The Royal Bank of Scotland has scooped up A.J. Davidson as managing director and head of hybrid capital in the investment bank’s London office. The team is responsible for structuring, originating and executing hybrid capital products, and falls under the investment bank’s structured finance group, led by Lee Rochford.
Hybrid capital instruments combine attributes of both fixed-income and equity securities, depending on the needs of a financial institution.
Previously, Davidson served as a director in Citibank’s debt capital markets new products group, and as a director in Bank of America-Merrill Lynch’s debt capital markets execution and structuring group.
“This appointment reflects our commitment and ability to invest in areas that are core to our franchise, and where there is scope for considerable growth over the coming years,” Rochford said in a statement.
“With constantly evolving regulation, shifting investor demands and focus by our clients on the strengthening and optimization of their capital structure and balance sheet, we believe that investing in the hybrid capital market offers substantial opportunities for RBS,” Rochford said.
Davidson began at RBS Jan. 13, and replaces Sean Richardson. Richardson’s status could not be determined Monday. Davidson declined comment on his priorities in his new position.
The hire comes on the heels of an early-January announcement of strategic internal changes to RBS’ investment banking and wholesale business. A spokeswoman at the time said the bank remains committed to its fixed income, securitization, risk management, foreign exchange and rates businesses, despite plans to exit cash equities, corporate broking,....