JPMorgan has reorganized its New York-based structured credit operation following the abrupt resignation last week of Romita Shetty, head of structured credit and alternative investments and global head of CDOs. Officials familiar with JPMorgan's plans said Maleyne Syracuse, managing director-client management, is being groomed to take over Shetty's responsibilities in origination and structuring, representing a significant increase in her remit. While Syracuse is broadening her role within the group, she will continue to be responsible for several key accounts, said one insider. Shetty declined comment and Syracuse did not return calls.
The timing of Shetty's resignation surprised credit industry bankers, several of whom noted it is unusual for staffers to resign in the months immediately preceding bonus payouts. Michael Dorfsman, spokesman in New York, said that after working in the field of structured products for several years Shetty wanted to broaden her experience and is considering a variety of options within the firm.
As part of the shake up, Andrew Palmer, managing director, North American credit derivatives, is also being moved up to head the distribution effort. In addition to product management, Palmer already has a sales responsibility within the firm and the new role will see him move further away from origination to focus on distribution, said one official. Both Syracuse and Palmer will report into Andrew Feldstein and Chris Harvey, managing directors and co-heads of North American structured products and derivatives marketing. Palmer, Feldstein and Harvey did not return calls by press time.
Meanwhile, the move by Syracuse into an origination role has surprised many JPMorgan watchers. "It's relatively common to see people shift from the origination side across to sales, but the reverse is more surprising," noted a derivatives head at a rival firm. One credit recruiter countered, however, that staffers in structured products often carry responsibilities across sales and origination.
