Bank of America dismantling electronic market-making unit -Bloomberg
May 21 (Reuters) - Bank of America Corp is dismantling an electronic market-making unit it set up last year to serve its Merrill Lynch wealth-management unit's clients, two people with knowledge of the matter told Bloomberg.
Increased regulatory scrutiny of U.S. equity markets and managers' concerns for the potential perception of a conflict of interest killed the project, the media service reported, citing people familiar with the situation who requested anonymity. (link.reuters.com/suh59v)
The desk advanced to a testing phase before being abandoned in recent weeks, these people said.
The two executives hired to run the desk, Jonathan Wang and Steven Sadoff, were requested to seek new jobs within the firm.
One of the people said parts of the business Wang and Sadoff created will be used by the bank's equities execution services and client solutions teams.
The firm's existing automated market-making unit remains intact, one of the people added.
Bank of America, the second-largest U.S. lender, acquired Merrill Lynch in 2009. (Reporting by Aashika Jain in Bangalore; editing by Andrew Hay)
- 'Weird Al' Yankovic still trying to wrap head around No. 1 album
- French warplanes search Mali desert for crashed Air Algerie plane |
- Wreckage of Air Algerie plane carrying 116 people found in Mali |
- Shelling of Gaza school kills at least 15; toll nears 800 |
- Inside Xi Jinping's purge of China's oil mandarins