Deutsche Bank reduces its balance by 20%

Germany’s largest bank – Deutsche Bank intends over the next 2.5 years to reduce the balance by 20% to approximately $ 1 trillion euros to meet the more stringent requirements of financial regulators, according to the Financial Times. 

In addition, the Bank is committed to achieving a minimum ratio of debt to equity at the level of 3% by the end of 2015, which corresponds to the regulations of “Basel III”.

According to specialists of Morgan Stanley, at the end of the 1st quarter, the ratio of equity to assets of Deutsche Bank was 2.1%, which is the second of the lowest among the 18 largest banks, the estimated U.S. banking giant.

Deutsche Bank is also considering the issue of hybrid securities, such as bonds convertible into shares, for an amount not less than 6 billion euros.

Deutsche Bank was founded in 1870 and today is the largest banking group in Germany with two thousand offices which are located in 72 countries. The company is represented by commercial, mortgage, investment banks, leasing companies, and other units. The company’s headquarters is located in Frankfurt-am-Main, the number of employees is more than 80 thousand people.