2014 is the year in which fixed income traders are getting out of banks. Headhunters say that Steve Glynn, the former head of Asian fixed income markets at Morgan Stanley, is the latest to go down that route.
Glynn’s exit from Morgan Stanley after 15 years was reported by Reuters last week. However, his destination at the time was unclear. Two headhunters with knowledge of Glynn’s intentions tell us he’s definitely heading for a hedge fund in Asia. Morgan Stanley confirmed his departure.
Glynn’s exit comes at a time of change for Morgan Stanley’s fixed income unit, which is moving to a return on equity rather than revenue- driven business after failing to expand revenues as planned. Ken deRegt, Morgan Stanley’s former head of fixed income, left last year for hedge fund Canarsie Capital Group. Morgan Stanley lost Glenn Hadden, its head of interest rate trading in January. Hadden left citing irreconcilable differences over strategy. Several Asia-based Morgan Stanley fixed income traders quit for hedge funds last year.
Fixed income traders in investment banks have had a weak first quarter and further redundancies are expected unless things pick up. As we reported last month, Nick Bhuta, head of euro governments rates trading at Goldman Sachs, quit the firm for Tudor Investment Corporation. Two other Goldman fixed income traders are leaving or Citadel.
Not everyone is managing to move seamlessly to the buyside. Yunho Song left Bank of America Merrill Lynch, where he was head of EMEA rates trading, at the end of January, and has yet to resurface according to the FCA Register.