Deutsche Bank cuts 40 equities bankers in Asia
Deutsche’s cuts are part of a street-wide reduction in equities team staffing in Asia, which is a reflection of how the capital markets have slowed.
Deutsche Bank cut approximately 40 bankers in its equities division in Asia yesterday, which is about 9% of its equities staff, according to sources. This was part of Deutsche’s plan to reduce 1,900 people from its global staff, which it announced on July 31.
“This says a lot more about the industry than a specific bank,” said a source, who pointed out that rival banks are all facing the same problem. The capital markets have slowed and something has to give — so while cuts have been across the board, they’re most notable in equity capital markets and equity trading.
Consider that global $1 billion-plus initial public offerings stand at $25.5 billion this year from just six deals, compared to $47.5 billion dollars from 17 deals in 2011, according to Dealogic. That marks the lowest year-to-date level and activity since 2009……