Deutsche Bank intends to reduce its operations in the U.S. and Asia and return to its European business. The move raises questions over the German lender's commitment to Asia.
Newly-appointed Deutsche Bank CEO Christian Sewing published a lengthy message for his staff on the German lender's website. Sewing said «We will reduce our commitment to sectors in the U.S. and Asia in which cross-border activity is limited.»
The bank moved quickly, reportedly firing 300 bankers in its U.S. unit, according to the «Financial Times» (behind paywall). To date there is no information on the fate of Asian-based investment bankers, but it seems prudent to assume that Deutsche's Wall Street retreat could extend to London and Hong Kong.
Asian Private Wealth
Sewing, who replaced former UBS and Temasek banker John Cryan at the helm earlier this month, highlighted a focus on expanding private banking in Italy and Spain and with wealthy private clients in Germany and internationally. Asian wealth management, a fast-growing market for the bank, was not specifically highlighted in the address.
Under the leadership of Hong Kong-based Lok Yim Deutsche has bolstered the Asian wealth business adding senior hires in Singapore, Hong Kong and Dubai. The bank recently hired six Singapore-based relationship managers covering clients in Southeast Asia, part of a 100-private banker hiring drive.
