NEW YORK Morgan Stanley (MS.N) plans to use the $1 billion it saved by cutting 4,800 jobs this year to hire top-level executives in areas like derivatives, risk management and proprietary trading, the Financial Times reported.
Morgan Stanley is expected to underline its recruitment strategy as early as Thursday, with the announcement of key hires, including Luc Francois, former head of equities at Societe Generale (SOGN.PA), who will become head of European equities and global head of equity derivatives, the FT said.
Francois left SocGen after the trading scandal at the French bank.
Citing people close to the company, the FT said Morgan Stanley has already invested $400 million of the savings in salaries and bonuses for its new staff.
The remaining $600 million could be used before the end of the year to hire new people, the FT added, citing those people.
(Reporting by Aarthi Sivaraman; Editing by Gary Hill)