Deutsche Bank Currency Veteran Amrolia Leaving to Lead XTX

  • Amrolia to run U.K.'s XTX Markets together with Alex Gerko
  • Deutsche Bank restructuring fixed-income, currencies unit

Zar Amrolia, who helped build up Deutsche Bank AG’s fixed-income and currencies business, is leaving Germany’s largest bank after ten years to help run a British electronic market-making business.

Amrolia will take over at XTX Markets as co-chief executive officer with Alex Gerko in October, the company said in an e-mailed statement on Wednesday. XTX, which was spun off from GSA Capital Partners, operates in foreign exchange, listed derivatives and equity markets, it said.

The departure comes as Deutsche Bank co-Chief Executive Officer John Cryan prepares to overhaul the company after investors failed to warm to a strategy his predecessor, Anshu Jain, presented in April. The bank is seeking ways to shrink assets at the securities unit to meet stricter capital requirements and improve oversight at the trading business to avoid a repeat of the billions of dollars in misconduct fines that have wiped out most of its profit in the last three years.

‘Considerable Value’

Amrolia “is an industry veteran who has added considerable value to the currency and fixed-income markets during his career,” Gerko said in the statement.

Amrolia, 52, stepped down as co-head of Deutsche Bank’s fixed income and currencies trading business last year to assume a new position advising on the development of the investment bank’s digital technology. He was previously a partner at Goldman Sachs Group Inc.

Gerko, a former foreign-exchange quant trader at GSA Capital, started the London-based firm earlier this year.

A call to Amrolia’s mobile phone wasn’t returned. Profit & Loss reported his departure earlier.

Last month, Deutsche Bank informed staff of changes to its fixed income and currencies unit designed to ensure “clear accountability” and “greater efficiency.” The division’s products and services are being divided into six main groups, the company said in an internal memo obtained by Bloomberg.

While Deutsche Bank’s debt and currencies trading business rebounded in the first half, it has yet to regain its pre-financial crisis levels. The unit generated 4.75 billion euros ($5.4 billion) of revenue in the six months through June, down from 5.57 billion euros in the first six months of 2012 and 6.24 billion euros in the same period of 2007, filings show.

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