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|About 18,000 Deutsche Bank employees will lose their jobs|
The Germany-based bank has just surprised the world by announcing to stop its business in global stocks. About 18,000 staff of the bank will be made redundant to save €7.4 billion ($829.1 million) annually.
Accordingly, its €74 billion ($82.9 billion) risk assets (mainly stocks) will be transferred to another branch and its financial reserves will be cut to minimise impacts on shareholders. Thus, Deutsche Bank will not just throw out its tremendous stock holdings, they will go to the other branch to make Deutsche Bank's balance sheet nicer.
In Vietnam, the bank is the investment management company of FTSE Vietnam Exchange-Traded Fund (ETF) – the second-biggest ETF in the local security market with the valuation of $300 million. The fund’s benchmark is the FTSE Vietnam Index, which has issued net fund certificates worth $30 million since early 2019.
This news raises the hope that the bank’s huge holding of local stocks will be transferred to related companies, and not bargained away like its DWS Vietnam Fund three years ago.
Specifically, Deutsche Bank was the investment management company of DWS Vietnam Fund. However, in 2016, the bank withdrew from the fund and Duxton Asset Management has become its new investment management company and changed its name to Vietnam Phoenix Fund Ltd.