AllianceBernstein Cuts 90 Jobs, 2% of Workforce, Amid Client Withdrawals
AllianceBernstein Holding LP (AB), a money management firm that has suffered client withdrawals for the past four years, cut 90 jobs this week, or about 2 percent of its workforce.
The cuts included 30 investment professionals, both portfolio managers and analysts, John Meyers, a spokesman for the New York-based company, said in a telephone interview. “This was done to better align our resources with recent trends in asset levels,” he said.
AllianceBernstein, which is publicly traded, fell the most in almost three years Feb. 10 after the firm reported a fourth- quarter loss and said clients pulled $13.2 billion in the quarter.
Over the past four years, customers have withdrawn more than $200 billion, much of it coming from the company’s institutional equity business. In a statement announcing fourth quarter earnings, Chief Executive Officer Peter Kraus referred to the money manager’s “ongoing investment underperformance in our largest equity services.”
AllianceBernstein declined 1.5 percent to close at $13.61 in New York trading. The firm’s shares have lost 40 percent in the past 12 months, while climbing 4.1 percent this year.
AllianceBernstein managed $421 billion as of Jan. 31, the company reported.
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