American asset manager State Street has unveiled plans to cut nearly 1,500 jobs in high-cost locations in a bid to reduce costs.

The affected employees constitute 6% of its total workforce, including 15% of its senior managers.

State Street CEO Ronald O’Hanley said “While we have made progress on our technology transformation, much remains to be done and we are not satisfied with our recent performance.

“Structural costs are still too high and our automation efforts have not moved fast enough.”

The move comes as the asset manager reported a net income available to common shareholders of $398m for the fourth quarter of 2018. The figure marks a 19% surge from $334m a year ago.

The firm’s total revenue for the quarter ended 31 December 2018 was $2.98bn, up 5% from $2.84bn in the same quarter of 2017.

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Total expenses increased 16% to $2.47bn on a year-on-year basis.

Assets under management totalled $2.51 trillion at the end of December 2018, down 10% from the previous year. The fall was said to be due to weaker equity markets along with institutional and cash outflows.

“The changes we are making will position us well to realise our three-year strategic vision to be the leading asset servicer, asset manager, and data insight provider to the owners and managers of the world’s capital, which I outlined last month,” O’Hanley noted.