Little time? End of the text there’s a summary.
In April 2015 could have the impression that it stands badly to the German bank. The gains were mau, investors dissatisfied, and the leadership to Anshu Jain presented hurriedly a new strategy to prevent the impending expulsion. Compared with today were the rosy times. After all that time no one doubted the creditworthiness of the Bank. And after all, she was then on the stock exchange for 45 billion euros worth.
Today, there are still almost 19 billion euros – bearish. It seems as if the investors German bank stocks get rid of just as quickly as possible. But the week starting on Monday the price dropped by almost ten percent. On Tuesday there was a further five per cent down. Around three billion euros market capitalization, destroyed at one and a half days.
It was the new management team at the British John Cryan on Monday night still trying to calm down the situation. The bank was forced to reassure their investors that they can repay all their debts in this year and the next time – actually a matter of course that would not have to be emphasized.
Cryan attempts employees z u calm
But in these times nothing seems to be self-evident at Deutsche Bank. The demand for so-called credit default swaps has risen dramatically recently. The prices for such credit default swaps (abbreviated CDS) are now back to the level last seen in times of financial crisis. In order to secure a debt of 100,000 euros, the investor will have to pay at Deutsche Bank an annual premium of 2,250 euros (see chart). In March 2015, there were still 589 Euro. Some investors seem to fear actually to the creditworthiness of the largest German financial institution.
On Tuesday, CEO Cryan addressed a message to the 100,000 employees of the Group. “You can tell your customers that the German bank considering its capital strength and their risk position absolutely rock solid” writes the Briton in the statement that was also published on the Bank’s website. It sounds a bit like whistling in the dark.
DPA
German Bank CEO Cryan: A heavy job
Cryan itself is not yet made personally responsible for the decline. When he took over the bank last summer, the problems were finally already there: For years, the bank will pay exorbitant sums of penalties for wrongdoing from the past. Whether interest manipulations VAT fraud or windy US mortgages – all were employees of Deutsche Bank case. Since 2012 the Group spent EUR 12.7 billion for litigation – and the end is not yet in sight.
The high cost squeeze on profits. Again and again, the bank made last loss – also because Cryan had to write off a portion of the goodwill in the fall (see chart). In addition, a relatively weak capital base, which leaves some investors apparently doubt that the bank has sufficient buffers to withstand a major crisis.
All this has Cryan inherited – and now still have to modify the pitch, the bank in a time in which the entire financial sector is struggling with problems because the oil price crash and the growth of the world economy is slowing down noticeably , There are not only the rates of Deutsche Bank 
, the crash these days -. but in an overall weak financial sector, the German money house is currently truly the weakest link
What is Cryan must be hold against this, is, according to many analysts that he has not yet made clear how the bank in the future will make money. Here also important investors demand more clarity before they put larger sums in German bank shares again.
Cryan enjoys it obviously still basically the confidence of major investors. Anders reportedly sees it though to the man from who has brought the British until the Bank: Supervisory Board Chairman Paul Achleitner, worked at a central location at least since 2012, must currently be asking why he has so far let come. Why did not he cracked down earlier and replaced the hard scandal loaded ex-chief Jain? And why is he so steadfastly on investment banking as the most important division holds – although it was the settled there stores that have the Bank eingebrockt the biggest scandals.
Achleitner contract expires 2017th If the bank does not soon make a turnaround, he might be the next person who has to go. Whether that helps to slow down the crash, however, is another question
In summary:. The German bank can not calm the financial markets. Although the money House announced on Monday evening that it could repay all his debts, the share price fell on Tuesday again. The crisis of the bank brings especially supervisory board chief Paul Achleitner under pressure.
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