Deutsche Bank AG warned that a broad roll -back of financial regulations in the US would give the German lender’s overseas competitor a lead. James von Moltke, chief financial officer of Deutsche Bank, told an investor conference by Bank of America Corp. that changes to rules regarding the so -called leverage ratio can give our banks ‘more capacity, perhaps, to support their markets.’ The deployment of capital by banks and private credit companies in fixed income and currencies is likely to continue, “so the margins are likely to rally there,” he added. The arrival of the Trump administration has turbo-loaded efforts by banks to reduce regulations and free money to give more credit to the economy or to increase shareholders’ payouts. It has raised concerns in Europe that the shooters of the block will struggle to keep up with global businesses such as trading paintings and currencies. “The changes will give US banks a further advantage,” Von Moltke said in London on Thursday. “It doesn’t really change our operations in the US that there is deregulation” because Deutsche Bank makes decisions based on its consolidated capital levels. Deutsche Bank can still acquire market share in the US, the CFO said, citing investment in the tariff business over a few years and more recently in credit trading. The bank also strengthened the fixed income division by awarding more financial resources to its financing business early this year, he said. While reforms that were implemented after the financial crisis in 2008 made banks safer, “there is a time when you have to judge whether the exchange of financial stability versus growth is still the right one,” Von Moltke said. “Then you have this impetus for deregulation coming from the US,” Von Moltke said. “You can debate how many and what changes, but that it will provide a competitive disadvantage for European banks over time, is undeniable.” European officials have responded by a request to make a simplification of the banking regulations, while they are no more than everything that can undermine the industry’s hard -to -resilience. Yet the organizational configuration of Europe means that such efforts can “be fixed”, Von Moltke said. “I’m a little worried that simplification at the end of the day becomes a reason not to take action in some way that really bites,” he said. © 2025 Bloomberg MP This article was generated from an automatic news agency feed without edits to text.
Weaker rules give our banks ahead, says Deutsche Bank CFO says
