Citigroup Inc. (C) hired four brokers in London to expand its energy business in crude, refined products, power and natural gas, the company said.
Jon Oakes, Richard Harvey, Jason Gladysz and James Hunt joined the bank from BNP Paribas (BNP) SA in late November to broker exchange-listed futures, options and cleared swaps, Citigroup said in a Jan. 13 e-mailed response to questions.
“Energy will be a key ingredient to the success of this firm,” Stephen Piasio, Citigroup’s global head of energy futures, said in a Jan. 12 phone interview from New York. “Energy is a global product. We want to have more of a global business” to complement the team in New York, he said, without providing the number of people in that group.
Moves toward stricter financial market regulations in the U.S. and European Union will probably increase the volume of over-the-counter derivative energy trades that are cleared on regulated exchanges, Piasio said.
“There definitely should be a migration of over-the- counter positions to the regulated exchanges,” said Piasio, who has been at the company for 15 years. “In fact, we’ve already seen that. It may accelerate.”
The hires follow the appointments of Edward Morse, global head of commodities research in New York, and Seth Kleinman, European head of energy research, in London last year. Citigroup in March also hired Martin Lovegrove, an adviser to BP Plc, as its chairman of global energy in London.
“Citi is dedicated to building a top-tier commodities group,” Michel Planquart, head of sales for exchange traded derivatives and clearing in Europe, Middle East and Africa said in the same phone interview. “We believe that we have a lot of growth potential.”
Florian Thaler also joined the bank’s oil trading desk as an analyst in London four months ago from Royal Dutch Shell Plc, Citigroup said. He reports to Andrew Bissell, head of the European oil desk.
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