Deutsche Bank’s Surge in Investment Banking: Strong Origination, FIC & Strategic Moves

Deutsche Bank enters 2025 with real momentum in its European investment banking operations. According to Euromoney’s “Europe’s Best Investment Bank 2025” report, the bank’s origination & advisory revenues have been growing sharply, allowing it to climb into the top tier of European league tables. [1] Its ambition, articulated by Alison Harding-Jones, co-head of investment banking, is to become the “leading European investment bank globally” and to serve as the “global Hausbank” for its clients. [1]

The acquisition of Numis in late 2023—rebranded as Deutsche Numis—has expanded its UK equity underwriting, advisory, and ECM capabilities, allowing it to dermatch peers in some marquee UK listings and accelerated bookbuilds. [1] At the same time, its leadership in key deal execution and high-profile financing transactions (e.g. Autoscout24, Motel One, interface with Mercedes-Benz, and others) show it can combine advisory with financing under one roof. [1]

On financial performance, the investment banking revenue rise—15% year-on-year in 2024 to €10.6bn, with Q4 investment banking revenue up 30% year-on-year—are strong signals of performance. [2][3] However, these have been counterbalanced by significantly higher non-operating expenses—retail litigation, restructuring, and legacy issues—which dragged overall profits downward. [3][4] Cost discipline seems to be under tension; the bank relaxed its cost-income target from <62.5% to <65% for 2025. [3][4]

Strategically, Deutsche Bank is leveraging several levers: market share gains in advisory and ECM, bolstered by acquisitions and local franchises; pushing into high margin fixed income & currencies businesses; and exploiting strong performance in debt capital markets domestically (Germany) to build strength in product verticals. [1][2] The Global Hausbank strategy seems centered on being a one-stop shop across advisory, debt, credit, asset management, and private banking. [2][5]

Risks remain material. Germany’s macro outlook is fragile, trade tensions (e.g. U.S. tariffs) threaten volatility, regulatory or litigation tail-risk looms, and competition from European peers (BNP Paribas, Societe Générale, HSBC, etc.) and U.S. banks in EMEA remains intense. Delivering on adjusted cost targets, ensuring sustained returns on tangible equity, and avoiding overextension will be key. [2][3][5]

From an investor banking MD perspective, the opportunity lies in Deutsche’s trajectory: clients seeking European banking alternatives may increasingly turn to Deutche as a credible counterweight to U.S. firms; ECM advisory especially around UK-EU cross-border IPOs, EUR/FX leadership, and provision of structuring capability (advisory + bridge/leverage financing) are likely growing profit pools. The question is whether incremental scale in these areas justifies the investment without diluting risk or profitability.