Established credit heavyweight Deutsche Bank has been singled out by peers and clients for its extensive product range and distribution channels, as well as for being a premier provider of single-name and index liquidity. Its synthetic structuring business, which is overseen by Nitin Prabhu, has this year continued to extend its investment-grade expertise to other forms of credit, including asset-backed securities and leveraged loans.
Praised by investors for its ability to tailor managed synthetic structures precisely to individual requirements, JPMorgan has impressed with various long/short and principal protected deals. Known as a huge single-name liquidity provider, the firm has built on Guy America's well-regarded flow business and made inroads into loan credit-default swaps, total-return swaps on iTraxx and recovery-lock CDS. "[JPMorgan has] the capacity to quote, to take risk, to execute trades and to make money even when the market is quiet," said an investor in London.
Lehman Brothers has been gaining ground in the region and this summer scored a market first with the launch of its Bisson notes, managed equity tranches with a rating. "This is a smart deal and good on them for being the first to get this through," said a structurer at another U.S. house in London. Several noted the hire of big-hitter Raj Dhown from Deutsche Bank late last year brought extra focus to the firm's credit business. Market making for property derivatives and loan credit-default swaps has also stirred praise.