Deutsche Bank cuts bonus pool for last year by 11%

Frankfurt

DEUTSCHE Bank AG, which runs Europe's biggest investment bank, cut its bonus pool by 11 per cent after rising legal expenses hurt earnings last year and said volatility in financial markets means the first quarter may be challenging.

The company will pay 2.41 billion euros (S$3.7 billion) of bonuses for last year, down from 2.71 billion euros, it said in a statement from Frankfurt on Friday. Variable compensation at the investment banking and trading unit fell 15 per cent to 1.45 billion euros. At constant exchange rates, the declines were 17 per cent and 20 per cent, respectively, Deutsche Bank said.