The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.


All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.
Banking

Abigail with attitude: Co-chiefs could leave Deutsche vulnerable to eurozone crisis

If the appointment of co-chiefs leads to internal squabbling and discord inside Deutsche, the board might have let a Trojan Horse into the German citadel

Succession is at the heart of the Murdoch soap story. Now, finally, one of the longest running succession sagas in the financial markets is coming to an end. Joe Ackermann will retire as CEO a year early, in 2012. He will become the chairman of Deutsche’s supervisory board. He will be replaced by two co-CEOs: Anshu Jain, the head of the corporate and investment bank that makes around 70% of Deutsche’s revenues; and Juergen Fitschen, head of the bank’s business in Germany.

This seems like a classic fudge to me. Why won’t the board anoint Jain as the sole CEO? Sources mutter about Jain not speaking fluent German. This is odd: Brady Dougan took sole charge of Credit Suisse in 2007 and I’m positive he didn’t speak fluent Swiss-German.

It seems that the Deutsche board believes unadulterated Jain might be too much of a good thing. If I were Mr Jain, I would be insulted.

Regular readers will recall that I believe next year could be very tough for the global markets. If a eurozone country defaults, Deutsche Bank will be at the centre of the drama. Whoever is in charge at Germany’s largest bank should have their protective armour ready. In a crisis, swift decision-making is key.

If the appointment of co-chiefs leads to squabbling and discord inside Deutsche, the board might have let a Trojan horse into the German citadel. The Abigail with attitude column will follow this story closely.

  Wendi slaps the pie-man

  Co-chiefs could leave Deutsche vulnerable to eurozone crisis

  Egan leaves egg on big raters’ faces

  Stress tests worthy of derision, not discussion

  Headcount alert: Goldman leads where others are sure to follow

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree