Commerzbank CFO Is 'Relaxed' on Counterparty Risk

The transcript covers a discussion with Steven Angles, CFO of Commerzbank, about the bank's strategy to achieve its 2020 targets amidst challenges in the German banking sector. Topics include market sentiment, interest rates, regulation, competition, government involvement, restructuring, and digitalization. The focus is on maintaining investor confidence, improving efficiency, and adapting to a changing financial environment.

What are the 2020 targets mentioned for the banking sector?

• 6% return on equity, cost to income ratio of 66%

• 10% return on equity, cost to income ratio of 50%

• 8% return on equity, cost to income ratio of 60%

• 5% return on equity, cost to income ratio of 70%

What is a major concern for the European banking sector according to the transcript?

• High inflation rates

• Unpredictable regulations

• Excessive government intervention

• Lack of technological advancement

What is Commerzbank's strategy regarding its branch network?

• Focusing solely on digital banking

• Expanding branches internationally

• Maintaining a full commitment to its branch network

• Closing down branches to cut costs

When does Commerzbank plan to discuss reinstating dividends?

• After the next financial crisis

• Immediately

• In 2020

• After 2017 and 2018

What is a significant challenge for the German banking setup?

• High competition from Asian banks

• Over-reliance on government bailouts

• Negative interest rate environment

• Lack of skilled workforce

How does the transcript describe the adoption of fintech by banks?

• Overwhelmingly successful

• Rapid and widespread

• Slow and limited

• Non-existent

What is the expected cost to income ratio for Commerzbank by 2020?

• 50%

• 60%

• 66%

• 75%