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  • One deal apologists for Lehman Brothers might not cite was its raising almost $300 million for an island nation of just 80,000 people. Indeed, the Seychelles looks a likely candidate for the title of Africa’s first sovereign Eurobond defaulter of the new millennium.
  • Even Kazakh bank employees are joining investors in a flight to quality away from the sector. BTA Bank and Kazkommertzbank are overwhelmed by foreign debt too eagerly lent out at home and only Halyk is in good shape. Although there are still a few potential foreign buyers nosing around Kazakh financial assets, Raiffeisen for one has decided that its ambitions in the country will be best fulfilled through a greenfield operation. Elliot Wilson reports.
  • The benefits from the Capitalia integration might take some time to be fully realized – after all it was, arguably, the weakest bank in Italy. Still, the bank’s management believes that the potential gains from the restructuring are tremendous. It has every confidence, given its track record in integrating other financial institutions, that it will succeed in this instance too.
  • Central and eastern Europe are a key division to UniCredit’s future success. Comprising 20 countries, with a regional market share of about 18%, historically the bank has grown its presence more through acquisition than organic growth.
  • Why UniCredit is a victim of its own success
  • UniCredit is one of the world’s biggest financial groups but concerns over its capital base have made it vulnerable to panic-stricken investors.
  • Well-placed sources say that Saxo Bank is poised to unveil its new management structure following its recent streamlining. The executive management will consist of Eric Rylberg and Karsten Poulsen, who continue in their roles as chief executive director and deputy chief executive overseeing the bank’s day-to-day operations, and a new chief commercial officer, head of markets, head of group IT and operations and chief financial officer.
  • The FX market continues to hold up remarkably well as carnage engulfs many other assets. This is a theme that deserves to be looked into.
  • As mentioned in FX market: Boom and bust?, all looks relatively healthy in FX. And figures from the CME and EBS, probably the market’s two largest non-bank execution venues, fully support this view. Both report that September was a record month.
  • On the face of it, the merger of FX Solutions and IFX Markets marks another stage in the consolidation of the retail FX industry in the US. However, with both companies wholly owned subsidiaries of City Index since February, it looks more like prudent housekeeping that removes the need to post two tranches of capital with the CFTC. Following the merger, IFX Markets’ customer accounts will transfer to FX Solutions with immediate effect. The combined company will service more than 50,000 accounts.
  • Standard Chartered is rumoured to be one of the few global banks with a budget to hire. And the bank has been swift to spot an opportunity following Lehman's demise by reportedly hiring the extremely well regarded James Pearson to run its European FX operations. If confirmed, Pearson will replace Keith Underwood, who recently relocated to New York to head StanChart's FX trading in the Americas. Sources say that Pearson is likely to take some of his old team with him.
  • It's not too late to enact a better plan than the one the Treasury has put on the table. Peter Lee looks at alternative strategies that might prove sharper than Paulson's bailout plan.