May I know what the "related line" is?

many ib jobs are gone .....


HONG KONG, Nov 3 (Reuters) - Banks embarked on another round of job cuts this week in Asia, laying off hordes of staff in fixed-income, derivatives and equities businesses, hit by weak trading revenues and a slowdown in dealmaking and new issues.

The first round of Asia job cuts began in earnest at the end of September as strict capital rules and a tough third quarter for trading income took their toll, hitting investment banking in particular.

Asia's rapid growth had largely spared it from significant job cuts that affected other regions since the 2008 financial crisis. But that is not the case this time around.

Banks such as Credit Suisse and Japan's Nomura Holdings recently disclosed broad cost-cutting plans, and while Europe appears to be the focus for much of the culling, the axe is falling on Asia as well.

Australia's Macquarie Group Ltd , Bank of America and Spain's BBVA also went through a round of cuts this week in Asia.

"Looking at the P&L (profit and loss) at banks right now, I'm surprised that the cuts are not deeper," a senior bank official told Reuters.

"Until the middle of this year, a lot of people were building their Asia desks," said the official who declined to be identified as he is not authorised to speak to the media.

Some banks such as Morgan Stanley stopped hiring by mid-year, according to a banking source, in anticipation of a tough second half.

MORE PINK SLIPS

IPO volumes and proceeds, normally around two-thirds of the investment banking revenues in Asia, dropped in the second half, as global markets fell on worries mainly on the euro zone debt crisis.

There were no stock deals between late July and late September in Hong Kong, the world's top destination for IPOs in the past two years.

Only recently companies resumed IPOs and follow-on deals, but volumes in the third quarter in the region excluding Japan declined 49 percent from a year earlier to a two-year low.

Such a low volume not only hits staffing levels but bonuses too.

Asia pink slips are even beginning to hit the cash-equities business, sources say, a bread-and-butter unit usually the last to be impacted, underscoring the tough market conditions.

Credit Suisse, which announced another 1,500 job cuts globally earlier this week, has already cut dozens of jobs across Asia, hitting much of the credit division, sources told Reuters. It is also cutting jobs in forex trading, sources said.

Macquarie chopped jobs at its equity-trading division in Asia. Reuters reported on Thursday that its global head of equity derivatives quit.

Macquarie closed part of its equity-derivatives operations in Hong Kong, cutting seven jobs, according to Bloomberg. UBS said in an analyst note in September that Macquarie should cut up to 1,000 jobs.

Goldman Sachs has let go some research analysts over the last month, including staff in Hong Kong, Taiwan, South Korea and India, another source added.

Nomura Holdings posted its first quarterly loss in 2-1/2 years on Tuesday due to a slump in investment banking revenues and tripled its cost-cutting target to $1.2 billion to cope with market conditions a top executive said were about as tough as the 2008 financial crisis.

BBVA has laid off several fixed-income traders in Asia, sources said. .

Spokespersons at all the banks either declined to comment or could not immediately be reached.

One, these people have made enough money.

Two, hiring will start again pretty soon, given the money culture and the firm control wall street has on the world.

Banker's perspective...
 

Well, yes and no.

Yes, in that banks will start hiring again once the European crisis is sorted out, and no in that it does not necessarily help those who have been laid off.

I am in the industry (bulge bracket cap mkts front office) and til today, I still cannot figure out what happens to laid off bankers with any degree of certainty. Most just hang around headhunters for a while, looking to re-enter the industry if the market picks up in a short time period.

However, if the market stays slow, like in 1998 or 2003, then they have to look for other jobs. There are only so many CFO and treasurer jobs around, and incumbents tend to stay for a long time so very few openings. So for bankers taking up non-banking or non-CFO/treasurer jobs, they have to take a pretty sizeable cut in salary.

And no, most front office IB / cap mkts bankers with 5-10yrs of experience do not have enough to retire on, given where housing prices are today.

So believe me, bankers are getting quite worried about the developments.

Depends if urs is a local or offshore bank.

If offshore, also depends if bulge bracket or mid tier.

During a downturn, it's not only bankers who are laid off. Engineers and janitors get laid off too. In fact, I would say non-bank jobs are as risky as bank jobs, if not more so.

All things equal, bankers are still better off.

Need advice
 

Hi

I'm in my mid-40s. Have been in the financial industry (front office) for the past 15 years.
However, my package has not grown that much. Currently I am drawing $120K pa.

Can any HR expert here advise whether I should quit my firm now and venture into a small business? Is it a good idea to bite the bullet and explore something that could provide me for my old age?

Please advise. Thank you.

That's what I'm doing now, but I'm 37. What kind of business are you looking at?

I'm surprised that FO only pays you 120k. Does it include bonus? Are you in sales or trading?

The bankers do earn a lot, but most of them spend just as much.
Without their jobs, most can't last longer than 6 months.

That's your perception. Many live humbly.