Nomura to cut in equities, derivatives and underwriting

Further details of the cuts at Nomura are slowly emerging ahead of an official announcement at the end of the month.

Nomura Holdings is to cut up to 1,000 jobs in the US and Europe as part of a downsizing programme affecting its equity research, underwriting and derivatives business units.

Conflicting reports in the global media estimate the cuts at between 500 and 1,000 but the investment bank has remained tight-lipped about the exact number of staff that will be impacted.

The bank is expected to confirm that it will close its equity research division later this week and other adjustments to the corporate structure are also anticipated, but will not be revealed until the end of month.

A strategic plan detailing all of the changes is set to be presented on 27 April 2016 along with the group’s full year results.

In a statement to market Tetsu Ozaki, COO of Nomura Group said: “We are taking decisive action to refine the services we offer to our clients, while continuing to leverage our dominance and unique strengths in Asia, providing tailored solutions to our clients globally…”

Nomura’s European operations made a pre-tax loss of JPY 50 billion in the nine months until the end of December 2015.

Sources close to Instinet Europe say the business is not impacted by the latest announcement and that it is business as usual.

Nomura had hoped that its 2008 acquisition of Lehman Brothers’ European and Asian operations would help it better compete with global market leaders.

The Trade has requested further comment on the global changes and additional details will be added to the story as it develops.