Toronto-based BMO Nesbitt Burns is looking to beef up its equity derivatives trading group in preparation for the firm's first foray into the U.S. equity derivatives market. Patrick Cronin, managing director of the firm's equity derivatives group, said he is looking to hire about 10 equity derivatives professionals, mostly traders, over the next several months. The traders will be split between the Toronto and New York offices.
"We've developed a real strength in the equity derivatives marketplace in Canada and now we're looking to export that expertise beyond our borders into the U.S.," Cronin said. Nesbitt Burns has hired two traders over the last six months as part of the new mandate. Jamie Wise, a trader at Salomon Smith Barney in New York, joined the firm in April, while Puneet Kohli, a buyside portfolio manager at the Ontario Teachers' Pension Plan Board, came on board about three weeks ago, Cronin said (see related story, page 4).
Despite the recent decline in the equity cash market in the U.S., Cronin said the firm recognizes that declining U.S. stocks often opens up hedging opportunities in the derivatives market. "While we have noticed some slowdown in a general sense, we also realize there are some pockets of opportunity that are inversely connected to the U.S. cash market," Cronin added.
