In the latest move to expand its municipal banking division, Janney Montgomery Scott LLC has hired Steve Genyk to be the co-head of its municipal capital markets group.
Genyk brings more than 18 years of experience in public finance, most recently with the Philadelphia Industrial DevelopmentCorp., where he served as a senior vice president for the past two years. He will look to expand Janney's banking capabilities, in line with the firm's already solid presence in sales, trading, and underwriting.
In addition to Genyk, Janney also announced the hiring of three institutional salespeople. Joe Kotarra, Alan Latoff, and Steve Gabriel join the company after working most recently for A.G. Edwards & Sons Inc., which was recently swallowed up by Wachovia Bank NA.
"The addition of these professionals is in line with our plans to expand the municipal capital markets group at Janney," said Alan Schankel, director of fixed income and co-head of municipal capital markets with Genyk, in a statement. The year 2007 "was a great building year for this department, and these latest hires reaffirm our continued investment in and commitment to municipal department growth."
Janney has been expanding its municipal department since early in 2006, beginning first with traders, then institutional salespeople, and now Genyk. The department now includes between 25 and 30 people. The recent hires are just the latest in what will be continuing expansion and "aggressive hiring in public finance," Genyk said.
"The sales, trading, and underwriting platform is well built out - the main missing component is banking," Genyk said.
The firm's expansion comes at a difficult time for many players in the municipal market. Dislocations related to the bond insurers, auction-rate securities, or counterparty risk have forced many participants to the sidelines. As those who are affected look to recover, firms that have avoided many of the current pitfalls, like Janney, are poised to capitalize.
"We are going to be in growth mode as opposed to recovery mode," Genyk said.
Genyk spent many years in the muni department at the former Legg Mason Wood Walker Inc. By the time he left in 2005, he was the co-head of public finance. While at Legg Mason, Genyk worked with Tim Scheve, who joined Janney Montgomery as chief executive officer last year. Prior to joining PIDC, Genyk was a banker at Bear, Stearns & Co.
Janney currently specializes in local government work, with a presence in states up and down the eastern seaboard, from Florida to Massachusetts, Schankel said. Under Genyk, it will look to expand and diversify its business into higher education and health care, among other sectors.
Janney is a subsidiary of the Penn Mutual Life Insurance Co.