Wells Fargo has unveiled its new prime trade service group with access to high- and low-touch outsourced trading functions, coupling it with other prime services.
Credit Suisse stated it has seen increased profits following its programme of optimising and rationalising its prime brokerage balance sheet.
The service will also cover multi-asset execution, outsourced trading and introducing clearing services for hedge funds, mutual funds and family offices.
The review will include a potential uplift of operations for client on-boarding, asset servicing, collateral management and settlement processes.
Hedge funds are concerned a potential cap on synthetic leverage could cause several problems for certain strategies.
JP Morgan’s prime services team surveyed 227 institutional investors with a combined total of $706 billion in hedge fund assets.
Respondents to Deutsche Bank’s Alternative Investment Survey believe Asia is the most sought-after investment region for the first time since 2010.
The New York-based firm is aiming to become the partner of choice for hedge funds that are diversifying their prime brokerage partners.
Also known as Delta One, the synthetic prime brokerage business accounted for nearly half of JP Morgan’s total global prime finance revenue in 2018.
Todd Johnson has previously worked as head of international prime brokerage at Deutsche Bank, and head of European prime brokerage at Citi.