Tears on the trading floor ?
Deutsche Bank eliminated or moved as many as 10 traders of credit-default swaps in London and related indexes as it trims that part of its fixed-income business amid new regulations, said people with knowledge of the matter.
Bloomberg News reports that staff who traded credit-derivatives indexes, and credit-swaps traders were let go, according to the people, who asked not to be identified because they’re not authorized to speak publicly. Another three to five swaps traders either had their positions cut or were moved to other jobs, the people said.
The bank said last month it would stop trading most credit-default swaps tied to individual companies because new regulations make it too costly to operate in that market.
In the meantime, Bloomberg also reports that Royal Bank of Scotland will pull out of fixed-income trading in Japan and slash staff numbers by more than 200 to about 30, with most of the jobs going by February, according to a person familiar with the plan.
RBS Securities Japan would surrender its primary dealership in the country’s government bond market and retain only enough people to service clients, said two people familiar with the proposal, who didn’t want to be named because the details aren’t public.