Alex Ehrlich, managing director of global securities services at Goldman Sachs and widely recognised as one of the leading figures in the hedge fund business, has resigned from the bank to take up a new role at rival UBS Warburg.

Ehrlich's resignation comes after he was overlooked for partner in Goldman's recent round of appointments in December. Sources said: "He was essentially out manoeuvred by other senior people who better understood the politics involved at Goldman."