Practical Issues Arising From The Euro

June 1999 Issue

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Title and Contents, Introduction and Internet Addresses (160k)
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Chapter 1 (245k)
The Conversion Weekend and Aftermath

The conversion weekend
The aftermath
The roles of the Bank and the market

Chapter 2 (101k)
London as an International Financial Centre for the Euro

Introduction
Location of euro financial activity at present
Structural changes to which market firms are responding
Influences on the location of market firms in future

Chapter 3 (357k)
The Euro Markets

Monetary Policy Operations of the Eurosystem
- Monetary Policy Strategy
- Monetary Policy Operations
- Minimum Reserves System
- Open Market Operations
- Standing Facilities
- Eligible Assets
Money and Foreign Exchange markets
- Money and Foreign Exchange Trading
- Box: The bank's effective Exchange Rate Index
- Price Sources
- Box: Short-term interest rate ("STIR") Contracts on LIFFE
- Box: Bank of England Euro Bills
Debt Capital Markets
- Trends in Euro-denominated Bond Issuance
- Bond Benchmarks
- Credit Ratings
- Corporate Bond Issuance
- Changing Investment Patterns
Equity Capital Markets
- Trends in Investmetn Behaviour
- Equity Benchmarks
- Box: Euro Equities Trading on the LSE
- Box: EU Pension Fund Reform and Capital Markets

Chapter 4 (271k)
The Euro Infrastructure

Wholesale Payment Systems
- Overview
- Payment Flows Through Different Payment Systems
- Box: Description of the Main Euro Payment Systems
- Technical Issues
- Liquidity Management
- Box: Euroclear Payments and Receipts
- Box: EBA / TARGET Liquidity Swaps
- Collateral Management
- Box: The CCBM
- Other Issues
Securities Settlement Systems
- Securities Settlement
- Repo Trading and Clearing Systems
- Swapclear
Exchanges
- London Stock Exchange
- LIFFE Connect
Business Days in 1999 and 2000
- 31 December 1999 and 3 January 2000
- Beyond 3 January 2000
Legal and Tax
- Treaty of Amsterdam
- Standard Legal Agreements in the London Market
- Company Share Capital

Chapter 5 (41k)
Use of the Euro in the UK Beyond the City

Monitoring by Bank Agents
Private Sector Surveys
Euro Retail Payment Volumes

Chapter 6 (352k)
Preparing for Possible UK Entry

The Outline National Changeover Plan
- Report of a Working Party on the Changeover from Sterling to Euro in the Wholesale Markets
  - Summary of Conclusions and Recommendations
  - Introduction
    - Definitions
    - Timing Questions
    - Relationships with Other Economic Sectors
  - Part 1 Lead Times
    - Monetary Policy Operations
    - UK Payment System
    - Market Participants' Own Systems
    - UK Exchanges
    - UK Settlement Systems
    - Market Agreements
    - Notice of Price-sensitive Changes
  - Part 2 The Changeover in the Wholesale Markets
    - Money Market Securities and Bonds
    - Payment of Cash-flows in Euro
    - Redenomination of Money Market Securities and Bonds
    - Changes to Money and Bond Market Conventions
    - Equities
    - Change from Sterling to Euro Prices for Trading
    - Redenomination of Equities
    - Secondary Market Securites Transactions
    - Money, Foreign Exchange and OTC Derivatives Transactions
    - Changes to SSIs and Nostro Accounts
    - A Big Bang?
  - Part 3 Overarching Issues
    - Legislation
    - Tax
    - Accounting
The Changeover Experience in First-Wave Countries
- Introduction
- Key Findings
- Eurosystem Operational Framework
- Wholesale Market Preparations
- Retail Payment Systems
- Changeover to Euro Notes and Coins