SOFAZ: Problems in Deutsche Bank will not affect currency reserves of Azerbaijan

Baku. 3 October. REPORT.AZ/ Issue for management of a portion of the investment portfolio of the State Oil Fund of Azerbaijan (SOFAZ) to the Deutsche Bank subsidiary will not cause a threat to the SOFAZ currency reserves at the background of deterioration of the German bank's current financial situation.

SOFAZ told Report the in response to the question on possibility of the SOFAZ facing with any problems (financial losses) in regard with the Deutsche Bank's current financial situation that Deutsche Asset & Wealth Management İnternational GmbH., which acts as a foreign agent, carries out all investments on behalf of the fund: "All the acquired securities owned by the SOFAZ. The assets, under management of the company, are kept at Bank of New York Mellon, custodial bank of the SOFAZ.

The fund also declared that the SOFAZ investment portfolio includes the investments in the Deutsche Bank bonds. The SOFAZ has stressed that it can liquidate these securities on the stock market at any time, as This type of investments are short-term and very liquid.

Notably, the US Justice Department has accused Deutsche Bank of fraud during the financial crisis in 2008 and filed a claim for a penalty several times more than the anticipated amount - 14 billion USD, which caused drop in bank shares and increase of bonds rates. On Friday, September 30, after spread of the information in the financial markets that the US Department of Justice and the bank have reached an agreement on a compensation of 5.4 billion USD, the share price rose by 6.4% and reached 11.57 Euros.