Deutsche Bank will cut 17% of its equities staff and 6% of its fixed income staff globally, according to someone familiar with the matter.
The German bank declined to comment when contacted by The TRADE.
The cuts form part of Deutsche Bank’s wider restructuring and cost saving plans - announced in October 2015 - which outlined its intention to cut 9,000 staff.
Deutsche is planning to save €3.8 billion by 2018 through restructuring and severance costs of between €3 billion and €3.5 billion.
Earlier this week, the bank revealed it suffered a net loss of €1.9 billion in 2016, as litigation charges during the year harmed profits and revenues throughout the business.
Full-year revenues were down 10% from the year prior at €30 billion, due to a challenging market environment, persistent low interest rates and strategy execution, Deutsche Bank said.
The global markets and trading business was hindered by the bank’s recent settlement with the US Department of Justice, as well as various other settlements and fines issued to the bank throughout the year.
Deutsche Bank said “less favourable market conditions particularly in equities, Deutsche Bank-idiosyncratic challenges mainly in the fourth quarter and the decision to give up revenues as part of Strategy 2020,” were influential in the decline of trading sales.
Discussing the full-year earnings, chief executive officer, John Cryan, said: “Despite this loss, the year 2016 was not a bad one for Deutsche Bank.”
“All of the legal matters have heavily impacted the reputation of our bank and made our work more difficult. We are absolutely determined to do everything we can to prevent a repetition of such incidents,” he added.
In December last year, Deutsche Bank confirmed it had cut around 3,400 clients from its global markets business in fixed income and equities sales trading.
Execution of equities trading orders and all debt and equities sales trading activity were closed for some financial institutions and hedge funds.