Deutsche's Top Shareholders Want More Cuts
The firm's top executive Christian Sewing is under pressure to make more cuts to its faltering Investment division, particularly in the United States.
Four of Deutsche Bank's 10 largest shareholders want CEO Christian Sewing to make more cuts at its Investment division, particularly in the United States, where the firm has struggled to keep its head above water, the Financial Times reported, citing unnamed sources.
The German lender has recorded losses at its U.S. subsidiary in nine of the last 10 years, FT said, noting that in June 2018, it was placed on a federal list of institutions with weaknesses serious enough to threaten its survival.
«At least four members of Deutsche Bank’s supervisory board share the view that further cuts to the US investment bank are necessary,» the publication said. It said one unnamed top investor wants the firm to make a strategic shift away from the U.S. towards Europe and Asia.
Management Shake-Up?
FT added that a management shake-up in the next few months might also be on the cards, with «doubts» over the position of investment bank head Garth Ritchie, despite the unanimous agreement by the supervisory board to extend his contract in September 2018 for another five years.
