Positive results posted by the Deutsche Bank Group for 2010 are good news for its offices in Jersey and Guernsey and sets it up for a ‘new phase of growth’, according to the head of its Channel Islands businesses.
At Deutsche Bank’s Annual Press Conference in Frankfurt earlier this month (3 February), it was announced that in 2010 the Bank globally had invested, adapted well and strengthened its competitive position, highlighting that its position is now stronger than before the financial crisis.
It was reported that, in 2010, the Bank achieved total net revenues of EUR 28.6billion – amongst the highest revenues Deutsche Bank has ever recorded – and net income of EUR 2.3 billion for the year, whilst its 2011 profit target of EUR 10 billion was reaffirmed. Its Tier 1 ratio, a good indicator of stability, was also announced to be 12.3%.
Andreas Tautscher, Chief Country Officer for Deutsche Bank Channel Islands, believes these results are particularly good for its businesses in Jersey and Guernsey:
“The Group’s positive start to 2011 has highlighted that the parent organisation has positioned itself well following difficult economic conditions and this has real significance for Deutsche Bank in the Channel Islands. Due to the international nature of our private wealth management, financial intermediary, corporate and fiduciary services businesses in Jersey and Guernsey, being able to draw on the strength and expertise of our global network is going to become increasingly important this year as we look to build on our ‘one bank’ approach.
“Whilst our local businesses have also performed strongly in 2010, these positive results at Group level can give us added confidence in Jersey and Guernsey that we are poised for a new phase of renewed growth in 2011.”
The positive Group results follow a number of recent award wins for Deutsche Bank globally. Earlier this year, it was named ‘Bank of the Year 2010’ by the International Financing Review. It is the third time the Bank has won the award since 2003 and reflects in part Deutsche Bank’s response to the financial crisis and its navigation of the new, post-crisis world. The decision to reduce risk-taking and leverage levels led to a concentration on flow business, a key element of the Channel Islands’ offering. More recently, Risk magazine also selected Deutsche Bank for its top annual honour, Derivatives House of the Year.
Andreas Tautscher added:
“Beyond the strong financial performance of the Group, these awards provide further recognition of the strengths of Deutsche Bank’s diversified business structure. The global finance landscape has changed over recent years and there is now a growing demand for trusted and established services. The fact that Deutsche Bank holds a top position globally in terms of reputation and brand strength will certainly open up new opportunities for our businesses in the Channel Islands.”