Bear/what next: Bears’ new lair?

Bear Stearns’ future as an independent investment bank could be drawing to an end. Customers and counterparties are shunning the Wall Street firm, which now trades at less than half book value in the wake of its rescue by the Federal Reserve. Bear’s woes make finding sanctuary within a larger, well-capitalised bank a more likely endgame than carrying on alone. But who would be the buyer? Bear has some attractive businesses: clearing and prime brokerage, assuming its hedge fund clients aren’t in...