Portfolio Managers Sit On Their Hands To Avoid Insider Trading Label

Portfolio managers at commercial banks are holding back from entering legitimate trades because of concerns that market participants might think they are allowing information to flow through the Chinese wall.

  • 04 Apr 2004
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Portfolio managers at commercial banks are holding back from entering legitimate trades because of concerns that market participants might think they are allowing information to flow through the Chinese wall. David Bushnell, senior risk officer at Citigroup, noted that in spite of procedures ensuring portfolio managers do not have access to private information, trading is impeded in many cases because of sensitivity over the issue. David Hinman, executive v.p. at PIMCO, said it believed banks were trading on supposedly confidential information in 2002 and is not convinced this has stopped.

Another challenge facing portfolio managers is how to hedge less liquid exposures and develop hedges that are effective under the new accounting rules. Bushnell said Citigroup has traditionally mitigated credit exposure by selling loans or entering credit derivatives on individual names or portfolios, but is looking at other strategies because recent acquisitions mean its USD500 million portfolio has more middle market exposure, a sector which is not liquid in the single-name credit-default swap market. Accounting changes have also meant it is looking at different hedging strategies, noted Bushnell.

  • 04 Apr 2004

All International Bonds

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 13 Mar 2017
1 JPMorgan 94,925.33 384 8.39%
2 Citi 87,531.58 331 7.74%
3 Bank of America Merrill Lynch 84,341.49 288 7.46%
4 Barclays 75,288.19 241 6.66%
5 Goldman Sachs 68,504.71 208 6.06%

Bookrunners of All Syndicated Loans EMEA

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 16 May 2017
1 Deutsche Bank 19,381.65 47 8.82%
2 Bank of America Merrill Lynch 18,968.25 36 8.63%
3 HSBC 18,103.95 50 8.24%
4 BNP Paribas 8,911.57 55 4.05%
5 SG Corporate & Investment Banking 8,885.00 54 4.04%

Bookrunners of all EMEA ECM Issuance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 23 May 2017
1 JPMorgan 8,714.26 35 8.36%
2 UBS 8,283.47 33 7.95%
3 Goldman Sachs 7,736.57 37 7.42%
4 Citi 6,897.11 46 6.62%
5 Bank of America Merrill Lynch 6,215.31 24 5.96%