Morgan Stanley plans to lay off 9% of employees in its asset management group as a result of closing and consolidating non-performing and overlapping investment funds. The firm also plans to lay off 10% of its institutional securities staff.
"The firm is resizing its cost base and head count to match current opportunities in the marketplace, while reallocating resources to those businesses that provide an attractive risk-adjusted return on capital," said spokeswoman Erica Platt.
She declined to comment on specifics of the layoffs or which funds were being closed or consolidated.
The asset management division had $570 billion in assets under management as of Aug. 31.