Deutsche Bank said it is considering at least a 10 percent cut to the unit that trades interest-rate securities.
The rates division at Deutsche Bank has survived a large-scale pullback as part of the lender’s sweeping revamp in July, but not this time. The bank will likely cut a low double-digit percentage of jobs at the business, «Bloomberg»(behind paywall) reported on Monday.
The division, which employs several hundred staff, has struggled with low profitability for some time. While the review is in place, no final decision had been made yet.
Low Profitability
In response to comments from finews.asia, a Deutsche Bank spokesperson said: «We are committed to a robust and broad-based rates platform and are investing in areas of our rates business where we see opportunities to grow our client franchise.»
In July, the Frankfurt-based lender made plans to shutter its Asia Equity Business as part of its overall revamp. The bank expects to stop underwriting initial public offerings, trading of cash equities, or equities research.
