David Watson began his career with Investec working in the market risk team. This involved pricing and modelling derivatives and setting up a risk framework for the US operation. After two and a half years he moved to DRKW where he worked in the ABS team, trading distressed manufactured housing, medical receivables, credit cards and subprime bonds. From August 2005 David helped to run ABS strategy within the Peloton Partners Multi Strategy Fund which was a relative value long/short strategy and was predominantly based on US subprime. Based on the performance, Peloton launched an ABS fund in December 2006 in which David was a portfolio manager. This fund grew from an initial US$500 million of capital in Dec 2006 to US$2 billion in Dec 2007. Over the last five years David has traded/structured in excess of US$20 billion notional of ABS.
David has a first class honours degree in Chemistry from University College Cork and a PhD in Physical Chemistry from Cambridge University. His thesis focused on the partial oxidation of natural gas to syngas. This involved collaboration with Shell as a possible route to avoid 'flaring off' of methane over oil wells.