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An overview of the Eurobond markets, including rankings of the top players in the various sub-markets, including fixed-rate issues, floating-rate rate notes, and fixed-price re-offerings, is presented. In addition, rankings are provided for the top lead managers of issuers broken down by nationality, and for the lead managers of private and public sector issues. The top overall lead managers of all issues on the Eurobond markets, ranked by value of issues in millions of dollars, are CS First Boston/Credit Suisse, 29 deals, $7.563.44, 8.62% market share; Nomura Securities, 45 deals, $7,526.77, 8.58% market share; Deutsche Bank, 30 deals, $5,695.97, 6.49% market share; and Salomon Brothers, eight deals, $4,595.73, 5.24% market share. Volume in straight Eurobonds for the fist half of 1990 was $58.5 billion, a drop off from $65.9 billion recorded in the same period of 1989., EUROBONDS The collapse in the new issue market for Japanese equity-linked issues was, in the words of one syndicate manager, 'one of the greatest jolts that the Eurobond market has [...]

A listing of the leading players in the syndicated loan market is presented. The end of the boom in the market in leveraged buyouts coupled with a downturn in the real estate loan market has made the demand for loans go soft, and in the first half of 1990, 1,124 loans worth $191.6 billion were arranged as compared to 1,447 loans worth $252.8 billion in the same period in 1989. The leading loan arrangers, ranked by the amount of loans in millions of dollars, were J.P. Morgan, 40 issues, $23,898.40; Citicorp, 58 issues, $23,082.60; and Bank of America, 42 issues, $15,994.70. The leading loan providers were NatWest, 239 issues, $77,004.50; Sumitomo Bank, 169 issues, $69,805.00; and Barclays Bank Group, 189 issues. $64,942.60., EUROLOANS LIFE WITHOUT THE LEVERAGE Seldom in the capital markets has there been such a dramatic change in sentiment as that experienced in the syndicated loan market. Volume is well [...]

THE BEST DEALS OF THE YEAR For all the bad publicity the RJR Nabisco buyout has received - accusations of greed and lawsuits filed by pre-buyout bond holders - the [...]

The 1990 Euromoney poll, listings of the top banks in the Euromarkets and international financial markets based on the opinions of market professionals and bankers, is presented. Banks are rated on a variety of performance measures, including innovation in new instruments and pricing, professionalism in arranging syndications, and performance in originating bond issues. The top banks for professionalism overall in the international capital markets include J.P. Morgan, Citicorp, and Credit Suisse First Boston., THE EUROMONEY POLL In response to Euromoney's annual questionnaire on the skills of banks in the loan, note and bond markets, borrowers have voted JP Morgan the most professional overall [...]

Patrick Cairns Managing director, Plum Baby During uncertain times like these, consumers want things that they can depend on. Brands can play an important role in this environment, if they […]

A West German options market, the Deutsche Terminborse (DTB), has been established and signals a change in attitude over the way West German investors view derivative products. Practices on the capital markets and regulations created the absence of an effective derivatives market. The West German financial community has had a difficult time getting used to derivatives because they seem to be linked to speculation which runs counter to the community's culture. However, developments in international finance have impressed the importance of a derivatives market on West Germans. West Germans have gained experience trading deutschemark related products on the London International Financial Futures Exchange and wanted to relocate business to West Germany. The new market, which forecast volume of 10,000 contracts a day, has averaged a trade of 25,000 contracts a day. The major task ahead for the DTB is educating West German players on the intricacies of the derivatives markets of which investors lack expertise., OPTIONS GO TO MARKET The establishment of the German options market - the Deutsche Terminborse (DTB) - marks a sea change in the way German finance houses view derivative products. [...]

US CAPITAL MARKETS MERRILL LOOSENS ITS HOLD There's no knocking Merrill Lynch out of first place. The firm has topped the rankings for all domestic deals in the US for [...]

DOG DEALS OF THE YEAR The thrift bailout effort in the US has enough problems on its plate without having to worry about where the money's going to come from. [...]

Corporate treasurers typically use a conservative approach in managing foreign exchange (forex) exposure, using forward forex contracts despite the expansion of the market in new hedging products. Corporate treasurers can utilize currency options to take a more active approach in managing forex exposure risk. For a premium, options allow the holder to buy at an agreed-upon rate, but do not obligate the holder to buy. Options give corporate treasurers more flexibility in managing forex risk since they can buy at the spot rate if it is more attractive. The development of new computer technology has made the new hedging products possible and enhanced the flexibility of forex management, but many corporate managers are not enthusiastic about the latest hybrids and patented products., THE WAY AHEAD MAY NOT BE FORWARD Corporate treasurers still cling to the forward contract to manage their foreign exchange exposures despite the proliferation of new hedging techniques. It's an [...]

The Deutsche Terminborse (DTB), the new Frankfurt, West Germany exchange for dealing in options and futures contracts, has introduced a new futures contract on West German sovereign bonds (bunds). The offering of a bund contract puts the DTB in direct competition with the London International Financial Futures Exchange (LIFFE) which offers a similar contract. While the exact specifications of the contract have not been determined, it is believed that it will offer an eight- to ten-year bund. LIFFE offers an eight-and-a-half to ten-year bund, and the difference will offer an arbitrage opportunity between the two contracts. The DTB estimates that the first-year volume will be 30,000 contracts, but that seems too optimistic. The DTB expects that West German investors will prefer dealing on the DTB for the convenience of a local German-language market and a favorable fee structure., BUND FUTURE CHALLENGES LIFFE DOMINANCE On September 10 the DTB listed a bund future heralding the start of direct competition with Europe's established derivative exchanges. Neither the 14 stock options [...]

Citicorp is the leader in the offering of asset-backed securities for the first half of 1990, with $6.9 billion in issues to its credit. The total of credit-card backed deals issued by Citicorp is $13.81 billion. The firm is renowned for its innovative structures and excellent marketing techniques. In January 1990, Citicorp issued a $750 million deal backed up by its credit-card accounts in Nevada and South Dakota. The issue was made through a special purpose company, the Euro Credit Card Trust, and was the largest non-sovereign fixed-rate Eurobond ever offered. Syndicate managers in London credit the success of the deal to Citicorp's marketing efforts. The deal has allowed Citicorp to successfully expand the non-US market for its asset-backed debt. Citicorp plans to launch an issue in the Japanese domestic capital markets in the last half of 1990, and other deals will include $7 billion in mortgage-backed securities to be issued in the US., THE EUROMONEY BORROWER OF THE YEAR Citicorp has reinforced its lead this half-year as the major issuer of asset-backed securities with issues of this type totalling $6.9 billion. The bank [...]

The new West German options and futures exchange, the Deutsche Terminborse (DTB), located in Frankfurt, has implemented a screen-based electronic trading system to eliminate political and technical difficulties. Due to the federal framework of West German financial laws, the DTB had to implement a system that did not overwhelm the nine provincial stock exchanges. Software was purchased from the Swiss Options Exchange, SOFFEX, and was tailored to West German specifications. A significant change to the software was the development of a pre-opening phase in which preliminary opening prices for stock options are calculated before the actual opening in order to ensure a fair and orderly opening price. Trading on the exchange is between 10:30 am and 3:30 pm and best prices are constantly updated on screen. The DTB is owned and operated by DTB GmbH, which is regulated by the state of Hesse's ministry of finance. The exchange has 59 members of which 13 are foreign banks.

Several letters to the editor are presented in response to articles in Issue 143 including response to "Star Letter" on Windows 10 by Philip James, the article "The Final Straw" by Stuart Andrews, and a "Star Letter" on dealing appropriately with courier orders by Mark Everest.