Deutsche Bank Ag · XETR:DBK
Deutsche Bank — Investor Day (September 2012)
20 slides from Deutsche Bank's investor day presentation, Sep 12, 2012
Slide 1: Global Transaction Banking
Deutsche Bank Global Transaction Banking Werner Steinmüller, Head of GTB Investor Day, Frankfurt, 12 September 2012
Slide 2: GTB overview
GTB overview — Environment with notable headwinds, but also significant growth opportunities for well- positioned transaction banks Where we — Track record of consistent high performance based on a diversified global portfolio and a are today solutions-oriented, volume-driven, scale business model —
Slide 3: In an environment with challenges and opportunities for well-positioned transaction banks
In an environment with challenges and opportunities for well-positioned transaction banks … Environmental trends Impact on transaction banking models Low growth; further potential for shocks — Transaction Banking revenue pools Macro- expected to grow at 7% p.a.(1) Continued dependence on economic po
Slide 4: GTB delivers strong and consistent performance across all major products and regions
… GTB delivers strong and consistent performance across all major products and regions … GTB revenues by product GTB revenues by region In EUR bn FY2010 FY2011 In EUR bn FY2010 FY2011 1.2 1.2 0.8 0.9 Trade Germany +4% Finance +13% Cash 0.7 0.8 0.7 EMEA ex 0.6 Management +17% Germany +18% Corporates
Slide 5: Based on a solutions-oriented, volume-driven, scale business model
… based on a solutions-oriented, volume-driven, scale business model ILLUSTRATIVE GTB Balances Net Interest Income Cash Loans/Funding Securities Balance x Spread Balance volume lowers Spreads and fees driven by Breadth and quality incremental delivery risk policy and of solutions drives costs and dr
Slide 6: Why DB Group is investing in GTB
Why DB Group is investing in GTB 1 Growth business across the cycle, resilient to external shocks 2 Robust business model, well adapted to low-interest rate environment 3 Strong geographical footprint with exposure to attractive growth regions 4 Leading market positions in chosen businesses, on the
Slide 7: Growth business across the cycle, resilient to external shocks
1 Growth business across the cycle, resilient to external shocks GTB revenues and income before income taxes In EUR bn Integra GTB revenues GTB IBIT 3.6 +10% CAGR 3.4 2.8 2.6 2.6 EUR 1.0 bn 2.2 including coverage 1.9 2.0 cost adjustment of +24% CAGR EUR 0.2 bn 1.1 1.1 0.9 0.9 1.0 0.7 0.4 0.3 FY2004
Slide 8: Robust business model, well adapted to low-interest rate environment
2 Robust business model, well adapted to low-interest rate environment Business portfolio well-positioned Solid net interest income despite low vis-à-vis external drivers ILLUSTRATIVE interest rate environment Net interest income, in EUR bn ECB main refinancing rate GDP Fed funds target rate growth
Slide 9: Strong geographical footprint with exposure to attractive growth regions
3 Strong geographical footprint with exposure to attractive growth regions Global footprint Diversified regional network Key facts(1) Revenues by region Germany EMEA ex Germany Americas APAC — 4,464 employees(2) EUR 3.6 bn present in 46 countries Leading home-market position fosters revenues with lo
Slide 10: Case in point: GTB India
3 Case in point: GTB India Current position Forward view Key facts(1) Aspiration (2011 – 2015) — ~30% of GTB Asia-Pacific revenues; <30% CIR To be top 3 across all products in our chosen client — Coverage across +4,000 locations(2); +100 FTE segments, doubling our revenue base — #1 in Custody: AuC o
Slide 11: Leading market positions in chosen businesses, on the back of best-in-class technology
4 Leading market positions in chosen businesses, on the back of best-in-class technology Innovation: The Autobahn App Market Leading market shares — First app-based client offering Cash Management: in the financial services industry Euro Clearing(1) — One-Stop-Shop: >100 services accessible via sing
Slide 12: Proven execution track record with consistently attractive returns and low capital intensity
5 Proven execution track record with consistently attractive returns and low capital intensity High return portfolio and performance culture Attractive returns and low capital intensity Post-tax RoE(1) Cash Manage- FY2011, in % GTB post-tax RoE ment consistently >20% — High return/capital efficient
Slide 13: Strong new leadership team and closer integration to rest of DB
6 Strong new leadership team and closer integration to rest of DB The GTB Executive Committee Head of Global Transaction Banking — Diverse cultural and Werner Steinmueller (Frankfurt) professional backgrounds Functions Product — Management Strong cooperation and COO CAO Product Management alignment
Slide 14: The way forward: focused on clearly defined target clients, products and geographies
The way forward: We will remain focused on clearly defined target clients, products and geographies Our competitive span Globally Non-Bank Germany & NL Financial Financial Complex Institutions Institutions Corporates MidCap Clients Trust & Securities Services Cash Management Financial Inst
Slide 15: We have a clear roadmap to double our profitability
We have a clear roadmap to double our profitability Where we aspire to be in 2015 How we will get there: The journey IBIT, in EUR bn 1 — Leverage existing/acquire new target clients – focus on large multi-national companies in major economies 2011 1.0 — Drive subsidiary business globally — Continue
Slide 16: We will invest in scale
We will invest in scale 2011 Transaction Banking revenues(1) Key GTB investments In EUR bn — Growth primarily in Trade Finance RWA ~40 30 ~10 equivalent (in EUR bn) FY2011 FY2015 aspiration(2) — Complexity reduction and automation Technology — Delivery channels and client EUR ~150 m and system integ
Slide 17: We aspire to grow fastest in Asia, Americas and EMEA ex Germany
We aspire to grow fastest in Asia, Americas and EMEA ex Germany and gain market share … Revenue CAGR 2011-2015 Gaining market share in all regions … … and across major products GTB Market(1) GTB Market(1) 1ppt Germany 7ppt TF/CMC 11ppt EMEA ex Germany 11ppt Americas 4ppt TSS/CMFI 11ppt APAC No
Slide 18: And thereby optimize our global portfolio further
… and thereby optimize our global portfolio further ILLUSTRATIVE Realigning our regional portfolio to high ... while maintaining our balanced product growth regions ... portfolio Revenue share Revenue share Germany 34% TF/CMC 62% EMEA ex Germany 35% Americas 17% TSS/CMFI 38% APAC 14% FY2011 FY2015 F
Slide 19: Key take-aways
Key take-aways The external environment remains uncertain, but offers significant growth opportunities for well-positioned transaction banks Within this uncertainty, GTB has delivered strong and consistent performance across the cycle based on a solutions-oriented, volume-driven, scale business mode
Slide 20: Cautionary statements
Cautionary statements This presentation contains forward-looking statements. Forward-looking statements are statements that are not historical facts; they include statements about our beliefs and expectations and the assumptions underlying them. These statements are based on plans, estimates and pro