Disliked{quote} not if you have a total exposure of 75 trillion in Derivates and have no cash reserves. A hike effectively means, Money flows back from Equities into Cash, means Derivates down. Deutsche has some of the largest exposures in Futures markets and has less than 0.0015% in cash reserve to back customer money. It is not about the "bank to customer" business, it is about how they are positioned and exposed in the markets. Their Stock trades at extremely dangerous levels and it doesn't take much to crash them. Remember Lehman? Deutsche is like Lehman...Ignored
ad 1) the total exposure in derivatives is irrelevant, the net exposure is the number to look at.
ad 2) there are many more derivatives than just equity derivatives, so a rate hike does not effect the whole derivatives book in the same way.
ad 3) cash to customer money is irrelevant, please find the real numbers here:
Attached File(s)
Deutsche_Bank_Geschaeftsbericht_2017 (1).pdf
5.1 MB
|
359 downloads
ad 4) right, 514000 made new all time lows - i bought.
ad 5) yes, i remember lehman. yes, all banks are linked. but european advisors and german politicians are not that dumb like the american counterparts at that time. db is too big to fail.
ad 6) db like any other bank with a big loan book needs an ascending interest cuvre to make the business model running. so rate hikes are good for db. q.e.d.
sorry ata...
fortis fortuna adiuvat
5