Deutsche Bank Streamlines Mortgage Business: Report

Deutsche Bank AG DB is reportedly streamlining its mortgage unit, which may result in job cuts through attrition and reassignments. 

The company is currently identifying ways to trim expenditure through job cuts, Reuters reported, citing a note from the German newspaper Handelsblatt.

Germany's largest lender is bearing the brunt of macroeconomic issues like interest rates and inflation, which have "fundamentally changed the mortgage market," mentioned the report. 

In its Q1 results, Deutsche Bank discussed its intentions of incremental cost savings of €2.5 billion, up from €2.0 billion through non-client-facing staff reduction and simplifying the mortgage platform.

"We have further developed our mortgage financing strategy and will set up our business field more efficiently, faster and also more cost-effectively," the sources said to Handelsblatt, noted Reuters.

The mortgage businesses - currently operating under the three brands DSL, BHW, and Deutsche Bank - will be managed uniformly in the future.

Also Read: Deutsche Bank Gears Up For Biggest Expansions In Investment Banking Space Post Credit Suisse Crumble

Price Action: DB shares are trading lower by 0.71% to $10.49 on the last check Wednesday.