Deutsche Bank could transfer assets from London to Frankfurt
The German financial institution, Deutsche Bank, is reportedly considering relocating large volumes of assets from the UK to Germany.
According to sources, the bank is looking to move the assets from the UK’s capital, London, to its headquarters in Frankfurt, Reuters reported.
The plan follows the UK’s decision to leave the European Union (EU), which is anticipated to happen in 2019.
Deutsche Bank is also expected to reduce the size of its operations in the UK, as well as make the unit a ringfenced arm.
The firm currently has around €600bn (US$699bn) in capital based in London. According to the Financial Times, the company may be moving as much as three quarters of the capital to Frankfurt.
The Financial Times also reported that the bank is considering shrinking its balance sheet in London, aiming to make it smaller the firm’s US holding company’s US$145bn assets.
It is anticipated that the process of transferring the total assets would take between three and five years, if not more.