Jacques Gelardin, according to a colleague quoted in the press in 1981, wanted to be a bigger fish in a smaller pond, which is why he and a small team of colleagues jumped out of the biggest pond of all, CSFB, where Gelardin had been responsible for origination.
Lehman Brothers gave Gelardin the opportunity of heading a capital markets division. And although Shearson Lehman Brothers International (as it became) never quite lived up to its potential or matched the exploits of its predecessor, Kuhn Loeb, Gelardin emerged as an innovator. He was credited with inventing the capped FRN with a $200m floater for Banque Indosuez achieving deep sub-Libor funding. The product was hastily replicated by rivals. Some $3.5bn of capped floaters were issued in three months following the Indosuez deal.
Gelardin returned to New York in 1989 to head Shearson Lehman's international committee. He left a year later to set up Colker Gelardin with Richard Colker, ex-managing director of European investment banking at Kidder Peabody. The boutique advised private European companies on acquisitions.