Wells Fargo & Co., the third-biggest bundler of U.S. corporate loans, promoted Jonathan Weiss to run the securities unit, where investment-banking and trading revenue jumped 43 percent in the past two years.
Weiss, 56, will replace John Shrewsberry, who will become chief financial officer next month, the San Francisco-based bank said today in a statement. Weiss, co-head of investment banking and capital markets with Robert Engel, will take on his new role May 15. He will report to Tim Sloan, the outgoing CFO, who will run the wholesale-banking unit.
Weiss “will continue to lead our securities business on a path of disciplined, profitable growth in support of Wells Fargo’s valued corporate, middle market and institutional clients,” Sloan, 53, said in the statement.
The appointment of Weiss, who joined Wells Fargo with its 2008 purchase of Wachovia Corp., is a sign of how the company has leaned on that acquisition to expand what had been a fledgling investment-banking unit. Wells Fargo ranked 16th among advisers of U.S. mergers and acquisitions last year, up from 24th in 2010, according to data compiled by Bloomberg.
Wells Fargo posted $4.44 billion in revenue from investment banking and trading last year, up from $3.1 billion in 2011, according to the lender’s annual filing with the Securities and Exchange Commission.
The bank’s ranking among underwriters of U.S. syndicated loans rose last year to No. 3 from 11th in 2008, before it purchased Wachovia. Charlotte, North Carolina-based Wachovia ranked sixth that year, its last as an independent company, data compiled by Bloomberg show.
In addition to investment banking, Wells Fargo’s securities unit includes sales and trading, run by Tim Mullins and Walter Dolhare; asset-backed finance and securitization, run by Julie Caperton; research and economics, headed by Diane Schumaker-Krieg; and municipal products, led by Phil Smith.
Weiss joined Wachovia in 2005 after 25 years at JPMorgan Chase & Co. and its predecessors, according to the statement. He has experience in businesses such as investment banking, leveraged finance and loan syndications, the bank said.
Engel will remain the sole head of the investment-banking and capital-markets business.