Deutsche Bank Co-Head Of U.S. Prime Finance To Depart

Scott Carter, co-head of Deutsche Bank’s North American prime brokerage business, is set to step down after serving 20 years at the bank.

According to reports, he will be replaced by Marcelo Pizzimbono, who joined Deutsche Bank in 2010 from Goldman Sachs as head of New York research sales.

A spokesperson for Deutsche Bank declined to comment.

The departure of Carter comes as Wall Street’s largest banks are facing an internal crisis with their prime brokerage business, following new regulations on the use of bank capital which have put added pressure on profitability.

Last week, Bank of America announced it was actively shrinking its prime brokerage unit after cutting with 150 hedge fund clients. As prime brokers continue to evaluate which relationships work, more funds will face the prospect of either being told they have to go to another prime broker or that they have to pay higher financing charges.

Barry Bausano, president of Deutsche Bank Securities and global head of prime finance, remains in his position.