JP Morgan has created a new equities insurance structuring group in a move to strengthen its coverage of the insurance companies which has been identified by the US investment bank as a ‘significant component of growth’ of its equities franchise.
According to a memo seen by SRP, JP Morgan has appointed David Rademeyer as global equities insurance structuring group within the bank’s global equity derivatives structuring division. The new team falls under the remit of Rui Fernandes (pictured), head of global equity derivatives structuring.
The new equities insurance structuring group is aimed at better aligning the bank’s product development and structuring efforts, as well as to leverage its regional product expertise. According to the memo, the creation of this team will provide JP Morgan’s partners in sales and marketing, and banking with a ‘center of excellence’ with both a global reach and regional expertise, ‘focusing on a client base where a deep understanding of capital, regulatory and asset & liability management (ALM) constraints is critical’.
The memo stated that Rademeyer has been a key driver of the growth of JP Morgan’s US business with Insurers. Rademeyer who will be responsible for replicating ‘this success in other regions’ joined JP Morgan in 2008. Rademeyer will continue to be based in New York and will report to Emmanuel Naim, managing director, and head of Americas equity structuring, also in New York.
The bank has also appointed Shuichi Akito, executive director, equity derivatives structuring, in Hong Kong who will take on the Asia Pacific lead, and Nicolas Robin, long-term savings and retirement solutions who will be responsible for the Europe, Middle East & Africa (Emea) lead. Both Akito and Robin will be accountable to Rademeyer for their Insurance activities.
Equities franchise
The launch of the new business comes on the heels of a reshuffle of JP Morgan’s global equities business which included the appointment of Rachid Alauoi as its new head of global volatility. Alauoi is responsible for the equities trading businesses across flow, exotics and non-linear corporate derivatives segments.
Alauoi’s appointment is a promotion as he has spent the last 14 years at JP Morgan holding various positions across the derivatives trading team, most recently as head of Emea equities exotics and index flow trading. Alauoi replaced Fater Belbachir who left the US investment bank in February.
As part of the changes announced by Jason Sippel head of global equities at JP Morgan, Fernandes was confirmed as head of global equity derivatives structuring – a new position created in August 2018, in charge the bank's innovation and product delivery capabilities across equity derivative products.
Both Fernandes and Alauoi report to Sippel, who was appointed head of global equities in May 2018.
JP Morgan remains the number one issuer in the US with a 15.7% share of the market in 1Q2019, according to SRP data. The bank sold 818 structured products worth US$2.2 billion between January 1 and March 31, including 588 structured notes (US$1.6 billion) and 230 certificates of deposit (US$0.6 billion).