Senior bank execs exit Credit Suisse over Archegos fiasco

NEW YORK • A half-dozen senior Credit Suisse Group bankers have left the firm in recent weeks, the latest in a raft of defections following the implosion of Archegos Capital Management and uncertainty about future bonuses.

Mr Jason Wortendyke, global co-head of mobility and services, rejoined Citigroup to run diversified industrials along with Mr Francis Tucci, according to a memo seen by Bloomberg News. Mr Wortendyke will also co-head the Chicago office alongside Mr Matt Musa. Mr Wortendyke worked at Citigroup in London and Hong Kong before joining Credit Suisse.

Other departures include New York-based Ihsan Essaid, Credit Suisse's head of media and telecommunications mergers and acquisitions, and San Francisco-based Kamal Ahmed, a managing director focused on semiconductors in the firm's technology investment-banking group. Both are joining Barclays, according to people with knowledge of the matter. Mr Essaid will be co-head of mergers and acquisitions in the Americas and Mr Ahmed will be global head of semiconductor investment banking.

Credit Suisse was the biggest loser when the world's top investment banks raced to exit trading positions as Archegos collapsed, pushing it into a 900 million franc (S$1.33 billion) pretax loss for the first quarter and prompting a management shake-up. The Zurich-based company slashed the amount of money set aside for employee bonuses by hundreds of millions of dollars and used the savings to limit the financial hit from Archegos.

Among the other recent departures, Mr Leo Reif, a New York-based managing director within the firm's health-care group, left to join Jefferies Financial Group, said a person with knowledge of the matter.

Ms Stephanie Ruiz, a managing director within the group's global industrials investment-banking arm, has left for another opportunity, according to a person familiar with the matter. New York-based Simon Auerbach, a managing director focused on business and information services, has also exited to join financial advisory firm Lazard, some of the people said.

Representatives for Credit Suisse, Barclays and Jefferies declined to comment, and Lazard did not immediately respond to a request for comment. A Citigroup representative confirmed the contents of the memo and declined to comment further.

The exits follow those of four financial institutions group bankers who left to join Barclays, Bank of America Corp and Goldman Sachs Group and Australian M&A executive Kierin Deeming, who moved to JPMorgan.

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A version of this article appeared in the print edition of The Straits Times on May 19, 2021, with the headline 'Senior bank execs exit Credit Suisse over Archegos fiasco'. Subscribe