Deutsche Bank Trims Private Banking Roles in Asia

Deutsche Bank has undergone a reduction of 10 private banking positions in Asia over the past week, contributing to a larger trend of cuts witnessed in recent quarters. The move comes as the bank redirects its focus towards more profitable markets and streamlines its workforce, according to sources familiar with the matter.

Sources, who opted for anonymity as the information is confidential, revealed that approximately 60 roles were eliminated in Singapore and Hong Kong within the past year. Among those affected are relationship managers who joined from Credit Suisse for Greater China last year, along with employees in various product and supporting capacities.

The contraction in China’s economy has resulted in subdued revenues for many wealth managers operating in the region after a period of rapid expansion. UBS Group, for instance, announced the reduction of about 70 positions earlier this year, primarily in Hong Kong and Singapore.

As of 2022, Deutsche Bank’s relationship manager headcount in Asia was reported at 241, according to Asian Private Banker’s ranking. However, the bank declined to comment on the recent developments.

Global banks are downsizing roles catering to China’s affluent clientele following a decline in capital-market activities and a downturn in stocks, which has redirected investor attention towards burgeoning markets like India and Japan.

At Deutsche Bank, the departure of many private bankers can be attributed to performance-related reasons or to accommodate new roles emerging in other markets, notably in the Middle East, as indicated by some insiders.

Claudio De Sanctis, the bank’s global wealth head, who was appointed to the management board last year, is spearheading efforts to expand operations in various Middle Eastern locations and enhance revenues from Southeast Asia. In September, De Sanctis bolstered the bank’s presence by onboarding a team of 10 Credit Suisse bankers primarily based in Dubai.