When Deutsche Bank decided to close its equities business and make 18,000 job cuts in July, fixed income traders seemed to escape comparatively unscathed. Over time, however, it's becoming apparent that the 'resizing' of the rates trading business referred to in the bank's 'Compete to Win' presentation might be more aggressive than first supposed.
Deutsche didn't respond to a request to comment for this article, but insiders say the bank has lost various traders in addition to those we reported as leaving on Monday. Some are thought to have left of their own accords, but there are unconfirmed suggestions of further cuts to come next week.
The latest exits include David Cross, who ran Deutsche's linear rates trading business in Europe. Cross, who previously worked for both JPMorgan and hedge fund Moore Capital Management, is thought to have a new role, although it's not clear what this is. Igino Napoli, the bank's director-level head of of sovereign, supranational and agency (SSA) trading is understood to have also been put at risk in the G10 team.
Other Deutsche staff said to have been put at risk or to have resigned are understood to include: Sami Sorensen, a credit trader who joined from Goldman Sachs in 2017; Ed Allen, Alex Burke and Federica Ferreti in sales, and Nial Goodman, head of portfolio management and the central investment office. Goodman had been with the bank 17 years.
Sorensen, Allen and Goodman didn't respond to requests to comment on their status. G10 rates revenues fell 17% in the first half of 2019 compared to a year earlier, according to Coalition, and both credit and rates revenues have fallen every first half since 2017.
The biggest recent exit from Deutsche's fixed income trading business was Ioannis Pipilis, the bank's former head of fixed income trading. After leaving in July, Pipilis this week joined at least six other of Deutsche's ex-senior fixed income traders over at SoftBank's Vision Fund.
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