Barclays is set to cease offering wealth management services in nearly 130 countries by 2016 and slash jobs to boost the unit’s profitability.
The British banking giant new plan will reduce the number of countries in which it provides wealth and investment management services from about 200 to 70, which encompass about 80% of the global wealth.
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"This is part of our new strategy, focusing on reducing complexity and competing where we can win," a Barclays’ spokesman said.
"We don’t expect overall global headcount to change significantly, but some roles will fall away as a result of new segmentation and investment in technology," he added.
Barclays revealed its plans to restructure its wealth business in April this year so as to work more closely with retail and corporate banking divisions.
Peter Horrell, who most recently has been appointed as the CEO of the bank’s wealth and investment management unit, said, "The wealth management landscape continues to evolve at pace. We are responding to this by reducing complexity in our business, enabling us to focus on bringing the right services and products to clients in locations where we have scale."
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By GlobalDataBarclays’ move follows Credit Suisse’s decision earlier this week to exit or withdraw from about 50 markets worldwide by 2014.
European banks are cutting back the number of countries in which they operate as regulators scrutinize their compliance with anti-money laundering laws, making business costlier.
