BT Alex. Brown has discontinued its emerging markets business, according to a report in Emerging Markets Debt Report, a weekly newsletter affiliated with American Banker.
Quoting a source within the investment banking unit of Bankers Trust Corp., the newsletter reported that 80% to 90% of the unit's London emerging markets staff had been laid off and offices closed in Russia, Peru, Venezuela, and Colombia.
The latest cutbacks came after Bankers Trust last month cut 40 to 45 trading and sales and marketing jobs in Mexico City. The newsletter added that Chase Manhattan has similarly moved to reduce its emerging markets staff, cutting nine London-based sales and trading jobs this month.
Other banking companies heavily involved in trading and selling emerging markets securities are also trimming staff in the wake of a continuing financial crisis in emerging markets, sources said.