Morgan Stanley (MS) hired high-yield debt analyst Todd Corsair from UBS AG as the fourth-largest underwriter of U.S. corporate bonds bolsters its position and the Swiss firm reduces the size of its investment bank.
Corsair, who was with UBS for four years, started as an executive director in Morgan Stanley’s New York office last week. Lauren Bellmare, a Morgan Stanley spokeswoman, confirmed the move in a telephone interview.
While Morgan Stanley has grabbed market share as a manager of dollar-denominated bond sales since its sixth-place ranking in 2011, UBS has slid to 14th, its lowest position on record, according to data compiled by Bloomberg that excludes deals in which banks manage their own offerings. UBS (UBSN) cut its investment-banking staff by 17 percent in the year ended Sept. 30 to 11,877 people globally, regulatory filings show.
New York-based Morgan Stanley hired Daniel Driscoll from Nomura Holdings Inc. last month for investment-grade bond trading in the U.S., and increased its staff by 1.5 percent in six months to 56,101 employees on Sept. 30, Bloomberg data show.
Corsair worked at Bear Stearns Cos. for almost seven years before joining UBS in August 2009, according to records maintained by Financial Industry Regulatory Authority. His move follows the October departure of Daniel Frommer, a junk-debt trader at UBS since 2009 who had also worked at Bear Stearns, Finra records show.
Megan Stinson, a UBS spokeswoman, declined to comment on the departures.
UBS said last year it would exit some debt-related businesses at the investment bank as Swiss regulators place tougher capital and liquidity rules on the largest firms. Switzerland’s biggest bank was the 10th biggest underwriter of U.S. corporate bonds in 2012, Bloomberg data show.
High-yield, high-risk debt is rated below Baa3 by Moody’s Investors Service and lower than BBB- at Standard & Poor’s.
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