India-born Anshu Jain has emerged as the front-runner to succeed Josef Ackermann as the CEO of Deutsche Bank and it looks increasingly likely that he will be nominated shortly for Germany’s top banking job.
As the race for the leadership of Germany’s largest bank entered a decisive phase, Mr Jain seems to have won the backing of the supervisory board and what remains to be decided is whether he will take over the reins together with his management board colleague, Mr Juergen Fitschen, when the incumbent Mr Ackermann retires in early 2013.
Deutsche Bank’s supervisory board is convinced that Mr Jain, 48, who currently runs the bank’s highly successful investment banking business from its headquarters in London, has the best credentials to succeed Mr Ackermann.
But it favours him to share the post initially with Mr Fitschen because of his deficiency to communicate in German and lack of high-level networking in German politics, media reports said.
The supervisory board is of the view that Mr Fitschen’s long experience as management board member responsible for Deutsche Bank’s domestic business, high-level political contacts and good relations with German business and industry will be complementary to Mr Jain’s international reputation as a successful investment banker and they can build a good team.
A nominating committee of the Deutsche Bank is expected to propose Mr Jain and Mr Fitschen during the week-end as co-directors of the management board for a final decision by the supervisory board, which is likely to hold a special meeting next week, the reports said.
Mr Jain’s chances to take over the helm of the Deutsche Bank were boosted by the announcement of the Swiss bank UBS over a week ago that the former President of the German Bundesbank, Mr Axel Weber, will become the head of its management board in 2013.
Mr Weber’s unexpected resignation last February had fuelled speculation that he was planning to move to Deutsche Bank and to take over as its co-head together with Mr Jain when Mr Ackermann retires after nine years in office.
His departure from the race has left Mr Jain as the only serious contender for Deutsche Bank’s leadership.
Two other possible candidates for the job are management board members Mr Hugo Biger and Mr Rainer Neske, but they are no match for Mr Jain’s experience or reputation.
Mr Fitschen, 62, lacks international exposure as well as experience in lucrative investment banking and the supervisory board will not be prepared to hand over the running of the bank in his hands alone.
Even though Mr Jain seems to be assured of the top Deutsche Bank job, Mr Fitschen’s expected nomination as co-head is seen as a short-term solution, because he will have to retire when he reaches 65, shortly after taking over his post in 2013.