Strategy
Wealth Side Of Barclays Unaffected By Investment Bank Job Cuts In Asia
Wealth management-related jobs at Barclays in Asia are unaffected by reports that the UK-listed bank is planning to axe at least 15 per cent of its investment banking roles in the Asia-Pacific region, this publication understands.
Bloomberg, citing unnamed sources, said the firm will cut around 70 investment banking jobs in the region, including Japan, starting this week.
Barclays declined to comment on the matter when contacted by this publication.
It is understood that the job cuts have no connection with the wealth and investment management side of Barclays’ operations.
Banking groups around the world have cut investment banking jobs and risk exposures in the long-drawn out aftermath of the financial crisis, as tighter regulations and a less benign market environment has hit profitability in this side of the business.
Antony Jenkins, who took the helm as chief executive last summer following the resignation of Bob Diamond over the LIBOR-rigging scandal, has vowed to change Barclays’ culture and push through other changes to restore its fortunes.
One of the sources quoted by Bloomberg said the Barclays cuts in Asia reflect the lower revenue being generated from traditional banking businesses including stock and bond underwriting and takeover advisory. The report added that Barclays has already begun shedding investment banking jobs in Europe - maybe 5 to 10 per cent of the division, or 2,000 staff.
Meanwhile, in a separate report, the Financial Times said Barclays’ former senior executives including Diamond, John Varley, Jerry del Missier, current chief financial officer Chris Lucas and current head of investment banking Rich Ricci are among 104 of the bank’s employees who it said tried to keep their names private in High Court litigation involving the first UK damages claim over the alleged manipulation of LIBOR rates.Their names were disclosed by the bank to regulators as part of the LIBOR investigation and and were released yesterday in a High Court hearing in London.
Barclays is due to issue full-year results for 2012 on 12 February.
