The 63-year-old Fitschen, a Deutsche Bank veteran steeped in corporate banking, has served as head of Germany since 2005, while Jain, a native of India 14 years his junior, led an expansion of the investment bank from offices in London.
Deutsche Bank is pairing them to bridge its roles as a trading colossus that vies with Wall Street firms like Goldman Sachs and a Frankfurt-based lender to German companies. The duo will have to face rising capital requirements, and Europe’s escalating sovereign debt crisis, while seeking to avoid a power struggle that could derail the bank’s strategy, said Christopher Wheeler, an analyst at Mediobanca SpA. Deutsche Bank’s three previous periods of co-leadership coincided with higher profits and gains for shareholders.
'The bank tends to have dual leadership during times when Deutsche Bank needs to be led to calmer waters', said Markus Rudolf, a professor of banking and finance and associate dean at the WHU Otto Beisheim School of Management in Vallendar, Germany. 'Times may be so uncertain that it can benefit from two perspectives - international investment banking and the domestic business - and emerge stronger'.
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