Updated Thursday, April 24, 2014 as of 7:08 PM ET
BofA's Carnoy Trades Capital Markets for U.S. Trust Role
Bank of America’s Lisa Carnoy, one of Wall Street’s highest-ranking women, is moving from head of the global capital-markets division to an executive role in the U.S. Trust wealth-management unit.

Carnoy, 46, started as a Merrill Lynch associate and rose during two decades to run businesses that underwrite stock and bond sales, a job she held since 2012. Now she’ll manage the Northeast operations of U.S. Trust and join the parent company’s operating committee, according to a memo to employees yesterday from Christian Meissner, 45, who oversees global corporate and investment banking.

The move takes Carnoy from a key role in the investment bank to become one of four geographic leaders at U.S. Trust, where revenue is dwarfed by the bigger Merrill Lynch wealth- management business. U.S. Trust, a private bank with roots that predate the Civil War, posted $768 million in first-quarter revenue, one-fifth that of Merrill Lynch.

“I would look at this as a career-broadening move for her, and probably not her last,” said Nancy Bush, a bank analyst who founded NAB Research in New Jersey. “Wealth management is an important business for banks, with fat profit margins.”

Carnoy changed jobs in part to gain retail experience, according to a person familiar with her thinking who asked not to be identified because the deliberations were private. Reuters reported the move yesterday.

CHILDREN, CHARITIES

As a veteran of the investment bank, Carnoy will be responsible for selling wealth-management services to her former global banking and markets colleagues, according to a separate memo yesterday from Keith Banks, U.S. Trust president. The initiative is a twist on cross selling, where banks seek to sell more services to existing customers.

Bank of America is the second-largest U.S. lender by assets. The U.S. Trust unit, acquired from Charles Schwab Corp. in 2006, helps clients with investment management, wealth structuring, credit and banking services. It specializes in managing trusts, which typically are set up by wealthy families or institutions to handle assets for children or charities.

Carnoy oversaw equity capital markets, investment grade debt capital markets, leveraged finance and the origination of corporate derivatives and foreign exchange products. She was previously global head of equity capital markets.

Jim Probert, head of investment-grade debt capital markets in the Americas since 2010, will take over for Carnoy as head of global capital markets. Probert joined Charlotte, N.C.-based Bank of America in 1994 as London-based head of European investment-grade syndication.

Brendan Hanley and Andrew R. Karp were named co-heads of investment-grade capital markets in the Americas, according to Meissner’s memo.

    more »
More in Industry
Deutsche Bank's wealth management unit has recruited former-Barclays advisor Chris Guttilla. more »
Morgan Stanley Wealth Management's profits were up for the first quarter, following strong growth in fee-based assets and interest income. Overall, the bank's profits grew to $1.5 billion in the first quarter of 2014. more »
Bank of America’s wealth management unit reported a modest increase in profits and a surge in advisor productivity, but the bank suffered a net loss for the quarter as litigation expenses related to the financial crisis rose to $6 billion. more »
New York’s top banking regulator sent a subpoena to Credit Suisse Group last week as he examines whether its private bank helped clients evade state taxes, a person with knowledge of the matter said. more »
Credit Suisse Group AG, the second- biggest Swiss bank, reported a slump in first-quarter earnings as a drop in debt trading weighed on investment-banking profit. more »
The wealth management industry has weathered recent storms and is set to set to meet future challenges, says Morgan Stanley's Greg Fleming more »
Profits for the firm's wealth, brokerage and retirement division surged in the first quarter, up 41% year-over-year. And with $19 billion in cash on the firm's balance sheet, are acquisitions in store? more »
Switzerland's biggest bank hired 88 advisors this year to service rich Asian clients after assets at its wealth management business in the region jumped 38% in the past two years. more »
Credit Suisse Group, Switzerland's second-biggest bank, said losses in the fourth quarter were larger than previously reported after it booked more charges for a probe into tax evasion by U.S. clients. more »
Employees are putting more money into their 401(k) plans and Health Savings Accounts, according to a new study from Bank of America Merrill Lynch. more »
RBC Wealth Management has recruited an advisor specializing in global high-net-worth clients with $2 million in production. more »
A graying workforce. A homogenous culture. New technologies. With its future at stake, the wealth management industry is finally confronting its many challenges. more »
Benjamin Edwards is luring away talent from Wells Fargo, boosting its presence in the Midwest and New England. more »
Lists
Honoring the Top Branch Managers of 2013

Current Issue

The April Issue is now online!


TWITTER
FACEBOOK
LINKEDIN
Already a subscriber? Log in here