Dresdner Kleinwort Wasserstein (DrKW) plans to enter the agency securities lending business in a move that could see Allianz, its parent, generating significant revenues from its £650bn (€1.1 trillion) internal asset pool.

DrKW has lured Tim Smollen, David Martocci and Robert Boyd from Deutsche Bank to build the new business. Boyd and Martocci will be based in New York. Martocci, who also worked at JP Morgan, joined Deutsche from Lehman Brothers in 1997.