Deutsche reorganises credit unit after defections to JP Morgan

Deutsche Bank is to reorganise the management of its collateralised debt obligation (CDO) business for the second time in six months. The move comes a month after JP Morgan Chase poached a number of the German bank's senior staff, although a Deutsche Bank spokeswoman said the two events were not linked.

Michael Raynes will oversee origination, structuring and global distribution, and will remain global co-head of the bank’s securitised products group. He will report to Rajeev Misra, head of integrated credit trading (ICT). Mark Stainton will be responsible for risk management of all CDO products, and report to Boaz Weinstein and Antonio di Flumeri.

This reorganisation follows the defection of senior Deutsche Bank staff, including Brian Zeitlin, to JP Morgan Chase in early September. Zeitlin and Stainton were appointed to manage the German bank's securitised products group in April this year. But Zeitlin quit and now heads JP Morgan Chase's global CDO business in New York. Former Deutsche Bank colleagues James Kane, Steve Weinreich, Yale Baron and James Millard have also defected to JP Morgan Chase.

Deutsche Bank's CDO group will be run as a single unit within credit trading and securitisation, combining Deutsche Bank's cash and synthetic businesses, and covering both managed and static transactions. The unit includes secondary trading and will cover all asset classes, including asset-backed securities, emerging markets, high yield and leveraged loans.