Morgan Stanley preparing to axe up to a quarter of staff in its fixed income division
Morgan Stanley staff are bracing themselves for another week of redundancies as the banking giant wields the axe at its fixed income division.
Morning Wire understands that the US investment bank could axe more than a quarter of its fixed income staff across worldwide operations.
Disgruntled employees in London have taken to social media to voice their dismay, with one even suggesting that 40 per cent of the bank's fixed income, currencies and commodities (Ficc) trading staff would be slashed.
“It has been a brutal blood bath on the trading floor the last few days and top, top people have gone who didn't deserve it at all”, said one former employee.
Morgan Stanley declined to comment.
The bank is cutting part of its fixed income sales and trading business after years of revenue declines and insufficient returns. The firm’s fixed income revenue fell by 42 per cent in the last quarter.
James Gorman (right), Morgan Stanley’s chief executive, called it the bank’s worst quarter for Ficc since he took over in 2010.