COMMERZBANK AKTIENGESELLSCHAFT

Group Management Report
208
152 Commerzbank Annual Report 2011
Besides the Bank’s good standing in the market, being located in Germany, a strong euro
member state, is a further advantage. This improves funding opportunities, and hence the
funding structure. Accordingly, we expect to remain in a position to achieve our funding
goals as planned in future.
Commerzbank is well prepared for changing market conditions. The Bank’s funding strategy
takes account of regulatory changes promptly and implements these accordingly. As part
of the ongoing development of liquidity risk monitoring and liquidity management, we are
involved in work on various regulatory initiatives to harmonise international liquidity risk
standards. Commerzbank is analysing in particular the impact of the liquidity risk ratios defined
in Basel III and engaging actively in dialogue with the supervisory authorities.
Managing opportunities at Commerzbank
The weak economic environment that can be expected in 2012 also presents a range of
challenges for Commerzbank. The overarching issue is to ensure capital adequacy levels
that satisfy the European Banking Authority’s requirements. The Bank will also concentrate
even more on core activities. We will therefore provide Mittelstand customers in Germany
with even better support, in order to expand our market position in this segment, but
we will also have to withdraw from public finance. If the markets’ loss of confidence in public
finances cannot be stemmed or if it starts to spread, the functioning of the interbank market
and banks’ funding options will be affected, both with the central bank and private investors,
i.e. through the effects of contagion on banks and through loss of confidence in the banking
system.
Even in an unfavourable economic environment, however, there are many opportunities
for the Bank to improve its market position. The specific opportunities identified by the individual
segments are presented in the “Segment performance” section.