LONDON: Barclays Plc will stop offering wealth management services in about 130 countries by 2016 and cut jobs in the unit as part of an effort to rein in costs and boost profit.
"This is part of our new strategy, focusing on reducing complexity and competing where we can win," a Barclays spokesman said in a statement.
"We don't expect overall global headcount to change significantly, but some roles will fall away as a result of new segmentation and investment in technology."
Barclays announced plans in April to restructure its wealth business so it works more closely with retail and corporate banking divisions.
The bank appointed Peter Horrell as the wealth and investment management unit's chief executive on Monday.
Horrell has held the position on an interim basis since May.
Profitability at Barclays' wealth business continues to lag rivals and the targets of CEO Antony Jenkins.
The division posted a return on equity of just 2.5 percent in the first half of this year.
The plan will see the Wealth unit focus on 70 markets, which it estimates covers 86 percent of the global wealth market, and leave countries where it lacks scale or which are unprofitable.
Under the plan the bank will stop full-service wealth management for thousands of customers with between 100,000 and 500,000 pounds to invest.
They will be served by a "lighter touch" new segment called "Private Clients".
Other banks are also restructuring in wealth management and Credit Suisse said this week it will pull back from some countries.
Barclays Wealth, which has about 200 billion pounds or $321.36 billion of assets under management, aims to cut the number of its "booking centres", which enable clients to trade and book assets in particular jurisdictions, to about a dozen from 17. (Reuters)
