{"id":56650,"date":"2016-09-30T00:46:07","date_gmt":"2016-09-29T22:46:07","guid":{"rendered":"http:\/\/beta.next-finance.net\/news\/state-aid-rumors-haunt-deutsche-bank-amid-capital-fears\/"},"modified":"2019-12-31T01:08:14","modified_gmt":"2019-12-31T00:08:14","slug":"state-aid-rumors-haunt-deutsche-bank-amid-capital-fears","status":"publish","type":"post","link":"http:\/\/beta.next-finance.net\/en\/news\/state-aid-rumors-haunt-deutsche-bank-amid-capital-fears\/","title":{"rendered":"State aid rumors haunt Deutsche Bank amid capital fears"},"content":{"rendered":"<p>Prompted by the U.S. Department of Justice demanded $14 billion to settle legal action over mortgage securities, market concern over Deutsche Bank&#8217;s capital and earnings has spilled over into rumors about a state-led rescue. The bank and the German government have issued several rounds of denials, the latest after Die Zeit claimed Sept. 28 that work was underway on a rescue plan that potentially includes fresh capital for the bank. <\/p>\n<p>There is no doubt, however, that Deutsche Bank is struggling. Its results for the past several years show weakening equity, high leverage and a poor earnings record, and the gap between recent performance and the bank&#8217;s targets looks considerable. <\/p>\n<p><a href=\"http:\/\/www.next-finance.net\/http:\/\/beta.next-finance.net\/wp-content\/uploads\/2016\/09\/deutsche_bank_performances_actuals_estimates_and_targets.jpg\"><img loading=\"lazy\" class=\" aligncenter size-full wp-image-56648\" src=\"IMG\/jpg\/deutsche_bank_performances_actuals_estimates_and_targets.jpg\" alt=\"deutsche_bank_performances_actuals_estimates_and_targets.jpg\" align=\"center\" width=\"561\" height=\"233\" \/><\/a><\/p>\n<p>Consensus estimates for full year 2017 suggest that Deutsche Bank&#8217;s common equity Tier 1 ratio will come close to its 2018 target thanks in part to a reduction in risk-weighted assets, but they foresee weak returns around 4% \u2014 and downgrades cannot be ruled out.<\/p>\n<p>The bank&#8217;s shares have more than halved in value in 2016, and its market capitalization has fallen below \u20ac15 billion.<div id='gallery-1' class='gallery galleryid-56650 gallery-columns-3 gallery-size-herald-lay-c1'><figure class='gallery-item'>\n\t\t\t<div class='gallery-icon landscape'>\n\t\t\t\t<a class=\"herald-popup\" href='http:\/\/beta.next-finance.net\/wp-content\/uploads\/2016\/09\/deutsche_bank_performances_actuals_estimates_and_targets.jpg'><img width=\"470\" height=\"233\" src=\"http:\/\/beta.next-finance.net\/wp-content\/uploads\/2016\/09\/deutsche_bank_performances_actuals_estimates_and_targets-470x233.jpg\" class=\"attachment-herald-lay-c1 size-herald-lay-c1\" alt=\"\" loading=\"lazy\" \/><\/a>\n\t\t\t<\/div><\/figure>\n\t\t<\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>As rumors of German state intervention grow, Deutsche Bank AG is struggling to meet its capital and earnings targets, figures from S&#038;P Global Market Intelligence show.<\/p>\n","protected":false},"author":20,"featured_media":56648,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1470],"tags":[1671,1968,1437,1706,2103],"_links":{"self":[{"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/posts\/56650"}],"collection":[{"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/users\/20"}],"replies":[{"embeddable":true,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/comments?post=56650"}],"version-history":[{"count":1,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/posts\/56650\/revisions"}],"predecessor-version":[{"id":56651,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/posts\/56650\/revisions\/56651"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/media\/56648"}],"wp:attachment":[{"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/media?parent=56650"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/categories?post=56650"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/beta.next-finance.net\/en\/wp-json\/wp\/v2\/tags?post=56650"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}