UBS announces major repositioning: 2000 jobs to go
by Richard Kilner
In the wake of a comprehensive strategic review by CEO and chairman Jerker Johansson, the Group Executive Committee and the UBS Board of Directors, UBS has announced its Investment Bank is to undergo repositioning.
The move will see an emphasis placed on preserving the bank’s key business areas, such as Equities, IBD and FICC, with other, less central sectors seeing either a reduction in activity or a total cessation of operations.
This will lessen the firm’s headcount and balance sheet, and is designed to streamline the organisation to deliver enhanced efficiency.
Such a dramatic recalibration is necessary because of enormous financial market turmoil, according to Jerker Johansson.
The firm will continue to offer strategic advice and access to the capital markets in its Investment Banking operations, and to build upon its Equities business.
The Fixed Income, Currencies and Commodities (FICC) business is to be restructured so that it revolves around client servicing and facilitation.
However, UBS is to cease activity in Commodities other than precious metals, and reduce its Real Estate & Securitisation and Proprietary trading.
At the end of 2008, the number of employees will reach 17,000, a reduction from present levels of around 2,000.
Add to Bookmarks:
Related stories to: UBS announces major repositioning: 2000 jobs to go»
No comments yet.Leave a comment
Previous: « BoE warns credit will become tighter
Next: FSA increases compensation limit to £50,000 »
Visited 301 times, 1 so far today