After a tumultuous summer in the subprime mortgage market sapped CDO liquidity, market participants are now faced with the challenge of salvaging earnings, which includes trimming down the payroll.
Real Estate Investment Trust Luminent Mortgage Capital recently laid off 30% of its workforce, including Jim Doyle, who headed up the firm's CDO platform as well as other members of its CDO team. Doyle was hired in 2006 from Declaration Management & Research. "We are engaged in an appropriate amount of employee downsizing of approximately 30% of our workforce across the organization. These cuts will help stabilize the company's cost structure as we move forward," said a Luminent spokesperson. Calls and an e-mail to Doyle for comment were not returned by press time.