If every cost-conscious bank hired in the Americas as much as Nomura, Wall Street would see a lot fewer unemployed bankers muttering underneath their breath. The Japanese bank just made six senior-level hires in its American investment bank, despite plans to move forward with its $1 billion global cost-reduction program.
If nothing else, the moves showcase the strength of the Americas market compared to those in Europe and Asia, especially when it comes to investment banking. The U.S. accounted for its greatest investment banking revenue share in nearly a decade in 2012. This year, American investment banks are winning both at home and on the road. Through May, U.S. firms have taken more investment banking fees from U.K. clients than hometown British banks – an impressive coup.
Nomura has recently joined other banks in deriving an increasing percentage of revenue from the Americas. In its most recent fiscal year, Nomura America's unit generated 29% of overall revenue from banking and trading, up from 22% in the 2010 fiscal year, according to the New York Times.
With some of its businesses faltering in Asia and Europe, Nomura has been particularly aggressive with its hiring in the Americas. Just last month, the bank made several additions to its fixed income team. And they’re not adding low-level, inexperienced talent. Nomura is poaching from some of the most successful and prominent banks.
Stephen Roti joins Nomura from Barclays, where he headed up equity linked origination in New York. Nomura named him managing director and head of equity capital markets for the Americas. It also named Christopher Baldwin its new head of Real Estate, Gaming, Leisure and Lodging (REGLL). Baldwin was pulled from Bank of America. Other new hires were poached directly from UBS, Barclays and Oppenheimer & Co.
The good news: it sounds like Nomura isn’t done hiring. “We continue to look for talented individuals to drive the strategic expansion of our operation,” said James DeNaut, head of Americas investment banking and joint international head of investment banking.
Nomura has yet to respond to requests for additional comment on its hiring plans.