Deutsche Bank’s $70 Billion Skunk In The Woodpile

All the P&L was taken upfront and bonuses paid on it,” said the former board member. “We had a lot of dead balance sheet that wasn’t providing any P&L any longer because of this rule that you could take all the profit upfront. The traders were always interested in these trades because when you took the profit you took the bonus as well. But the bank was generally stuck with these positions.”

 

http://www.ifre.com/deutsche-bank-has-a-60bn-problem-but-doesnt-want-to-talk-about-it/21337873.fullarticle