UBS is cutting jobs related to equity capital markets due to a decline in revenues as deal-making lost pace across the industry, reported Bloomberg citing unnamed people familiar with the development.
According to sources, the Swiss bank laid off a number of bankers this month in equity linked and capital markets across Europe, the Middle East and Africa.
This comes as equity offerings across the region are estimated to decline around 70% this quarter with an even deeper plunge expected in the US, the report said.
UBS has also been trimming down its investment banking team across emerging markets, such as Poland and Dubai, in a bid to cut costs.
The bank may lay off additional bankers in the coming weeks, the sources told the publication.
Investment banking revenue in Europe is expected to plunge over 30% this quarter because of the ongoing Ukraine crisis and increases in rate.
According to the people, debt capital markets and mergers and acquisitions are also bound to face a steep decline in revenue amid the current market conditions.
The sources said that some executives at UBS’ rival firms are currently monitoring the situation to decide on the layoffs.
In December last year, the Swiss bank shuttered its global banking office in India as part of the group’s wider restructuring efforts.
It also pulled the plugs on South Africa operations last year, sacking a number of employees.