A pair of former Morgan Stanley executives and a former Societe Generale managing director announced Wednesday they have launched an derivatives advisory asset management firm.
Joyce Frost and Frank Iacono, former executives at Morgan Stanley, and Chris Frost, formerly of Societe Generale, have partnered to form Riverside Risk Advisors LLC, which offers independent risk assessment, structuring, pricing and execution advice for complex derivative and structured product transactions.
The new company’s clients include derivative end-users such as corporations, private equity firms, real estate developers, and project sponsors. It also advises investors evaluating structured credit opportunities and financial firms winding down or restructuring legacy businesses.
Riverside is designed to analyze risks, ensure that transactions suit needs and achieve execution.
"The Dodd-Frank Act creates an effective mandate that some end-users seek independent advice for derivative transactions,” Iacono said. “We expect, however, that even where a statutory or regulatory requirement is not created, outside advice with respect to suitability and fairness, from professionals with relevant transaction experience, will become the new best-practices standard.”
Prior to co-founding Riverside, Frost was a managing director at Societe Generale in New York where he ran the corporate interest rate derivatives and foreign exchange sales business for the Americas for fourteen years. Iacono was formerly a managing director at Morgan Stanley and CEO of Cournot Financial Products LLC, a AAA-rated credit derivatives product company sponsored by Morgan Stanley. Prior to forming Cournot, Frank was a managing director at Lehman Brothers and was responsible for its corporate structured credit business in New York.
Frost has over 25 years experience in interest rate, currency and credit derivatives, most recently with Morgan Stanley, but also including senior positions at Chase Manhattan Bank and Sumitomo Bank Capital Markets.