Cantor Fitzgerald Hires RBS Trader to Head Mortgages
(Bloomberg) Cantor Fitzgerald LP’s brokerage arm hired two traders from Royal Bank of Scotland Group Plc (RBS) to expand its mortgage-bond business.
Cass Tokarski joined Cantor Fitzgerald & Co. as head of mortgages and asset-backed securities, while James Murray will serve as managing director to trade U.S. government-backed securities tied to adjustable-rate mortgages, the New York-based unit said today in an e-mailed statement.
Cantor Fitzgerald & Co. Chief Executive Officer Shawn Matthews said on Bloomberg Television this month that his firm had an opportunity to grow as the largest banks face new regulations and cut staff in response to lower market volatility that’s poised to continue depressing trading volumes and profits over the next few years.
“The banks are going to get smaller, which means we’re going to get bigger,” he said in a July 1 interview with Betty Liu.
Tokarski, who led RBS’s trading of bonds known as collateralized mortgage obligations, was one of at least six traders to leave the bank’s Stamford, Connecticut-based securities unit in April as the British lender signaled plans to shrink its investment bank and faced political pressure to reduce bonuses. The bank announced in May it would cut hundreds of jobs, including by reducing mortgage trading by two-thirds within 12 to 18 months.