Building on our foundation as a leading European Corporate Bank based in Europe's largest economy, we have transformed our business model. We operate where our clients want us to be and where we are competitive. As a result, we aim to become less complex and more profitable, improve shareholder returns and drive sustainable growth.
“Looking back on the first year of our transformation, we are on track with, or even ahead of the objectives that we set ourselves. Our new strategy is paying off: client feedback and momentum as well as internal employee feedback demonstrates that we have found our path and execution is well underway. […]. The results in the second quarter and for the first half are ahead of our internal plans.”
Latest transformation news
Deutsche Bank is changing rapidly for the better, Fabrizio Campelli tells Handelsblatt
Update on our transformation progress and on the settlement with the DFS – Message from Christian Sewing to staff
2Q20: Deutsche Bank reports pre-tax profit of 158 million euros with transformation fully on track
Deutsche Bank to create International Private Bank
DB Privat- und Firmenkundenbank AG merges with Deutsche Bank AG
Christian Sewing’s and Paul Achleitner’s AGM speeches now online
Deutsche Bank sets itself ambitious sustainability targets
Alexander von zur Mühlen, CEO for Asia Pacific and member of the Deutsche Bank Management Board
1Q20: Deutsche Bank reports profitable quarter driven by revenue growth in core businesses – strategic transformation on track
Financial reports confirm delivery on targets in 2019
Deutsche Bank successfully completes issuance of Additional Tier 1 capital
Deutsche Bank is …
- … a leading European Corporate Bank based in Europe’s largest economy
- … with strong investment banking, private banking, wealth and asset management capabilities
- … aligned with the strengths of the German economy around trade and investment
- … at the centre of our corporate, institutional and private clients’ needs
- … the risk manager and trusted advisor to our clients
We have taken five decisive actions …
… and have a clear plan for each of our divisions.
Our transformation is on track
We have completed or initiated the exit and wind-down of non-strategic businesses and assets:
- Cash Equities positions have been exited and the associated systems have been shut down
- Global Prime Finance and Electronic Equities businesses in the process of being transferred to BNP Paribas
- Fixed Income and other assets are being reduced
Our Capital Release Unit (CRU) is a key facilitator for exiting non-strategic businesses and assets. As of Q2 2020, we have made further progress in deleveraging the CRU:
- We have reduced risk-weighted assets to 43 billion euros.
- Leverage exposure declined from 118 billion euros in the prior quarter to 102 billion euros at the end of Q2 2020.
Creating four client-centric businesses which cooperate more closely
We have created four client-centric businesses, competing to win – a Corporate Bank, an Investment Bank, a Private Bank and Asset Management – and have implemented new leadership teams across all businesses.
Our results in the second quarter of 2020 demonstrated that our core businesses are stable and resilient, well-positioned to support our clients during the COVID-19 crisis:
- Excluding specific items, we managed to grow Core Bank revenues by 8 percent compared to the previous year.
- The adjusted pre-tax profit  of the Core Bank grew by 11 percent to 935 million euros compared to Q2 2019.
- By the end of Q2, loan volume in the Core Bank was up 6% year on year.
In the second quarter of 2020, we reduced adjusted costs excluding transformation charges  to 4.8 billion euros. This marks a reduction of 10 percent compared to the previous year.
This means that we have seen the tenth consecutive quarter of annual cost reductions.  This has also been supported by a total headcount reduction of over 4,000 full-time equivalents since Q2 2019.
Reduced costs for 10 consecutive quarters.
Investing in technology and growth
We are committed to investing in technology and will spend about 13 billion euros until 2022. This will go towards bolstering our cloud strategy as well as upgrading important legacy infrastructure and platforms that are vital for our day-to-day operations. In addition, we will use these funds to improve our offering for clients by developing innovative products and services for them. This will also be enhanced by our recently announced global strategic partnership with Google Cloud. The partnership aims to redefine how we develop and offer financial services and radically improve our infrastructure efficiency.
Having a robust control environment will also become even more important in the future. That is why we are spending 4 billion euros on our controls by 2022.
Managing and liberating capital
We reaffirm our financial targets
|KPI||2022 target||2020 target||Progress as per end Q2 2020|
|Post-tax Return on Tangible Equity (RoTE) ||8%||–|
|CET1 ratio||at least 12.5%||at least 12.5%||13.3%|
|Adjusted costs ||€ 17bn
||€ 19.5bn 
||Adjusted costs in the quarter stood at € 4.8bn |
|Leverage ratio (fully loaded)||~5%||~4.5%||4.2%|
|Risk-weighted Assets (RWA) in Capital Release Unit (CRU)||€ 34bn||–||€ 43bn, reduced by € 29bn since 2018|
 Excluding transformation-related effects and expenses eligible for reimbursement related to the bank’s Prime Finance platform being transferred to BNP Paribas
 Excluding transformation costs and bank levies
 FX adjusted and excluding transformation changes
 Excluding impact of € 0.4bn from Prime Finance platform in the process of being transferred to BNP Paribas
 After tax