‘Something is VERY broken’ Deutsche Bank at DANGER level that could SMASH markets

GERMANY’S biggest bank is in more trouble than people even think and could drag down some of Europe’s biggest lenders to trigger a market meltdown, according to a hedge fund manager who is betting against the firm.

Deutsche Bank is dangerously underfunded, highly indebted, and people are oblivious, according to Brad Lamensdorf who runs the Ranger Equity Bear ETF.

Speaking exclusively to Express.co.uk, the US-based investor and trading strategist warned: “Deutsche is in more trouble than people realise.”

The bank’s share price is now trading at lower levels than it was at the height of the financial crisis in 2008.

Mr Lamensdorf added: “It suggests something is very very broken.”

At the moment stock markets in the US are at record highs, while in British and German markets are also enjoying a good run.

But Mr Lamensdorf questioned what would happen to Deutsche – one of Germany’s largest lenders – if if there was a market correction of between 5 and 10 per cent.

He said the firm is currently “very fragile in a very stable market”.

It is also worrying that Deutsche agreed to sell its prized wealth management business Alex Brown at the end of last year, according to the Mr Lamensdorf.

He said: “Why would you sell your crown jewel if you weren’t in trouble?”

Full article: ‘Something is VERY broken’ Deutsche Bank at DANGER level that could SMASH markets (Express)

Comments are closed.