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- Sarah ten Siethoff is New Associate Director of SEC Investment Management Rulemaking Office
- Catherine Keating Appointed CEO of BNY Mellon Wealth Management
- Credit Suisse to Pay $47Mn to Resolve DOJ Asia Probe
- SEC Chair Clayton Goes 'Hat in Hand' Before Congress on 2019 Budget Request
- SEC's Opening Remarks to the Elder Justice Coordinating Council
- Massachusetts Jury Convicts CA Attorney of Securities Fraud
- Deutsche Bank Says 3 Senior Investment Bankers to Leave Firm
- World’s Biggest Hedge Fund Reportedly ‘Bearish On Financial Assets’
- SEC Fines Constant Contact, Popular Email Marketer, for Overstating Subscriber Numbers
- SocGen Agrees to Pay $1.3 Billion to End Libya, Libor Probes
- Cryptocurrency Exchange Bitfinex Briefly Halts Trading After Cyber Attack
- SEC Names Valerie Szczepanik Senior Advisor for Digital Assets and Innovation
- SEC Modernizes Delivery of Fund Reports, Seeks Public Feedback on Improving Fund Disclosure
- NYSE Says SEC Plan to Limit Exchange Rebates Would Hurt Investors
- Deutsche Bank faces another challenge with Fed stress test
- Former JPMorgan Broker Files racial discrimination suit against company
- $3.3Mn Winning Bid for Lunch with Warren Buffett
- Julie Erhardt is SEC's New Acting Chief Risk Officer
- Chyhe Becker is SEC's New Acting Chief Economist, Acting Director of Economic and Risk Analysis Division
- Getting a Handle on Virtual Currencies - FINRA
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NEWSLETTERS & ALERTS
The 7% Solution: Fewer Fixed Income Traders at Big Banks
[Photo: by Hannelore Foerster / Bloomberg]
Headcount at top global banks' fixed income, currency and commodity (FICC) desks fell 7% last year, despite a boost in trading from the surprising Brexit vote and U.S. election outcome. Tighter regulation and cost-cutting since the financial crisis and more automated trading has reduced business for big banks in these markets, leading to attrition in staffing levels.
According to industry analytics firm, Coalition, the aggregated number of front office staff - covering sales, trading, and research - at the top 12 global banks fell to 17,479 in 2016, down from 18,755 the year before and nearly 25% lower than in 2012.
As for the pick-up in business resulting from interest-rate volatility last year, banks saw that as a one-off and had therefore not increased headcount based on that.
Once again, the staffing cuts were bigger at European banks.
- Headcount at the top 7 banks fell nearly 9% from 2015 to 8,119 and is down 30% from 11,650 in 2012.
- Front office FICC headcount at the top 5 U.S. banks fell 5% to 9,360, down 16% from 2012.