Deutsche Bank AG hired consultancy firm Oliver Wyman to help it pass the 2019 U.S. stress test, people familiar with the mandate told the Financial Times.
Oliver Wyman is reportedly advising the German lender on ways to correct deficiencies across capital-planning practices at its U.S. unit, among other things. The FT's sources said Deutsche Bank opted to bring in a consultant after determining that it lacked the internal capacity to provide the level of data required under the Fed program.
The reputation of the bank, already under pressure in the capital markets, took another hit after its U.S. unit failed the second part of a Federal Reserve stress test in June, analysts said at the time, even though the test results were a confirmation of already known issues at the bank.
DB USA Corp. was the only company to receive a rejection of its capital plan under the 2018 Comprehensive Capital Analysis and Review cycle, meaning that it cannot make any capital distributions, including to its Frankfurt-based parent, without explicit Fed approval. That came not long after the Federal Deposit Insurance Corp. was reported to have added Deutsche Bank Trust Co. Americas to its list of "problem banks."