SEC Said to Look at Deutsche Bank Trades

The transcript discusses the complexities of bond valuations, particularly those backed by the US government, and the potential misreporting of losses by a bank. It highlights the ongoing investigation into these practices and the impact on Deutsche Bank's financial standing. The discussion also covers the market's reaction to the news and the role of individuals in trading decisions. The bank's legal challenges and efforts to manage costs are also examined.

What is the main concern regarding Deutsche Bank's handling of agency mortgage-backed securities?

• The bank did not set aside enough legal reserves.

• The securities were not backed by the US government.

• The bank may have improperly recorded losses to enhance profits.

• The securities were not traded in a liquid market.

What is a key issue in the investigation of Deutsche Bank's securities trading?

• The securities were easy to value.

• The securities were harder to trade and value.

• The securities were traded in a highly liquid market.

• The securities were developed before the financial crisis.

How much has Deutsche Bank set aside for legal fees and lawsuits since 2012?

• $10 billion

• $14 billion

• $20 billion

• $5 billion

What was the market reaction to the news about Deutsche Bank's investigation?

• The stock price remained stable.

• The stock price fell and then steadily climbed.

• The stock price only increased.

• The stock price only decreased.

Who was mentioned as being involved in the trading of U.S. government-backed mortgage bonds at Deutsche Bank?

• John Cryan

• Troy Dixon

• Matt

• Scarlet Us