UBS Slashes 70% Of Credit Suisse's HK Research Staff Post-Integration: Report

UBS Group AG UBS has reportedly terminated around 70% of the Hong Kong-based staff headcount at Credit Suisse's securities research unit soon after the two Swiss banking giants moved ahead with the integration of operations.

More than 15 equity researchers were informed earlier this week about the dismissals in Hong Kong, Reuters reported, citing two sources with direct knowledge of the matter.

As of now, less than ten researchers focusing on Hong Kong and China equities will join the UBS team, the report read.

On September 11, a report by Bloomberg highlighted that UBS plans to reduce at least 100 positions and axe roles like relationship managers in Hong Kong and Singapore that have been integrated from Credit Suisse. 

Read More: UBS To Cut Around 100 Positions in Asia's Wealth Management Business: Report

Following the fresh batch of staff layoffs by UBS, Credit Suisse discontinued its Asia Pacific equities strategy coverage on Monday, as mentioned in a client note distributed by the bank and inspected by Reuters.

Charles Zhou, former head of China financials at Credit Suisse, and Kenneth Fong, who led China Internet and Asia gaming research, are among those transitioning to UBS, the Reuters report read. 

Both previously held managing director positions and are expected to be accompanied by several junior researchers from Credit Suisse.

During its second-quarter results, UBS said its merger with Credit Suisse and full absorption of its Swiss unit would cause 3,000 job cuts. The bank also announced that it is targeting gross cost savings of at least $10 billion by 2026.

Also See: UBS Plans Major Layoffs Following Credit Suisse Acquisition: Report

Price Action: UBS shares are trading lower by 0.84% to $25.96 premarket on the last check Thursday.