Launches & Closures

Bank prop trading spin-out pace starts to build steam


Barney Frank Christopher Dodd
The pace of proprietary trading spin-outs by banks in response to new global regulations is starting to gather speed.

JP Morgan has seeded three of its top prop teams with a total of $2 billion and moved them into its asset management arm ahead of a move to attract outside capital and become independent hedge funds in due course.

Under the overall charge of Mike Stewart, the new asset management prop trading group covers equity (led by Deepak Gulati), credit (managed by Fahad Roumani) and emerging markets (run