Citi’s Euro CDO Team To Take Lighter Layoff Hit

Citigroup’s European collateralized debt obligation team is set to avoid the worst of the rumored staff cuts facing the firm’s 70-strong global CDO effort.

  • 20 Nov 2007
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—Hugh Leask

Citigroup’s European collateralized debt obligation team is set to avoid the worst of the rumored staff cuts facing the firm’s 70-strong global CDO effort.

Officials at Citi in London declined to comment on any possible layoffs, understood to be earmarked for both the U.S. and London CDO divisions before the end of the year. But one market official in London said the firm’s 15-strong European team may see between two and five heads cut, with the majority of exits likely to be in the U.S., where the desk has around 45 people. The subprime chaos has hit CDOs of ABS in the U.S. hard, and that market has declined, he added. “[Meanwhile] Europe’s CDO business is essentially CLOs, which are still doing okay. They’re still around,” the official said. “The majority of the cuts will be in the U.S., and there may be a couple in Europe.”

The source added: “Without a doubt Citi will realign its business globally. Nothing’s been decided yet, but they'll hash it out between now and the end of the year. But every firm will be doing this.”

  • 20 Nov 2007

GlobalCapital European securitization league table

Rank Lead Manager/Arranger Total Volume $m No. of Deals Share % by Volume
1 Bank of America Merrill Lynch (BAML) 1,284 2 30.09
2 Barclays 633 1 14.82
3 BNP Paribas 509 1 11.91
4 Citi 467 1 10.94
5 Morgan Stanley 455 1 10.66

Bookrunners of Global Structured Finance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 Citi 9,235.10 31 12.19%
2 Barclays 7,853.42 22 10.36%
3 Bank of America Merrill Lynch 7,473.95 24 9.86%
4 JPMorgan 7,225.34 25 9.54%
5 Wells Fargo Securities 6,258.35 24 8.26%