Deutsche Bank plans to expand aggressively its equity capital markets and merger advisory footprint in Asia to help power regional revenues above €4bn ($5.5bn) by 2011, according to the bank's top executive in the region.
The move forms part of growth targets designed to broaden the European bank's regional platform, which is strongest in areas such as foreign exchange and derivatives trading.
In his first interview since taking over last June as chief executive of the bank's regional operations, Robert Rankin told the Financial Times that he possessed a strong mandate to expand its key business units.
“We think we can materially take market share and grow at a rate in excess of our competitors,” he said.
Deutsche Bank reported regional revenues of €2bn in 2008, or 18 per cent of the group total.
The bank last week reported net income for 2009 of €5bn but did not break out regional numbers.
Deutsche Bank operates in 17 Asian countries, owns coveted licences in China and India and maintained its regional headcount at 18,000 last year while some rivals cut staff levels by 25 per cent.
Mr Rankin did not specify a hiring target but pledged “to acquire the talent we need in ‘must-win' areas that are consistent with us being a top three investment bank”.
However, he cautioned that the bank would be watchful about importing too many of the rising numbers of bankers from London and New York seeking to relocate to a more benign regulatory environment.
“The graveyard is full of northern hemisphere bankers who came out to Asia and haven't made it,” said Mr Rankin, previously head of investment banking at UBS in Asia-Pacific.
The bank's regional business is underpinned by its global markets division, which spans foreign exchange, bond issuance and credit and derivatives trading, where revenues are up 70 per cent since 2005.
However, Deutsche Bank trails its global investment banking rivals in potentially lucrative areas such as arranging stock market listings and advising on mergers and acquisitions.
According to Dealogic, the data provider, the bank did not rank in the top six in last year's regional league tables for equity capital markets or M&A.
However, Deutsche Bank has recently clinched several prestigious mandates including a lead role advising on this year's expected $10bn-plus Hong Kong listing of American International Group's regional insurance operations.
Mr Rankin said the bank's private wealth management division and its transaction banking unit, which helps companies manage their cash balances, each aimed to double revenues over the next three years.
Deutsche Bank also plans to open more retail branches in India and China, as well as develop its three joint ventures in mainland China that span asset management, stock market listings and retail banking.
