Deutsche Bank (DBK) Bank of America 30th Annual Financials CEO Conference 2025 summary

Macroeconomic and regulatory environment

• German fiscal stimulus and reforms are expected to drive significant economic growth from 2026 onward, with private sector investment acting as a multiplier.

• Structural reforms, especially on the supply side, are seen as essential for sustainable growth beyond 2026.

• Sentiment among German corporates has shifted positively, with renewed interest in domestic investment.

• Implementation of fiscal measures is key, with effects anticipated to strengthen in 2026 and beyond.

• European regulatory changes, particularly the output floor, are under scrutiny, with hopes for more pragmatic approaches to support growth.

Financial performance and outlook

• On track to achieve >10% ROTE and <65% cost-income ratio for 2025, with strong revenue and expense control.

• Credit loss provisions have been higher than expected due to tariff changes and commercial real estate, but offsets have kept targets on track.

• Investment Bank momentum continued into Q3, with strong performance in Fixed Income and Currencies, and asset management showing robust inflows.

• Private and corporate banks are executing strategies, with corporate bank expected to rebound as confidence returns.

• U.S. market investments are expected to yield growth, especially in FIC, with room for market share gains.

Capital, litigation, and strategic initiatives

• CET1 target range raised to 13.5%-14% to signal strength and provide clarity on distributions, with excess capital above 14% to be returned.

• Output floor impact is manageable in the near term, with mitigation strategies in place and further regulatory review anticipated.

• Securitization and significant risk transfer (SRT) are key tools for balance sheet management, though current regulations could be improved.

• Postbank litigation largely resolved, with 80% of cases settled and provisions reduced.

• EUR 600 million recovery from the national resolution fund is expected, pending legal certainty, likely not before next year.