London slashes finance jobs

SIGN OF THE TIMES- London is shedding finance jobs, with openings in the field down 38% year-on-year in 2023. Total job seekers dropped 16% in the same period, according to a new report by staffing agency Morgan McKinley.

What they’re saying: “We haven’t seen a drop of this magnitude for a while. After a year of strong pay growth and over-hiring driven by a tight labor market, signs of a cooling market emerged as we approached the end of a challenging year,” Morgan McKinley UK chief Hakan Enver said.

Global banks slashed some 60k jobs last year — and fewer people are interested in applying for those positions that are still open.

What’s more, job seekers are moving for smaller bumps than a year ago. The average finance professional taking up a new post got a 14% bump in salary last year — down from 20% in 2022.

Asset manager GQG doubles down on Mideast stocks: Florida-based asset management firm GQG has piled up USD 2.8 bn stakes in companies in the Middle East over the past 18 months, lured by “business friendly” government policies, plans to move away from oil, and “massive privatization hopes,” the Financial Times reported, citing GQG founder Rajiv Jain. Meanwhile, the company has cut its investments in China to roughly half that level amid a government crackdown on private sector activity.

THE CLOSING BELL-

The DFM fell 2.82% yesterday on turnover of AED 215 mn. The index is down 0.69% YTD.

In the green: Emirates Reem Investments (+2.0%), Al Ansari Financial Services (+1.9%) and Amanat Holdings (+1.7%).

In the red: International Financial Advisors (-7.1%), Ekttitab Holding Company (-4.9%) and Takaful Emarat (-1.5%).

Over on the ADX, the market finished down 0.23%, up 2.56% YTD.

And the Nasdaq Dubai: finished down 0.18%, up 2.09% YTD.

Asian markets are mostly in the red this morning. Remarks by IMF boss Kristalina Georgieva are weighing on sentiment after she said yesterday in Davos that China needs to push for significant reforms or face “a fairly significant decline in growth rates.” Futures suggest stocks across western Europe and on Wall Street start the day in the red.

CORPORATE ACTIONS-

BHM Capital to serve as RAK Properties’ liquidity provider: Ras Al Khaimah’s ADX-listed property developer, RAK Properties, has tapped licensed market maker BHM Capital as a liquidity provider for its listed shares, according to a DFM filing (pdf). BHM Capital will aim to “enhance price stability, attract a broader range of investors to trade in the company’s shares, and increase its turnover,” BHM Capital CEO Abdel Hadi Al Sa’di said.

SOUND SMART- A liquidity provider or market maker is an intermediary in securities markets that buys assets and distributes them to financial institutions and investors. Their buying and selling activity ensures that company assets are always tradeable and “liquid.”

Apex offloads c.34% stake to two family-owned companies: Abu Dhabi-based investment company Apex Investment sold a stake of over 34% to two companies owned by family members of two of the company’s board members. The transaction saw the transfer of over 1.2 bn shares that were owned by Newtech Investment General Trading Company. NK Trust for Commercial Investmentsand FX Capital Commercial Investments now each own a 17% stake in the company after acquiring over 610 mn shares in total, according to separate disclosures (pdfs — here and here).