Nordea Bank is reportedly revamping its wealth and asset management business as part of a year-long programme that looks to streamline the lender’s operations.
The move will see the bank combining its private banking units and investment and securities advisory operations into single wealth management units across its four key Nordic markets, according to Bloomberg Quint.
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By GlobalDataNordea Bank spokesman Tuomas Forsell told the new agency that the ‘simplified’ organisation will bring Nordea ‘closer to customers’.
The revamp measures will not involve job cuts while the positions of Nordic private banking head and Nordic investment head and security advisory services will no longer exist, Forsell said in an emailed reply.
Nordea Bank CEO Frank Vang-Jensen is trying to make the bank more efficient and increase profits due to pressure from the shareholders, added the report.
Additional changes
Nordea Bank is making more changes to its business, with the appointment of Philip Asp as the head of the newly combined investment banking and equities unit.
The ‘more holistic view’ of the ‘full equities value chain’ will enable the bank to ‘direct resources more efficiently and also act quicker and more cohesively,’ Asp told Bloomberg in an e-mail.
The Helsinki-based lender was met with obstacles in its attempt to cut costs. Most recently, its plan to outsource IT jobs from India received a backlash from the unions.
In 2017, Nordea had announced plans to slash at least 6,000 employees in order to reduce costs and boost competitiveness.
This move came shortly after the banking group decided to relocate its headquarters from Stockholm to Helsinki the previous month.