From Bloomberg: “.....Investment banks have to shrink and do more than cut a little bit here and there,” said Lutz Roehmeyer, who helps oversee 10 billion euros ($12.5 billion) at Landesbank Berlin Investment in Berlin. “There’s too much politics and too little economics going on. They want to keep certain businesses for as long as possible.”
"Some firms are cutting deeper. UBS, Switzerland’s largest lender, is reducing its fixed-income operations to focus on wealth management because of stricter capital requirements imposed by regulators and a weak revenue outlook linked to the continuing debt crisis. Still, even for all the job cuts, most European investment banks haven’t made significant changes since the upheaval that accompanied the collapse of Lehman Brothers, said Joao Soares, a partner at Bain in London….
Read all about it at http://www.bloomberg.com/news/2012-08-21/last-man-standing-means-europe-investment-banks-resist-shrinking.html