The Financial Post reports in its Friday edition that Bank of Nova Scotia has recruited a team of seven from JPMorgan Chase in Texas to launch a new mortgage capital markets business in Houston. A Bloomberg dispatch to the Post says that the group, which includes three current managing directors from JPMorgan, will start in the fall. Scotiabank began boosting its U.S. structured finance business more than a year ago, hiring a collateralized loan obligation executive from Morgan Stanley and four CLO veterans from the French bank Natixis. Thanh Roettele, who has been with JPMorgan for more than 28 years, will join Scotiabank as one of three managing directors. The other two are Brice Simpson and Francis Lim, who have worked at JPMorgan for six and 18 years, respectively. Kevin Wooten will join as a director in the new division. Also leaving JPMorgan for the Canadian bank are Lindsay Schelstrate, Russell Allen and Daisy Michalson, who will handle risk and operations support. Bloomberg notes that Scotiabank announced a deal this week to acquire almost 15 per cent of Cleveland-based Keycorp for $2.8-billion (U.S.), saying the investment is part of a move to shift more capital from Latin America to the United States.