12:21 PM EST, 02/07/2025 (MT Newswires) -- (Updates with Deutsche Bank ( DB ) declining to comment in the last paragraph.)

Deutsche Bank ( DB ) is tightening terms under which it gives loans to investors like hedge funds to buy significant risk transfers, or SRTs, Bloomberg reported Friday, quoting a source with knowledge of the matter.

The bank is telling investors who buy SRTS that it will be less proactive in offering those clients financing via repurchase agreements, the report said, adding the move follows Deutsche Bank's ( DB ) interactions with banking regulators.

Regulators like the European Central Bank don't want risks linked to SRTs amplified by being shifted around the system, the report said.

SRTs are deals used by banks to transfer some risks on their balance sheets to outside investors.

Deutsche Bank ( DB ) declined to comment in reply to a request sent by MT Newswires.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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