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Bloomberg reported that Deutsche Bank AG (NYSE:DB) will no longer engage in physical precious metals trading. The firm is scaling back its securities unit in an effort to improve returns.
Bloomberg reported that Deutsche Bank AG (NYSE:DB) will no longer engage in physical precious metals trading. The firm is scaling back its securities unit in an effort to improve returns.
The move is expected to result in the loss of less than five jobs.
As quoted in the market news:
Some parts of the business may be shifted to other units of Deutsche Bank and the firm will continue to trade derivatives linked to precious metals, a London-based spokesman for the bank said in a statement today.
Global banks are exiting or paring back their commodities arms as regulators order them to increase buffers for potential trading losses and avoid a repeat of taxpayer-funded rescues. Deutsche Bank’s move is part of an overhaul of its securities unit to help boost profitability and increase the proportion of capital on its balance sheet by shrinking assets