It is prehistoric by Wall Street standards. But events this week will bring a wry smile to greybeards who can remember the Autumn of 1987. Bear Stearns had just struck a deal to sell 20 per cent of itself to Jardine Matheson. With impeccable timing, the market crashed, nearly halving Bear’s stock and scaring Jardine away. Sadly for lawyers seeking hard legal precedents, the matter was eventually settled, with Bear pocketing a handsome sum.

Roll forward to this week. Bear is once again in the news with the rumour that an outside investor may seek a pleasingly symmetrical 20 per cent stake in the broker- dealer. Bear Stearns has already got one very influential financier on its shareholder register. Adding another one does not answer its problems. These are well enough understood: a business that is not sufficiently diversified by product or region, and cleaning up the mess after the implosion of two hedge funds. A strategic deal with a big bank would, on the face of it, make more of a difference, though Bear could still, as it has done before, go it alone.