Deutsche Bank poaches Jeff Urwin from JPMorgan

Deutsche Bank has poached a top executive from US rival JPMorgan to fill the vacant position of co-head of its investment banking arm.

Jeff Urwin, a 59-year-old Briton, has quit as co-head of global banking at the US lender to join Deutsche as co-head - along with Colin Fan - of corporate banking and securities. He will also head corporate finance and is expected to take up his new post in June.

Mr Urwin, who joined JPMorgan in 2008 when it bought Bear Stearns, succeeds Robert Rankin, who left Deutsche earlier this year to run Consolidated Press Holdings, an Australian investment group.

JPMorgan will not replace Mr Urwin, but will instead transfer his duties to Carlos Hernandez, who currently co-runs the US group's global banking division.

In an internal memo confirming Mr Hernandez's elevation to sole head of global banking, Daniel Pinto, head of the corporate and investment bank, paid tribute to Mr Urwin as "a steady hand and strong manager".

News of Mr Urwin's appointment comes as Deutsche prepares to unveil a keenly anticipated strategic plan before the end of the second quarter.

While many of Deutsche's rivals, such as UBS and Barclays, have dramatically cut back their investment banking operations in recent years, the German group has persisted with a far more prominent investment banking division.

However, with markets sluggish and regulation far tighter than before the financial crisis, Deutsche is under pressure from investors to find a way to bolster returns.

The bank had aimed to make a 12 per cent return on equity in 2015, but pushed this goal back a year after a capital raising in 2014. Its post-tax return on equity last year was 2.7 per cent.

Deutsche's expansion plans in the US were checked last year after it emerged that the New York Federal Reserve had logged concerns about the standard of its regulatory reporting, raising questions over its ability to pass future stress tests.

Next month the German bank will discover whether one of its big US operating units has passed a first examination by the Fed in Washington, which is gauging its capital strength and its awareness of risks. Failure of the test - a material risk for first-timers - could curb the ability of the unit to pay dividends to the parent company.

Analysts said that Mr Urwin's appointment appeared to be a good one. "From Deutsche's point of view, he has a good pedigree," said one analyst.

The move brings extra responsibilities for Mr Urwin, as he moves from co-running the corporate banking unit at JPMorgan - which is separate from trading, investor services, custody and prime brokerage - to co-running the entire investment bank at Deutsche.

Anshu Jain, Deutsche's co-chief executive, said that Mr Urwin's decision to join "underscores our commitment to being a client-centric bank".

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