Deutsche Bank’s Risk division plays a critical role in identifying and managing a wide range of risks to which the bank is exposed. These risks may include credit losses, volatility in markets, non-financial failures, liquidity shortages, as well as the impact of regulatory and legal matters.
The Risk division at a glance:
Group Risk Office
The Group Risk Office (GRO) is responsible for the Group-wide risk management strategy for Deutsche Bank Group.
Chief Operating Office
The Chief Operating Office is responsible for strategic planning and implementation of infrastructure to support data, processes, operations, IT programme planning and other staff-related functions required to support the delivery of Risk’s vision.
Credit Risk Management
Credit Risk Management (CRM) is the independent credit approval and monitoring function for the Deutsche Bank Group. Using expert knowledge, CRM provides structuring advice and credit approval on transactions; manages the credit exposure of Deutsche Bank’s derivative and foreign exchange portfolios; actively ensures the recovery of impaired loans; and performs in-depth analysis of industry, sovereign and settlement risk.
Liquidity Risk Control
The Liquidity Risk Control (LRC) function provides oversight on methodology development, limit setting and model validation, with additional responsibility for internal liquidity risk reporting. LRC also works closely with Treasury's Liquidity Management (LM) under Group Finance to steer business activities and ensure the Bank's adherence to its risk appetite.
Market Risk Management
The focus of Market Risk Management (MRM) is on encouraging risk to be taken where it is most optimal given the rewards and capital consumption. MRM has a strong focus on the activity on the dealing floors and works closely with traders and senior managers to perform the complex risk analyses that are crucial to inform their business decisions.
Operational Risk Management
Operational Risk Management (ORM) sets the framework for managing operational risks such as product liability, information security, IT system failure, frauds and even natural disasters. The ORM team performs analyses on operational risks and monitors operational risk loss and capital.
Reputational Risk sets the framework for the identification, assessment and management of reputational risk matters in Deutsche Bank.
Risk Analytics and Living Wills
Risk Analytics & Living Wills (RA&LW) develops, implements, validates and maintains advanced internal and regulatory risk measurement and management models for credit risk, operational risk, business risk and specific market risk. RA&LW also covers the design, implementation and operation of key risk management processes for capital adequacy (ICAAP) and recovery & resolution planning.
Corporate Insurance (CI) protects the assets and liabilities of the Deutsche Bank Group. The team has a crucial role to play in managing risk for the wider organisation by determining the extent of insurance cover across the Bank. The CI team is solely responsible for the purchase of insurance cover for Deutsche Bank AG, and operates the Bank’s in-house insurance broker Deukona GmbH.
Risk has made a significant contribution to Deutsche Bank's history of success, including:
- "Bank Risk Manager of the Year" (Risk Awards 2014)
- "Best Risk Adviser" in Western Europe (Euromoney – Awards for Excellence 2013)
- "Best Risk Adviser" in Central Eastern Europe (Euromoney – Awards for Excellence 2013)
- "Most Effective Recovery of the Year" (Continuity, Insurance and Risk 2012)
- "Recovery of the Year award" (Business Continuity Institute 2012)
- "EMEA In-House Equity Team of the Year 2011" (International Financial Law Review) for the fourth year in a row
- "Bank Risk Manager of the Year" (Risk Awards 2011)
- "Best of the Best Awards" (Asia Asset Management 2010)
- "Compliance Innovator of the Year" at the 2010 Complinet Compliance Awards
- "Best Legal Team for Regulatory (Financial Services) 2010" (European Counsel Awards)
- "Best Debut Covered Bond" in the Euroweek & The Cover Covered Bonds Awards 2009
- "Most Effective Compliance Training at a Regulated Firm for 2009" (Complinet Awards)
- "Most Effective Recovery of the Year 2009" (Business Continuity Awards)
- "Outstanding Bank for Operational Risk Management 2009" (OpRisk & Compliance “10 years of excellence” awards)