Bank of Boston Corp. has named two more executives to its emerging- market sales and trading group, a move analysts said will help the bank further leverage its long-standing relationships in Latin America.
Christopher A. Smith, 34, a former Goldman, Sachs & Co. salesman in emerging market fixed income, local currency and derivative products, was named managing director and global head of emerging-market sales.
Stephen DeSalvo, 35, was appointed group head of capital markets. Both he and Mr. Smith will report to Ignacio Sosa.
Mr. DeSalvo has been with the bank since 1981 and spent more than five years working in Brazil, Chile, and Bolivia. His most recent coup was helping to arrange a $200 million syndicated loan for an Argentinian cable television company.
The two appointments are the logical next step in expanding Bank of Boston's ability to do cross-border issuances and Latin American debt trading, observers said. Salomon Brothers Inc. banking analyst Diane Glossman said: "The major hole for the bank was international capital raising. Hiring someone to run a desk in Boston was a major step for them. These are two (executives) brought in to strengthen that capability."
Bank of Boston has the second-largest network of offices among U.S. banks in Latin America, after Citicorp. But until now, the bank could not sell the debt instruments it was originating in countries like Argentina and Brazil.
"I believe they were leaving money on the table. That's the unusual aspect: They had these decades-long relationships and incountry expertise yet they didn't have a desk and the trading capabilities," Ms. Glossman said. "This was really a natural for them."
Mr. Sosa, who was hired away from Bankers Trust New York Corp. earlier this year, said in an interview that Mr. Smith will be in charge of selling bonds and structured products to investors around the world. "We have an origination force in Argentina, Brazil, Mexico, and Southeast Asia," he said. "Mr. DeSalvo will be the person liaising with those originators and the sales force. He will be responsible for structuring, syndicating, and pricing for those products sold to investors."
Mr. Sosa said that Bank of Boston's emerging markets group will likely number 15 by yearend, including staff in London and Asia.