UBS Group AG appointed Chris Hagstrom and Mike Pasquale co-heads of Americas equities distribution as the Swiss bank looks to regain market share in global stock trading.
Billy Mathews, hired from Deutsche Bank AG in March, was named head of U.S. cash equities trading, according to an internal memo obtained by Bloomberg News disclosing the appointments. Derek Capanna from Deutsche Bank will start in October as global head of equities distribution, the memo said, confirming a report on his hire last week.
UBS has been adding traders and salesmen for its equities business this year after naming Rob Karofsky and Roger Naylor, both veterans of Deutsche Bank, to run the division. Andrea Orcel, the 52-year-old president of UBS’s investment bank, said last year he wants to return the Zurich-based bank to a top-three ranking in equities.
“We think that there’s a big opportunity for a firm that’s as global as we are,” said Dushyant Chadha, 40, who took over as co-head of equities for the Americas with Chris Leone in April.
Chadha, speaking in a phone interview, said UBS’s goal in the expansion is to trade with more institutional clients and give them the products they want, rather than hiring proprietary traders who bet with the bank’s money. The firm is focusing on cash equities, prime brokerage and structured products, where it recently added Michael Nelskyla from Goldman Sachs Group Inc., he said.
UBS lost market share in equities trading during the financial crisis, and ranked fifth in the first half of 2014, according to analytics firm Coalition Ltd. The bank replaced its global heads of equities in 2011 after a $2.3 billion loss from unauthorized trading. Mike Stewart, who then took over the division, moved to wealth management earlier this year.
Hagstrom has worked for UBS since 2004 and was most recently head of prime brokerage, the group that handles hedge-fund clients, according to the memo. Pasquale joined UBS in 2010 from Deutsche Bank and had been Americas head of institutional cash equity sales.