By Justin Baer and Rob Copeland
Deutsche Bank replaced longtime global head of prime finance
Barry Bausano in the latest change to ripple through the German
lender following its strategic overhaul, according to people
familiar with the firm.
Mr. Bausano's departure from the bank's closely watched hedge
fund financing unit was announced internally Thursday, these people
said.
Dixit Joshi, the head of Asia-Pacific equities, will assume the
global head role and move to London, these people said. Mr. Bausano
will become chairman of hedge funds, serving as an adviser to
clients, and remain president of Deutsche Bank Securities, the
German lender's U.S. broker-dealer arm, a person said. Mr. Bausano
did not respond to requests for comment.
The moves came in the aftermath of an overhaul announced by
Deutsche Bank on Monday that includes cutting around EUR200 billion
in assets from the investment bank. The bank will focus on reducing
activities with hedge funds, some lending and trading businesses
that have become less profitable amid new regulations.
Deutsche Bank's retreat echoes steps taken by other large banks
to back away from activities whose meager returns can no longer
justify tying up portions of the balance sheet. The pullback has
led those banks to cut some of its smaller hedge-fund clients
loose, or charge them more for services that they do offer.
Mr. Bausano's job switch comes as his former co-head, Murray
Roos, departs for a new post at Citigroup Inc. Mr. Roos, who also
helped run Deutsche's European equities business, will serve as
Citi's global head of sales for its equities and prime-finance
divisions.
Earlier this year another top executive in the Deutsche Bank
unit that lends to hedge funds, Scott Carter, also stepped down
from his post as co-head of the prime brokerage business in the
Americas. Marcelo Pizzimbono, who joined Deutsche Bank from Goldman
Sachs Group Inc. in 2010, was tapped to replace Mr. Carter.
Write to Justin Baer at justin.baer@wsj.com and Rob Copeland at
rob.copeland@wsj.com
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