Deutsche Bank: Wealth management outflows not significant

Global wealth management client assets managed by Deutsche stood at 361 billion euros ($405 billion) as of end-June, with clients in Germany and the rest of Europe accounting for just over half of that amount.

Fabrizio Campelli, head of Deutsche’s global wealth management business, said that the bank had seen some fund outflows driven by the news of the last few weeks and it was working with clients to address their concerns.

“It is also natural that a situation like this will create some outflows and some of those clients have also decided to manage their risk, but this is not something that has resulted in any material concern for us,” he said.

The bank has also lost its head of Asia Pacific wealth management Ravi Raju and a senior banker in his team this week. Deutsche swiftly promoted Lok Yim as the head of Asia Pacific wealth management unit.

Yim also said outflows in Asia had not been significant. Asia-Pacific clients account for about 14 percent of Deutsche’s global wealth management assets.

“We give (clients) the facts, we give them the truth and we have been absolutely open about the challenges we face, but also that some of the things that are in the market are speculation and not the facts,” he said.

Campelli added that he believed the client reaction seen in Asia was true across other regions as well.

Deutsche has been building up its presence in Asia, a region that has emerged as a key battleground for wealth managers such as UBS and Credit Suisse in the last few years as Western markets slow.