IFR Magazine – January 20, 2018

Atul Sodhi (left) has

been appointed

CREDIT AGRICOLE’s

global head of debt

capital market

corporates, a new role

at the bank. Sodhi is

currently head of debt

origination and

advisory in Asia. He

will relocate to Paris

for the new role. He

will report globally to

Sebastien Domanico,

global head of DCM,

and locally to Pierre

Gay, head of Europe

for global markets.

Christophe Cretot has

also been promoted to

head of debt

origination and

advisory for Asia. He

was previously deputy

head, having joined

the bank in 2003.

BANK OF AMERICA

MERRILL LYNCH has

appointed Jack

MacDonald as head of

global technology,

media and telecoms

investment banking,

following the departure

of Anwar Zakkour.

MacDonald, who will

remain based in Palo

Alto, California will also

be named chairman of

global M&A. MacDonald

was previously a co-

head of global M&A. He

will work closely with the

head of technology

investment banking,

Gary Kirkham.

MacDonald, a veteran

technology and M&A

banker, has advised

Salesforce.com, Western

Digital and Dell on

acquisitions.

7HOSûMOVINGûWHEREx

h7EûHAVEûAû;HIGH=ûCOSTûSTRUCTUREû;AND=ûWEûAREûAûBITûCONSERVATIVEû

INûTERMSûOFûRISKûTAKINGû7EûNEEDûTOûCHANGEûTHATûATTITUDEv

TATSUFUMI SAKAI, WHO BECOMES MIZUHO CEO IN APRIL, P

Trading suffers as clients tune out

4HEûMULTI
YEARûSLIDEûINûlXEDûINCOMEûTRADINGû
GATHEREDûPACEûAGAINûLASTûYEARûAFTERûAûPAUSEûINû
ûWHENûCLIENTSûWEREûPULLEDûOFFûTHEû
SIDELINESûBYûAûFRACTURINGûEUROZONEûANDûMAJORû
ELECTIONûUPSETS
"ANKSûBLAMEDûAûLACKûOFûVOLATILITYûANDûANû
ABSENCEûOFûCLIENTûENGAGEMENTûREMINISCENTû
OFû
!ûDISMALûFOURTHûQUARTERûLEFTûREVENUESûFORû
THEûlVEûLARGESTû53ûBANKSûFROMûlXEDûINCOME û
CURRENCYûANDûCOMMODITIESûATû53BNûFORû
 ûMATCHINGûTHEûLEVELûSEENûINûûANDû
THEûLOWESTûSINCEûTHEûlNANCIALûCRISISû)TûWASûAû
ûDROPûFROMû
#ITIGROUPSû&)##ûREVENUESûINûTHEûFOURTHû
QUARTERûFELLûûFROMûAûYEARûEARLIERûTOû
53BN ûREmECTINGûCONTINUEDûLOWûVOLATILITYû
ASûWELLûASûTHEûCOMPARISONûWITHûAûMOREû
ROBUSTûTRADINGûENVIRONMENTûLASTûYEARûINûTHEû
WAKEûOFûTHEû53ûELECTIONS ûACCORDINGûTOû#ITIû
lNANCIALûCHIEFû*OHNû'ERSPACH
!TûBANK OF AMERICA MERRILL LYNCH û&)##û
REVENUESûFELLûûTOû53BN ûDRIVENûBYûLESSû

FAVOURABLEûMARKETûCONDITIONSûACROSSûMACROû

PRODUCTSûPARTICULARLYûRATES

2EVENUESûFROMû&)##ûFELLûûTOû53MûATû

MORGAN STANLEYû$ESPITEûTHEûDECLINEûINûTHEû

QUARTERû-ORGANû3TANLEYûEASILYûREACHEDûITSûGOALûOFû

TAKINGûATûLEASTû53BNûAûQUARTERûONûAVERAGEûFROMû

&)##ûTRADINGûWITHûANûAVERAGEûOFû53BN

“There has been market share up for

GRABSûANDûWEûHAVEûBEENûBROADLYûGAININGû

MOMENTUMûANDûGAININGûSHAREûINûTHEûAREASû

WEûCOMPETEûINvû-ORGANû3TANLEYûCHIEFû

lNANCIALûOFlCERû*ONATHANû0RUZANûTOLDû)&2

4HEûDECLINEûINû&)##ûINûTHEûLATESTûQUARTERû

WASûPRIMARILYûDRIVENûBYûITSûMACROû

BUSINESSESûWHICHûSAWûLOWûCLIENTûACTIVITYû

,OWûVOLATILITYûWEIGHEDûONûITSûRATESûANDû&8û

BUSINESSES

GOLDMAN SACHSûWASûDOGGEDûBYûANûAWFULû

&)##ûPERFORMANCEûFORûMOSTûOFûûCAPPEDû

BYûAûûFALLûINûFOURTH

QUARTERûREVENUESûTOû

JUSTûOVERû53BN

'OLDMANûWHICHûISûMOREûINVOLVEDû

INûCOMMODITIESûTRADINGûTHANûITSûPEERSû

BLAMEDûTHATûEXPOSUREûFORûITSûPOORû

PERFORMANCE

&)##ûREVENUESûACROSSûTHEûlVEûBANKSûFELLû

ûFROMûAûYEARûEARLIERûTOû53BNû

EPISODIC LOSSES

2EVENUESûFROMûEQUITYûTRADINGûWEREûDOWNûûATû

53BNûFORûTHEûYEARûACROSSûTHEûSAMEûBANKSûAFTERû

AûûDECLINEûTOû53BNûINûTHEûFOURTHûQUARTER

4HREEûOFûTHEûlVEûBANKSûTOOKûAûHITûRELATEDû

TOûTROUBLEDû3OUTHû!FRICANûFURNITUREûRETAILERû

3TEINHOFFû)NTERNATIONALûWHICHûWEREûLABELLEDû

hEPISODICûLOSSESv

3EVERALûBANKSûMADEûLOANSûTOû#HRISTOû

7IESEûSECUREDûBYûHISûSTAKEûINû3TEINHOFFû4HEû

VALUEûOFûTHOSEûSHARESûCOLLAPSEDûASûTHEû3OUTHû

!FRICANûFURNITUREûRETAILERûWASûSUBSUMEDûINû

ANûACCOUNTINGûSCANDAL

7HILEû#ITIû"!-,ûANDûJP MORGANûRECORDEDû

THEûWRITE

DOWNûINûEQUITYûTRADINGû'OLDMANû

RECORDEDûTHEûLOSSûINûITSûINVESTINGûANDûLENDINGû

SEGMENTû-ORGANû3TANLEYûSAIDûITûWASûNOTû

INVOLVEDûINûTHEûTRANSACTION

Houlihan Lokey expands with Quayle Munro buy

HOULIHAN LOKEYûHASûAGREEDûTOûBUYûDATAûANDû
SOFTWAREûADVISORYûSPECIALISTû1UAYLEû-UNRO û
ANOTHERûBIGûSTEPûINûITSûPLANûTOûBUILDûOUTûITSû
CORPORATEûlNANCEûCAPABILITYûINû%UROPE
4HEûMOVEûWILLûADDûûADVISERSûTOû(OULIHANû
,OKEYûANDûACCELERATESûTHEû53
LISTEDûlRMSû
PLANSûTOûBEEFûUPûITSûSERVICESûOUTSIDEûITSûHOMEû
MARKET ûAûSTATEDûINTENTIONûWHENûITûmOATEDûONû
THEû.EWû9ORKû3TOCKû%XCHANGEûINû!UGUSTû
)NûTHATûYEARûTHEûlRMûCARRIEDûOUTûAûCOUPLEû
OFûSIGNIlCANTû%UROPEANûACQUISITIONS ûBUYINGû
CONSUMERûBOUTIQUEû-C1UEENûANDûTHEû
'ERMAN û$UTCHûANDû3PANISHûPARTSûOFû)TALIANû
INVESTMENTûBANKû,EONARDOûû#O
3INCEûTHENûITûHASûMADEûAûNUMBERûOFûHIRES û

BUTûTHEûPURCHASEûOFû1UAYLEû-UNROûWILLû

SPEEDûUPûTHEûPROCESSû!FTERûTHEûDEALû

COMPLETESûTHEûlRMûWILLûHAVEûûlNANCEû

PROFESSIONALSûINû,ONDONû&INANCIALûTERMSûOFû

THEûDEALûWEREûNOTûDISCLOSED

NEW BOATHOUSE

1UAYLEû-UNROûWASûFOUNDEDûINûûANDûHASû

ITSELFûMADEûAûNUMBERûOFûACQUISITIONSû

INCLUDINGûMEDIAûBOUTIQUEûVANû4ULLEKENûANDû

.EWû"OATHOUSEû#APITALûINûTHEûLATEûS

.EWû"OATHOUSEû#APITALûWASûSETûUPûBYû

0ETERû.ORRISûFORMERûCHIEFûEXECUTIVEûOFû

"ARINGSûINVESTMENTûBANKûWHENûTHEûDIVISIONû

FAILEDûFOLLOWINGûTRADINGûLOSSESûBYû.ICKû

,EESONû.EWû"OATHOUSESûMAJORûCLIENTûWASû

2ICHARDû"RANSONSû6IRGINû'ROUP

.ORRISûSUBSEQUENTLYûBECAMEûCHAIRMANûOFû

6IRGINûINûû(EûREMAINSûINûTHATûPOSITIONûANDûISû

AûNON

EXECUTIVEûDIRECTORûOFû1UAYLEû-UNROû(EûWILLû

NOTûHAVEûANûEXECUTIVEûROLEûATû(OULIHANû,OKEY

!SûWELLûASûDATAûANDûANALYTICSû1UAYLEû

-UNROûADVISESûCLIENTSûINûlNANCIALûSERVICESû

lNANCIALûTECHNOLOGYûANDûEDUCATION

(OULIHANû,OKEYûSAIDûTHEûDEALûWOULDûALLOWû

ITûTOûESTABLISHûAûDATAûANDûANALYTICSûPRESENCEû

INû%UROPEûANDûEXPANDûITSûlNANCIALû

INSTITUTIONSûPRACTICEûINûTHEûREGIONû4HEû

FORMERûWILLûBEûHEADEDûBYûAndrew Adams,

CURRENTûCHIEFûEXECUTIVEûOFû1UAYLEû-UNROû(Eû