Euromoney, March 2017
A fun game in Asian wealth management lately has been to pick the next European bank to sell its private bank to a Singaporean or Swiss contemporary. Lately, if you had Société Générale, ABN Amro, Barclays or (a non-European left-field choice) ANZ, you were a winner.
If you went for Deutsche Bank, though, it appears you will be going home empty-handed. Asia CEO Werner Steinmueller tells Euromoney Deutsche is “absolutely committed to it. It’s a growth business.”
There were four reasons word had begun to circulate that Deutsche might consider a sale. First, most obviously, Deutsche has had well-publicized issues with capital owing to more than $10.5 billion of regulatory fines in less than two years, and this would have been an easy way to raise a lot of money, although this has been superseded by CEO John Cryan’s decision to change course and raise a further $8 billion of capital at group level.
Secondly, it looks just a little light at $45 billion under management in the region; you need about $62 billion to crack the top 10. Thirdly, there have been major senior departures, chiefly the business’s head, Ravi Raju, and key team members to UBS; and fourth, there are obvious buyers in OCBC and DBS, plus perhaps the Swiss groups.
Steinmueller says, though, the hope is to grow it, not sell it, adding: “Our aim is to have extraordinary growth, to move from about top 10 to top five.”
Read more? Full article: http://www.euromoney.com/Article/3667435/Deutsche-commits-to-Asia-wealth-management