The interest-rate group "will provide a platform for the seamless integration of cash and derivatives coverage," the memo stated. Michael Furman, who co-headed interest rate product sales, and Jason Manske, who was responsible for credit derivative sales to financial institutions, have been tapped as co-heads of the interest-rate unit. Both declined comment. Sales will be split into five teams, comprising federal home loan banks and regional dealers, financial institutions, hedge funds, investment managers and servicers and government-sponsored enterprises.
Meanwhile Steven Shaw, who co-headed credit cash sales, has been appointed head of the credit group, according to officials. Rob Lynn, who had headed credit derivatives sales, retains his responsibilities reporting into Shaw. Shaw declined comment and Lynn did not return calls.
The move makes sense, according to David Hendler, senior analyst at CreditSights in New York, who explained that clients are increasingly using both cash and synthetic credits and arbitraging the two. The growing prominence of hedge funds is contributing to this move, he added. Banc of America Securities made a similar move in the credit department last year, when it brought the two businesses under one head, Charles McLendon (DW, 10/6, www.derivativesweek.com).
Meanwhile, Mark Landis, managing director and former head of fixed-income sales for North America, has left. Landis moved into a new role researching opportunities to expand the firm's hedge fund coverage in February and Griffith replaced him. He did not respond to messages left at his office.
