Deutsche Bank AG · XETR:DBK
Deutsche Bank — Investor Day (September 2003)
26 slides from Deutsche Bank's investor day presentation, Sep 4, 2003
Slide 1: Deutsche Bank Investor Day, London, 4 September 2003
Tom Hughes Head of Asset Management Member of the Group Executive Committee Deutsche Bank Investor Day London, 4 September 2003
Slide 2: Asset Management Executive Committee
Asset Management Executive Committee Tom Hughes Debbie Flickinger Chief of Staff William Shiebler Paul Manduca James Goulding CEO CEO CEO North America Europe Asia-Pacific Josh Weinreich Absolute Return Strategies Don King Real Estate Charles Mangano Marketing / Communications Investor Day · Septemb
Slide 3: 3-point strategy for success
3-point strategy for success 1 Strict capital usage and cost management 2 Increase asset gathering capabilities 3 Focused investment performance Investor Day · September 2003 · 3
Slide 4: 3-point strategy for success
3-point strategy for success 1 Strict capital usage and cost management 2 Increase asset gathering capabilities 3 Focused investment performance Investor Day · September 2003 · 4
Slide 5: Speedy and disciplined execution of strategy
Speedy and disciplined execution of strategy 2001 2002 2003 Partnership Acquisition of Outsourcing Sale of Out- S&P Fund with DVAG ZFS’s German of US Passive sourcing Awards for and Italian AM transfer Asset of fund best business agency Manage- operations performing ment in the U.S. mutual fund comp
Slide 6: Asset Management invested assets
Asset Management invested assets In EUR bn 30 June 2002 1000 30 June 2003 Change in % 803 (based on EUR) 800 598 600 400 200 1 (25) (19) (19) (4) (11) (9) (26) (14) (18) (22) 2 (9) 0 BCS JPM MER C AC UBS MWD CS AVZ GS BNP FT Source: Company data Investor Day · September 2003 · 6
Slide 7: Asset Management revenues
Asset Management revenues Underlying revenues, in EUR bn 1H2002 2.0 1H2003 Change in % (based on EUR) 1.5 1.2 1.1 1.0 0.5 (28) (18) 9 (29) (32) (20) (34) (37) (31) (6) (11) (55) (3) 0 JPM FT AC MWD GS AVZ MER C BNP UBS CS * BCS * CSFB Financial services; decrease mainly due to sale of Pershing Sourc
Slide 8: Successful streamlining and restructuring of Asset Management
Successful streamlining and restructuring of Asset Management Promised Delivered Headcount reduction By June 2003 ~ ~ 3,200 target 1,500 headcount reduced Annualised cumulative Run rate savings target savings are about EUR 400m EUR 800m Investor Day · September 2003 · 8
Slide 9: 3-point strategy for success
3-point strategy for success 1 Strict capital usage and cost management 2 Increase asset gathering capabilities 3 Focused investment performance Investor Day · September 2003 · 9
Slide 10: Well balanced and diversified asset mix
Well balanced and diversified asset mix Invested assets 31 December 2002 regional mix 30 June 2003 regional mix Global U.S. U.S. Passive 40% 14% 42% 40% 51% 6% 7% Asia Asia Europe Europe 31 December 2002 business mix 30 June 2003 business mix Mutual funds Alternative Alternative Mutual funds 34% 7%
Slide 11: Scudder Investments: No. 16 in Assets under Management in the U.S.
Scudder Investments: No. 16 in Assets under Management in the U.S. As of 30 June 2003, all channel long-term and short-term assets, in USD bn 700 600 500 400 300 200 93 100 0 ts M ab s am li ty s s rd n h ice d s s y s nu t Fe on s fu en ga nts AI nd gm nd ee nc te nd nle nd ua nd hw de ey tn Pr Ja
Slide 12: Scudder Investments: No. 14 in new sales in the U.S.
Scudder Investments: No. 14 in new sales in the U.S. As of 30 June 2003, Top 15 fund families by sales market share non-proprietary channel American Funds 28.0% 22.8 Franklin Templeton 10.4% 8.5 PIMCO Funds 7.7% 6.3 Oppenheimer Funds 5.1% 4.2 Putnam 5.0% 4.1 MFS 4.6% 3.8 AIM Management 4.2% 3.4 Van
Slide 13: Scudder Investments: A strong distribution platform
Scudder Investments: A strong distribution platform Rank Rank (as of (as of 30 June 30 June Wirehouses 2003) 2002) Focused approach to develop deep Deutsche Bank Securities Inc. 1 7 relationships at top tier firms Morgan Stanley/Dean Witter Reynolds 8 12 Merrill Lynch 21 33 Intermediary focus on
Slide 14: Scudder: Wholesaler productivity gains
Scudder: Wholesaler productivity gains Scudder wholesaler productivity # of Productivity per # of Productivity per % increase in wholesalers wholesaler wholesalers wholesaler* productivity (2002) (net sales 2002) (2003E) (net sales 2003E) 61 USD 90m 73 USD 125m 39% * Source: SHAARK Investor Day · Se
Slide 15: DWS Investments: Europe's No.1 retail fund manager
DWS Investments: Europe’s No.1 retail fund manager Ranking of mutual fund managers in Europe by invested assets, in EUR bn 140 120 115 100 80 60 40 20 0 no e as e on ts a AM I r i BS ol c M de al ek en lia aB ib ni ic -I ér U AD an D r U r Ita m Pa s én Ag lo te nt st o ito G In ve Sa P t Pa di BN d
Slide 16: DWS Investments continues to expand European presence
DWS Investments continues to expand European presence DWS Investment Funds Ltd (UK) DWS Group (Germany)(1) Assets EUR 2.6 bn Market share 0.9%(3) Assets EUR 91.4 bn (2) Market share 24.7%(3) Deutsche Asset Management Ltd. (The Netherlands) Assets EUR 0.3 bn DWS Polska TFI S.A. (Poland) Market share
Slide 17: RREEF completes our global real estate investment offering
RREEF completes our global real estate investment offering Geographic fit Investment Asia / North Risk / Return Europe Global products Australia America Portfolio diversification higher risk / DB DB DB High-Yield higher return Real Estate Real Estate Real Estate 9 DB DB Securities Real Estate Real E
Slide 18: 3-point strategy for success
3-point strategy for success 1 Strict capital usage and cost management 2 Increase asset gathering capabilities 3 Focused investment performance Investor Day · September 2003 · 18
Slide 19: Empowered Asset Management Global Investment Committee
Empowered Asset Management Global Investment Committee Comprised of 8 members Global investment capabilities Global research Regional execution and accountability Higher highs, higher lows Investor Day · September 2003 · 19
Slide 20: Percentage of mutual funds outperforming peer median
Percentage of mutual funds outperforming peer median 1 year 3 years 5 years Equity funds Equal-weighted 62% 61% 64% Asset-weighted 63% 72% 69% Fixed income funds Equal-weighted 58% 65% 73% Asset-weighted 57% 68% 74% Source: Micropal, Lipper Investor Day · September 2003 · 20
Slide 21: Performance awards - DWS in Germany and abroad
Performance awards - DWS in Germany and abroad DMEuro / Standard & "Best performing mutual fund company” Poor’s Fund Awards 2003: for 5 and 10 years 1998: for 3 and 5 years (Germany) 2002: for 5 and 10 years 1997: for 3 and 5 years 2001: for 5 years 1996: for 1, 3 and 5 years 2000: for 1 and 5 years
Slide 22: Performance awards - DWS in Germany and abroad (cont.)
Performance awards - DWS in Germany and abroad (cont.) S&P Fund Awards "Best performing mutual fund company” (France) 2003: for 5 years 2002: for 5 years 2001: for 5 years 2000: for 1, 5 and 10 years 1998: for 5 years S&P Fund Awards "Best performing mutual fund company” (Switzerland) 2003: for 5 an
Slide 23: Performance awards - Scudder Investments
Performance awards - Scudder Investments Dalbar Awards Intermediary Shareholder Services Intermediary Sales Support 1999-Key Honors distinction 2002-Intermediary Service Award 1998-Mutual Fund Service Award 2001-Intermediary Service Award 1996-Mutual Fund Service Award 2000-Intermediary Service Awar
Slide 24: Conclusion – a strong 3-point strategy for growth
Conclusion – a strong 3-point strategy for growth Strict capital usage and cost management 1 Greater discipline on capital usage for all fund activities Eliminate / reduce non-core businesses and activities Increase asset gathering capabilities 2 Expand and upgrade of sales force Cultivate s
Slide 25: Asset Management's mission
Asset Management’s mission To be the most trusted and client centered Investment Management and Advisory Company in the world Investor Day · September 2003 · 25
Slide 26: Cautionary statement regarding forward-looking statements and non-U.S. GAAP financial measures
Cautionary statement regarding forward-looking statements and non-U.S. GAAP financial measures This presentation contains forward-looking statements. Forward-looking statements are statements that are not historical facts, including statements about our beliefs and expectations. Any statement in thi