After a strategic review which began last December, the bank has outlined a plan which aims to cut overall costs by €3.5bn a year by 2020, dispose of its Postbank retail division via a stock market listing next year, and target a return on tangible equity, a key measure of profitability, of at least 10% by the end of the decade.
The bank said it aimed to grow the balance sheet of Deutsche Bank Asset & Wealth Management by 5-10% a year over the next five years. It also planned to increase the number of relationship managers by 15% in key markets over the next two years, and to hire additional product specialists.
such as alternative investments. We will also invest in digital technology to improve our service to clients,” the bank’s co-chief executives Jürgen Fitschen and Anshu Jain said in a statement.
Over the next five years the bank, which already offers banking via smartwatch in Germany, said it intends to invest up to €1bn to position itself for the next phase of the digital revolution.
The bank is also planning to rationalise its global footprint by cutting seven to 10 countries out of its global network while concentrating more on those locations which are seen as most important to clients. However, it said its US platform and Asian network would not be affected.
