Barclays IB job cuts

Barclays Plc is preparing to cut more than 200 jobs in its investment bank in the coming days as part of Chief Executive Officer C.S. Venkatakrishnan’s plan to boost the profitability of the division.

Staffers in investment banking, global markets and research will likely be affected, according to people familiar with the matter, who asked not to be named discussing personnel. Managing directors will be the most senior roles affected, they added. The reduction represents about 3% of the investment bank’s headcount.

The cuts are meant to give the bank more capacity to invest in priority areas, one of the people said. In markets, the bank has been focused on boosting its market share in European rates, equity derivatives and securitized product trading.

In investment banking, the firm has been looking bolster the revenue it generates from equity capital markets and mergers and acquisitions, in particular across the health care, industrial, tech and energy transition industry groups.

The move is not a sign that the bank is retrenching away from any products or asset classes, the person added. Although it’s prioritizing growth elsewhere, Barclays has committed to its costly transatlantic investment banking model in the face of pressure from investors over the years.

“Like other banks, we regularly review our talent pool as part of our ongoing business operations to ensure continued investment in priority areas,” a Barclays spokesperson said in a statement. The lender made similar reductions just over a year ago.