Bank of America just cut 100+ analysts & associates in its investment bank
There have been advantages to working as an analyst or associate in Bank of America's investment bank in recent years. While Goldman Sachs and Morgan Stanley cut jobs after COVID, Bank of America held firm and relied upon a hiring freeze and natural attrition to slim headcount. That strategy may now be changing.
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Sources at the bank say that BofA is cutting over 100 analysts and associates from its investment banking team globally. Bank of America declined to comment, but it's understood that many of those being cut are being allocated to other teams internally and that the actual exits will amount to less than 1% of headcount in the global corporate and investment bank.
There are complaints nonetheless. Sources say that some of those being let go or redeployed only joined BofA last summer, and that a "substantial proportion" of recent graduates in some sector teams are affected. When these individuals are "remapped" to new jobs in the bank, insiders said those jobs are often less prestigious and involve things like strategy and back office functions that will pay less in the long term.
One BofA associate said his group didn't cut its most recent joiners and that the bank is "good" with redeploying talent that it lets go. However, redeployment happens only when a couple of members of a team are ejected, he said.
Bank of America has been making various cuts. Last week, it removed managing directors from the investment bank. It also cut bankers in January. In late February it cut various members of its London equities sales team.
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