Dresdner Kleinwort Wasserstein is planning to merge its debt syndicate and credit trading group with its credit derivatives operation. The move would combine the departments of DrKW's highest profile credit stars: Sean Park, managing director and global head of debt syndicate and credit trading, and Matteo Mazzochi, global head of credit derivatives and securitization. Rowan Staines, spokeswoman, declined comment.
An official familiar with the move said the bank is looking to complete this switch by year-end so that it can hire more staffers after bonuses have been paid.
DrKW is said to be looking at this now because credit derivatives, both single-name default swaps and synthetic collateralized debt obligations, are becoming more commoditized and similar to other credit instruments, such as bonds. Several major derivatives firms, including Deutsche Bank, JPMorgan and Goldman Sachs, have already combined these desks.
