eFinancialCareers

Wide-ranging re-regulation of investment banks' activities will reduce leverage, profitability and compensation, says Alan Johnson, an influential Wall Street compensation consultant. The coming changes will profoundly affect hedge funds and buyout firms as well, Johnson, managing director at New York-based Johnson Associates, told eFinancialCareers News. All activities that depend on financial leverage, whether buy-side or sell-side, are likely to be scaled back. "Going forward, I think people will be paid less... Read more

The move by Goldman Sachs and Morgan Stanley to become regulated bank holding companies effectively unites U.S. finance into a single sector. "This fundamentally alters the landscape," a Goldman Sachs spokesman told The Wall Street Journal. "By becoming a bank holding company and being regulated by the Federal Reserve, we have directly addressed issues that have become of mounting concern to market participants in recent weeks." Along with investment banks, Wall... Read more

Deutsche Bank promoted Mark Fedorcik to head of leveraged capital markets, responsible for leveraged finance, high yield, loan capital markets and loan trading and sales businesses globally. He was U.S. head of high yield and leveraged loan capital markets. Fedorcik replaces David Flannery, who left in August to take the same role at Bank of America. According to Leveraged Finance News, the move is part of a complete overhaul in... Read more

Inducing recruiters to pay attention to you is a lot like borrowing money. If you don't ask until you desperately need it, then you're sure to be rejected. So if your current job isn't on the chopping block yet but might get axed next year, now is the time to reach out to people who can open a door to new opportunities. A recent Forbes article offers several tips for attaining... Read more

Barclays Capital promised to pay the full accrued bonus amounts and maintain current terms of employment – including severance in case of dismissal – for some 10,000 U.S. employees of Lehman Brothers, if Barclays' proposed purchase of Lehman's U.S. investment bank takes place. Citing documents filed with the U.S. Bankruptcy Court in New York, Financial News reports that Barclays agreed to pay 100 percent of the accrued bonus pool for transferred... Read more

Another platoon of the newly jobless is set to flood Wall Street in the wake of Lehman's Chaper 11 filing and Merrill's acquisition by Bank of America. Monday's bankruptcy filing by Lehman Brothers Holdings and the surprise deal for Bank of America to acquire Merrill Lynch will each trigger mass layoffs, Wall Street headhunters say. Although it's too soon to estimate how many jobs will be lost in the restructuring of... Read more

Some 10,000 Lehman Brothers employees in investment banking and capital markets businesses got a reprieve when Barclays agreed to buy the insolvent parent company's core assets within North America. UK-based Barclays said Wednesday it agreed to acquire Lehman's North American investment banking and fixed income and equities sales, trading and research operations, along with Lehman's New York headquarters building and two New Jersey data centers. According to Lehman, the definitive agreement... Read more

If you're a financial services professional hoping to land a job in a bulge-bracket institution, your prospects just nosedived. And if you've been aiming for a slot in a hedge fund or in one of the many boutique banks that are still hiring, get ready for a flood of new competition. Monday's bankruptcy filing by Lehman Brothers Holdings and the surprise deal for Bank of America to acquire Merrill Lynch will... Read more

Even in today’s shrinking economy, some career coaches say liberal arts degrees can still pave the way to a successful career in financial services. Former Merrill Lynch campus recruiting head Connie Thanasoulis told the New York Daily News that the skills obtained in English literature and other arts degrees can be an ideal training ground for finance and management. She points to a job like a research analyst, heavy on writing,... Read more

Lehman Brothers ousted its international banking and global fixed-income division chiefs, and announced a $3.9 billion quarterly loss and another mass layoff. Merrill Lynch, RBS Greenwich Capital and Wachovia joined the lengthening list of institutions hiring recent Bear Stearns alumni for senior roles. JPMorgan ceased dealing in municipal interest-rate swaps. Lehman Brothers replaced the heads of its international and fixed-income businesses, as the firm struggles to raise capital and announced... Read more

Wachovia Securities said it hired former Bear Stearns fixed-income co-head Craig Overlander as its global head of fixed income. Starting Sept. 15, he'll be based jointly in Charlotte and New York and will report to Ben Williams, head of global markets and investment banking. Overlander is the latest in a long list of senior-level Bear Stearns alumni landing prominent roles at other financial institutions, both buy-side and sell-side. He spent 26... Read more

Lehman Brothers replaced the heads of its international and fixed-income businesses, as the firm struggles to raise capital and is expected to announce next week a quarterly loss and its fourth mass layoff of 2008. The latest appointments "are likely to trigger further management changes," according to the Financial Times. Lehman named Riccardo Banchetti and Christian Meissner as co-chief executives of Europe and the Middle East. They replace Jeremy M. Isaacs, who... Read more