Deutsche Bank (DBK) Morgan Stanley European Financials Conference 2026 summary

Strategic outlook and growth targets

• Confident in achieving and potentially exceeding 13% RoTE by 2028, building on a track record of surpassing targets.

• Revenue growth in Germany is a key focus, with €2 billion of €5 billion targeted growth expected from the domestic market.

• Corporate bank aims for 8% revenue CAGR, supported by investments in cash management, fee businesses, and new client onboarding.

• Private bank targets over 18% RoTE by 2028, leveraging deposit growth, investment business, cost reduction, and digitalization.

• 2026 will be an investment year, but cost discipline remains central, with positive operating leverage and improved RoTE expected.

Market environment and regulatory landscape

• Geopolitical volatility and energy prices add uncertainty, but long-term growth outlook for Germany remains unchanged.

• European regulatory discussions are constructive, with progress expected on securitization and market integration packages by mid-year.

• Advocates freezing current capital requirements to support profitability and competitiveness of European banks.

• Sees increased willingness from EU and ECB to engage on regulatory issues and level the playing field with US banks.

Risk management and credit exposure

• AI disruption risk is actively managed through industry-focused credit analysis and early identification of sector winners and laggards.

• Loan loss provisions expected to trend down, with commercial real estate losses peaking in 2025 and private credit exposure well diversified and managed.

• Private credit is not seen as a systemic risk; underwriting standards and diversification are emphasized.

• Cyber risk is a growing focus, especially amid heightened geopolitical tensions.