during one of the worst financial crises of the past 100 years, it helps to have a strong bank as a big shareholder. That’s what Klepierre, a French retail property specialist, found when it raised €356.2 million through a rights issue completed at the end of November.

Pension funds could be interested in acquiring Gatwick, Stansted and Edinburgh airports, IPE Real Estate reports. The Competition Commission said the British Airport Authority must sell the airports to enhance competition and improve its services across U.K. airports. The Commission is planning to sell Glasgow airport as an alternative to Edinburgh’s airport and has suggested that the government make changes to boost airport regulation and give the regulator more authority to intervene on issues such as performance and financing.

Alison Carnwath is the new chairman of Land Securities, replacing Paul Myners who has left to become minister for the City after two years with the firm.

The Venezuelan parliament has begun a process that could allow president Hugo Chávez unlimited re-election and back his bid to rule until 2021. The proposed constitutional amendment must now be read twice in parliament before it can be brought to referendum. Chávez, who came to power in 1999, was re-elected president of Venezuela in December 2006, for a term expiring in 2013. Two debates are also necessary, one took place on December 18, and the second is expected in mid-January. The National Electoral Council will then convene a referendum within 30 days.

Irish divestment would be severe test for weakened loan market.

Saxo Bank has had a mixed press this year, which is perhaps testament to the fact that it can no longer be considered to be a junior upstart in foreign exchange.

A fuller understanding of true trading costs should help decisions about post-trade functions.

James Garvey announced his retirement from Goldman Sachs in December 2008. Garvey’s title was chairman of investment-grade financing – a role that was given to him after the firm made syndicate and debt origination a global business run under Jim Esposito a year ago.