Following Peers, MF Global Discloses Job Cuts

By Features FOXBusiness

Joining a growing list of cost-cutting financial-services firms, MF Global (MF) announced plans on Wednesday to realign its global equities business and slash jobs overseas by more than 30%.

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The New York-based brokerage said the restructuring is aimed at zeroing in on areas where it has established strengths and a competitive differentiation, including commodities, financial services and consumer and global policy research.

MF Global said it plans to lower its headcount by 30% in equity sales, sales trading and research businesses in Europe and Asia.

This realignment is part of the companys ongoing transformation to a commodities-focused investment bank, Peter Florenza, MF Globals global head of equities, said in a statement. We will continue to invest in our Equities business globally in areas that complement our global corporate strategy.

Shareholders had little reaction to the news as MF Globals stock inched 0.21% higher to $4.87 Wednesday morning. Shares of the brokerage have plunged more than 40% year-to-date, including 14% over the past month alone.

The MF Global announcement comes just days after Bank of America (BAC) the largest U.S. bank by assets, warned it plans to slash about 30,000 jobs in an effort to achieve $5 billion in annual savings.

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In an effort to prepare for the slowing economy and a tougher regulatory environment, a slew of financial services companies have announced job cuts in recent months, including Goldman Sachs (GS), Barclays (BCS) and HSBC (HBC).