Good old Daily Express
But the truth
Deutsche posted its first full-year loss since 2008
in January 2016 due to a variety of problems including a €5.2bn provision for fines and lawsuits, sending its shares careering lower and pushing its new bonds into a tailspin.
The crash in its €4.6bn tranche of contingent-convertible bonds,
known as cocos, was particularly alarming because they are designed to wipe out investors in a crisis, therefore avoiding a state bailout – but so far no bank has put this safety valve to the test.
Deutsche Bank has not even come close to converting its bonds yet, but the firm has come back into sharp focus because of a $14bn fine proposed by the US Department of Justice in 2016 for mis-selling mortgage-backed securities in the heady days before the financial crisis.
Shares in
Deutsche have lost more than half their value since last year. The IMF hasn't helped matters,
saying that the bank is the greatest contributor to systemic risk in the world's biggest lenders.
John Cryan, the Briton who became chief executive last summer, has
set out a five-year restructuring plan that will cut about 15,000 of Deutsche’s 101,000-strong workforce. The bank’s dividend has been suspended for two years, and Cryan expects to close dozens of overseas sites from Argentina to New Zealand. It has already sold Abbey Life, its old portfolio of British life insurance products, for €1bn.
But blame Brexit if you want
and racially abuse everyone
