Deutsche Bank AG co-chief executive Anshu Jain said third-quarter revenue from trading debt probably slumped at Germany’s largest bank. “We currently anticipate debt sales and trading revenues in the third quarter to decline significantly from last year.”

Investment banks have seen a slowdown in debt trading, a key portion of their earnings, amid questions about the Federal Reserve’s plans to taper economic stimulus. Jain also cited weaker customer activity, less market volatility and the bank’s own efforts to lower risk at its fixed-income business as contributors to the revenue decline. Jain said revenue in the third quarter of 2012 reflected “very active markets” following the European Central Bank’s pledge to fight the sovereign debt crisis by buying the bonds of states that sign up to reforms. – (Bloomberg)