JP Morgan intends to hire 40 global corporate bankers across Asia and it wants mostly local candidates to fill the vacancies. But this move isn’t likely to spur a hiring frenzy in Singapore’s corporate banking sector.

The JP Morgan hires will be Asia-based as there are “no major plans” to relocate staff, says a bank spokesman.

The preference for candidates based here is simple. Corporate bankers with strong knowledge of country-specific markets can help build on the bank’s strengths in investment banking, treasury and securities services, and asset management, says the spokesman.

While there isn’t a breakdown of the new recruitment for every country, a large proportion will be in South East Asia, and positions will range from junior to senior levels. JP Morgan will grow its pool of eight to 10 bankers in Singapore by 30 to 40 per cent.

Not a boom

But the job market for commercial bankers in Singapore is not expected to be red hot this year. Demand for “bread and butter” global corporate bankers will remain “consistent”, says Angela Kuek, head of front office banking and financial services, Hudson.

She adds: “Yes, all other commercial banks are open to hiring good corporate bankers with strong client relationships and I expect this to pick up especially after bonuses. But hiring in droves? I don’t think so.”

Kristie Chew, specialist recruiter for corporate and institutional banking, Robert Walters, says many corporate banking divisions hired aggressively in 2010. They now have to make sure the optimism of last year translates into actual revenue, says Chew.

Nevertheless, Arran Huddleston, general manager at Randstad, expects “a healthy demand” in this sector.

He explains: “This year will be the year for the mid caps and local corporates. With Singapore rapidly becoming the hub for MNCs in the region, the demand for commercial banking services is on the increase.”

And who will be JP Morgan’s competition for corporate banking talent? Citibank, HSBC and Standard Chartered are the main contenders.

Recruiters gave mixed views on the bank’s likelihood of meeting its hiring target. Kuek says the bank’s reputable name, stable standing and extensive product platform will help it in attracting good candidates. However, Chew expects the battle for talent to be a tough one given the small pool of sophisticated corporate bankers in Singapore.

Broadly speaking, corporate bankers with five to 15 years of experience can expect to earn a base of S$80k to $250k per annum, says Kuek.