DB USA Corporation: Results of the Federal Reserve's 2019 Dodd-Frank Act Stress Tests
The Board of Governors of the Federal Reserve System (the Federal Reserve) this afternoon announced the 2019 results of the Dodd-Frank Act Stress Tests (DFAST) for DB USA Corporation (DBUSA).
The Federal Reserve found that even in a severely adverse economic scenario, DBUSA’s Common Equity Tier 1 capital would comfortably exceed the regulatory minimum of 4.5% and would not fall below 14.8% at any time over the nine-quarter planning horizon. The Federal Reserve also found that DBUSA’s Tier 1 Leverage Ratio would remain well above the regulatory minimum of 4% and would not fall below 6.9%. All other minimum regulatory capital ratios were also exceeded.
DB USA Corporation Capital Ratios: Actual Versus Stressed
|Capital Ratios||Required Minimum||Actual - 4Q18|| ‘Severely Adverse’|
|Common Equity Tier
1 Capital Ratio
|Tier 1 Capital Ratio||6.0%||34.4%||26.2%|
|Total Capital Ratio||8.0%||34.4%||26.6%|
|Tier 1 Leverage Ratio||4.0%||9.2%||6.9%|
DBUSA is Deutsche Bank AG’s principal US intermediate holding company (IHC) and had USD 133 billion in assets as of March 31, 2019. DBUSA represents approximately 8% of the assets of Deutsche Bank AG and 36% of the assets of the combined US operations of Deutsche Bank AG. DBUSA primarily consists of Deutsche Bank Securities Inc., an SEC-registered broker dealer; Deutsche Bank Trust Company Americas, an FDIC-insured bank; and DB USA Core Corporation, a US service corporation.
The public disclosure of the Federal Reserve’s DFAST results for DBUSA and other participating companies is available on the Federal Reserve website.
Results of the 2019 Comprehensive Capital Analysis and Review (CCAR) are expected to be announced by the Federal Reserve on June 27.
For further information please contact:
Deutsche Bank AG
Phone: +1 212 250 4875
Phone: +49 69 910 43330
Phone: +49 69 910 38079
+49 800 910-8000 (Frankfurt)
+44 20 7541-4100 (London)
+1 212 250-0604 (New York)
About DB USA Corporation
DB USA Corporation (DBUSA) is a US intermediate holding company (IHC) and is a wholly-owned subsidiary of Deutsche Bank representing one component of Deutsche Bank’s US operations.
About Deutsche Bank
Deutsche Bank (XETRA: DBKGn.DB / NYSE: DB) provides commercial and investment banking, retail banking, transaction banking and asset and wealth management products and services to corporations, governments, institutional investors, small and medium-sized businesses, and private individuals. Deutsche Bank is Germany’s leading bank, with a strong position in Europe and a significant presence in the Americas and Asia Pacific.
This release contains forward-looking statements. Forward-looking statements are statements that are not historical facts; they include statements about our beliefs and expectations and the assumptions underlying them. These statements are based on plans, estimates and projections as they are currently available to the management of Deutsche Bank. Forward-looking statements therefore speak only as of the date they are made, and we undertake no obligation to update publicly any of them in light of new information or future events.
By their very nature, forward-looking statements involve risks and uncertainties. A number of important factors could therefore cause actual results to differ materially from those contained in any forward-looking statement.
Such factors include the conditions in the financial markets in Germany, in Europe, in the United States and elsewhere from which we derive a substantial portion of our revenues and in which we hold a substantial portion of our assets, the development of asset prices and market volatility, potential defaults of borrowers or trading counterparties, the implementation of our strategic initiatives, the reliability of our risk management policies, procedures and methods, and other risks referenced in our filings with the U.S. Securities and Exchange Commission.
Such factors are described in detail in our SEC Form 20-F of 22 March 2019 under the heading “Risk Factors”. Copies of this document are readily available upon request or can be downloaded from www.db.com/ir.