Buoyed by a hiring spree of top-notch private bankers, Bankers Trust New York Corp. is reaping the rewards of an expanded clientele.
Revenue from new private banking clients so far this year is already double that of 1996, said Peter K. Scaturro, a senior managing director at Bankers Trust.
The surge in new private banking clients-people with $2 million to invest-was spurred by top-notch account executives and an expansion of services and products including bill paying and hedge funds.
"This year, we've put it all together," Mr. Scaturro said. "We've attracted some of the best private bankers."
Bankers Trust has reeled in four Citicorp veterans including Henry Heller who started at the beginning of August as managing director in charge of Latin America. The other former Citicorp bankers who joined Bankers Trust as relationship managers are Mimi Kidd, Michael Jacoby, and Susan Van Bergen.
Bankers Trust also brought in Leo Grohowski, formerly of HSBC Asset Management, as chief investment officer for personal trust. Anthony P. Marshall was named managing director in charge of estate and strategic tax planning after holding a similar post at U.S. Trust Corp. Susan Keck was hired from U.S Trust, too, as a relationship manager.
Other newcomers include Raquel Brookins from BankBoston Corp., Gary Marzolla from Chase Manhattan Corp., Steven C. Rockefeller from Milestone Capital Management, and Marcia Wilson from IBJ Schroder Bank and Trust Co.
Olaf Nelson, an entrepreneur, was named president of Bankers Trust's Connecticut subsidiary.
The recruiting started a year ago, when J. Patterson Cooper, a veteran of the former Chemical Bank Corp., was hired to run private banking in the Southeast, the Virgin Islands, and Puerto Rico. Soon after, Karen N. Horn, a former Federal Reserve Bank president, was named to run international private banking.
Charles B. Wendel, a former Bankers Trust executive, said things are much different at the private bank than when he worked there in the late 1980s.
"Now they are staffing up in certain areas and are a more stable organization." said Mr. Wendel, president of Financial Institutions Consulting, New York.
Chairman Frank N. Newman "is a very respected guy and has apparently changed the company a whole lot," he added.
Bankers Trust manages more than $230 billion of assets for individuals and institutions. Private client assets are not disclosed.