Deutsche Bank Ag · XETR:DBK
Deutsche Bank — Deutsche Bank Aktiengesellschaft — Corporate Update (January 2014)
31 slides from Deutsche Bank's corporate update, Jan 30, 2014
Slide 1: Strategy 2015+: A mid-point update
Exhibit 99.2 Deutsche Bank Strategy 2015+: A mid-point update Jürgen Fitschen and Anshu Jain Co-Chief Executive Officers Annual Press Conference Frankfurt, 29 January 2014
Slide 2: Agenda
Agenda 1 Strategy 2015+: Rationale 2 Delivery in 2013 3 The journey so far 4 The journey ahead 5 Questions & Answers Deutsche Bank Jürgen Fitschen and Anshu Jain 1 29 January 2014
Slide 3: June 2012: A real need for fundamental change
June 2012: A real need for fundamental change Historically unique environment for banking sector Significant reform backlog within the Bank Macroeconomic Undisputed leader in Europe’s challenges and strongest economy Euro crisis Strengths Strong global network Leadership in key businesses Some under
Slide 4: Our answer: Strategy 2015+
Our answer: Strategy 2015+ Our vision: “We aspire to be the leading client-centric global universal bank” Galvanizing our core Optimizing performance of core businesses based on businesses the best people and processes Building a best-in-class Initiated a historic EUR 4 bn(1) reconfiguration of cost
Slide 5: Concrete 2015 financial targets
Concrete 2015 financial targets Aspiration 2015+ Group revenues(1) Growth in line with market EUR 4.5 bn savings (2) Costs (OpEx) EUR 4.0 bn investments(3) Cost-income-ratio <65% >12% Group Post-tax RoE(4) >15% Core Bank CET1 ratio(5) >10% Leverage exposure reduction (6) EUR ~500 bn (1) Based on ful
Slide 6: Agenda
Agenda 1 Strategy 2015+: Rationale 2 Delivery in 2013 3 The journey so far 4 The journey ahead 5 Questions & Answers Deutsche Bank Jürgen Fitschen and Anshu Jain 5 29 January 2014
Slide 7: 2013 results at a glance
2013 results at a glance Full year, in EUR bn, unless otherwise stated 1) Core Bank includes CB&S, PBC, GTB, DeAWM and C&A (2) Adjusted for litigation, CtA, impairment of goodwill and intangibles, policyholder benefits and claims, other severances and other relevant items (3) As of period end (4) Ad
Slide 8: As expected, another year of significant specific costs
As expected, another year of significant specific costs Full year 2013, in EUR bn Group NCOU incl. Core Bank Legacy Investing in Required Core Bank reported IBIT expected reported IBIT issues: our platform(3) accounting adjusted IBIT BHF sale(1) litigation, adjustments(4) impairments (2) EUR 6.3 bn
Slide 9: However, core operating performance was close to our best ever…
However, core operating performance was close to our best ever… Full year adjusted IBIT(1), Core Bank(2), in EUR bn Strategy Growth & Expansion Crisis Recalibration 2015+ 8.4 8.3 8.3 8.4 7.8 7.6 6.5 4.8 5.2 (5.6) 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 (1) Adjusted for litigation, CtA / re
Slide 10: …and was achieved with a leaner platform…
…and was achieved with a leaner platform… Period end, in EUR bn, unless otherwise stated Equivalent to (29)% EUR 7 bn capital raise (27)% (8)% 1,521 100 25.1 23.2 1,080 73 Peak Current Peak Current Peak Current (2006) (2013) (2010) (2013) (1H2012(3)) (2013) Total assets (adjusted)(1) RWA (2), 2010 i
Slide 11: …while becoming a safer bank…
…while becoming a safer bank… Period end, in EUR bn, unless otherwise stated Stress scenario loss(1) CET1 capital(2) as a multiple Total funding of stress scenario loss (1) Stress loss capturing traded market risk losses; stress scenarios derived using market observed liquidity horizons and the assu
Slide 12: …and a better balanced universal bank
…and a better balanced universal bank Full year, in EUR bn, unless otherwise stated Improved business mix Good regional balance 8.4 31.9 13% 9% APAC 14% 23% Americas 49% 4.8 23% DeAWM 11% 35% EMEA ex Germany GTB 6% 37% 20% PBC 51% CB&S 63% 33% Germany 2004 2013 2013 Core Bank adjusted IBIT (1) Group
Slide 13: Agenda
Agenda 1 Strategy 2015+: Rationale 2 Delivery in 2013 3 The journey so far 4 The journey ahead 5 Questions & Answers Deutsche Bank Jürgen Fitschen and Anshu Jain 12 29 January 2014
Slide 14: Strategy 2015+: Taking stock
Strategy 2015+: Taking stock Strategic lever Aspirations 2015+ Delivered by end of 2013 Status Core Bank adj. IBIT(2) EUR 8.4 bn, Competencies Core Bank post-tax RoE(1) >15% equivalent to pro-forma post-tax RoE(1) >11% EUR 2.1 bn achieved(4) – Costs Cost savings(3) of EUR 4.5 bn EUR 500 m ahead of p
Slide 15: CB&S: Strength despite significant reconfiguration
CB&S: Strength despite significant reconfiguration Full year, in EUR bn, unless otherwise stated 4.9 4.7 10.1 8.9 Defend Top-3 market share in 35 markets (3) Further recalibrate business mix 2012 2013 2012 2013 Absorb deleveraging Adjusted IBIT (1) Adjusted cost base (2) (1) Adjusted for litigation,
Slide 16: PBC: Building an integrated platform
PBC: Building an integrated platform Full year, in EUR bn Substantial progress Sound profitability Current priorities in key projects 2.1 2.0 Further increase profitability Navigate tough revenue environment MidCap coverage Sustain progress in 2012 2013 integration projects Adjusted IBIT (1) (1) Adj
Slide 17: GTB: Record operating profit despite headwinds
GTB: Record operating profit despite headwinds Full year, in EUR bn, unless otherwise stated 1.3 +8% 1.1 Drive revenue growth despite challenging environment +6% Increase scale via new client acquisition Americas APAC Maintain resource efficiency 2012 2013 and risk discipline Adjusted IBIT (1) Reven
Slide 18: DeAWM: Record operating profit amid business integration
DeAWM: Record operating profit amid business integration Full year, in EUR bn Record profitability Successful integration Current priorities 1.2 3.3 3.1 Further enhance client offering 0.6 Finalize operational transformation Deliver margin 2012 2013 2012 2013 improvement Adjusted IBIT (1) Adjusted c
Slide 19: Cost: Delivery substantially ahead of plan
Cost: Delivery substantially ahead of plan Selected examples OpEx program: Savings Investments EUR ~500m ahead of target Period end, in EUR bn >1,200 applications 2.1 EUR ~1.4 bn to integrate eliminated our business platforms 1.6 EUR ~700 m to >18,000 vendor consolidate and relationships terminated
Slide 20: Capital: Considerable progress achieved
Capital: Considerable progress achieved In EUR bn, unless otherwise stated Leverage ratio (4) (1) CRD4, fully loaded (2) CRD4 (3) CRD4; pro-forma RWA equivalent (RWA plus equivalent of items currently deducted 50/50 from Tier 1/Tier 2 capital whereby the Tier 1 deduction amount is scaled at 10%) (4)
Slide 21: Clients: Physically closer to our clients…
Clients: Physically closer to our clients… Embedding client-centricity …and delivering global in our organization… …is bearing fruit capabilities locally… USD >1.8 bn IPO Landmark USD ~17 bn Client-centric GEC More regional focus corporate debt incentives Intensify local coverage offering Better cro
Slide 22: Clients: …and digitally closer to clients
Clients: …and digitally closer to clients Note: Selected Deutsche Bank examples based on PBC Germany statistics, FY 2013 Source: Deutsche Bank Deutsche Bank Jürgen Fitschen and Anshu Jain 21 29 January 2014
Slide 23: Culture: A year of fundamental progress
Culture: A year of fundamental progress 2013 2014/ 2015 roadmap Foundations firmly established Feedback from 52,000 staff collected Embed values & beliefs Listen in core systems and Independent Compensation Review Panel processes Defined new values & beliefs Turn values & beliefs Extended deferral o
Slide 24: Culture: Changing the way we operate
Culture: Changing the way we operate Selected examples Then Now Front office IBOR Front office Monitored by independent “Benchmark submission Submission Oversight”function Deferral: 5 years for senior management Deferral: 3 years max group Compensation Limited clawbacks Strengthened clawbacks Streng
Slide 25: Culture: Dealing decisively with legacy issues
Culture: Dealing decisively with legacy issues (1) Residential Accredited Loans Inc. Deutsche Bank Jürgen Fitschen and Anshu Jain 24 29 January 2014
Slide 26: Agenda
Agenda 1 Strategy 2015+: Rationale 2 Delivery in 2013 3 The journey so far 4 The journey ahead 5 Questions & Answers Deutsche Bank Jürgen Fitschen and Anshu Jain 25 29 January 2014
Slide 27: Outlook 2014: Another challenging year
Outlook 2014: Another challenging year Key challenges Targeted milestones Business re-platforming Surpassing EUR 2.9 bn cumulative Platform reconfiguration Infrastructure cost savings and investing another Systems and controls EUR 1.5 bn Achieving further progress towards De-risk Progress towards 20
Slide 28: Outlook 2015: Positioned to win in a changed environment
Outlook 2015: Positioned to win in a changed environment (1) Net savings related to OpEx, excluding impact of litigation and CtA (2) CRD4 exposure reduction from June 2012 to December 2015; this aspiration is based on actual reduction from June 2012 to December 2013 plus outstanding portion of annou
Slide 29: Agenda
Agenda 1 Strategy 2015+: Rationale 2 Delivery in 2013 3 The journey so far 4 The journey ahead 5 Questions & Answers Deutsche Bank Jürgen Fitschen and Anshu Jain 28 29 January 2014
Slide 30: Culture: Our values and supporting beliefs
Culture: Our values and supporting beliefs Integrity Sustainable Client Innovation Discipline Partnership Performance Centricity We live by the We drive value for We earn our We foster We protect the We build diverse highest standards shareholders by clients’ trust by innovation by firm’s resources
Slide 31: 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
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