(Bloomberg) -- HSBC Holdings Plc., the world's third- biggest lender by market value, named a new research chief and moved the division into sales and trading as the bank seeks to boost revenue and reduce administration costs.

David Burnett, the investment bank's chief operating officer, will become global head of research, according to an internal memo to staff obtained today by Bloomberg News. Research was run by Chief Economist Stephen King, who will now report to Burnett, and Robert Vaudry, who joined in 2004 from Morgan Stanley. Vaudry wasn't given a role in the new structure.

Burnett, who has worked at HSBC for 18 years, will report to Stuart Gulliver, 46, who oversees sales and trading. In the prior structure, King reported to Gulliver and Vaudry reported to John Studzinski, 49, who runs the banking division that provides loans and takeover advice to companies.

"We believe we can improve coordination between individual product research areas and the clients they serve," said the memo, signed by Gulliver and Studzinski.

Wall Street firms are trying to lower research costs as more customers use electronic trading systems that cut commission revenue.

Securities regulators in the US and UK have also required analysts to sever ties with the bankers that are seeking roles advising the companies they cover.

The research move marks the second increase in Gulliver's responsibility in two weeks. Last week HSBC shifted debt and equity underwriting into Gulliver's markets department from Studzinski's banking unit.

Today's memo also said that the investment bank's regional chief operating officers, who previously reported to Burnett, will now report to Mark Ramsay, the investment bank's global chief of staff.

Robin Jones is chief operating officer in the Americas and Mark Boyne is chief operating officer in Asia.

Burnett has held senior roles during his career at HSBC including chief operating officer of corporate finance and head of debt capital markets in London.

In addition to King, other executives reporting to Burnett will include Phil Poole, head of emerging markets research; Van Hesser, head of credit research; Steve Major, head of rates research; David Bloom, head of foreign exchange research; and Michael Patton, chief operating officer of global research.

The bank plans to appoint someone to run equities research, who will report to Burnett.

HSBC Chairman John Bond, who will retire in May, recruited veteran Morgan Stanley banker Studzinski in 2003 to run the investment bank with Gulliver, who has worked at HSBC since 1980.

Gulliver and Studzinski oversee a department that made 22 percent of the bank's pretax earnings in the first half of 2005.