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Invertia.com - Deutsche Bank se descubre: apuesta 600 millones contra BBVA y Banco PopularInvertia.com - Deutsche Bank drops its cover: it bets €600m against BBVA and Banco Popular
Hugo Banziger, jefe de riesgos de Deutsche Bank, estuvo el día 10 de junio en Madrid en una conferencia organizada por Goldman Sachs, uno de los bancos de inversión más influyentes del mundo. En ese marco, la entidad germana confesó que ha apostado más de 1.000 millones de euros contra deuda corporativa española (credit corporate). A esa cifra se le unen otros 800 millones contra Portugal.Hugo Banziger, head of risk at Deutsche Bank, was in Madrid on june 10 at a conference organised by Goldman Sachs, one of the world's most influential investment banks. In that venue, the German bank confessed it has bet over €1bn against Spanish corporate debt. To this figure one must add €800m against Portugal.
Fuentes consultadas por este portal explican que una de las formas en las que Deutsche puede ponerse corto en credit corporate español es a través de CDS (credit default swap), derivado que actúa como seguro contra el impago de una deuda. Desde un banco comentan que puede tratarse también de GGB (Government Guarantied Bonds), o sea, "deuda con aval español". En cualquier caso, sea de la forma que sea, lo que subyace es la visión negativa del banco alemán sobre la economía española.Sources consulted by this portal explain that one of the ways that Deutsche can be short Spain's corporate credit is through CDS, a derivative acting as insurance against default on debt. From a bank they comment that [the debt in question] could be Government Guaranteed Bonds. In any case, in whatever way, underlying this is a negative vision of the Spanish economy by the German bank.
La mayor entidad financiera del país teutón justifica esta expresiva declaración de intenciones como una estrategia para defenderse de los movimientos en la valoración de los créditos (value of the credits), recoge el diario The Telegraph. En esta reunión, Deutsche aseguró que no tiene ni un solo bono español o portugués, mientras que en Italia mantiene una cartera de 3.100 millones de euros a cierre de marzo.The largest financial entity in German justifies this expressive declaration of intentions as a strategy to hedge against movements in the value of credit, according to The Telegraph. At this meeting, Deutsche claimed that it doesn't hold a single Spanish or Portuguese bond, while in Italy they kept a portfolio of €3.1bn at the end of March.
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Esta agresiva estrategia de Deutsche Bank contra la Península Ibérica se completa con millonarias posiciones bajistas en BBVA y Popular, segundo y tercer banco español por activos, respectivamente. En marzo de este año, Ackermann advirtió de que la quiebra de Grecia tendría efectos dramáticos en la industria financiera. Toda una declaración de intenciones de la que ahora intenta sacar partido.This aggresive strategy by Deutsche Bank against the Iberian Peninsula is completed with bearish positions worth millions in BBVA and Popular, second and third Spanish banks by assets, respectively. In march of this year, Ackermann warned that the bankruptcy of Greece would have dramatic effects on the financial industry. A declaration of intentions that he intends to profit from now.

So Germany introduces a unilateral short ban which now protects Deutsche Bank while DB takes a 600 million Euro short position in Spanish banks as well as CDS positions against Spanish debt to which they have no actual exposure. Ho hum.

About Germany's short ban: too bad Deutsche Bank is cross-listed at US stock exchanges...

Also, isn't it interesting that DB claims to have unwound any exposure they had to all the PIIGS except to Italy, which explains why 1) it's not PIIGS any longer, just PIGS; 2) Italy received a helpful hand from Germany, France and Belgium to avoid sanctions over excessive debt at the last EU council summit.

Is it a coincidence that Spain, Portugal and Greece have PES governments while Belgium, France, Italy and  Germany have EPP governments?

By laying out pros and cons we risk inducing people to join the debate, and losing control of a process that only we fully understand. - Alan Greenspan

by Migeru (migeru at eurotrib dot com) on Sun Jun 20th, 2010 at 06:58:12 PM EST

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