Germany's largest bank is in the worst crisis of almost 150 years of history. Meanwhile, Management finally works on a sustainable restructuring program. Gradually, more and more details can be seen, in which direction Deutsche Bank will develop. At the weekend there were reports that 15,000 to 20,000 jobs were designed, especially in the US. May be finished in It will be one fifth from one of the organization's 91,500 employees, out of which 52,000 will work abroad. In recent years, the bank had reduced 7,000 jobs, which was partly due to the sale of business units.
Making a kind of "bad bank"
Group CEO Christian Savings told the shareholders in the annual general meeting in May that the bank is ready for "hard cuts". It has been anticipated that this controversial investment will affect the bank. There is a possibility of affecting employees of merchants, sellers, research analysts and assistants. However, according to observers, the group-owned Deutsche Bank retail unit and post bank also have large overhangs. As part of the recovery plan, these two businesses should be investigated. Overall, Deutsche Bank manages large surpluses of employees who are again and again critical of these employees. Former CEO John Kryn once said that in the future, the organization will need only half of the employees, but without clearly mentioning it.
The restructuring center is likely to focus on the business of equity and parts of business outside the European Union. Especially in the US In, according to observers such as the Stock and Trading Business, many units are larger in terms of performance. The withdrawal from the US is not apparently planned. Recently, sewing asserted that the US Strong presence in the bank was crucial for the customers.
As part of the restructuring process, the bank also plans to outsource long-term derivative transactions in an internal specialized unit. According to media reports, transactions emphasize balance sheets, but give less or no returns. This type of unit, often referred to as a bad bank, although it should not have its own banking license and is not included in the alleged status of the media, the media stated in the middle of the media When the bank officially gives information about their actions, it is still open. Maybe this will happen in the next week, but it should be the latest on the presentation of second quarter-of-the-mill business results on July 25. Observers expect that after Savings, a target of 4% return on physical equity will also be found. Financial analysts expect returns on equities between only 1.5 and 3.5 percent for next year.
US In-strain test has finally passed
In the flood of bad news on Thursday evening, however, once for the positive news too. Deutsche Bank has passed both the quantitative and qualitative part of the US Federal Reserve's stress test this year. In the year 2015, 2016 and 2018, it partly failed. During the past year, the capitalist plan was rejected for the qualitative reasons by the supervisor, because the bank's data collection and data control are not susceptible to the requirement of capital. It has been said that one of the main goals of Saving is to finally pass the stress test and thus annually annoy the public.
Shareholders can start awarding the bank's performance. After low point at the beginning of June, Deutsche Bank's share price rose by about 15 percent. However, in the twelve-year perspective, many investors have lost nearly all capital by investing in the company's securities.
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