BlackRock: Largest Asset Management In The World To Cut 500 Jobs
BlackRock, the largest asset management in the world, plans to lay off 500 staff as it deals with the effects of the market sell-off that occurred last year.
The almost $8 trillion fund management business plans to reduce about 20,000 jobs, or about 2.5% of its entire staff. About a third of those positions located in the US.
According to those with knowledge, president Rob Kapito and chief executive Larry Fink disclosed the staff cutbacks in an internal memo. The decision underlines the era of reckoning that 2023 may be for many international asset managers.
Managers claim they are being pressured to make difficult decisions about where to invest for growth and decrease costs.
Some businesses in the financial services sector, like Goldman Sachs, have already started cost-cutting initiatives and employee layoff preparations.
When BlackRock revealed a decline in revenues and assets under management in its fiscal third quarter, it announced in October that it would halt discretionary recruiting.
BlackRock, Inc. is an American multi-national investment company based in New York City. Founded in 1988, initially as a risk management and fixed income institutional asset manager, BlackRock is the world’s largest asset manager. Learn more here.