Commerzbank Capital Markets is ramping up its equity derivatives desk in New York to meet strong demand for U.S. equity derivatives products from hedge funds, corporates and high-net-worth individuals.
Maria Baum, senior trader for over-the-counter index and proprietary products, said a belief among some investors that the slumping equity markets may have hit bottom is fueling demand for equity derivatives. She added, though, that Commerzbank has recently hired to grow its nascent equity derivatives presence in New York. With many banks in New York retrenching, Commerzbank believes this is a good time to opportunistically hire quality equity derivatives professionals, she noted.
As part of the push, Commerzbank has hired Yoel Mayerfeld, v.p. equity derivatives at CDC Investment Management in New York, as a trader responsible for listed and over-the-counter U.S. equity index products. Baum said the firm plans to hire another trader who will be responsible for trading derivatives on single stocks. Prior to Mayerfeld's hire Baum had sole responsibility for index and proprietary products. The addition of Mayerfeld increases the size of Commerzbank's equity derivatives trading team in New York to nine.
Mayerfeld declined comment on why he left CDC, but mentioned that he and Baum had both worked at Bankers Trust before it was acquired by Deutsche Bank, and he added that there were several other ex-Bankers Trust traders on Commerzbank's equity derivatives desk in New York.
Baum would not say exactly how many marketers Commerzbank plans to hire, but noted the desk's primary need is for an individual to market equity derivatives to hedge funds, since the firm does not have any marketers who sell exclusively to those clients.
An official at CDC declined comment on whether the firm would be hiring a replacement.
