Morgan Stanley is planning to ax 100 traders internationally in the weeks to come, according to the New York Post, which posits a cruel summer for investment bankers as firms grapple with lower trading revenue.
Meanwhile, The New York Times reported that Goldman Sachs let go about 50 bankers last week, including some managing directors, adding to the 3,000 jobs the firm cut in the last year. Goldman has also slowed appointments of managing directors, naming 19 percent fewer MDs last year than in the year before, according to Bloomberg.
As long as trading volumes keep falling, there’s no end to cutbacks in sight, a source told the Post: ”
“It’s hard to find the bottom when quarter-over-quarter volumes keep decreasing, and uncertainty in the market continues to grow,” said Michael Karp, managing partner at recruiting firm, The Options Group. “Everyone is trying to right-size their business,” Karp noted, declining to identify firms planning to cut staff.