Deutsche Bank

The guy in charge of it, Stefan Krause, said as much yesterday in a conference call with analysts. Well, sort of as much. Basically, he and the rest of Team Deutsche heard what the Federal Reserve had to say re: the U.S. operation being in such bad shape that it ought to be stripped and sold for parts, and in response, said “Hey!” and also “We’re workin’ on things” but to be patient because this thing in its current form is a real joke. Read more »

Beggars can’t be choosers, etc, but honestly, they really put a damper on earnings day! Read more »

Yesterday we learned that back in December, the Federal Reserve sent a letter to Deutsche Bank, telling management, in essence, that it ought to set fire to its U.S. operations and collect the insurance money, then get out of the banking business. If the powers that be at DB insisted on sticking with this thing, they’d have a lot of work cut out for themselves, as the Fed’s criticism included the words:

  • “low quality”
  • “inaccurate”
  • “unreliable”
  • “size and breadth of errors”
  • “poor data integrity”
  • “systemic breakdown”
  • “significant operational risk”
  • “misstated regulatory reports”
  • “requires wide-ranging remedial action”

Clearly, this news would be bad enough on its own, but what really tops it off is that, hilariously, Deutsche’s CFO has devoted 100 percent of his efforts to making this operation what it is today. Read more »

Because the bank does not want Judge Astrid Nungesser to do that for it. Read more »

  • 25 Jun 2014 at 10:54 AM

Deustche Bank Asia Hemorrhaging Pitch Book-Makers

DB junior bankers are reportedly accepting opportunities elsewhere en-masse. Read more »

  • 23 May 2014 at 12:42 PM

Deutsche Bank Clarifies Its Business Plan

Deutsche Bank is determined to remain among the top five investment banks in the world, its co-chief executives told shareholders on Thursday at a typically raucous annual meeting, even as other European lenders cut back their profitable but risky trading activities. [...] “There will be winners and losers in the banking world,” said Mr. Jain, a native of India who delivered a prepared text in competent German. “We want to position Deutsche Bank systematically as a winner.” [Dealbook]

The German lender is proposing to raise the maximum bonus senior managers can receive to twice their fixed annual salary, double the current level. Deutsche Bank officials say the move is necessary so that the bank can comply with European rules on pay, while also competing for staff with U.S. rivals. They say that if the bonus increase is rejected, the bank would need to raise base salaries to retain top talent. But opposition to the proposals is mounting from shareholder groups who argue the payment is excessive and fosters improper behavior. Germany’s Schutzverein der Kapitalanleger, an organization of small shareholders, said it would vote against the proposal because it lifts the bonus cap indefinitely, rather than for a defined period subject to review. Another shareholder group, the Ethecon, said it plans to vote against Deutsche Bank’s proposal which “would further raise the already irresponsible and inhumane risk appetite level.” [WSJ]