The New York Post reports that Morgan Stanley looks set to cut between 75 and 150 staff around the world in its institutional equities division.
The newspaper quotes an unnamed 'source' at the firm, who said: 'It'll be gruesome. They haven't cut there before and they're not going to go small with it.' Morgan Stanley has around 1,500 in the division.
Equity research is also tipped to be culled, with the Post quoting some sources predicting cuts as large as 22%. The firm is thought to have started exiting investment bankers last week and it is believed that the casualty rate will be as high as 20% when the exercise is finally completed.