Morning Coffee: Bank building in ECM, another bleeds M&A staff
If you work in ECM you can, perhaps unexpectedly, start considering yourself hot property. IPOs have risen 58% in the second quarter in Europe, in the US their number has already surpassed 2012’s total and an expected surge in revenues per head this year means that bonuses are could be on the up. The City recruitment market is banking on a rise in IPOs and rights issuance to give it a much needed shot in the arm.
HSBC is biting the bullet and building its team. As Financial News points out, Adrian Lewis, a former UBS banker who joined HSBC at the end of July, is spearheading a renewed recruitment spree in the bank’s UK ECM and corporate broking divisions, an expansion that has the buy in of CEO Stuart Gulliver. Part of this may be down to playing catch up – HSBC was one of the few banks not involved in Barclays’ £5.8bn rights issue.
Separately, Barclays – which built its M&A team aggressively from 2008-2011 in Europe – is having a hard time holding on to senior rainmakers in the U.S. In recent weeks, three bankers have left for Rothschild, according to Bloomberg, with James Ben, Peter “P.J.” Moses and David Baron all departing. This follows Andrew Taussig, formerly head of retail M&A, who left for Guggenheim Partners in February, taking a team of four with him.
The departures are down to a combination of concern over European regulators’ squeeze on compensation, and the ongoing shake-up at Barclays, Bloomberg suggests.
Martin-Artajo and Grout’s defence predicated on the fact that their derivative bets were hard to value (Wall Street Journal)
J.P. Morgan’s CIO had just one risk manager (Financial News)
Julien Grout keeping himself to himself in sleepy French village. Residents have no idea who he is (Reuters)
The private banking hiring spree (Financial News)
Wells Fargo banker dies on business trip, aged just 56 (Bloomberg)
Internal auditor loses job after starting burlesque dancing (Daily Mail)
The olinguito, a newly discovered carnivorous mammal, is terminally cute (Economist)