Deutsche Bank Is Smart to Refocus on Europe, Risky Finance's Dunbar Says

The video discusses Deutsche Bank's strategic shift towards focusing on its core strengths, particularly in transaction banking, and its refocus on Europe and Germany. It explores the rationale behind these decisions, especially in the context of economic challenges and negative interest rates. The video also delves into Deutsche Bank's funding strategy, emphasizing cost cuts and capital management without raising additional capital. Finally, it compares the current situation with the 2008 financial crisis, highlighting differences in leverage and capital management.

What is Deutsche Bank's new focus in its strategy?

• Investing in cryptocurrency

• Focusing on core strengths in Germany

• Expanding in Asia

• Becoming a global bank

Why is transaction banking considered important for Deutsche Bank?

• It is more exciting than investment banking

• It provides a stable revenue stream

• It is a new venture for the bank

• It is less regulated

What advantage does Deutsche Bank have in Europe and Germany?

• Higher interest rates

• Long-standing relationships with corporates

• Less competition

• More branches

How does Deutsche Bank plan to fund its new strategy?

• Cost-cutting and balance sheet reduction

• Issuing new shares

• Taking loans from other banks

• Raising new capital

What is the purpose of creating a 'bad bank'?

• To increase profits

• To invest in new technologies

• To manage risk-weighted assets

• To expand globally

How is Deutsche Bank's current situation different from 10 years ago?

• It has more global branches

• It has higher interest rates

• It is more leveraged

• It is less leveraged and focuses on capital liberation

What does 'capital liberation' mean in the context of Deutsche Bank's strategy?

• Increasing employee count

• Investing in new markets

• Freeing up capital by exiting trades

• Raising new capital