JP Morgan shakes up leadership of its investment bank
JP Morgan is reshuffling the senior management of its investment bank, naming two new global co-heads and shifting other executives into roles focused on bringing in business.
The investment banking giant has launched a sweeping reshuffle of top employees in an attempt to promote the next generation of talent while retaining senior staff amid stiff competition from rival boutique firms.
In the overhaul, announced in a memo sent to staff and seen by City PM, JP Morgan named Viswas Raghavan and James Casey as global co-heads of its investment bank. The pair are currently JP Morgan’s chief executive in EMEA and global head of capital markets respectively, and Raghavan will retain his current role.
Both will report to JP Morgan’s head of global banking Carlos Hernandez, who is in turn taking up a new position as executive chair of global investment banking.
Hernandez will oversee a new executive committee of global chairs, which will be focused on winning new business.
Although the positions of global chairs already existed, the expanded number and new structure is designed to ensure some of JP Morgan’s most senior bankers are freed up from day-to-day management to focus on attracting business.
In the memo, Hernandez said the changes would help JP Morgan “maintain our competitive edge and best position our business for sustainable success”.
“The executive committee will provide dedicated senior coverage to our top clients around the globe and will play a key role in mentoring our next generation of bankers,” he continued.
“Each of these individuals brings deep institutional knowledge, advisory expertise and leadership experience to the committee.”
JP Morgan’s leadership overhaul highlights the pressure large investment banks are under to hold on to senior staff in the face of stiff competition from boutique firms, who can attract seasoned bankers by offering them more entrepreneurial roles.
One source told Reuters that the reshuffle was “the bulge-bracket response to the boutiques’ threat”.
“It is a good way to motivate senior bankers who tend to move to boutiques when they feel there is nothing more to achieve in their current roles,” they said.
In a second memo, Raghavan and Casey announced which executives would make up their global investment banking management team.
Among the changes, Dorothee Blessing and Conor Hillery have been appointed co-heads of EMEA investment banking.
“As we embed this next generation of leaders, we are in the enviable position of being able to access our rich network of global chairs and vice chairs for insight and guidance,” the memo said.
JP Morgan declined to comment on the leadership overhaul.