Commerzbank is planning to establish a Hong Kong credit and equity derivatives trading desk next year, less than a year after shutting shop in Japan. Sales and trading staff will be added across products and credit, equity and commodities underlying. "We're moving over a team to cover trading in this time zone," said Irene Chen, derivatives marketer in Hong Kong, explaining that a small London trading contingent will be shipped over to the City state to start the effort and complement the Hong Kong regional sales team.
The buildup came as a surprise to market rivals, given that Commerz effectively closed its derivative business in Tokyo at the onset of the year and cut over 80 staff (DW, 1/14). The revamp is being spearheaded by Ian Soso, head of markets in Hong Kong, who transferred from London last year to retool the business. Soso declined comment and the precise reasons for the turnaround could not be ascertained. Chen joined from Chinatrust in Taipei, for cross-asset class derivatives marketing for the Taiwan market, as part of a bid to boost regional coverage.
"Looks like they're giving it another shot," said an equity head at a bulge bracket firm. Another market official said the build up is likely linked to strong market growth evident this year in the region, such as in Korea and Taiwan, as well as for the potential seen in the Chinese market, as firms have begun positioning themselves for expected further market liberalization.
--Matt Tremblay
