Deutsche Bank increases provisions for suspicious Russia trades - reports

Deutsche Bank has significantly increased its financial provisions to cover for potential litigation payments for suspicious share trading in Russia, according to reports.

Having set aside close to €700m for suspicious Russia trades in the first three quarters of 2015, Deutsche's investigations into client activity have prompted the bank to partially pull back from the country and increase its provisions by a significant amount, Reuters reported, citing two sources "close to the matter".

DB booked a charge of roughly €450m in its last financial year that was, according to one source, mainly related to the suspicious share trades.

Last year, US and other authorities began scrutinising so-called ‘mirror’ trades at Deutsche, in which Russian clients purchased securities in roubles through the lender’s Moscow office and then sold identical ones for foreign currency, including greenbacks, through the London office.