Deutsche Bank Rebounds on DOJ Settlement Report

The transcript discusses speculation about Deutsche Bank's financial situation, focusing on potential relief from a lower-than-expected DOJ fine. It addresses liquidity concerns, noting the bank's substantial liquid assets and transformed balance sheet. The main issues are capital and litigation settlements. Future performance depends on capital boosting strategies. Concerns about hedge fund clients are deemed minor due to the bank's diversified funding sources.

What is the market's reaction to the rumored settlement amount for Deutsche Bank?

• The market is indifferent to the settlement amount.

• The market expects the settlement to be exactly $14 billion.

• The market is relieved if the settlement is lower than expected.

• The market is concerned about a higher settlement amount.

What is the primary concern for Deutsche Bank according to the second section?

• Retail banking deposits

• Capital and litigation settlement

• Liquidity issues

• Interbank funding

How has Deutsche Bank's balance sheet changed since 2007?

• It relies more on interbank funding.

• It has increased its risky unsecured wholesale funding.

• It relies more on retail and transaction banking deposits.

• It has decreased its liquid assets.

What is a key driver for the performance of Deutsche Bank's CDs?

• The bank's ability to boost its capital

• The bank's liquidity concerns

• The bank's retail banking deposits

• The bank's interbank funding

What percentage of Deutsche Bank's total funding is accounted for by prime brokerage funds?

• 5%

• 15%

• 7%

• 10%