After Deutsche Bank announces its new strategy, Moody's rating agency threatens to demote its creditworthiness from "stable" to "negative". At present, long-term deposits with credit rating "A3" – and thus as safe – are valued. However, classification is already in lower half of investment area and is located four Stufenvom junk area. As a reason for negative outlook, Moody's stated that it would be difficult for bank to actually implement strategy.

The new bank director, Christian Sewing, had announced that investment business in USA and partly in Asia would be significantly decreased. After a break in profits of 80 Prozentzu beginning of year, bank should no longer try to compete with large Wall Street houses.

FRANKFURT-Deutsche Bank shrinks its stock trading after loss of profits, new boss Christian Sewing announces changes for business in USA and Asia. Among or things, bond trading should be reduced. © Photo: Boris Roessler/DPA

Although it was positive that Deutsche Bank wanted to focus on more stable business areas, Moody's wrote and added: "However, it is not clear how management will create a more European customer-oriented investment bank that Successful with broader global Wettbewerbernkonkurrieren, while at same time generating acceptable returns across DenKonjunkturzyklus. " In addition, bank's fiscal year will only be moderately profitable.

The Moody's competitor Standard Poor's (S P) had already set credit rating DerDeutschen Bank to watchlist for a BeschleunigteHerabstufung (Credit watch negative) after head change in early April. It is currently in "A-" on same level as VonMoody's credit rating. Typically, EinerBonitätsnote, which is on Einebeschleunigte downgrade watch list, will decision a downgrade faster than a negativenAusblick.

A spokesman for Deutsche Bank rejected a statement plus decision of Moody's.

Date Of Update: 29 April 2018, 12:02