Deutsche Bank Ag · XETR:DBK
Deutsche Bank — Non-Deal Roadshow (June 2009)
28 slides from Deutsche Bank's roadshow presentation, Jun 25, 2009
Slide 1: Deutsche Bank, Dr. Josef Ackermann, Helsinki, 25 June 2009
Deutsche Bank Dr. Josef Ackermann Chairman of the Management Board Helsinki, 25 June 2009
Slide 2: Agenda
Agenda 1 Strength g through g the crisis 2 Well positioned to stay strong … 3 … and emerge stronger Investor Relations 06/09 · 2
Slide 3: We remain a relative winner through the crisis
We remain a relative winner through the crisis 3Q2007-1Q2009, reported, in EUR bn Aggregate net income Fair value gains on own debt 9.8 1.9 ((1)) 7.0 0.8 6.4 1.7 (0.1) 0.3 (2) (2.6) 3.0 (2 9) (2.9) 39 3.9 (3) (23.4) 4.5 (23 9) (23.9) 37 3.7 (4) (28.2) 4.1 (1) 3Q07-4Q08 3Q07 4Q08 based on diverging f
Slide 4: Capital ratios have been strengthened
Capital ratios have been strengthened 10.3 10.2 10.2 10.1 Target: g 9.2 9.3 ~10% 8.7 8.8 8.6 8.4 7.5 7.2 7.1 7.0 7.1 7.0 6.9 6.9 6.8 329 319 316 308 311 308 303 305 285 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2007 2008 2009 Tier 1 ratio, in % Core Tier 1 ratio, in % RWA, in EUR bn Note: 2007 based on Basel I, fr
Slide 5: Intrinsic capital strength in peer context
Intrinsic capital strength in peer context Impact of state capital injections Tier 1 ratio as of 31 March 2009, in % Tier 1 ratio excluding state capital injections 16.7 16.0 14.1 11.9 11.4 10.5 10 2 10.2 10 1 10.1 8.8 8.7 8.6 13.2 13.4 9.3 8.4 6.8 7.4 7.8 7.7 (2) Morgan Goldman Credit Citi JPMorgan
Slide 6: Unsecured funding: Quantity, quality, consistency
Unsecured funding: Quantity, Quantity quality, quality consistency In EUR bn 511 495 Cash and liquidity reserves exceed 15% 75 short-term wholesale 153 30% f di funding + 62 420 358 30 JJune 2007 31 M Mar 2009 Short-term wholesale funding Capital markets Fiduciary clearing & other deposits Fiduciary
Slide 7: Current funding position is very robust
Current funding position is very robust Modest additional capital market funding CDS spreads support funding cost advantage New issuance, in EUR bn Remaining 5-year senior i CDS CDS, 18 June J 2009 2009, in i bps b 468 54 45 255 226 146 157 21 128 16 99 109 111 15 82 2005 2006 2007 2008 Plan BNP CS
Slide 8: Agenda
Agenda 1 Strength g through g the crisis 2 Well positioned to stay strong … 3 … and emerge stronger Investor Relations 06/09 · 8
Slide 9: Provision for credit losses have risen, partly reflecting transfers ...
Provision for credit losses have risen risen, partly reflecting transfers ... In EUR m Single counterparty relationship Related to IAS 39 reclassified assets 591 526 185 218 329 236 114 135 72 98 81 105 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2007 2008 2009 Thereof: CIB (20) (42) (19) 190 (11) (9) 66 361 357 117
Slide 10: ... but remain relatively low
... but remain relatively low In EUR bn Loan book Provision for credit losses As of 31 December 2008 FY2008 CIB / Other Private clients other 659 Private clients mortgages 23.2 491 509 527 18.5 478 14.6 358 271 231 6.7 160 5.8 2.0 2.7 05 0.5 1.1 CS UBS DB SOC BAR C BNP JPM BoA CS DB UBS SOC BNP BAR
Slide 11: Credit exposure mitigated by hedging
Credit exposure mitigated by hedging As of 31 Dec 2008, in EUR bn CIB loans (accrual) 151 EUR 266 bn 21% Hedged by CIB loans (fair value) 19 LEMG CIB commitments 96 11% Hedged by Global Total 266 268 Markets 675 LEMG related exposures 134 Int’l book: Top p 25 limits German Midcap: p Top p 25 limits
Slide 12: Significant reduction in balance sheet leverage
Significant reduction in balance sheet leverage In EUR bn 30 June 2008 31 March 2009 Leverage ratio(2) 2,103 38 1,991 , 1,338 28 (653) 25 982 (1,122) IFRS Netting(1) U.S. GAAP IFRS Netting(1) U.S. GAAP 30 Jun 31 Dec 31 Mar ‘pro-forma’ ‘pro-forma’ 2008 2008 2009 (1) For 30 June 2008 incl. derivatives
Slide 13: Agenda
Agenda 1 Strength g through g the crisis 2 Well positioned to stay strong … 3 … and emerge stronger Investor Relations 06/09 · 13
Slide 14: Revenue generation in the first quarter 2009
Revenue generation in the first quarter 2009 In EUR bn Significant g p property p y impairment p Mark-downs 01 0.1 0.5 Monolines 0.8 1.0 2.2 3.2 2.3 9.6 12 1.2 8.8 7.3 7.2 5.1 4.6 5.4 4.4 (0.9) * 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2007 2008 2009 * Includes EUR 0.9 bn of mark-downs Investor Relations 06/09 ·
Slide 15: Substantial profitability, even after mark-downs
Substantial profitability profitability, even after mark-downs In EUR bn Income before income taxes Net income 3.2 2.7 2.1 1.8 1.8 1.6 1.4 1.4 1.0 1.2 06 0.6 06 0.6 0.4 0.1 (0 3) (0.3) (0.1) (6 2) (6.2) (4 8) (4.8) 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2007 2008 2009 00 2007 008 2008
Slide 16: Continued reduction of risk and costs
Continued reduction of risk and costs Maintaining de-levered balance sheet Continued management of legacy exposures Global Markets balance sheet (U (U.S. S GAAP ‘pro-forma’)* pro forma ) U S RMBS exposures* U.S. exposures Hedges Net exposure (43)% (56)% 1Q08 2Q08 3Q08 4Q08 1Q09 4Q07 1Q08 2Q08 3Q08 4
Slide 17: Sales & Trading demonstrated its earnings power
Sales & Trading demonstrated its earnings power Revenues, in EUR bn Successfully y recalibrated business model High g loss absorption p capacity p y Illustrative 5% 1.1 6.1 4.0 38 3.8 <5% 1.0 Highly illiquid ~15% Monolines 0.8 4.0 ~55% Medium / ~60% High Liquidity Most liquid ~40% ~25% flow First qu
Slide 18: Sales & Trading 'flow' businesses have grown through the crisis
Sales & Trading ‘flow’ flow businesses have grown through the crisis Indexed, 1Q2007 = 100 Foreign g Exchange g Money y Markets x2.0 x4.5 1Q2007 1Q2008 1Q2009 1Q2007 1Q2008 1Q2009 Rates x2.7 1Q2007 1Q2008 1Q2009 Note: 2007 based on structure as of 2008, 2008 onwards based on latest structure Investo
Slide 19: Global Markets: Opportunity to gain share, despite a lower revenue pool
Global Markets: Opportunity to gain share, share despite a lower revenue pool Sales & Trading: Global revenue pool pool* Significant market share up for capture In EUR bn Equity DB Merged or exited Remainder Fixed Income ~(17)% Current 134 136 DB rank 112 U.S. IRD #2 82 EM Bonds #2 EU Investment #1
Slide 20: Share gains in key 'flow' businesses
Share gains in key ‘flow’ flow businesses Deutsche Bank market share Foreign Exchange Interest Rate Derivatives Credit Default Swaps* Swaps x.x ppt = Gap to #2 2.7 ppt 4 3 ppt 4.3 5.8 ppt 15.9% 21.0% 11.6% 11.6% 19.3% 16.7% 8.9% 10.1% 10.5% 6.4 ppt 4.5 ppt 4.3 ppt 2005 2007 2009 2005 2007 2008 2006
Slide 21: Corporate Finance: Capturing share in tougher conditions
Corporate Finance: Capturing share in tougher conditions M&A announced: Ranking by volume in USD bn Global EMEA 2008 1Q09 2008 1Q09 Rank Rank Rank Rank 1 Goldman Sachs 858 1 Morgan Stanley 219 1 Goldman Sachs 554 1 Deutsche Bank 110 2 JPMorgan 782 2 JPMorgan 203 2 JPMorgan 532 2 Credit Suisse 109 3
Slide 22: GTB: Building on strong momentum
GTB: Building on strong momentum 2004 – 1Q2009 IBIT Outlook & prospects I EUR m In 1Q Challenges: Lower interest rates 1 106 1,106 FX movements 945 Lower equity valuations Risk hedging costs 705 Opportunities: 433 Expand E d iinto t new markets k t 254 221 Attract new clients Further d
Slide 23: GTB: Leveraging 'flight to quality'
GTB: Leveraging ‘flight flight to quality quality’ Market share capture – Clearing, at period end, in % USD EUR 19.4 18.7 90 9.0 17 4 17.4 8.2 6.8 2007 2008 1Q09 2007 2008 1Q09 Source: CHIPS, RTGS, Target 2 Germany Investor Relations 06/09 · 23
Slide 24: A challenging environment for Private Clients and Asset Mgmt.
A challenging environment for Private Clients and Asset Mgmt Mgmt. Equity indices Brokerage and portfolio- Volatility / fund management Indexed 1 Jan 2008 = 100 Revenues, in EUR m PBC AWM 110 (28)% 1,165 1 195 1,195 S&P 500 1,076 90 345 355 912 327 842 213 70 DAX 245 ((46)% ) (49)% 820 840 50 749 69
Slide 25: AWM: Restoring operating leverage at lower market levels
AWM: Restoring operating leverage at lower market levels Income before income taxes Outlook & prospects I EUR m In 242 Asset Management 188 Reposition R iti E European MM ffund d exposure Right-size RREEF Downsize hedge fund platform (850) Cost C t savings i iin mid id / b back k office ffi
Slide 26: PBC: Implementation of 'Growth and Efficiency' program
PBC: Implementation of ‘Growth Growth and Efficiency Efficiency’ program Income before income taxes Business model In EUR m Advisory Ad i b ki banking: P iti ffor recovery iin Position investment products via selective investments Consumer banking: Position for margin 328 compression via cost-ef
Slide 27: Deutsche Postbank: Considerable strategic optionality
Deutsche Postbank: Considerable strategic optionality Clients of German retail banks as of 2008, in million* Sparkassen ~50.0 Volksbanken ~30.0 14.1 11.0 Cooperation As of 2008 (figures for Germany only) Branches 856 930 10.1 Mobile sales force ~4,260 ~1,600 6.7 FTE ~21,130 ~15,460 ~4.0 3.3 * Source
Slide 28: Cautionary statements
Cautionary statements Unless otherwise indicated, the financial information provided herein has been prepared under International Financial Reporting Standards (IFRS). (IFRS) This presentation contains forward-looking statements. Forward-looking statements are statements that are not historical fact