Investing.com -- Galapagos Capital has eliminated 45 roles across its global operations, parting with roughly 9% of its workforce as part of a broader efficiency drive, according to a Bloomberg report citing people familiar with the matter. The São Paulo-based asset manager is targeting operational streamlining through the expanded adoption of artificial intelligence while navigating persistent market headwinds.
The staff reductions cut across multiple core divisions, including investment banking, where approximately six of 35 positions were eliminated, primarily analysts alongside two interns. The firm also parted with eight back-office personnel and shed roughly seven roles within asset management, mostly centered on teams overseeing equity strategies.
The structural realignment reflects a more disciplined stance amid elevated domestic interest rates in Brazil and broader geopolitical friction that threatens to sustain market volatility. Against that backdrop, Galapagos is aiming to lower annual expenses to approximately 160 million reais ($29.04 million) in 2027 from roughly 195 million reais ($39.39 million) this year, largely driven by process automation and technical simplification.
Notably, the retrenchment comes alongside steady expansion in the firm's aggregate scale, with assets under management rising to 43 billion reais ($7.81 billion) from 34 billion reais in December 2025. Galapagos continues to direct capital toward expanding segments, leaning further into credit platforms, securitization, and wealth management services.
To support those strategic initiatives, the firm remains active in selective recruitment, actively seeking personnel across key growth corridors, the people noted. Open mandates include three roles within investment solutions, four positions in securitization, and six hires across its technology and data teams.
Founded in 2019 by Carlos Fonseca, former partner and private equity chief at Banco BTG Pactual SA, Galapagos operates across 12 offices internationally, spanning hubs such as Miami and Geneva. The current restructuring highlights a broader trend among regional alternatives managers seeking to recalibrate cost bases while shifting resources toward higher-margin, tech-enabled business lines.
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