Fidelity says its retail and institutional brokerage clients will have opportunity to participate in the initial public offerings (IPOs) and follow-on equity offerings underwritten by Deutsche Bank.
The exclusive relationship expands Deutsche Bank's potential investor base to include Fidelity's extensive list of retail brokerage customers as well as customer accounts managed by Fidelity's registered investment advisor (RIA), correspondent broker/dealer and other institutional clients, the two companies say. Fidelity's distribution platform adds to Deutsche Bank's current distribution capabilities to high-net-worth clients via its private bank and private client services divisions.
"We are thrilled about our new relationship with Deutsche Bank, one of the industry's top IPO underwriters, and believe that this partnership will help us offer our customers additional investment opportunities, typically reserved for larger institutional investors," says Mark Haggerty, president of Fidelity Capital Markets, the institutional trading division of Fidelity Investments. "With our new Deutsche Bank alliance and our KKR relationship, Fidelity is well-positioned to offer our customers the ability to participate in new issue equity deals as the IPO market begins to show signs of increased activity."
"We're extremely excited to join with an industry leader like Fidelity," said Seth Waugh, CEO of Deutsche Bank Americas. "Fidelity's vast distribution network is an excellent complement to both our leading banking franchise and our strong Private Wealth Management distribution platform. We're confident that this collaboration will significantly benefit clients of both Fidelity and Deutsche Bank by providing a greater volume and diversity of equity investment opportunities."
The Deutsche Bank relationship builds on Fidelity's recently established alliance with Kohlberg Kravis Roberts & Co. (KKR) where Fidelity's retail and institutional brokerage customers have the opportunity to participate in IPOs and follow-on offerings of KKR companies.