Deutsche Bank plans radical overhaul with €50bn hived off to 'bad bank' – reports

The struggling German lender will move poorly performing assets and drastically shrink its investment banking arm, the FT says

Deutsche Bank has drawn up plans for a radical restructuring which will involve the creation of a "bad bank" to hold tens of billions of euros of toxic assets and a round of severe cuts to its investment banking operations, according to reports.

The bad bank would house or sell assets valued at up to a50bn (45bn) comprising mainly of long-term trades that have been a major drag on the struggling bank's balance sheet, the Financial Times reported, citing four people briefed on the plan.