Deutsche Bank Taps Richard Stewart for Group Treasurer Position

Germany-based Deutsche Bank has doubled the capacity of Richard Stewart by appointing him as the Group Treasurer of the multinational investment bank.

Stewart is currently the Head of the Capital Release Unit of Deutsche Bank and reports to Rebecca Short, the bank’s Chief Transformation Officer.

However, in his new role, which will take effect next Monday September 19, he will report to James von Moltke, the bank’s Chief Financial Officer (CFO).

von Moltke in a statement from Deutsche Bank praised the executive for his contribution to the investment company’s transformation.

The CFO also expressed confidence in Stewart’s qualification for the role and lauded his experience and achievements in capital and balance sheet management.

“Under Richard’s leadership, the Capital Release Unit continued to reduce leverage Leverage In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders need to rely on leverage to make financial trading viable. Generally, the higher the fluctuation of an instrument, the larger the potential leverage offered by brokers. The market which offers the most leverage is undoubtedly the foreign exchange market, since currency fluctuations are relatively tiny. Of course, traders can select their account leverage, which usually varies from 1:50 to 1:200 on most forex brokers, although many brokers now offer up to 1:500 leverage, meaning for every 1 unit of currency deposited by the trader, they can control up to 500 units of that same currency. For example, if a trader was to deposit $1000 into a forex broker offering 500:1 leverage, it would mean the trader could control up to five hundred times their initial outlay, i.e. half a million dollars. Likewise, if an investor using a 1:200 leveraged account, was trading with $2000, it means they would be actually controlling $400,000, i.e. borrowing an additional $398,000 from the broker. Assuming this investment rises to $402,000 and the trader closes their trade, it means they would have achieved a 100% ROI by pocketing $2000. With leverage, the potential for profit is clear to see. Likewise, it also gives rise to the possibility of losing a much greater amount of their capital, because, had the value of the asset turned against the trader, they could have lost their entire investment.FX Regulators Clamp Down on Leverage Offered by BrokersBack in multiple regulators including the United Kingdom’s Financial Conduct Authority (FCA) took material measures to protect retail clients trading rolling spot forex and contracts for difference (CFDs). The measures followed after years of discussion and the result of a study which showed the vast majority of retail brokerage clients were losing money. The regulations stipulated a leverage cap of 1:50 with newer clients being limited to 1:25 leverage. In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders need to rely on leverage to make financial trading viable. Generally, the higher the fluctuation of an instrument, the larger the potential leverage offered by brokers. The market which offers the most leverage is undoubtedly the foreign exchange market, since currency fluctuations are relatively tiny. Of course, traders can select their account leverage, which usually varies from 1:50 to 1:200 on most forex brokers, although many brokers now offer up to 1:500 leverage, meaning for every 1 unit of currency deposited by the trader, they can control up to 500 units of that same currency. For example, if a trader was to deposit $1000 into a forex broker offering 500:1 leverage, it would mean the trader could control up to five hundred times their initial outlay, i.e. half a million dollars. Likewise, if an investor using a 1:200 leveraged account, was trading with $2000, it means they would be actually controlling $400,000, i.e. borrowing an additional $398,000 from the broker. Assuming this investment rises to $402,000 and the trader closes their trade, it means they would have achieved a 100% ROI by pocketing $2000. With leverage, the potential for profit is clear to see. Likewise, it also gives rise to the possibility of losing a much greater amount of their capital, because, had the value of the asset turned against the trader, they could have lost their entire investment.FX Regulators Clamp Down on Leverage Offered by BrokersBack in multiple regulators including the United Kingdom’s Financial Conduct Authority (FCA) took material measures to protect retail clients trading rolling spot forex and contracts for difference (CFDs). The measures followed after years of discussion and the result of a study which showed the vast majority of retail brokerage clients were losing money. The regulations stipulated a leverage cap of 1:50 with newer clients being limited to 1:25 leverage. Read this Term exposure and risk weighted assets, freeing up capital from non-strategic activities, while simultaneously delivering substantial cost reductions,” von Moltke said on Stewart's experience in his current role.

Speaking on his appointment, Stewart noted that he was looking forward to building on the successes the team has achieved in the past few years.

“Treasury has played a vital role in supporting Deutsche Bank’s transformation agenda, delivering capital and balance sheet strength, achieving significant improvements in resource efficiency and cost of funding as well as completing a string of successful capital market issuances. This gives us a strong platform for the future,” he explained.

Recent Moves

In March, Deutsche Bank promoted von Moltke, who still serves as the CFO, to the position of President. He acts in the capacity of President alongside Karl von Rohr.

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“James von Moltke has done outstanding work as a CFO over the past five years and has played an important role in the successful transformation of Deutsche Bank,” said Paul Achleitner, the Chairman of the Deutsche Bank Supervisory Board, said on von Moltke's promotion.

Meanwhile, Asoka Woehrmann, the Chief Executive Officer of DWS Group, a German asset manager and Deutsche Bank subsidiary, resigned his position in June.

This followed allegations that the group was engaging in ‘greenwashing’ by exaggerating the sustainable credentials of certain funds it had sold.