Deutsche Bank Said to Be Exploring Capital Options

The transcript discusses Deutsche Bank's exploration of capital-raising options in light of potential DOJ fines ranging from $4 to $8 billion. The bank has authorization to seek €5 billion in equity capital without shareholder approval, which aligns with the DOJ's expected demands. Research indicates a €9 billion shortfall, prompting potential strategies like equity raises, compensation cuts, and asset sales. The bank's high cost structure and low internal capital generation are significant challenges.

What is the estimated range of the DOJ fine that Deutsche Bank might face?

• 4 to 8 billion

• 8 to 12 billion

• 2 to 5 billion

• 6 to 10 billion

How much equity capital is Deutsche Bank authorized to seek without shareholder approval?

• 5 billion

• 3 billion

• 7 billion

• 9 billion

What is the total shortfall Deutsche Bank might face after the DOJ fine and money laundering probe?

• 11 billion

• 9 billion

• 7 billion

• 5 billion

Which of the following is NOT a strategy mentioned for Deutsche Bank to raise capital?

• Partially selling the asset management unit

• Selling minor units

• Issuing new bonds

• Cutting the compensation pool

What is a major issue affecting Deutsche Bank's ability to generate capital internally?

• Lack of investor confidence

• Regulatory restrictions

• High cost structure

• Low market demand