Deutsche shareholders criticise leadership shakeup
During its annual general meeting taking place today, Deutsche Bank’s leadership announced a shift of power towards co-chief executive Anshu Jain. The move faced criticism from its shareholders.
Jain will assume responsibility on the Management Board for Strategy & Organizational Development, the unit which will manage delivery of transforming the bank’s operating model to decisively boost efficiency, and which had previously reported to CFO Stefan Krause.
The reshuffle was not well received by investors, who criticised Jain for his performance. Hans Christoph Hirt, a director at shareholder advisor Hermes Equity Ownership services argued as a result of the announcement that Hermes had “no longer confidence in the management of the board”, as Reuters reports. Hermes had previously called for an overhaul of Deutsche’s leadership.
The reshuffle reinforces the role of Stefan Krause, who played a key role in Deutsche’s new strategic plan, Strategie 2020.Krause is set to responsibility on the Management Board for Global Transaction Banking (GTB) from Jain and for the Non-Core Operations Unit (NCOU) from co-CEO Jürgen Fitschen.
In addition Deutsche intends for Krause to join the Supervisory Board of Postbank and become its chairman subject to governance approval.