FBR Capital Markets has made large cuts to its leveraged finance group, including high yield trading staff.
The investment bank eliminated more than half of its credit trading and sales group this week, including cohead of leveraged finance Chris Cunningham and Glenn Medwar, according to a Bloomberg report.
A representative of FBR was not immediately available for comment, but Leveraged Finance News has confirmed that cohead of leveraged finance Frank Garibaldi and head of high yield trading Frank Ferrantelli have also left the firm.
Cunningham, Garibaldi and Ferrantelli joined FBR in March of 2010. Cunningham had been a managing director for loan capital markets with Credit Suisse and had previously served with Chase Manhattan Bank and Chase Securities. Garibaldi was previously with Credit Suisse also, as a managing director for high yield capital markets. Before Credit Suisse he worked as an investment banker for Salomon Brothers and Lehman Brothers. Ferrantelli had been head of high yield trading with Oppenheimer & Co.
FBR sustained losses totaling $26.1 million in the third quarter, according to its quarterly disclosure statement issued Thursday.
This past August, Michael McClintock, a managing director in the financial institutions group of FBR, joined Macquarie Group as a senior managing director in its Financial Institutions Group.
FBR Capital Markets is an investment bank focused on the middle market. It is headquartered near Washington D.C in Arlington, Va. and has offices throughout the U.S. and in London