Deutsche Bank has revealed plans for a major shake-up as it seeks to “reduce bureaucracy and complexity”.
The firm has also Wednesday announced a series of promotions within its corporate and investment bank (CIB).
Some 11 staff have been promoted to the CIB executive committee, which has instructed a newly-formed division, CIB Central, to simplify the entire CIB.
“Their reorganisation and simplification of CIB’s support teams is important,” said the memo, sent out yesterday and provided to City A.M. by a spokesperson for the bank.
“The CIB [executive committee] has asked them to reduce bureaucracy and complexity, which will achieve substantial cost savings in 2017. Those changes will also shift greater accountability to managers for conduct in their businesses.
“Their success will directly affect CIB’s 2017 profitability and compensation programme.”
Under the new regime, the CIB division will comprise six areas: corporate finance, global capital markets, global transaction banking, equities, fixed income and currencies, and the institutional client group.
The changes, announced by Garth Ritchie and Marcus Schenck, new leaders of the reorganised corporate and investment bank, will take effect from 1 July.
The announcement comes after Deutsche Bank said in March that it would be combining a number of divisions.
Under the new structure, Ritchie will have primary oversight of equities, fixed income and currencies, global transaction banking, electronic trading, listed derivatives and clearing, research and CIB technology and operations.
And Schenck will oversee corporate finance, global capital markets and the institutional client group. They will share CIB Central and financial resource management oversight.