Deutsche CEO says no asset management sale as seeks to rally staff

Mon Sep 12, 2016 9:39am EDT
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By Arno Schuetze

FRANKFURT (Reuters) - Deutsche Bank (DBKGn.DE: Quote) has no plans to sell its asset management business, its chief executive said in a letter to employees in which he called for them to focus on solving the German lender's problems.

"Deutsche Asset Management is and will remain an essential part of our business model," John Cryan said in the letter, which was published on the bank's website on Monday.

Recent reports had said that Deutsche's management was considering a sale of the asset management business.

"Do not allow yourself to become distracted by speculation about alleged mergers or sales plans," Cryan said, adding "We have enough on our plate to solve on our own, and we intend to concentrate on this for now."

Deutsche's shares were down 3.0 percent at 13.24 euros at 1320 GMT, underperforming in a weaker market.

Speculation about Deutsche has been stoked by news that its top executives held talks with rival Commerzbank on a potential combination in August, but shelved the project as they first want to complete their restructurings, sources close to the matter have said.

While Cryan said that the bank was making progress with cleaning up the sins of the past and with cutting jobs, Deutsche Bank staff should also look ahead.

"Our work is not just about pursuing restructuring", he said, warning that a particularly cautious approach or a hierarchical mindset of some staff may prevent progress.   Continued...

A Deutsche Bank logo adorns a wall at the company's headquarters in Frankfurt, Germany June 9, 2015. REUTERS/Ralph Orlowski/File Photo