LONDON Feb 15 Bank of America Merrill Lynch
has appointed Sam Losada to a newly created role as head
of International Strategic Equity Solutions as it looks to
expand the business, according to an internal memo seen by
The unit provides companies and funds with bespoke
equity-related financing and hedging services and has become
increasingly important for many banks as their ordinary equity
capital raising business has slumped due to choppy stock markets
and weak economies.
Bankers involved in the sector say the value of such bespoke
deals has grown from almost nothing two to three years ago to
the equivalent of half some banks' Equity Capital Markets
business in terms of revenue.
Losada, who previously headed strategic equity solutions for
Europe, Middle East and Africa, will now have a more global
role, also incorporating Asia Pacific and Latin America,
according to the memo.
"Sam will be responsible for driving the overall growth of
our Strategic Equity Solutions business," the memo said,
describing the sector as "a tremendous opportunity" for the firm
The more customised nature of the equity solutions deals
means banks can often charge more for them than for
run-of-the-mill share issues and among the benefits for those
seeking funds is the greater certainty over the amount to be
raised than is possible when depending on open markets.