ABN Amro revamps financial markets operations

ABN Amro has combined its global financial markets unit with its loan products division, as part of a major overhaul of its financial markets business.

Financial markets is now structured along six new global product lines, according to Piero Overmars, global head of financial markets. These are: credit markets, headed by Niall Cameron; structured credit markets, headed by John Mullen; rates markets, headed by Graham Bird; foreign exchange markets, headed by John Nelson; portfolio management, headed by Gary Page, and distribution, headed by Robert Douch.

Under these six product lines, the Dutch bank’s loan products business, including corporate lending, structured trade finance, project finance and commodity finance, has been integrated within the global financial markets group, previously comprising foreign exchange and forex options, rates, investment grade corporate debt capital markets, emerging markets debt capital business, leveraged finance, asset securitisition and credit derivatives.

Overmars said the new structure will allow a fully integrated service targeted at roughly 3,000 ‘priority’ clients out of its current 15,000 wholesale client base. To foster an integrated client service, staff bonuses will be based on the success of the financial markets business as a whole, rather than individual product lines. “We envisage a cultural change in our business where managers will be incentivised to cross-sell products across the different product lines to suit client needs,” he said.

Overmars said the bank will focus on increasing its hedge fund and collateralised debt obligation businesses. It anticipates investing in staff in some areas, including structured capital markets and foreign exchange, but does not expect any large changes in the 3,000 headcount of the business group.

Eltjo Kok, who until today's reshuffle headed loan products, will take on a new role as head of group finance. He will remain an executive vice-president.