J.P. Morgan is reorganizing its loan sales and trading group after the promotion of Eric Rosen to a newly created position of co-head of credit trading that incorporates loans. John Abate, currently head distressed trader, is said to be taking over some of Rosen's responsibilities, but a J.P.Morgan spokesman said nothing official has been announced. Both Abate and Rosen declined comment. Rosen's responsibilities include par and distressed loans, high-yield, investment grade and credit derivatives, with the role designed to strengthen client services. Geoff Sherry, who was previously running the high-grade, high yield and credit default swap business is the other co-head, said Rosen. J.P. Morgan is folding loans into that group "to maximize our scale in order to provide integrated solutions to our clients," said the spokesman. Rosen declined comment on any initiatives he has planned.
The changes relate to a wider organizational shift prompted by Carlos Hernandez, head of capital markets, and Patrick Edsparr, head of trading operations. Reportedly, Jeremy Barnum, co-head of credit trading in North America, left two weeks ago.
J.P. Morgan has been the number one loan trading desk for the past three years, according to LMW's annual survey of investors. In distressed, the firm was narrowly beaten into second place by Credit Suisse First Boston in 2004, but is still considered a powerhouse. CSFB also has gone through changes this year after the Phil DeSantis moved from co-running the distressed loan group to head of high yield (LMW, 7/16). Separately, Andy O'Brien is replacing Greg Nelson as head of loan sales at J.P. Morgan. Nelson is retiring.