RBS already has a fledgling repackaging business, but Eaton is expected to turn that into a major area because he was involved with this at Deutsche Bank before moving over to Winchester Capital, which is the firm's principal finance structured credit asset manager with some USD12 billion in assets. The risk finance business is also expected to replicate Winchester in many ways, noted rivals.
Market officials said that if RBS attempts to replicate Deutsche Bank's success with Winchester Capital it will likely succeed on the fund management side because of its large balance sheet and credit expertise, but could find the client capital raising part much tougher because it does not have the distribution capability.
Former colleagues of Eaton said his hire is a coup for RBS, adding he has the full package: marketing, structuring and some trading expertise. One former colleague said, "Eaton is a born marketer," adding, "He's not shy to knock on doors," which is the skill needed if RBS is going to continue to build its name in this market.
