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[1/2] Greenpeace activists hang a banner to protest Deutsche Bank and DWS investment policies on Deutsche Bank's headquarters in Frankfurt, Germany, June 14, 2023. REUTERS/Tom SimsFRANKFURT, June 14 (Reuters) - Greenpeace activists scaled Deutsche Bank's (DBKGn.DE) headquarters in Frankfurt on Wednesday and strung up a large yellow banner to protest against the climate investment policies of the German lender and its asset management company DWS. Deutsche Bank said that sustainability and climate protection were "strategic priorities", and that it supports DWS in the development of its sustainability policies and standards. The German-language Greenpeace banner was unfurled shortly after 6 a.m. CEST (0400 GMT) and stretched across part of the glass facade on the lower section of Deutsche Bank's twin office towers. Mauricio Vargas, a Greenpeace finance expert who was standing outside Deutsche Bank's headquarters, said: "DWS's scandal is Deutsche Bank's scandal."

Persons: Tom Sims FRANKFURT, DWS, Stefan Hoops, Mauricio Vargas, Tom Sims, Rachel More, Jamie Freed, Sharon Singleton Organizations: Greenpeace, Deutsche Bank, Deutsche Bank's, REUTERS, Deutsche, Thomson Locations: Frankfurt, Germany

[1/2] Greenpeace activists hang a banner to protest Deutsche Bank and DWS investment policies on Deutsche Bank's headquarters in Frankfurt, Germany, June 14, 2023. REUTERS/Tom SimsFRANKFURT, June 14 (Reuters) - Climate activists on Wednesday targeted two of the globe's biggest banks - Deutsche Bank (DBKGn.DE) and JPMorgan (JPM.N) - for their fossil fuel investment policies with separate protests in Germany's financial capital, Frankfurt. Greenpeace activists scaled Deutsche Bank's headquarters shortly after dawn and strung up a large yellow banner to protest against the climate investment policies of the German lender and its asset management company DWS. The protests highlight the ongoing tension between climate activists and financial firms. Mauricio Vargas, a Greenpeace finance expert who was standing outside Deutsche Bank's headquarters, said: "DWS's scandal is Deutsche Bank's scandal."

Persons: Tom Sims FRANKFURT, DWS, Stefan Hoops, Mauricio Vargas, KoalaKollektiv, Chuka Umunna, Tom Sims, Rachel More, Jamie Freed, Sharon Singleton Organizations: Greenpeace, Deutsche Bank, Deutsche Bank's, REUTERS, JPMorgan, Deutsche, Thomson Locations: Frankfurt, Germany, Europe

Deutsche swapped billions of euros in securities for cash and government bonds, the sources told Reuters, which count towards its liquidity coverage ratio (LCR). This is meant to determine the extent of a bank's access to ready cash to fund outflows such as depositor withdrawals. The trades caught the attention of European Central Bank (ECB) supervisors, who questioned Germany's largest lender about them during routine exchanges, the sources said. Even without the trades, Deutsche would have far exceeded a 100% LCR regulatory requirement and overshot its own target, the sources said, adding that its liquidity is not a concern. Deutsche's trades helped it raise its LCR to 143% at March 31, its first-quarter earnings report published in April showed.

☆ Debt conundrum gives Italy weak hand in EU talks
▼ + stars: | 2023-05-18 | by ( Lisa Jucca | ) www.reuters.com time to read: +6 min

After inflation hit 40-year highs in the West last year, global rate-setters, including the European Central Bank, launched a dramatic series of interest rate hikes. Unless there is a sudden series of interest rate cuts, the cost of servicing Italy’s debt could stay well above 4% of GDP for years. To fight that, Meloni’s government will have to shrink the public deficit and bring Italy back to the healthy pre-pandemic habit of keeping a primary budgetary surplus excluding debt interest payments. As long as Italy’s debt is not spiralling out of control, markets won’t worry too much. Yet even if Meloni chooses a milder approach, Italy’s unresolved debt challenge risks giving her a weak negotiating hand in Brussels.

FRANKFURT, May 17 (Reuters) - Deutsche Bank (DBKGn.DE) investors on Wednesday questioned the sustainability of the lender's growth plans and called for a shift of resources from the investment bank, even as they praised CEO Christian Sewing for stabilising the bank. Andreas Thomae of the Deutsche Bank investor Deka said that the bank's targets require a "tailwind" from the markets to be achievable, and rising interest rates have been "pure adrenaline" for the bank. Reuters GraphicsShe called on the bank to shift capital from its investment bank to other areas in the bank that yield higher returns. "Deutsche Bank is one of the European banks most dependent on investment banking, a poorly predictable, opaque business that is driving down its stock valuation," she said. Sewing, who won kudos from some of the investors for restoring profitability, responded that the bank was "robustly and sustainably profitable".

The bank's shares traded 7.3% lower at 0750 GMT, making it the worst performer on the DAX blue chip index. Finance chief Bettina Orlopp told analysts net interest income had probably peaked in the quarter and that further provisions for its mBank unit in Poland were possible. The bank said it sees "upside potential" in net interest income this year, and raised its forecast to 7 billion euros ($7.7 billion) from 6.5 billion. One of Germany's best-known banks, Commerzbank is in the middle of a major overhaul, cutting thousands of workers and hundreds of branches to save costs and lift profits. JPMorgan called the results strong but said the bank's increased guidance for net interest income was below market expectations and "would limit any upgrades" in analyst forecasts.

FRANKFURT, May 17 (Reuters) - Germany's Commerzbank (CBKG.DE) said on Wednesday that net profit nearly doubled in the first quarter, a better-than-expected result helped by higher interest rates. The bank said it sees "upside potential" in net interest income this year, and raised its forecast to 7 billion euros ($7.7 billion) from a previous 6.5 billion euros. Net profit of 580 million euros in the first quarter compares with a profit of 298 million euros a year earlier. Analysts had on average expected profit of 481 million euros, according to a consensus forecast published by Commerzbank. Many banks have reported increases in revenue and profit for the first quarter on the back of higher interest rates.

☆ German exports to Russia's neighbours fuel sanctions evasion fears
▼ + stars: | 2023-05-16 | by ( Rene Wagner | ) www.reuters.com time to read: +4 min

Although they remain relatively modest in value, German exports to Georgia rose by 92%, while those to Kazakhstan rose 136%, to Armenia 172% and to Tajikistan 154%. An 11th package of EU sanctions, currently being negotiated, will also focus on people and countries circumventing existing trade restrictions. "The circumvention of sanctions against Russia is unacceptable," German Finance Minister Christian Lindner said in Brussels on Tuesday. That came after a six-fold rise in German exports to Kyrgyzstan last year following Russia's February 2022 invasion of Ukraine. "But because Turkey does not participate in EU sanctions, EU goods are further exported from there to Russia."

[1/3] Edwin Gariguez, a Catholic priest from the Philippines, who is touring top European banks on environmental issues, is pictured in Frankfurt, Germany, May 10, 2023. "It's really frustrating on my part," Gariguez said on a stopover in Frankfurt after meetings with Deutsche Bank and DWS (DWSG.DE). Barclays and San Miguel didn't respond. On its website, San Miguel says: "As sustainability champions, we hold ourselves accountable." The nation's Department of Energy sees LNG as a "transition fuel", as it moves away from coal-fired power generation toward more renewable energy.

☆ AMERICAS Debt cap tick-tock leaves eerie calm
▼ + stars: | 2023-05-12 | by ( ) www.reuters.com time to read: +4 min

The issue dominated much of the G7 finance chiefs meeting in Japan. Dimon claimed any technical default could cause financial panic and JPMorgan had convened a 'war room' internally to deal with the issue. "It's very unfortunate, it's time-consuming, hopefully it won't happen, but it affects contracts, collateral, clearing houses, clients," Dimon said. Chinese stocks underperformed, with the G7 meeting mulling restrictions on investment to the world's second-biggest economy. Bank of England chief economist Huw Pill speaksReuters GraphicsJobless claimsReuters GraphicsReuters GraphicsBy Mike Dolan, editing by Christina Fincher, <a href="mailto:mike.dolan@thomsonreuters.com" target="_blank">mike.dolan@thomsonreuters.com</a>.

☆ German minister calls for maturity on U.S. debt ceiling talks: 'We have to avoid further risks'
▼ + stars: | 2023-05-11 | by ( Silvia Amaro | ) www.cnbc.com time to read: +1 min

German Finance Minister Christian Lindner hopes American lawmakers will be "mature" over the debt ceiling negotiations to avoid further headwinds for the global economy. U.S. Congress is trying to find a compromise on the debt limit — which refers to the maximum amount of money that the two chambers allow the federal government to borrow. Democratic leaders want the limit to be raised but Republican lawmakers have called for spending cuts to be agreed before anything is approved. Time is running out for an agreement, with U.S. Treasury Secretary Janet Yellen warning earlier this month that without a deal, the largest economy in the world could default by June 1. "I cannot comment on domestic politics in other countries, but I hope everyone is mature in this situation and avoids further risks for the global economic development," he told CNBC's Martin Soong.

Persons: Christian Lindner, Janet Yellen, CNBC's Martin Soong Organizations: Congress, Democratic, U.S, Treasury Locations: Japan

The European Central Bank has pressed RBI to unwind its highly profitable Russian business, people have told Reuters, and the Austrian bank says it has been working on a solution. "The group will continue to progress potential transactions which would result in the sale or spin-off of Raiffeisenbank Russia," RBI said as it released better-than-expected earnings. In Russia, profit after tax was 301 million euros ($332 million), up from 96 million euros a year earlier. Overall, the Russia business generated more than 40% of RBI's in the quarter. Reuters GraphicsThe Austrian bank has operated in Russia since the collapse of the Soviet Union and is Russia's 10th-largest bank by assets.

Lenders wasted little time in charging more for loans when interest rates rapidly rose from an almost 15-year slumber around zero last year, but most have dragged their feet on boosting deposit rates paid to millions of their customers. Money market funds are proving popular among savers seeking bigger returns on their cash as high levels of inflation persist. Data from Refinitiv Lipper showed more than 34 billion euros ($37.6 billion) of net flows into European money market funds in March, the best-selling asset type that month. Fidelity International also reported an 8% year-on-year uplift in flows into money market funds on its investment platform between Jan. 1 and April 26. Some lawmakers have criticised banks for the mismatch between what they charge borrowers and the interest rates offered to savers.

Fabrizio Campelli, who oversees Deutsche's investment bank, said it had been looking to grow its business in Britain. Deutsche Bank shares rose as much as 2.5% in early trade before erasing gains. MOVING INAs part of the deal, 35 Deutsche Bank corporate finance employees will move in with more than 300 London-based Numis staff. As part of its strategy, Deutsche Bank - a leading bank in Germany with strong European roots - said earlier this week that it aims to accelerate "growth initiatives" including potential acquisition of portfolios and assets. Britain is the largest investment banking market in Europe and Numis is a diversified investment bank with a UK franchise.

☆ Stubborn Germans leave EU budget reform in a fix
▼ + stars: | 2023-04-27 | by ( ) www.reuters.com time to read: +2 min

BRUSSELS, April 27 (Reuters Breakingviews) - The European Commission’s efforts to appease fiscal hardliners have not yet opened doors for a badly needed reform of the bloc’s fiscal rules. Specifically, Germany does not like a proposal to allow the Commission new flexibility to negotiate budget targets with European Union countries. Although current debt rules have never been enforced – because required cuts would be too punitive to work – Berlin likes their semblance of objectivity. But in the absence of a new system, it will have to go through the motions for 2024, and possibly beyond. Even though that’s less stringent than the current system, France already says it’s too rigid, and Italy wants more exceptions for green investment.

Net profit attributable to shareholders was 1.158 billion euros ($1.28 billion). That compared with profit of 1.060 billion euros a year earlier, and was better than analysts' expectations for a profit drop to around 977 million euros. "We have worked hard to achieve this stability," Deutsche Bank Chief Executive Officer Christian Sewing told employees in a memo. Revenue at the investment bank unit fell 19% to 2.7 billion euros in the first quarter from a year earlier. The investment bank's revenue decrease was countered by gains at the corporate bank and retail bank, which saw 35% and 10% increases.

FRANKFURT, April 26 (Reuters) - Deutsche Bank (DBKGn.DE) is undertaking its biggest management shake-up since 2019, the German bank said on Wednesday as it announced the departure of Christiana Riley, who oversaw its U.S. operations. "It is time to focus the management board on the next phase of the bank's growth strategy, which is now more than ever about sustainable profitability, efficiency and effective controls," Wynaendts said. Riley was one of two women on Deutsche's 10-member board, which will now only consist of only nine people - eight men and one woman - in what Deutsche said would be a "leaner" team. Claudio de Sanctis, a Deutsche veteran who has overseen wealth management, will join the board to oversee the retail bank, Deutsche said. And Chief Financial Officer James von Moltke will take on oversight of asset management, which includes its DWS fund management business.

☆ Russia seizes more Western assets, narrowing options for company exits
▼ + stars: | 2023-04-26 | by ( ) www.reuters.com time to read: +4 min

President Vladimir Putin late on Tuesday signed a decree establishing temporary control of the Russian assets of the two European state-owned energy firms. The decree - outlining possible retaliation if Russian assets abroad are seized - showed Moscow had already taken action against Uniper's (UN01.DE) Russian division Unipro (UPRO.MM) and Fortum's assets. The European Union is looking at using frozen Russian assets to rebuild Ukraine. "Fortum's current understanding is that the new decree does not affect the title (registered ownership) of the assets and companies in Russia," the company said in a statement. Rosimushchestvo said more foreign firms' assets could come under temporary Russian control.

[1/4] Law enforcement officers investigate the scene following an attack on bank ATMs in Ratingen, Germany, March 15, 2023. Courtesy of Achim Blazy/Handout via REUTERSRATINGEN, Germany, April 14 (Reuters) - In the German town of Ratingen, exploding cash machines are a hot-button topic. But in Germany, thieves are blowing ATMs up at the rate of more than one a day. Europe's largest economy has 53,000 ATM machines, a disproportionately high number that reflects Germans' preference for cash rather than bank cards. Germany is also working with officials in Belgium and France and at Europol to combat the cash machine crime wave.

☆ Germany welcomes signals from China on debt-restructuring concessions
▼ + stars: | 2023-04-13 | by ( Christian Kraemer | ) www.reuters.com time to read: +2 min

"China is a difficult partner to talk to but we need China at the table for the solution of debt problems, because otherwise we won't see any progress," Lindner said. China is by far the largest creditor for many highly indebted countries in Africa and Asia, and has been repeatedly pressed to make concessions to speed debt restructuring. Regarding trade relations with China, the German finance minister said that diversification was necessary to avoid risks, but not decoupling. "Decoupling, even in the short term, cannot be in the interest of the German economy and the fragmentation of the global economy as a whole cannot be in anyone's interest," Lindner said. In the case of critical infrastructure and the protection of intellectual property, Lindner said transactions with China should be evaluated on a case-by-case basis.

"It cannot be that financial institutions are doing well because they treat their customers badly," Chan-Jae Yoo, a BaFin official, said in an interview. Deutsche Kreditwirtschaft, an umbrella organisation that lobbies for German finance, said German banks are "extremely stable and robust" and confidence remains "high" and "unaffected" by recent turmoil stemming from the collapse of lenders in the United States and Switzerland. "The mere fact that consumers are increasingly asking us and seeking our advice is proof enough that they do not fully trust financial institutions," he said. Protections and rights for customers of financial institutions have come under increased scrutiny from regulators and the German courts. "We want services to establish themselves in the marketplace that meet consumer needs, not feed the financial industry," he said.

☆ Germany warns EU over tampering with schemes for struggling banks
▼ + stars: | 2023-04-05 | by ( Huw Jones | ) www.reuters.com time to read: +3 min

The EU's executive European Commission is due on April 18 to set out draft reforms to rules for handling stricken banks. The schemes link banks in a national network, allowing a struggling lender to get financial aid from the scheme's other members, forming part of a country's protections for bank depositors. CARVE OUTLindner said the commission's current plans would introduce a "number of new and significant restrictions" on IPS schemes by treating them like deposit guarantee schemes. A "clear and precise carve-out for IPS from newly introduced restrictions would be the easiest and cleanest way" to respect last year's agreement not to tamper with IPS, Lindner said. A report for the European Parliament last year said IPS represents a central and substantial component of depositor protections in Germany.

Two of Germany's largest airports, Munich and Frankfurt, suspended flights, while long-distance rail services were cancelled by rail operator Deutsche Bahn (DBN.UL). "Millions of passengers who depend on buses and trains are suffering from this excessive, exaggerated strike," a Deutsche Bahn spokesperson said on Monday. At the same time, in France they go on strike all the time about something," said passenger Lars Boehm. The head of the Bundesbank Joachim Nagel said last week Germany needed to avoid a price-wage spiral. "Despite signs of second-round effects, we have not observed a destabilising price-wage spiral in Germany so far."

BERLIN/FRANKFURT, March 27 (Reuters) - A massive strike in Germany was set to begin early Monday, crippling mass transport and airports in one of the biggest walkouts in decades as Europe's largest economy reels from soaring inflation. But officials in Germany have made clear that their fight is only about pay. The Verdi union is negotiating on behalf of around 2.5 million employees in the public sector, including in public transport and at airports. Railway and transport union EVG negotiates for around 230,000 employees at railway operator Deutsche Bahn (DBN.UL) and bus companies. Employers are also warning that higher wages for transport workers would result in higher fares and taxes to make up the difference.

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