It was early 1999 and markets remained in turmoil after the Autumn crash of 1998. In 1996 Alan Greenspan, head of the US Federal Reserve, had referred to "irrational exuberance" in the markets - but the markets ignored him and carried on and up.
Then in Autumn 1998 the market fell sharply as some clever New York hedge fund managers (LTCM) put the world financial system at risk by beliveing their own complex maths, rather than applying a bit of common sense. It caused utter confusion, and confidence collapsed, particularly in the investment industry, as the note below highlights. [read more]