Deutsche Bank shares fall on shake-up plan

Shares in Germany's Deutsche Bank have fallen after it unveiled a plan to cut costs by €3.5bn (£2.5bn) and sell off its Postbank business.

Shares fell by 4.6% to €30.13 as investors said they wanted more detail.

The bank will close up to 200 High Street branches by 2017 and leave or reduce its presence in some countries.

It also plans to sell off its retail business Postbank through a stock-market listing by 2016 as well as shrink its investment banking arm.

Deutsche said it would invest more in its equities trading and wealth management operations.

However, the speed, scope and level of detail of the proposed changes have disappointed some investors.

"Some investors would have wanted a more radical choice and perhaps we've disappointed that segment of investors," Anshu Jain, co-chief executive of Deutsche Bank, said at a news conference in Frankfurt.

"It is possible that the market expected more detail."

Omar Fall, equity analyst at Jefferies, agreed with that suggestion, saying that it had not disclosed sufficient detail on restructuring costs and capital in particular.

While Deutsche Bank has disclosed its plans to sell off Postbank, it is less clear what it will do with some of its other assets.

Deutsche Bank has said it will give more details on its plans within 90 days.

On Sunday, Deutsche Bank said that net income for the first quarter had fallen by 50% to €559m due to legal costs and regulatory fines.

The results came just days after the bank was fined €2.3bn for trying to manipulate inter-bank lending rates.