Discover your dream Career
For Recruiters

Are European banks’ U.S. offices full of scoundrels and amateurs?

On Wall Street?

What goes on in the New York offices of European investment banks? Are they iniquitous pits populated by the unscrupulous and the incompetent? Maybe not. But it's a question worth asking in light of all the recent issues to pop out of them.

Deutsche Bank is the latest to fall foul of the curse of U.S. incompetence. As we pointed out earlier today, the bank has had problems with its U.S. regulatory reporting process since 2002.  It's been aggressively trying to sort out its U.S. regulatory reporting problems since 2010. It hasn't gotten anywhere, and suddenly its whole strategy is jeopardized. 

How too about Barclays? Now that it's cutting back on fixed income sales and trading, the British bank was sort of relying on its equities sales and trading business for future revenue growth. Suddenly that looks like wishful thinking. Thanks to the badness of some of the New York-based bankers propagating its U.S. dark pool, one banking analyst says Barclays' whole equities strategy is at risk. Barclays' bankers everywhere have reason to curse their New York brethren.

And then there's BNP Paribas, which is rumoured to have put all of its fixed income hiring on hold everywhere following the gigantic fine levied against its U.S. office. 

What's going on? Are European banks unable to tame animal-spirited American employees? Is the Atlantic too wide? Are European houses so desperate to hire U.S. bankers that they'll recruit just about anyone (why else did Barclays recruit a dark pool executive who'd recently been ditched by Goldman Sachs for issues similar to those which drained its own body of water)? We suspect all are a bit true. However, it's also worth pointing out that U.S. banks sometimes have the same problem - when Goldman defector Greg Smith issued his tell-all book a few years ago, he claimed Goldman's London office was a bit unruly, too.

Related articles:

Head of Barclays’ dark pool was fired by Goldman Sachs

Deutsche’s entire FICC strategy at risk

When the MBA managing you is incompetent

author-card-avatar
AUTHORSarah Butcher Global Editor

Sign up to Morning Coffee!

Coffee mug

The essential daily roundup of news and analysis read by everyone from senior bankers and traders to new recruits.

Boost your career

Find thousands of job opportunities by signing up to eFinancialCareers today.
Latest Jobs
Selby Jennings
Vice President of Capital Formation
Selby Jennings
Miami, United States
Paritas Recruitment - Risk
Control Testing & Assurance Manager (New York or Chicago)
Paritas Recruitment - Risk
New York, United States
Selby Jennings
Analytical Actuary
Selby Jennings
Charlotte, United States
BNY  Mellon
Senior Associate, Corporate Tax
BNY Mellon
Pittsburgh, United States
Selby Jennings
IT Audit Director
Selby Jennings
Dallas, United States
Selby Jennings
Equity Analyst - Energy L/S
Selby Jennings
New York, United States

Sign up to Morning Coffee!

Coffee mug

The essential daily roundup of news and analysis read by everyone from senior bankers and traders to new recruits.