J.P. Morgan Chase & Co. said Friday that it has hired former Morgan Stanley executive Michael Fitzgerald to help lure hedge-fund clients to the bank's prime-brokerage arm.
Fitzgerald had served as Morgan Stanley's head of U.S. prime-brokerage sales until January. In his new post, Fitzgerald is tasked with bringing hedge-fund clients into J.P. Morgan, maintaining those relationships and smoothing their integration with the rest of the bank, according to a person familiar with the matter.
"Adding Mike to our team is another way we are continuing to deepen our existing client relationships globally while cultivating new ones," Lou Lebedin, global head of prime brokerage, and Jeff Bosland, who runs Americas sales and marketing within J.P. Morgan's equities business, wrote in a Friday morning memorandum to employees announcing Mr. Fitzgerald's hiring.
Prime brokerages cater to banks' highly profitable hedge-fund accounts; they process managers' trades, lend them cash and securities, and introduce them to potential investors.
J.P. Morgan has focused recently on the international expansion of its prime-brokerage business, launching an offering in Europe, the Middle East and Africa this past summer.
The bank is aiming to do more business with hedge funds located outside the U.S. as well as to work with domestic funds on their international business. Fitzgerald is the senior-most external hire in recent years for the 20-person North American prime brokerage sales team, according to the person.
Fitzgerald starts in early May and will report to Paul Brannan, who heads the team.
This story first appeared on WSJ.com
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