LONDON, June 15 (IFR) - Deutsche Bank is setting up a global capital markets unit within its corporate and investment bank to house both its equity capital markets and debt capital markets businesses as well its hedging services.
The new unit will be led by co-heads Alexander von zur Muhlen and Mark Fedorcik, based in Frankfurt and New York, respectively. Fedorcik will in addition continue as head of corporate finance Americas and co-head of CIB Americas.
Both will report to Garth Ritchie and Marcus Schenck, co-heads of CIB, who were appointed to head up the new division in March.
ECM veteran Mark Hantho has been made chairman of GCM, focusing on client coverage and large transactions.
“From one unit, GCM will offer clients access to the bank’s expertise in financing and risk management solutions,” said Ritchie and Schenck in a memo sent to CIB staff and seen by IFR.
The memo said Hantho would “help us to form a key client coverage group for corporates in the coming weeks”.
GCM will be run as a joint venture with the bank’s existing corporate finance, equities and fixed income and currencies businesses. It will also work closely with the institutional client group.
The latter will be co-headed globally by Kenan Altunis and Stefan Hoops. They will report to Ritchie and Schenck. Hoops will keep his current role as head of equities and fixed income and currencies in Germany.
Within corporate finance, Deutsche said it wanted to create “global industry groups principally co-led from our hubs in Europe, the US and Asia Pacific, which will work in partnership with the country coverage teams that maintain strong local relationships”.
The unit will be run globally by existing regional heads Fedorcik in the Americas, James McMurdo in Asia Pacific and Alasdair Warren across Europe, Middle East and Africa.
Each region will also have a head of corporate banking coverage: Niels Ackerman for EMEA; Stefan James in the Americas, and a yet-to-be-appointed person in Asia Pacific.
Chris Whitman, a former treasurer of the bank as well as senior capital markets banker, will be head of financial resource management.
This unit would “be responsible for allocating the bank’s balance sheet to CIB businesses according to client selection decisions and market opportunities,” the memo said.
Schenck and Ritchie said it would “ensure that we allocate capital efficiently, across both the banking and trading books”. (Reporting by Christopher Spink; Editing by Steve Slater)