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24. November 2011     Print Print 

Deutsche Bank may sell RREEF real estate business

Deutsche Bank is currently considering a reshuffle of its asset management business, including a possible sale of the RREEF real estate arm. The bank said regulatory hurdles have increased and competition in asset management has become stiffer. Therefore, all strategic option shall be explored to restructure the whole business area. Only the DWS investment fund business in Europe and Asia as well as the Private Wealth Management segment will definitely be kept inside the group. All other businesses within the asset management area will be tested for a potential disposal. This includes the US investment fund business (about 40 billion Euros in assets under management), the RREEF real estate activities (46 billion), Deutsche Insurance Asset Management (150 billion), and DB Advisors (162 billion), which focuses on institutional clients other than insurance companies. Due to the financial crisis, Deutsche Bank’s Asset Management had to digest about 17 billion of asset outflows since spring 2011.


Kevin Parker, Global Head of Asset Management and a member of the Deutsche Bank Group Executive Committee, said: “The outcome of this review will be driven first and foremost by our fiduciary duty to, and the interests of, our clients. Our aim is to find the best strategic option to maximize the performance and potential of the Asset Management division.”