Huntington hired Dan Kelly as head of municipal underwriting. The addition of the municipal finance industry veteran will bolster the Columbus, Ohio-based bank's strategy of pursuing major clients and larger transactions, according to head of public finance Samantha Costanzo.
"We wanted to bring on an underwriter who had similar experience to mine, working with those larger issuers," Costanzo told The Bond Buyer. "We talked to a number of folks in the market, and Dan came along, and I knew of his reputation previously at Morgan Stanley — he has a great one, everyone thinks very highly of him — and … it became clear very quickly that Dan was a natural fit with our team and for this platform."
With the firm's plans to continue investing in public finance, "Dan will be paramount in our efforts to build on a successful 2024," Matt Milcetich, executive managing director of Huntington Capital Markets, said in a statement. "His experience and depth of market knowledge will help us grow the business and better meet the complex needs of our clients."
Kelly joins Huntington from MarketAxess, where he spent the last two years as head of municipal securities. Before that, he served as deputy head of municipal syndicate and underwriting at Morgan Stanley, underwriting more than $100 billion of new issue securities.
Prior to the underwriting desk, Kelly led the municipal short-term products division and was entrusted with the creation and management of the firm's municipal exchange-traded fund trading desk.
Kelly told The Bond Buyer the muni playing field has changed over the past few years, and he found it "very compelling" to join an organization that's looking to expand its commitment to public finance.
"Given my background in banking, execution, and now on the electronic platform side, the perspective I'm going to bring to certain transactions might be a little bit refreshing and a little bit different," Kelly said.
"It's going to be the culmination of everything [I've done before] ... taking into account, as well, a little bit of what I've learned over the last couple years about how the market is changing, how investors are thinking about the market differently, how they're participating in the market differently," he added.
Looking ahead, Kelly said, it's "going to be a very interesting year."
He cited the debate about the future of munis, a debate currently playing out in Congress, "a mixed view on what the Fed[eral Reserve] may be doing with respect to monetary policy; and public finance clients likely faced with significant budgetary challenges," he said. "Volatility and uncertainty likely will be constant distractions in our market. The need for sound advice and confident execution will be at the forefront, and I'm confident that Huntington will be able to deliver both to our clients."
Costanzo said despite the uncertainty around inflation and interest rates, not to mention federal policies, "We're expecting very heavy supply again — which is a good thing for our market, for our business, but volatility comes along with that."
Although sometimes "it becomes more challenging to get your deal done," she said, "we've dealt with that over the past year, for sure, and we're prepared for it. We're excited about the team that we have."
And Huntington isn't finished adding staff. "We are in growth mode," Costanzo added, noting she hopes to hire several senior bankers this year, and probably some junior bankers.
"Not necessarily in one particular sector but just looking to fill in areas where I see opportunity around the country with high-quality, smart bankers," she said.
Both Costanzo and Kelly stressed the value of working for a bank that is well-capitalized and willing to put that capital to work for its municipal clients.
"I am really excited to be at a place that is genuinely committed," Costanzo said. "They're actually putting a plan in place to grow, and double and triple the size of this business. We're not just saying, 'Yeah we're here, but oh, hiring's difficult, and we can't bring on MDs, or we can't do this or that.' We are doing all of those things."
Kelly said Huntington's approach to its public finance business is informed by its internal culture, which was another draw.
"The things that attracted me to Huntington were not only the strategic hires … but also the culture carriers for the bank," he said. "I can't tell you the sense of community that I got in talking to different people in different parts of the bank, across business lines, and I believe that that collaboration will foster growth for the franchise at Huntington. I think it's really something special."
Kelly will be based in Huntington's New York City office.
