Standard Chartered has closed its institutional cash equities, equity research and equity capital markets (ECM) activities, as the group continues to exit or reconfigure non-core and underperforming businesses.

This decision is in addition to a number of actions being taken to deliver at least $400m of cost saves targeted for 2015, as communicated to investors last November, which the group is already on track to achieve.

“As part of the group’s on-going review of its client strategy, the decision has been taken to exit the institutionally focused cash equities business with immediate effect," said said Mike Rees, deputy group CEO. 

"While this has sadly resulted in a number of colleagues leaving the bank, a transition team will remain to manage the interim period and support our clients." 

The closure of the loss-making institutional cash equities, equity research and ECM operations will deliver around $100m of cost savings in 2016, and will impact approximately 200 roles across seven of the Group’s 70 markets. In 2015 run-rate savings will broadly offset restructuring costs.

Standard Chartered will continue to develop its capabilities in convertible bonds, equity derivatives and macro-economic and fixed-income research in support of its core businesses. The Group will continue to provide strategic advice to its clients on equity financing.

The bank's retail division has also been hit with around 2,000 jobs cuts already completed in the last three months and a further 2,000 job cuts expected during 2015. The contraction of the retail segment is expected to contribute $200m of the planned cost savings in 2015.

The balance will largely arise from cost savings in other client segments, product groups and global functions, and actions are either complete or underway to achieve these.

“We are demonstrating action and progress as the management team focuses on delivering returns for shareholders," said Peter Sands, Group CEO.

"We are well on track to deliver at least $400m of cost saves for 2015, and we are now focussing on achieving further cost savings for 2016 and beyond as we continue creating capacity to invest in the group’s core businesses.” 

Last year the Group announced the sale or closure of its consumer finance businesses in China, Hong Kong, Germany and Korea; its retail bank in Lebanon; retail securities in Taiwan; commercial leasing subsidiaries in Pakistan, private banking activities in Geneva and various SME portfolios, in particular in the UAE.  

In addition, the Group exited minority stakes in non-core investments including Travelex and Fleming Family & Partners.