Commentary: Is Deutsche Bank 'Out Of Its Depth'?

It's the biggest acquisition ever of a U.S. financial institution by a foreign bank. But it looks like the same, sorry old story. For nearly a decade, German giant Deutsche Bank has spent billions trying to make a go of it in investment banking. Now, with its proposed $9 billion all-cash purchase of Bankers Trust Corp., the bank is upping the ante, striking a deal to create what would be the world's largest financial institution. But analysts and rivals are properly skeptical that Deutsche Bank will fare any better. "I'm worried Deutsche is getting a little out of its depth," says Mark Hoge, a London-based Credit Suisse First Boston analyst. "It could get messy."

To continue reading this article you must be a Bloomberg Professional Service Subscriber.