By Jacob Bunge
Of DOW JONES NEWSWIRES
CHICAGO (Dow Jones)–A senior executive in the stock- and options-trading division of hedge fund firm Citadel LLC plans to retire in the coming weeks.
Andrew Kolinsky currently serves as president of Citadel Execution Services, the broker-dealer unit responsible for funneling orders from retail brokerage firms to exchanges and private trading platforms. Citadel accounts for about 7% of daily volume in U.S. listed stock options and 4% of domestic equities, according to the firm’s own estimates.
Jamil Nazarali, a senior managing director for Citadel and former senior trading official with Knight Capital Group Inc. (KCG), is expected to take over leadership of the unit in June as part of a prearranged transition, according to people familiar with the matter.
Kolinsky’s unit, like other so-called wholesale market makers, was hit by the glitches that struck Facebook Inc.’s (FB) initial public offering on the Nasdaq Stock Market last Friday.
A person familiar with the matter said the Facebook loss didn’t play into Kolinsky’s departure, which had been planned earlier. Kolinsky didn’t return an email seeking comment. A spokeswoman for Citadel confirmed his planned departure but declined to comment further. Kolinsky is expected to stay on until mid-June, according to a person familiar with the matter.
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