State Street has appointed Nick Bonn to head its securities finance business after his predecessor, Peter Economou, left to join a new third party agent lender led by Craig Starble, another former head of securities finance at State Street.
The new venture, Premier Global Securities Lending, has taken another seven staff from State Streets securities lending team, including Paul F. Lynch, head of global trading.
In response, State Street has filed a complaint against Starble, Economou and Lynch with the Suffolk Superior court, Massachusetts for injunctive relief and damages against the defendants as a result of an employee raid that the defendants orchestrated and carried out, according to Global Investor.
Bonn most recently served as global head of sales and client development for State Street Global Markets.
State Street also announced today the appointments of Doug Stern and Yvonne Wong to its Enhanced Custody business, the servicing solution for long/short strategies.
State Street has more than $400 billion in average assets on loan (as of March 31, 2010).