Jonathan Kattouf, HSBC Securities' investment-grade telecom, media and cable sector trader, has left the firm. A trader on HSBC's corporate bond desk confirmed that Kattouf had departed and that no immediate successor had been designated, noting that his responsibilities had been divided up among the remaining traders. Ferdie Masucci, the head of the firm's corporate bond business, was on vacation last Friday and unavailable to comment. Kattouf could not be reached to comment.
HSBC had experienced sharp losses in its corporate bond trading book late last year (BW, 5/5) that some familiar with the situation pegged at $45 million. The losses forced a reduction in compensation in the sales area, leading to widespread defections. Kattouf's positions were said to have suffered the most, according to people familiar with the situation.