UBS will cut up to 500 jobs, according to a person familiar with the matter, stripping out layers of bureaucracy in its wealth management arm as it attempts to keep its edge as bank to the world’s rich and cut costs.

In an internal memo reviewed Tuesday by The Wall Street Journal, wealth management co-heads Iqbal Khan and Tom Naratil said that up to three layers of management would be removed in some areas, to try to give managers greater powers in attracting and servicing clients. Financing and trading operations for wealth clients will move to UBS’s investment bank.