Derivatives Week: Ex-Countrywide Structured Pros Hunt New Home

A team of nine structured products officials recently let go by Countrywide Securities is in talks to join a new firm.

by Katy Burne
Derivatives Week

A team of nine structured products officials recently let go by Countrywide Securities is in talks to join a new firm.

“We’re looking to attach our group to a broker/dealer or a dealer/bank,” says Kevin Mahon, former senior v.p. at Countrywide in Ft. Lauderdale , Fla. “We’re talking to several firms,” he added, declining to elaborate. The structured products team specialized in underwriting equity-linked and principal protected notes and also focused on reverse convertibles.

Bank of America bought Countrywide in July but opted not to keep its securities arm due to overlaps in the businesses, Mahon said. He spent 10 years at the firm and was supported by six salespeople—five at the v.p. level and one a senior v.p.—as well as two traders. Three staffers were based in Calabasas , Calif. , and their last day will be Sept. 9. The others’ last day was Aug. 10.

All are serving non-working notice periods with non-competes. “We were told we were free to look for jobs. They are not trying to see anyone unemployed,” said Mahon , who is leading discussions with potential employers.

Countrywide’s main rivals as a structured products wholesaler were Barclays Capital and LaSalle Bank’s broker dealer services division.