UBS Group has cut about two dozen jobs in Europe over the last two weeks as Chief Executive Officer Sergio Ermotti restructures the investment bank after a poor performance this year, reported Bloomberg.
At least 10 of the cuts came at the equities trading division. Five positions were eliminated in Zurich, including three managing directors. The steps in Europe follow 40 jobs that UBS eliminated in the Asia-Pacific region, layoffs also began in New York several weeks ago, the people said.
A UBS spokesman reiterated that the main purpose of the restructuring was to combine the trading units and to make the banking side truly global again.
UBS is shifting senior management into co-head roles and combining trading operations at the investment bank, in an overhaul that may ultimately eliminate hundreds of positions.
The positions affected include executive directors and managing directors, with most business lines affected except research and the cuts in Europe started two weeks ago and continued this week.
As part of its investment bank restructuring, Ros L’Esperance and Javier Oficialdegui will be in charge of the newly named global banking division, which will include public capital markets, private financing and mergers and acquisitions.
A combined global markets operation, including equities and foreign exchange, rates and credit, will be headed up by Jason Barron and George Athanasopoulos.
UBS is pushing for increased collaboration between its deal-makers in the investment bank and the wealth-management unit in order to serve up investment products to its richest clients. It launched a Global Family Office division and a private markets unit to facilitate the interaction between the two divisions.