Julian Pittam, head of equity finance marketing at Lehman Brothers, says: "My view is that there is no doubt that technology will have a massive impact and it will lower costs significantly over time.
The only variable is the time it may take.I think at some stage, you could even see a central clearing house for securities lending."Such a system is a long way off, but if it did happen, some market sources think that it may eliminate the need for collateral in the years to come."For a centralized exchange to become a reality will require a significant amount of capital commitment by large firms and that is the primary bar to the development of such a platform.Pittam
says: "I welcome the idea of ECNs, but I think it remains to be seen how useful they are.
of Lehmans sees the private client business as another source of potentially massive growth. He
says: "We have seen a massive growth in potential clients in Europe."Along with many other firms, Lehman Brothers
has adopted a strategy of hiring in local people to cover their home markets.A thorough knowledge of a particular market is something that can be exploited by local experts to exact maximum value.
Lehman has gained a lot more supply from the local markets.Pittam
adds: "I think one area we do particularly well in and what we hear from our clients is coming up with innovative ideas to create new business."