Morgan Stanley to cut 1,000 jobs
- Share via
Morgan Stanley said Wednesday it would cut 1,000 jobs in a retrenchment of its residential mortgage operations.
The second-largest U.S. investment bank said it would significantly scale back its mortgage business in this country and close a British unit that issued home loans.
Morgan Stanley joins hundreds of lenders that have pulled back as the worst U.S. housing market in 26 years has slowed economic growth.
The company said it would still service loans in the U.S. through its Saxon Mortgage Services unit and offer brokerage clients home loans through Morgan Stanley Credit Corp.
Morgan Stanley didn’t provide a breakdown on how many jobs would be lost in the U.S. and Britain. The company, which had about 48,000 employees overall in November, said last month it was cutting 1,000 jobs in operations, technology and other areas because of a downturn in the financial markets.
In December, Morgan Stanley took a $9.4-billion write-down because of losses on mortgage-related securities and quickly raised $5 billion from Chinese investors to bolster the company’s capital.
Inside the business of entertainment
The Wide Shot brings you news, analysis and insights on everything from streaming wars to production — and what it all means for the future.
You may occasionally receive promotional content from the Los Angeles Times.
