Deutsche Bank says it will never need state aid

HAMBURG Fri Nov 9, 2012 1:05am IST

Stocks

   

HAMBURG (Reuters) - Deutsche Bank (DBKGn.DE), on a international regulator's list of four banks that would pose the greatest risk to the global financial system if they collapsed, will never need to be bailed out, its co-chief executive said.

"We are not dangerous and we never were because we didn't need to ask the state for help and we will not do that in future either," Juergen Fitschen said at an economic conference in Hamburg.

He was reacting to the Financial Stability Board's decision last week to place Deutsche, along with three other banks, in its highest risk category, requiring them to hold extra capital to absorb potential losses.

Deutsche had declined to comment on the move by regulators last week, but on Thursday Fitschen expressed his annoyance at subsequent media reports that branded Germany's biggest lender the world's most dangerous bank.

"That is more than irresponsible - that is pure stupidity," he said. "Nobody claims that we are the most dangerous bank in the world. What's behind this is all quite simple - the fact is if Deutsche Bank runs into trouble, it is of great significance for many markets."

Deutsche, along with Citigroup Inc (C.N), HSBC (HSBA.L) and JPMorgan Chase & Co (JPM.N), will be required to hold an extra 2.5 percent of common equity as a percentage of risk-weighted assets on top of a 7 percent minimum being phased in from January.

"We are systemically relevant even in America, the biggest of all of the financial markets. It would be sad if we had not achieved this status after so many years of trying," Fitschen said.

(Reporting by Michelle Martin; Editing by David Goodman)

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

Earnings Season

Earnings Season

Reliance Q4 sales rise, refining margin narrows.  Read 

Innovative Solution

Innovative Solution

Turning smog into jewels - a Dutch designer's solution to Beijing's pollution.  Video 

Insider Trading

Insider Trading

Rajaratnam's brother loses bid to dismiss insider trading charges.  Full Article 

Literary Giant Dies

Literary Giant Dies

Mourning and memories in Gabriel Garcia Marquez's languid hometown.  Full Article 

S&P on India

S&P on India

S&P: India's ratings to depend on next govt econ, fiscal policies.  Full Article 

Ambitious Aim

Ambitious Aim

In green car race, Toyota adds muscle with fuel-cell launch.  Full Article 

Bond Market

Bond Market

A star abroad, RBI boss riles bond traders at home  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage