“At least two Deutsche Bank AG (DBK) debt traders left for hedge funds after the bank closed a proprietary-trading group last month to cut costs and prepare for post-crisis regulations.
“John Roach, a mortgage-debt trader, will join BlueCrest Capital Management LLP, while Michael Boyle, who traded commercial mortgage securities, started at Tilden Park Capital Management LP this month, said two people familiar with the moves. The lender closed the proprietary unit, which took market positions with the bank’s money, as it faces rules curbing risk- taking, said three people familiar with the matter. The people asked not to be identified because the moves aren’t public.
“More than four years after the depths of the credit crisis, an exodus of veteran debt traders from the biggest banks is accelerating. Deutsche Bank has lost at least five credit traders and salesmen this year to money managers as it overhauls compensation, cuts almost 2,000 jobs and boosts capital reserves. That follows the departures of at least 10 from its New York credit group since the start of 2011.”
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