Deutsche names Anshu Jain co-CEO

Jain: New role

Frankfurt, July 26 (Reuters): Deutsche Bank crowned India-born investment banking chief Anshu Jain and German banker Juergen Fitschen co-chief executives on Monday, ending a drawn-out succession process.

Jain, the 48-year-old head of investment banking, will take over from Josef Ackermann in May 2012, and will rule alongside Fitschen, the 62-year-old German chief who has been with the Frankfurt-based bank for the past 24 years.

Jain got the top job because his department has consistently delivered up to 85 per cent of group profit and frequently outperformed peers in challenging market conditions.

The London-based banker with a background in trading could eventually become sole chief as the lender said his contract would be extended by five years till March 31. 2017, while Fitschen’s contract will expire almost two years before that.

Jain, an avid wildlife photographer, has built a loyal following among staff known internally as “Anshu’s army” to describe the legion of traders placing bets on rates, currencies, commodities, debt and equities.

The father of two keeps a low profile. Unlike Ackermann who tends to travel with an entourage of press people and bodyguards, Jain is often seen strolling into conferences alone, sporting a small backpack containing a few presentations or his iPad.

He freely admits that most global investment banks follow very similar strategies and operate in the same, often crowded, markets but is quick to point out Deutsche Bank’s advantages. “Execution, execution, execution,” he says, often chopping the air with an outstretched palm to emphasise his point.

Jain’s — and Deutsche Bank’s — strength come from his ability to retain staff at the investment bank, a key factor in maintaining market share.

Most of the top 15 investment bankers at Deutsche have been there for more than a decade, sparing the lender the kind of management disruption that has dogged rivals such as UBS, Merrill Lynch and others after the financial crisis.

Jain, who joined Deutsche Bank in 1995 from Merrill Lynch, worked his way up to become Deutsche’s highest paid board member, earning 12 million euros ($17.2 million) for his performance in 2010. That topped the 8.99 million euros awarded to Ackermann.

Jain has also been careful to strike a conciliatory note toward regulators and politicians, even though Deutsche Bank did not require a bailout during the financial crisis.

“Investment banks, just like regulators and governments, have to accept that some of their activities contributed to the crisis,” Jain said in Frankfurt last year.