Morgan Stanley To Lay Off 7% Of Asia Investment Bank Jobs: Report

Morgan Stanley MS is considering reducing its Asia-Pacific investment banking personnel by 7%, with China bearing the brunt of the cuts.
The bank may reduce over 40 bankers in the region; mainly China focused as deteriorating relations with the U.S. and weaker economic growth curb dealmaking, reported Bloomberg citing people familiar with the matter.
The cuts are part of Morgan Stanley’s plan to reduce about 3,000 jobs globally by the end of this quarter amid rising recessionary pressure.
Related: Morgan Stanley Plans Fresh Round Of Job Cuts: Report
Morgan Stanley has a larger China team in Hong Kong than most of its competitors, putting it at risk when dealmaking slows, mentioned the report.
According to Bloomberg, the region has contributed about 13% to its MS’s net revenue in the past five years, reaching $6.7 billion at the end of 2022.
Price Action: MS shares are trading lower by 0.18% at $82.80 premarket on Tuesday.