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  • Turning money and small-value payments into digital form doesn’t interest the banks – it’s against their interests and too expensive. Into the vacuum have stepped hundreds of payment schemes, many of them claiming they have found the Holy Grail. These boasts are premature. Some ideas are elegant but don’t have critical mass. Worse still, they rely on those indifferent beasts, the banks. Find your way through the Darwinian jungle with the help of David Shirreff
  • Greece’s entry into the eurozone from the start of 2001 is bound to have a profound impact on local banks. Already the country’s successful convergence campaign, characterized by sharp drops in inflation and interest rates, has fuelled competition and accelerated consolidation. There is little doubt that competition will intensify from 2001 onwards, forcing Greek banks to re-think their long-term strategies and consider foreign partners.
  • Asia is set to become the new battleground for online brokers. A nascent market with huge potential is incentive enough for the big guns from the US to invest heavily in developing Asian operations. Hong Kong offers a gateway into the new markets, particularly China, for international firms that look set to put many local brokers out of business. Julian Marshall reports
  • The technocrats who climb their way to the top of the greasy pole of international finance tend to be surrounded by sycophants who are unwilling to tell them just how insignificant they are.
  • Among all the many new online marketplaces for trading, issuing and offering research on bonds, none is as ambitious in its scope as BondBook, the alternative trading system launched this summer by Goldman Sachs, Merrill Lynch, Morgan Stanley and Salomon Smith Barney, which Deutsche Bank also joined in September, as a founding equity partner.
  • Although initial international trades have been struck, the financing of commodity trade online is not as easy as many first thought. The requirements of commodity importers and exporters are complex and financiers must come to terms with the logistics that are an essential part of the commodity trade chain. Jonathan Bell, editor of Euromoney’s sister publication Trade Finance, examines the issues
  • Much as some might like to, banks can’t uninvent the internet. Nor is there any clear sign that they know what to do with it. For a variety of motives, both obvious and obscure, they have begun entering into platform consortia with rivals. That’s problem enough and costly. Worse, though, is when a platform seems to be biting the hands that feed it. Antony Currie reports
  • Whatever its rivals, and even its friends, say about its technology, one thing is certain about Swiss/German derivatives exchange Eurex: it knows how to throw a great party. Twice a year the Futures Industry Association hosts a three-day gathering - in Florida's Boca Raton in March, and in Chicago in November. At each event, Eurex hosts the party.
  • This year’s ranking of the top 50 biggest banks in Japan shows few changes from last year, though continuing consolidation will result in the formation of at least four major banking groups. In the meantime, profitability remains dismal – blame continued lending to ailing companies in construction, property and retail; low interest-rates; disintermediation; and falling revenue from equity and bond portfolios. By Andrew Newby, tables from Moody’s
  • A three-way merger has created Mizuho, Japan’s and the world’s biggest bank by assets. If the deal works – and legal issues will postpone full integration for some time – the new leviathan may be a powerhouse. But is management up to the task? And will Japan’s notoriously difficult market let them do what they want?
  • In most areas of financial services, internet technology has created efficiencies and levelled playing fields, allowing new entrants to compete with established players and bringing the benefits of price transparency to end-users.
  • The $700 billion trade finance market is one of the few large pools of tradeable fixed-income assets that has not yet attracted institutional fixed-income investors. Changing that, and propelling the fragmented, illiquid trade finance market through the same developments that transformed emerging market debt in the 1980s, is the goal of bankers and traders who this month launched Internet Trade Finance Exchange (ITF).