Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Deutsche Bank Debt-Trading Managing Director Pappas Departs Firm

Don't Miss Out —
Follow us on:

Sept. 7 (Bloomberg) -- Deutsche Bank AG’s Nicholas Pappas, who helped run credit-trading in New York, departed the firm as Germany’s biggest lender cuts jobs and bonuses and after risk-curbing regulations changed the way banks broker debt.

Pappas, most recently co-head of flow credit trading for North America, left the bank this week, according to a person familiar with the matter who asked not to be identified. Pappas declined to comment, as did Renee Calabro, a spokeswoman for the bank.

Pappas’s exit from the bank follows that of Antoine Cornut, the firm’s head of flow-credit trading in the Americas and Europe, who left the Frankfurt-based firm for a hedge fund in July, people familiar with that matter said at the time. Tom Hartnett was named to oversee investment-grade credit in North America in addition to interest-rate products.

Deutsche Bank said in July that it will eliminate 1,900 jobs, including 1,500 at the investment bank and support areas, by the end of the year as Chief Executive Officers Anshu Jain and Juergen Fitschen face declining revenue from the unit. Revenue at the investment bank dropped 63 percent in the second quarter, with income from placing debt declining 11 percent.

At least 11 credit traders have exited Deutsche Bank’s New York credit dealer since the beginning of 2011 as the lender capped cash bonuses at 100,000 euros ($127,890) last year. With regulators seeking to limit the kind of risk-taking that amplified the housing crisis four years ago, banks have slashed or deferred pay while reducing the amount they’re willing to wager in markets.

Bond Inventories

The 21 primary dealers that trade directly with the Federal Reserve have cut their holdings of corporate securities due in more than a year to $43.4 billion as of Aug. 29 from a peak of $235 billion in October 2007, Fed data show.

The Frankfurt-based firm is the third-biggest underwriter of corporate bonds worldwide this year, according to data compiled by Bloomberg.

Pappas joined Deutsche Bank in October 2007 from Goldman Sachs Group Inc., according to records maintained by the Financial Industry Regulatory Authority. He previously worked at Bear Stearns & Co.

To contact the reporter on this story: Lisa Abramowicz in New York at labramowicz@bloomberg.net

To contact the editors responsible for this story: Alan Goldstein at agoldstein5@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.