David Bianco, among Wall Street’s most bullish stock forecasters when he was replaced last year at Bank of America Corp., was named chief U.S. equity strategist for Deutsche Bank AG.
Bianco started today, said Amanda Williams, a spokeswoman for the Frankfurt-based company. Binky Chadha, who held the position at Deutsche Bank since 2006, is now chief global strategist, according to Williams. Bianco will report to Steve Pollard, head of research for Americas, while Chadha works for David Folkerts-Landau, head of global research.
Chadha had the highest year-end forecast for the Standard & Poor’s 500 Index when 2011 began, while only three strategists tracked by Bloomberg News were more bullish than Bianco when he left Bank of America in September. He was replaced by Savita Subramanian at the second-largest U.S. bank by assets.
Bianco worked at Deutsche Bank before joining UBS AG in 2002. He shifted to Bank of America in 2009. His return to Deutsche Bank was reported earlier today by Business Insider.
At UBS, Bianco was head of U.S. equity strategy. His forecast in 2008 that the S&P 500 would rally to 1,700 was off by almost 800 points. At the beginning of 2009, Bianco had the highest forecast, estimating the S&P 500 would climb to 1,300. Chadha had the second-highest projection, seeing the measure at 1,140 at year-end, compared with the actual close of 1,115.10.
Chadha forecast the benchmark gauge for U.S. equities would climb to 1,500 in 2012. His projection that the S&P 500 would rally to 1,425 at the end of the last year was the highest out of 12 strategists surveyed by Bloomberg News.
In his new role, Chadha will research all major asset classes, Williams said. Prior to his role as chief U.S. equity strategist, Chadha was the head of macro currency research at Germany’s largest lender and chief of the global markets division at the International Monetary Fund.
Chadha was also the most bullish U.S. stocks strategist in 2010. In January 2010, he projected the S&P 500 would climb that year to 1,325, the highest estimate out of 13 strategists who predicted on average an increase to 1,225.