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It was a big-bang conversion with no modern precedent. Politicians had created monetary union; now it was up to banks to make it work. In Frankfurt, arguably the finance capital of euroland, the changeover was mostly a success. But there were some hairy moments and arguments over who caused a cross-border payments jam. Marcus Walker reports.

Share buy-backs must be one of the most talked-about, most praised tools in the corporate restructuring kit. The Americans certainly like the strategy: in 1997 share buy-backs totalled $77 billion. But in Europe the hype has still to translate into reality. In the first 11 months of 1998 just $20.2 billion of stock was bought back, and $15 billion of that was generated by UK companies, according to figures from JP Morgan.

The euro is a month old and already the new currency is bringing about changes more rapidly and more disconcertingly than expected. It is already clear that the removal of domestic currencies - and so the unique advantages enjoyed by local banks in their home markets - will wreak havoc with middle-tier institutions. In the payments business for example, it has only just dawned on the smaller German banks that their only asset was the Deutschmark. Without that domestic market, they will be unable to compete with the clearing giants. In the Eurobond markets, the euro will be the catalyst for more institutionalization of previously retail assets. This means the notion of local distribution will become meaningless. Local branches may sell a bank's new asset management service, but the bond-buying will be managed centrally. The winners will be the large underwriters with the best trading and research product. The losers will be banks whose operations were based on knowing pockets of local currency, largely retail investors. That is, most of them.

The Russian Federation has defaulted on up to $90 billion-worth of restructured Soviet-era debt, the GKO reschedulings are stalled and Western banks have laid off almost all their Russian workers. February has rarely been kind to Russians, and Muscovites, not the world's most upbeat urban dwellers at the best of times, believe that this one will be the worst for decades. Even so, there are glimmers of hope.

The devaluation of the Brazilian real has kept emerging markets at the top of bankers' and regulators' priority lists. As the crisis struck, the Malaysian second finance minister was on a tour of Europe designed to gather support for the country's controversial approach - an approach the minister insisted was working and would be continued indefinitely. More than a year on from the start of the crisis, there is still no consensus on what policies are appropriate for these troubled countries.

It's a firm that revels in its sense of history and values its independence. What it does, it does well - clearing, mortgage bonds, niche investment banking and just a little bit of prop trading. Nick Kochan goes inside Bear Stearns and gets a verbal memo from its combative chairman "Ace" Greenberg.

Europe's high-yield market was amongst the hardest hit by the Russian crisis. But as Rebecca Bream reports, the reasons for the market's bloom in early 1998 still hold good. Investors need greater yield and corporate restructuring is expanding the pool of potential issuers.

Minos Zombanakis is a pivotal figure in the history of the Euromarket. Known in the 1970s simply as "the Greek banker" (he was reckoned to be the only one of any note on the international scene), he was a combination of financial visionary, smooth salesman and masterful self-promoter. As one rather hostile magazine article remarked about his assault on the syndicated loans market: "It was one part nerve, one part histrionics and several parts pure fluff, but it did the job."

The logic of plugging together two industries - insurance and capital markets - is irrefutable and inevitable. But pricing insurance risk and selling it to investors is a painful process, frustrated by a glut of insurers selling their cover too cheaply. The visionaries are positioning themselves for a change in circumstances that could be swift and merciless, like the perils they're trying to insure. By David Shirreff.

Whenever JP Morgan and Goldman Sachs in London manage to poach staff from each other, it usually leads to a bout of cheering and high-fives in the relevant office. No doubt much of the rivalry comes from the close proximity of their headquarters, which are less than five minutes' walk from each other near Blackfriars Bridge.

Partly by luck, but as much because it was well structured, well organized and guaranteed to run to deadline, Brazil's auction of the state's controlling stake in telecoms provider Telebrás was a roaring success. Michael Peterson reports on why it came out as Euromoney's privatization of the year. Also, Brian Caplen looks at other notable Latin American deals and deal-makers of the year.

A strange side-benefit of the Asia crisis: Hong Kong becomes less brash, and the service improves. "I've always preferred living in Hong Kong during a recession," says John Manser, the great taipan of Robert Fleming, from the comfort of his London office.