LAZARD ASSET MANAGEMENT/BLOOMBERG
Lazard’s asset-management division plans to cut as much as seven per cent of its workforce and shut down some investment funds by the end of the year, reported Bloomberg.
Lazard told employees about the cutbacks last week and likely investment and non-investment roles will be affected. The unit had 850 employees as of 30 June 2019, meaning a seven per cent reduction could bring about 60 firings.
Lazard Asset Management oversees $213.6 billion. The cutbacks come as the broader industry faces pressure from passive funds. In August 2019, index-based equity mutual funds and ETFs surpassed active funds in assets under management, a milestone moment for the industry.
The funds to be eliminated had little potential for growth.