* Latest senior departure from Deutsche's commodity arm
* Banks facing tougher regulations, lower revenues
By David Sheppard
Jan 29 Deutsche Bank's global head of oil and
agriculture trading, John Redpath, has left the firm, a source
familiar with the matter said on Tuesday.
Redpath, who joined the German bank's New York office in
2007 from Citigroup, is the latest high profile departure from
Deutsche's commodity arm, after global commodities head David
Silbert left the firm in December.
Reuters also reported earlier this month that Raymond Key,
Deutsche Bank's global head of metals trading, is due to leave
A source familiar with developments at the bank said it
remains committed to its commodities trading business despite
the recent departure of several senior members of staff.
Deutsche Bank has also made steep cuts to its U.S. and
European power and gas trading desks as it undergoes a major
The bank announced in December it was cutting 1,500
positions in corporate banking to save billions of euros amid a
profit slump due to the euro zone crisis.
Industry publication SparkSpread first reported that Redpath
had left the firm earlier on Tuesday, saying he resigned.
A spokeswoman at Deutsche Bank declined to
Commodities trading has been hard hit at many investment
banks by tighter regulations, including those restricting
trading for the bank's own book.
Lower volatility in many commodity markets has also cut the
number of profitable trading opportunities and reduced hedging
activity by some of the banks' biggest clients.
Morgan Stanley, one of Deutsche Bank's biggest rivals in
commodity trading, said its commodity results in the fourth
quarter of 2012 were the worst since 1995.
Deutsche, together with Barclays and J.P. Morgan
, broke into the commodities arena in the last decade
with acquisitions or aggressive growth to challenge established
veterans Goldman Sachs and Morgan Stanley.
Goldman, long considered one of the most powerful oil and
metals trader on Wall Street, reported "significantly lower"
revenues in its commodity business in the fourth quarter,
without providing further details.