Royal Bank of Scotland Group Plc plans to relocate its Australian fixed-income and currency trading business to Singapore and London, according to an e- mailed response to questions from Bloomberg News.
“Australia is a mature and highly competitive market for fixed income products where margins have become increasingly tight,” Andrew Chick, who was appointed Australian country head this month, said in the statement. “While the FICC business has performed well to date under extraordinary market pressures, there are longer-term challenges that will make revenue generation harder to achieve.”
RBS is still in “active discussions” on the sale of its equities and mergers and acquisitions businesses, Chick said. The Australian Financial Review reported the fixed-income trading move earlier.
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