Deutsche Bank Ag · XETR:DBK
Deutsche Bank — Deutsche Bank Global Financial Services Conference 2015
17 slides from Deutsche Bank's conference presentation, Jun 2, 2015
Slide 1: Industry perspectives and Strategy 2020
Industry perspectives and Strategy 2020 Anshu Jain Co-Chief Executive Officer Deutsche Bank Global Financial Services Conference Tue, June 2, 2015 The Pierre, New York
Slide 2: Key trends driving the industry's performance: unprecedented monetary stimulus
Key trends that have been driving the industry’s performance: Unprecedented monetary stimulus… Central bank balance sheet expansion(1) Record low interest rates USD trillion Policy rates, in % SNB BoE ECB BoJ Fed Fed BoE ECB (Bundesbank before 1999) 12 18 16 10 14 8 12 10 6 8 4 6 4 2 2 0 0 1945 1955
Slide 3: ...and ever tightening financial regulation
…and ever tightening financial regulation… Regulatory reform agenda Additional rules and Largely clarified scope remaining uncertainties (2014/2015) and rules (2009-2013) Regulatory topics Capital requirements RWA models / standardization and CET1 capital definitions Prudential Leverage definitions
Slide 4: ...driving the industry to adapt
...driving the industry to adapt Increased resilience and safety Drive for complexity reduction but higher costs of compliance (XURSHDQDQG86EDQNV¨YV Selected examples / quotes “What you probably can’t be is large and do complex things +45% and so we continue to work on simplifying the firm.” “We wil
Slide 5: Regulation impacting market liquidity, particularly in fixed income
Regulation impacting market liquidity, particularly in fixed income US Treasury volumes vs. dealer inventory US corporate bond volumes vs. dealer inventory Indexed to 100 in 2001 Indexed to 100 in 2001 450 700 400 US Treasuries US dealer 600 outstanding inventory 350 500 300 400 250 US Corp. US Deal
Slide 6: Industry revenue pools are shifting
As a consequence of these developments, industry revenue pools are shifting… 2006-2011 2011-2014 Banking revenue pool growth, CAGR(1), in % Revenue pool size, in EUR trn Business / product dynamics(2) Regional dynamics Æ Æ Æ Æ Æ 24 20 13 9 9 5 4 5 5 5 3 3 3 2 2 3 1 1 (1) (7) North Europe Asia Pacifi
Slide 7: ...and clarity on business models is emerging
…and clarity on business models is emerging INDICATIVE Broad Breadth of business model(1) Narrow Low High Geographical diversity(2) Note: Qualitative assessments for client-product universe and geographic diversity are indicative (1) Based on # of products offered (2) Based on # of countries in whic
Slide 8: Deutsche Bank: Strategy 2020 interim update
Deutsche Bank: Strategy 2020 interim update Strategy 2020 ‘90 days’ announcement Today announcement Detailing of strategy Roll-out and Strategy review process (‘90 days’) implementation Dec 2014 – Apr 2015 Apr – Jul 2015 From Aug 2015 Environment analysis Divisional and functional strategies E
Slide 9: We've re-affirmed our identity...
We’ve re-affirmed our identity... Deutsche Bank: Our unique positioning Global model anchored in one of the world’s strongest economies Top 5 global investment bank, Cutting-edge capital markets expertise largest in Europe Global cash / trade platform and Top 3 European transaction bank asset & weal
Slide 10: ...and are focusing Deutsche Bank on achieving key ambitions
…and are focusing Deutsche Bank on achieving key ambitions Strategy 2020 Medium-term financial ambitions Targets A leading global bank based in Germany Leverage OHYHUDJHUDWLR What’s constant What changes Capital ~11% CET1 ratio Prioritize mutually Client-centric beneficial partnerships Profitabilit
Slide 11: Leverage: Significant progress on leverage and a further raising of the bar
Leverage: Significant progress on leverage and a further raising of the bar Leverage ratio Leverage ratio positioning vs. peers(2) CRD4, fully loaded, Leverage exposure 1Q 2015, in % in % in EUR trn 3.4 European peers ~1.8 1.5 3.4 3.6 +70% 3.4 3.7 3.7 3.4 5.0 target(3) <2.0 5.1 5.3 US peers 5.7 6.3
Slide 12: Capital: RWA inflation a manageable headwind
Capital: RWA inflation a manageable headwind In EUR bn unless stated differently, CRD4, fully loaded 11.1% CET1 ratio ~11% Risk density 28% (RWA / leverage ~40% exposure) <500 431 ~EUR 100 bn 1Q15 Disposals Deleveraging Credit Risk Market Risk Op. Risk Pro-forma Business (2015-2017) incl. NCOU (2018
Slide 13: Cost: Insufficient progress on cost efficiency...
Cost: Insufficient progress on cost efficiency… Reported cost-income-ratio Focus of investments Adjusted cost base development(1) 2012-2015 In EUR bn 93%(2) 87% Efficiency improvements 25.1 (0.3) 23.8 (3.3) ~1.0 Regulatory compliance ~1.6 ~(0.3) Business / stability 2012 OpEx OpEx Portfolio Regulato
Slide 14: ...which we are tackling through re-doubled effort
…which we are tackling through re-doubled effort Cost-to-achieve Targeted organic gross savings(1) What will be different this time In EUR bn Selected examples 1.0 3.7 4.7 Exit of 7-10 structurally unprofitable countries 4.7 Complexity Close up to 200 retail branches reduction in Germany Drive
Slide 15: We continue to grow our business
We continue to grow our business Development of DB’s business mix... ...and priorities in Strategy 2020 Pre-tax profit, core businesses, in EUR bn(1) 1.0 Invest in Deutsche AWM to capture future growth Deutsche AWM 0.2 1.2 0.7 GTB 1.3 Continue to scale up GTB PBC 1.5 Deconsolidate Postbank and trans
Slide 16: Six key decisions to execute
Six key decisions to execute 1 Reposition CB&S 2 Re-shape retail 3 Transform our operating model 4 Digitalize DB 5 Grow GTB and Deutsche AWM 6 Rationalize our footprint Deutsche Bank Anshu Jain 15 2 June 2015
Slide 17: Industry perspectives and Strategy 2020
Industry perspectives and Strategy 2020 Anshu Jain Co-Chief Executive Officer Deutsche Bank Global Financial Services Conference Tue, June 2, 2015 The Pierre, New York
Deutsche Bank — Deutsche Bank Global Financial Services Conference 2015 on 6ix