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With Deustche Bank all over the news again, it’s worth a little time to look not only into their history but also who currently has a vested interest in the 15th largest bank in the world (according to 2018 S&P Global Market Intelligence report).
I - IX
I - IX
According to Article 33, §1 of the German Securities Trading Act, Deutsche Bank is required to publicly disclose large shareholders. On their company website there are 6 individuals or entities listed as of 1/18/2019.
II - IX
II - IX
BlackRock, Inc.
Wilmington, DE
III - IX
Wilmington, DE
III - IX
Douglas L. Braunstein
(Hudson Executive Capital LP)
IV - IX
(Hudson Executive Capital LP)
IV - IX
Paramount Services Holdings Ltd.
British Virgin Islands
V - IX
British Virgin Islands
V - IX
Supreme Universal Holdings Ltd.
Cayman Islands
VI - IX
Cayman Islands
VI - IX
Stephen A. Feinberg
(Cerberus Capital Management)
VII - IX
(Cerberus Capital Management)
VII - IX
C-QUADRAT Special Situations Dedicated Fund
Cayman Islands
VIII - IX
Cayman Islands
VIII - IX
In addition to these 6, there are other investors with a significant stake in Deutsche Bank.
Some of them are familiar names which played a large part in the 2008 global financial crisis.
(Info below is from SEC 13-F filings put together by Nasdaq.com)
IX - IX
Some of them are familiar names which played a large part in the 2008 global financial crisis.
(Info below is from SEC 13-F filings put together by Nasdaq.com)
IX - IX
BlackRock was founded in 1988 by Larry Fink and seven others initially as a risk management and fixed income institutional asset manager.
The company has grown to 84 offices in 30 countries with clients in 100 countries.
It’s been called the world’s largest shadow bank.
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The company has grown to 84 offices in 30 countries with clients in 100 countries.
It’s been called the world’s largest shadow bank.
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Today it’s the world’s largest asset manager with $5.98 trillion in assets under management (as of December 2018).
The US government contracted with BlackRock to help clean up after the financial meltdown of 2008.
It became the #1 asset manager worldwide in 2009.
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The US government contracted with BlackRock to help clean up after the financial meltdown of 2008.
It became the #1 asset manager worldwide in 2009.
2/11
66% of assets originate in the Americas
27% comes from Europe, the Middle East and Africa
7% comes from Asia-Pacific.
Half of the largest endowments in the US rely on BlackRock to manage their billions.
And nearly every US retirement plan of decent size is also a client.
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27% comes from Europe, the Middle East and Africa
7% comes from Asia-Pacific.
Half of the largest endowments in the US rely on BlackRock to manage their billions.
And nearly every US retirement plan of decent size is also a client.
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BlackRock is the world’s single largest investor in coal plant developers.
Holding shares worth $11 billion among 56 coal plant developers.
(Research by the German NGO Urgewald released at UN Climate Summit in Katowice on 12/5/2018)
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urgewald.org/medien/new-res…
Holding shares worth $11 billion among 56 coal plant developers.
(Research by the German NGO Urgewald released at UN Climate Summit in Katowice on 12/5/2018)
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urgewald.org/medien/new-res…
Another report shows that BlackRock owns more oil, gas, and thermal coal reserves than any other investor.
With total reserves amounting to 9.5 gigatonnes of CO2 emissions (or 30% of the total energy-related emissions from 2017).
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foe.org/news/new-repor…
With total reserves amounting to 9.5 gigatonnes of CO2 emissions (or 30% of the total energy-related emissions from 2017).
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foe.org/news/new-repor…
German tax investigators raid BlackRock’s Munich offices in a fraud probe over a “cum-ex” scheme involving a network of banks and stockbrokers throughout the European continent rapidly trading shares with (“cum”) and without (“ex”) dividend rights.
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reuters.com/article/us-ger…
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reuters.com/article/us-ger…
This scheme created the impression of numerous owners, each entitled to a tax rebate.
With the aim of concealing the identity of the actual owner and allowing all parties involved to claim tax rebates on capital gains taxes which had only been paid once.
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With the aim of concealing the identity of the actual owner and allowing all parties involved to claim tax rebates on capital gains taxes which had only been paid once.
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Reports published on 10/18/2018 say this scheme involved a syndicate of banks, investors and hedge funds.
Affected at least 11 European countries and caused damage to state treasuries from lost tax revenue which could be as high as €55.2 billion.
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dw.com/en/cum-ex-tax-…
Affected at least 11 European countries and caused damage to state treasuries from lost tax revenue which could be as high as €55.2 billion.
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dw.com/en/cum-ex-tax-…
Deutsche Bank settled a Frankfurt GPO investigation into their involvement with the scheme for €4 million.
The bank acted as a custodian bank in deals done by investigated individuals.
The settlement is related to raids conducted in Sept 2015.
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bloomberg.com/news/articles/…
The bank acted as a custodian bank in deals done by investigated individuals.
The settlement is related to raids conducted in Sept 2015.
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bloomberg.com/news/articles/…
In other company news, Charles Baird, a former employee with a BlackRock Retirement Savings Plan, filed suit against the company in 2017 for a breach of fiduciary duty under the Employee Retirement and Income Security Act.
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pionline.com/article/201704…
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pionline.com/article/201704…
BlackRock invested 93% of plan assets in BlackRock affiliated funds and charged fees higher than other funds with similar assets & investment strategies.”
The SEC ordered BlackRock to pay $12 million in 2015 for another breach of fiduciary duty.
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sec.gov/news/pressrele…
The SEC ordered BlackRock to pay $12 million in 2015 for another breach of fiduciary duty.
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sec.gov/news/pressrele…
Stephen Feinberg’s investment in Deutsche Bank is owning over 62 million shares of bank stock.
Depending on the market this equates to over a half billion-dollar investment.
According to DB’s website he has just over 3% of the shareholder voting rights in the bank.
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Depending on the market this equates to over a half billion-dollar investment.
According to DB’s website he has just over 3% of the shareholder voting rights in the bank.
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You may recall Feinberg served on the Trump Economic Advisory Council in 2016, and in 2017 he was asked to lead a review of US intelligence agencies.
Many wondered why and pointed to Feinberg’s large contributions to Trump’s campaign and the super PAC’s which promoted him.
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Many wondered why and pointed to Feinberg’s large contributions to Trump’s campaign and the super PAC’s which promoted him.
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But the $1.5 million in contributions and co-hosting a $50,000 per person fundraising dinner for the RNC and Trump only tells half the story.
And shows only part of the money he lent a hand in funneling into helping Trump become President.
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And shows only part of the money he lent a hand in funneling into helping Trump become President.
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Digging deeper into campaign contribution history leads to a couple of interesting details.
1) Stephen’s wife Gisela has made concurrent campaign contributions with her husband for the last 20 years.
Matching the amounts and receiving committees nearly every time.
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1) Stephen’s wife Gisela has made concurrent campaign contributions with her husband for the last 20 years.
Matching the amounts and receiving committees nearly every time.
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While not illegal, unless you know how to look for it in the FEC database it obfuscates the total amount channeled into committees promoting a specific candidate.
2) Nearly 10x the amount of money was contributed in the 2016 election than in any other election cycle.
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2) Nearly 10x the amount of money was contributed in the 2016 election than in any other election cycle.
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Feinberg has a history of being a power-player in the business world and according to the NYT is closely connected to Steve Bannon and Jared Kushner.
He began his Wall Street career at Drexel Burnham Lambert, which specialized in junk bonds and went bankrupt in 1990.
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He began his Wall Street career at Drexel Burnham Lambert, which specialized in junk bonds and went bankrupt in 1990.
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Feinberg co-founded Cerberus Capital Management LP with William L. Richter in 1992.
Cerberus is an American private equity firm specializing in “distressed investing.”
SEC filings from November 2018 show the firm manages assets of $50.3 billion.
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cerberus.com
Cerberus is an American private equity firm specializing in “distressed investing.”
SEC filings from November 2018 show the firm manages assets of $50.3 billion.
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cerberus.com
Cerberus has a laundry list of violations and complaints against them and their subsidiaries.
Including fraud, false claims, wage & workers safety violations, violations of the Foreign Corrupt Practices Act, and Controlled Substances Act violations.
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violationtracker.goodjobsfirst.org/parent/cerberu…
Including fraud, false claims, wage & workers safety violations, violations of the Foreign Corrupt Practices Act, and Controlled Substances Act violations.
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violationtracker.goodjobsfirst.org/parent/cerberu…
Among Cerberus’ numerous assets it controls or has interest in, DynCorp stands out.
A private military contractor the US has used in ever increasing roles since the late 1940’s.
Over 90% of Dyncorp’s revenue is from the Defense Dept & State Dept.
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dyn-intl.com
A private military contractor the US has used in ever increasing roles since the late 1940’s.
Over 90% of Dyncorp’s revenue is from the Defense Dept & State Dept.
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dyn-intl.com
DynCorp was acquired by Cerberus in 2010 in a deal worth about $1.5 billion.
DynCorp has a long history of corruption, scandals, and even human trafficking.
After being picked up by Cerberus there have still been issues with overbilling, false claims, & workers’ safety.
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DynCorp has a long history of corruption, scandals, and even human trafficking.
After being picked up by Cerberus there have still been issues with overbilling, false claims, & workers’ safety.
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Feinberg has a reputation for avoiding the spotlight.
Reportedly once saying, “If anyone at Cerberus has his picture in the paper and a picture of his apartment, we will do more than fire that person. We will kill him. The jail sentence will be worth it.”
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Reportedly once saying, “If anyone at Cerberus has his picture in the paper and a picture of his apartment, we will do more than fire that person. We will kill him. The jail sentence will be worth it.”
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