Deutsche Bank is targeting more than 13% return on tangible equity by 2028, with CFO Raja Akram saying the lender has started its 2028 strategy cycle strongly on the back of a record first half and return on tangible equity close to 12%. Wealth management and the Corporate Bank are the key growth drivers: wealth revenue rose almost 8% with EUR 60 billion in net new assets in the first half, while the Corporate Bank is expected to exit the year with mid-single-digit or better revenue growth after its expected turnaround began in the second quarter. Akram said the bank's EUR 14 billion net interest income guidance would likely be slightly better given the rate environment, though the benefits of higher rates will emerge gradually because of the structural hedge and should be greater in 2027 and 2028. Deutsche Bank has cut its higher-risk commercial real estate exposure by nearly 40% to 50% from the start of the cycle and reaffirmed a near-term CET1 target range of 13.5% to 14%, with excess capital distributions prioritized once the ratio is sustainably above 14%. The bank raised its capital distribution target to 60% from 50% and has completed EUR 1.5 billion of distributions so far this year, including EUR 1 billion completed at the beginning of the year.
Deutsche Bank AktiengesellschaftDeutsche Bank targets >13% RoTE by 2028, raised its capital distribution target to 60% from 50%, and reaffirmed CET1 goals after a record first half.
