Deutsche Bank

Deutsche Bank at a Glance

About Deutsche Bank

Deutsche Bank is a leading client-centric global universal bank. Its businesses encompass a wide range of products and services in investment, corporate and retail banking as well as in asset and wealth management. The Group operates in all regions of the world. Deutsche Bank is the leader in its German home market and enjoys an outstanding position in Europe. The bank also has a strong competitive position in North America as well as in key emerging markets, particularly in Asia. The Group is backed by strong capital and liquidity positions. With Strategy 2015+, Deutsche Bank is reinforcing its commitment to the universal banking model, to its home market of Germany and to its global positioning. The strategy emphasizes the need for organic growth of its capital base, the further reduction in risk and higher operating performance. Deutsche Bank aims to be at the forefront of cultural change in the financial services sector. Global Presence

London

Frankfurt am Main New York

Dubai

Hongkong Singapur So Paulo

Major regional hub

Capital of country in which we are represented

Corporate Divisions
Deutsche Bank comprises five corporate divisions: Corporate Banking&Securities (CB&S), Global Transaction Banking (GTB), Asset&Wealth Management (AWM), Private&Business Clients (PBC) and the Non-Core Operations Unit (NCOU). Private&Business Clients provides a broad range of banking services to private individuals, self-employed clients as well as small and medium-sized businesses. These services include current accounts, deposits, loans, investment management and pension products.

Asset&Wealth Management comprises the former Asset Management (AM) and Private Wealth Management (PWM) Business Divisions as well as the former passive fund management and third-party alternative assets business activities, which were transferred from CB&S to AWM at the end of 2012. Offering a wide range of traditional and alternative investment products, AWM helps private and institutional investors to secure and increase their wealth. AWM also offers tailored wealth management products and services to ultra high net worth individuals and families.

Corporate Banking&Securities consists of the Markets and Corporate Finance Business Divisions. Markets combines the sales, trading and structuring of a wide range of financial market products, including bonds, equities and equity-linked products, exchange-traded and over-the-counter derivatives, foreign exchange, money market instruments, securitized instruments and commodities.

Corporate Finance is responsible for mergers and acquisitions, including advisory, debt and equity issuance, as well as capital markets coverage of large and mediumsized corporations. Regional and industry-focused teams ensure the delivery of the entire range of financial products and services. Global Transaction Banking serves corporate clients and financial institutions across the globe. Its products and services include domestic and cross-border payments, risk mitigation and international trade finance. GTB also provides trust, agency, depositary, custody and related services. The Non-Core Operations Unit (NCOU) bundles assets and liabilities not related to Deutsche Banks core strategy with a view to accelerating the de-risking process. This will be achieved by coordinating the disposal of these assets across the bank.

Corporate Governance
Effective corporate governance in accordance with high international standards is very important to Deutsche Bank. The essential framework for this is provided, first and foremost, by the German Stock Corporation Act and the German Corporate Governance Code. As the banks share is also listed on the New York Stock Exchange, Deutsche Bank is also subject to the relevant U.S. capital market laws as well as the rules of the Securities and Exchange Commission (SEC) and New York Stock Exchange. The system of corporate governance provides the basis for the responsible management and control of Deutsche Bank, with a focus on sustainable value creation. It has four key elements: good relations with shareholders, effective cooperation between the Management Board and Supervisory Board, a performance-based compensation system with a sustainable and long-term focus, as well as transparent and timely reporting. Deutsche Bank continuously checks its system of corporate governance in light of new events, statutory requirements and domestic and international standards, and makes the appropriate adjustments. A detailed Corporate Governance Report, along with the Corporate Governance Statement for 2012 and other documents on the banks corporate governance, such as the terms of reference for the Management Board, the Supervisory Board and its committees, are available on the internet. Shareholders and the public are regularly kept up to date through the Annual Report, including the Consolidated Financial Statements, as well as the Interim Reports. The reporting of Deutsche Bank Group is in accordance with International Financial Reporting Standards (IFRS). This provides for a high degree of transparency in financial reporting and facilitates comparability with its international peers.

Shareholders
The number of shareholders decreased to 610,964 over the course of 2012. The share of capital held by private investors was 25% at the end of 2012. Institutional investors held 75% of the banks total share capital. Total share capital held in Germany decreased to 45% over the course of the year. Reasons for this included, above all, the transfer of the custody of institutional investors shareholdings from Germany to abroad as well as sales of private shareholders in Germany. Deutsche Bank shares remain almost entirely in free float. Once again, around 99% of the banks shareholders were private investors. BlackRock Inc., New York, which holds 5.14% of its shares, is the only large shareholder whose holdings at the end of 2012 are subject to the statutory reporting threshold of 3%. Deutsche Bank informs its shareholders and analysts regularly about the development of its business and strategy primarily through a toll-free shareholder hotline and the internet portal. On the website, the bank provides all of the companys announcements and financial reports. For many years now, the bank broadcast all major Investor Relations events, as well as the quarterly conference calls and speeches held at the Annual General Meeting, live on the internet. Shareholders have the possibility to register online to participate in the banks Annual General Meeting. Long-term return
2,000

1,500

1,000

500

0 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 Total Return Index, beginning of 1980=100, quarterly figures DAX Deutsche Bank

Source: Datastream

Strengthening its capital base remained the banks top priority in 2012. Its core Tier 1 capital ratio improved further over the course of the year from 9.5% to 11.4%. This is an all-time high, even under the more stringent rules of Basel 2.5, and well above the regulatory minimum requirement. The bank will continue to focus on increasing this capital base even further as part of Strategy 2015+. Deutsche Banks market capitalization increased during 2012 by 3.3 billion to 30.6 billion. The average daily trading volume on Xetra fell by 1.3 million to 7.6 million shares compared to 2011. This decrease more than offset the increase in share price and, consequently, the full-year value of Xetra trading fell from 133 billion to 127 billion in 2012. Nonetheless, the Deutsche Bank share remained the second-most traded share by value among DAX shares on Xetra. On the New York Stock Exchange, the average volume of trading in the banks share decreased by 18% in 2012. The rise of Deutsche Banks share price in 2012 led to an increase in the shares longterm total shareholder return. An investor who bought Deutsche Bank shares for the equivalent of 10,000 at the start of 1980, reinvested dividends and subscribed to capital increases without injecting additional funds would have held a portfolio worth 70,158 at the end of 2012. This corresponds to an average annual return of 6.1 %, while the DAX recorded an increase of 8.6% per annum over the same period. Useful information on the Deutsche Bank share
2012
Change in total return1 Share in equities trading (Xetra)1 2 Average daily trading volume Share price high Share price low Dividend per share ( proposed for 2012 ) 15.03% 5.10% 7.6millionshares 39.50 22.51 0.75 929,499,640 929,183,898 2,379,519,078.40 30.63 billion 32.95 4.61% 1.95%

As of December 31, 2012

Issued shares Outstanding shares Share capital Market capitalization 3 Share price Weighting in the DAX Weighting in the Euro STOXX 50
1 2 3

Share price based on Xetra Order book statistics ( Xetra ) Xetra closing price

Clients
Deutsche Bank is a reliable partner for its clients with a full range of financial solutions suited to their individual needs. Deutsche Bank aims to generate value for its clients. Their interests define the benchmarks for the banks work. Its employees are responsible for finding the best possible solutions in the interests of its clients, and this task has also been incorporated into the management objectives of its distribution and sales organization. The bank attaches great importance to addressing the needs of its retail clients. This entails providing clear, easily understandable advice and transparent products. Deutsche Bank has also reinforced its coverage for medium-sized enterprises and major corporations around the world. PBCs product range includes payment and current account services, investment management and retirement planning, securities as well as loans to private clients and businesses. The bank offers corporate and institutional clients payments processing and corporate finance as well as IPOs and M&A advisory. In addition, the bank has a leading position in international foreign exchange, fixed-income and equities trading. Number of clients (rounded)
2012 Corporate Banking & Securities Global Transaction Banking Asset&Wealth Management Retail Asset Management (Germany/Luxembourg) thereof: in cooperation Institutional Asset Management Wealth Management1 Private&Business Clients thereof: Deutsche Postbank AG
1

2011 18,700 71,700 2,260,000 465,000 2,400 75,800 28,585,000 14,064,000

2010 17,100 64,900 2,225,000 464,000 2,300 79,400 28,787,000 14,150,000

21,400 67,200 2,316,000 552,000 2,400 71,300 28,425,000 14,018,000

Number of relationships excluding Private Client Services (USA), including Sal.Oppenheim

Staff
Deutsche Banks employees are key to the banks success. The expertise and skills of its people are vital to delivering continued business success. The bank can only meet its business objectives if it succeeds in recruiting talented people, retaining them and fostering their development. Deutsche Bank, which operates in 72 countries and includes 136 nationalities among its employees, encourages a culture of diversity among its staff. This enables the bank to meet the varied expectations of its global client base. To foster a culture of responsibility, Deutsche Bank rolled out a set of newly defined Performance Standards in 2012. In addition to rating the actual achievement of targets, how they are achieved is assessed more intensively. In the interests of sustainability and long-term goals, Deutsche Bank also initiated the transition towards a new compensation model. Regional distribution of employees
In percentage at the end of 2012*

18.1%

Asia Pacific Germany

47.1%

10.5%

Americas

24.3%

Europe (excl. Germany, Middle East and Africa)

*Full-time equivalents

Society
Deutsche Bank believes that being economically successful and internationally competitive generates value for its shareholders, clients, employees, and society at large. The bank applies high environmental and social standards to its business to support a sustainable future. Progress and prosperity are driving Deutsche when the bank initiates and supports educational, social, and cultural projects that help people everywhere to fulfill their potential. The bank also encourages its employees to use their skills to benefit others through involvement in community projects and social enterprises that produce lasting change. This is how Deutsche Bank builds social capital. The banks corporate citizenship programs aim to tackle challenges society faces, particularly obstacles to education and personal development. The banks investments help people and communities to help themselves. The bank acts in three major focus areas: its education programs enable talent, its social initiatives create opportunity, and its art&music projects foster creativity. With a total investment of 82.7 million in social and cultural projects, Deutsche Bank and its foundations were again among the worlds most active corporate citizens in 2012. In addition, more than 19,500 Deutsche Bank employees around the world (24% of global staff) participated in community projects, dedicating almost 30,000 days as corporate volunteers. Regional split of global social responsibility investments
Total of 82.7 m. in 2012

11%

Europe
(excl. Germany, UK), Middle East and Africa

Germany

42%

11%

Asia Pacific (incl. Japan)

14%
UK

Americas

22%

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Milestones
1870 Deutsche Bank is founded in Berlin its purpose: to transact banking business of all kinds, in particular to promote and facilitate trade relations between Germany, other European countries, and overseas markets. 1871/72 First branches in Bremen and Hamburg, followed by more branches in, for example, Frankfurt am Main, Munich, Leipzig and Dresden. 1873 Opening of the first European foreign branch in London. from 1880 Deutsche Bank begins to supply industry with loans and capital market products. Foreign investments in North and South America, Eastern Asia, and Turkey. from 1914 As a result of the acquisition of several regional banks, Deutsche Bank establishes a branch network all over Germany. 1929 The biggest ever merger in German banking history creates the Deutsche Bank und Disconto-Gesellschaft. 1937 The company name is changed back to Deutsche Bank. 1945 Closure of Deutsche Banks Berlin Head Office and of all branches in the Soviet-occupied zone. 1947/48 In the Western zones of occupation, Deutsche Bank is decentralized into ten regional institutions. 1952 The so-called Big Banks Act allows the amalgamation of the ten successor institutions into three joint stock companies: Norddeutsche Bank AG, Rheinisch-Westflische Bank AG und Sddeutsche Bank AG. 1957 Re-amalgamation of the three successor banks to form Deutsche Bank AG, a joint stock corporation with its registered office in Frankfurt am Main. 1959 Deutsche Bank enters retail banking by introducing small personal loans. 1989 Acquisition of Morgan Grenfell Group; with this step, Deutsche Bank strengthens its position in the international securities business and expands its presence on the important London capital market. 1999 Acquisition and integration of Bankers Trust in the U.S.A.; Deutsche Bank starts expansion in Middle East and opens a representative office in Abu Dhabi (U.A.E.). 2006 Complete acquisition of the Russian investment bank United Financial Group (UFG) and acquisition of the German norisbank. 2007 Deutsche Bank closes the acquisition of Berliner Bank. 2010 Takeover of Postbank and Sal. Oppenheim in Germany as well as parts of ABN AMRO in the Netherlands.

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A Profile in Figures
The Group at a glance
Share price at period end Share price high Share price low Basic earnings per share Diluted earnings per share Average shares outstanding, in m., basic Average shares outstanding, in m., diluted Return on average shareholders' equity (post-tax) Pre-tax return on average shareholders' equity Pre-tax return on average active equity1 Book value per basic share outstanding Cost/income ratio Compensation ratio Noncompensation ratio 2012 32.95 39.51 22.11 0.25 0.25 934 960 0.4% 1.3% 1.3% 57.37 92.6% 40.1% 52.5% 2011 29.44 48.70 20.79 4.45 4.30 928 957 8.2% 10.2% 10.3% 58.11 78.2% 39.5% 38.7%

in m. Total net revenues Provision for credit losses Total noninterest expenses Income before income taxes Net income

2012 33,741 1,721 31,236 784 291

2011 33,228 1,839 25,999 5,390 4,326

in bn. Total assets Shareholders equity Core Tier1 capital ratio Tier1 capital ratio

Dec 31, 2012 2,012 54.0 11.4% 15.1%

Dec 31, 2011 2,164 53.4 9.5% 12.9%

Number Branches thereof in Germany Employees (full-time equivalent) thereof in Germany

Dec 31, 2012 2,984 1,944 98,219 46,308

Dec 31, 2011 3,078 2,039 100,996 47,323

Long-term rating
Moodys Investors Service Standard&Poors Fitch Ratings Dates and figures as of December 31, 2012

Dec 31, 2012 A2 A+ A+

Dec 31, 2011 Aa3 A+ A+

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We aspire to be the leading client-centric global universal bank

We serve shareholders best by putting our clients first and by building a global network of balanced businesses underpinned by strong capital and liquidity. We value our German roots and remain dedicated to our global presence. We commit to a culture that aligns risks and rewards, attracts and develops talented individuals, fosters teamwork and partnership and is sensitive to the society in which we operate.

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Further information on the internet: https://www.db.com 003 72020 02 5/13