Citigroup is planning to slash hundreds of trading jobs this year, according to Bloomberg.
The downsizing exercise would impact employees across the bank’s fixed-income and stock-trading operations.
A minimum of 100 jobs in the equities division of the bank would be affected. This equates to nearly 10% of the unit’s staff strength.
Deutsche Bank took a similar move earlier this year.
The troubled German lender announced a restructuring strategy, with plans to lay off 18,000 employees and exit equities trading business.
The job cuts in Citi’s equities unit are said to be a complete change in strategy for the bank after making efforts to strengthen the division.
In a conference last month, Citi CFO Mark Mason said: “We’ve been investing in talent, we’ve been investing in technology, we’ve been allocating balance sheet for our clients — and we’ve seen the benefit of that.
“There’s more to be done there, obviously, but we’re pleased with the progress we’re making.”
The latest move coincides with the bank’s plan to consolidate its equities unit with its prime, futures and securities-services operations.
In the second quarter of this year, Citigroup reported net income of $4.8bn- up 7% on a year-on-year basis.
Revenues at Citigroup private bank increased 2% to $866m from $848m.
However, Equity Markets revenues of $790m were 9% lower than the previous year.