Deutsche Bank AG's US subsidiary failed on Thursday the second part of the US Federal Reserve's annual stress tests due to "material weaknesses" in its data capabilities and capital planning controls. The Fed board's unanimous objection to Deutsche Bank's US capital plan marks another blow for the German lender, whose financial health globally has been under intense scrutiny in recent months. Deutsche Bank last week cleared the Fed's easier first hurdle that measures its capital levels against a severe recession scenario. The Fed's second test focuses on the bank's capital plan. "Concerns include material weaknesses in the firm's data capabilities and controls supporting its capital planning process, as well as weaknesses in its approaches and assumptions used to forecast revenues and losses under stress," the Fed said in a statement.
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