Every year the same Stress: Since 2009, the US Central Bank is examining the most important banks on their economic crisis-resistance. This time, the Frankfurt Institute came through without a scar.
Fine address: headquarters of Deutsche Bank in the United States on the New York Wall Street (archive footage)
Deutsche Bank has passed the second part of the annual U.S. stress tests. The Federal Reserve (Fed), the Central Bank of the United States said,. For the Frankfurt Institute this is a great success. Because in the past years, it was with its subsidiary, DB US three times in the exam.
2018 had attested to the Financial overseer of the German Bank still has “significant weaknesses”. In the former Fed’s assessment of the speech was “widespread and significant deficiencies” in the capital planning. For the banks, the judgment of the supervisor is important because a lot of that depends: for US institutions, it is planned dividends and share repurchases, for the subsidiaries of foreign banks – such as Deutsche Bank – profit mothers ‘ distributions to their Group.
“Solid” round one mastered
The first round of Fed stress tests in the last week had passed the German Bank is not without difficulties. In this part of the capital equipment, which will be examined by the Fed, on the basis of simulated crisis scenarios. All 18 participating financial firms certified by the Central Bank here to be on a firm footing. In the second part of the internal controls and the risk management are investigated here, the Deutsche Bank had weaknesses for years.
In the Park Avenue – where many of the super-rich live – the German Bank has a headquarters in New York
After numerous legal proceedings and investigations of alleged rule violations in the United States for the Frankfurt Institute long ago the scene of a legal major construction site. In the past, Deutsche Bank has paid billions of dollars in penalties and received in the context of comparisons with the U.S. government, various editions. Only last week, “the New York Times reported:” new investigations by the U.S. Department of justice, because of possible violations of Anti-money laundering laws.
The 2009 stress tests, the Fed should ensure – as a reaction to the financial crisis that the lending for a financial market Crash abruptly to a Halt and banks with tax money need to be rescued. The methodology of these Checks has been changed in the past few years, however, significantly.
jj/haz (dpa, rtr)