HSBC has restructured its investment bank as part of a push to streamline the business to make it more profitable and “agile".
The changes include a new structure in HSBC's global banking business by setting up a corporate, financials and multinationals banking unit (CFMB) headed by Philippe Henry, according to staff memos on Monday seen by IFR.
John Crompton, who was HSBC's global head of corporate finance, and Florian Fautz, global head of M&A, left the bank last week as part of the restructuring, according to people familiar with the matter.
Several dozen junior staff will also leave as part of the changes, the people said.
Cost cutting
The changes mark a step-up in plans to cut costs and streamline parts of the investment bank, which were outlined in February by global business and markets chief executive Samir Assaf. At that time HSBC hired senior Goldman Sachs banker Matthew Westerman to become co-head of banking alongside Robin Phillips. The latest changes follow the arrival of Westerman last month.
“Our new structure will deliver the best outcome for our clients by bringing our country, sector and product teams closer together - and improve returns for our shareholders by improving our profitability and generating efficiencies,” said Westerman and Phillips in the memo.
New heads
HSBC said it has also set up a new advisory team, combining corporate finance with mergers and acquisitions execution.
The latest memo to staff named new heads for all the regions and new units within global banking.
Asia-Pacific co-heads will be Martin Haythorne and Che-Ning Liu, and within that Stephen Williams will run south-east Asia.
North America will be led by Russell Julius and Lex Malas; Latin America will be led by Katia Bouazza and David Morin; Matthew Wallace will head the Middle East; and Philip Noblet and Alan Thomas are co-heads of the UK. Phillips and Westerman will lead the business in Continental Europe.
The memo said Richard Montague is global head of credit and lending; Ravininder Singh is head of multinationals; Tim Reid will become head of transaction banking coverage; and Stuart Rousell will continue to head the working capital management team.
Brian Heyworth will continue to run the financial institutions group (FIG) globally, with Allegra Berman appointed head of FIG for EMEA as well as head of public sector.
Jean-Marc Mercier and Alexi Chan remain as co-heads of debt capital markets globally.
Adrian Lewis, Alexis Adamczyk and David Noble will continue in their roles as heads of equity capital markets in EMEA, Asia-Pacific and Americas, respectively. The memo said Lewis and Adamczyk will be jointly responsible for the overall business.