Jefferies Financial Group has temporarily tightened non-compete clauses for its private capital advisory division in a bid to stem talent losses amid heightened competition in the burgeoning secondaries market, according to a report by Bloomberg.
According to sources familiar with the matter, Jefferies revised employment contracts in early 2025 to impose one-year gardening leaves on Partners and Managing Directors, while Junior Analysts and Associates face 30-day restrictions. The updated agreements also require departing executives who join competitors to forfeit bonuses and other incentive pay.
The stricter terms are a one-year measure for 2025 only, with the firm planning to revert to its usual non-compete durations of one to six months based on seniority. Sources added that Jefferies offered financial incentives for employees to sign up to the temporary policy.
Jefferies declined to comment.
The move follows a wave of high-profile departures, including Matthew Wesley, who helped establish the private capital advisory unit in 2021 before leaving for Moelis & Co earlier this year.
More recently, Managing Director Rich Saltzman, a secondaries specialist, joined Wesley at Moelis but is currently bound by the extended non-compete, delaying his start until 2026.
Moelis has been aggressively expanding its private capital advisory team, with multiple senior hires under Wesley’s leadership planned by year-end, according to sources. Neither Moelis nor the executives involved responded to requests for comment.
Non-competes are standard practice across the sector but vary in length and enforcement. It is also common for firms to compensate for forfeited earnings under such agreements.
The surge in secondaries activity, driven by private equity firms seeking liquidity in a tougher fundraising environment, has intensified competition for advisory talent. Fitch data shows global secondary market volume climbed 51% year-on-year to $103bn in H1 2025.
Jefferies reported advising on over $31bn in private equity transactions during the same period, underscoring its prominence in the space.
In response, banks have bolstered their secondaries teams through targeted hires and acquisitions. Jefferies itself recruited Wesley following senior roles at Guggenheim Securities and PJT Partners, alongside other seasoned hires from Greenhill & Co, including Scott Beckelman, Todd Miller, and Brenlen Jinkens. Miller and Beckelman co-head the secondary advisory practice, while Daniel Claster leads the private fund group.
Meanwhile, Mizuho Financial Group’s Americas division has expanded via Greenhill and Capstone Partners acquisitions, Raymond James Financial absorbed Cebile Capital, and Perella Weinberg recently agreed to acquire Devon Park Advisors – moves reflecting a broader consolidation trend in private capital advisory.
