Republished with full copyright permissions from The San Francisco Press.

In recent news, UBS Group AG has unveiled a bold restructuring plan that will significantly impact the investment banking division of Credit Suisse Group in Asia. With the intention of becoming a dominant force in dealmaking on this side of the Atlantic, UBS aims to cut approximately two-thirds of Credit Suisse’s investment bankers in the Asia-Pacific region. While this strategic move is expected to reshape the landscape of the industry in Asia, it highlights UBS’s determination to strengthen its presence and expand its capabilities.

Credit Suisse’s investment bankers in Asia face an uncertain future as UBS’s restructuring plan takes shape. According to reports, UBS plans to axe around 200 jobs from Credit Suisse’s global banking division in Asia over the next couple of months. It is understood that only 20 bankers out of approximately 100 will be spared from the cuts in Hong Kong, which accounts for the largest share of investment bankers in the region. As part of the integration, most of Credit Suisse’s investment banking teams in Hong Kong will retain just one or two staff members, with certain sector coverage teams completely dissolved. The spared bankers are expected to focus primarily on mergers and acquisitions activities.

While the restructuring may bring uncertainty to Credit Suisse employees in Asia, there are still potential opportunities in Singapore and Tokyo. Steve Cohen’s Point72 Asset Management, for instance, has been expanding its Singapore team steadily, increasing headcount by more than 50% since early 2022 to reach 100 employees. With positive returns at many global firms, experts anticipate a continued search for fresh talent in both Singapore and Hong Kong. In Tokyo, Steve Cohen has expressed his plans to increase staff by approximately 20%, taking the headcount to around 50 employees.

Not limited to Asia alone, the restructuring plan also impacted Credit Suisse’s American investment bankers, who recently faced job cuts amid UBS’s acquisition. As UBS intends to reduce at least half of Credit Suisse’s workforce, the fallout in the US job market has been significant. The closure of Credit Suisse’s Houston office has added to the challenges, potentially affecting the local economy.