Nice scoop from the Financial Times on Wednesday regarding the mysterious “Party A” bidder who competed with Morgan Stanley on its plans to acquire Eaton Vance.
Turns out it was JPMorgan. What’s even more interesting, JPMorgan, which initially approached Eaton Vance unsolicited before Morgan Stanley, actually had submitted a counter offer that was higher than Morgan Stanley’s winning bid.
While that offer was higher than Morgan Stanley’s winning bid, Thomas Faust, Eaton Vance chairman and chief executive, declined to re-enter talks with JPMorgan because of an “oral agreement” with Morgan Stanley “not to pursue competing transactions”, according to the filing.
Even in the midst of a pandemic, a handshake deal stands firm.
Samantha Lee/Business Insider
But as more trading of US corporate bonds takes place on electronic venues, the strategies firms deploy are changing too.
Bradley Saacks and I dove into the rise of systematic trading taking place in corporate bonds. Some of the biggest players on Wall Street, including AQR, Point 72, and, most recently, Blackstone, have all thrown their hat in the ring.
Real Life. Real News. Real Action
Zillion Things Mobile!Read More-Visit US
A view of general atmosphere at the Doordash booth at ‘Night Market’ presented by The Los Angeles Times on May 08, 2019 in Los Angeles, California.
Tibrina Hobson/Getty Images
Stock Market Odd lots:
Subscribe to the newsletter news
We hate SPAM and promise to keep your email address safe