BOUTIQUE financial services firms which proliferated in the recent boom years are suffering a severe shake-out as the global financial crisis takes a heavy toll on their business.

The credit freeze has meant that one of the key money spinners for these firms - initial public offerings (IPOs) - has almost completely dried up this year.

In response, most of them are battening down the hatches, cutting staff pay and not replacing those who leave - while awaiting better times.

Read the full story in Monday's edition of The Straits Times.