diff --git "a/Germany/15.Deutsche Börse_$41.91 B_Financial Service/2021/results.txt" "b/Germany/15.Deutsche Börse_$41.91 B_Financial Service/2021/results.txt"
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@@ -0,0 +1,22236 @@
+152.63 1,790.020
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards | The Executive Board
+Management report
+Financial statements and notes
+Remuneration Report
+Further information
+The Executive Board
+<3
+Theodor Weimer, *1959
+Dr. rer. pol.
+Wiesbaden
+Nationality: German
+Chief Executive Officer,
+Deutsche Börse AG
+Christoph Böhm, *1966
+Dr.-Ing.
+4
+Hamburg
+Member of the Executive Board
+and Chief Information Officer/Chief
+Operating Officer,
+Deutsche Börse AG
+Thomas Book, *1971
+Dr. rer. pol.
+Kronberg im Taunus
+Nationality: German
+Member of the Executive Board,
+Deutsche Börse AG,
+responsible for Trading & Clearing
+Heike Eckert, *1968
+Graduate degree in Economics
+(Diplom-Volkswirtin)
+Oberursel
+Nationality: German
+Member of the Executive Board,
+Deutsche Börse AG,
+Nationality: German
+Chief Executive Officer
+Theodor Weimer
+theder wein
+325 Auditor's Report
+327 Acknowledgements/contact/
+registered trademarks
+328 Financial calendar
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards | Letter from the CEO
+Management report
+Financial statements and notes
+Remuneration Report
+Further information
+Frankfurt/Main, 11 March 2022
+<3
+Dear shareholders,
+ladies and gentlemen,
+There was often a thin line between hope and disappointment last year. On the one hand, the
+economy recovered from the impact of the COVID-19 restrictions faster than many people had
+expected. But the fourth wave of the pandemic put paid to hopes that the crisis would be over
+soon. And central banks stuck to their policies of low interest rates, despite increasing inflation.
+Deutsche Börse also went through an eventful year. To come straight to the point: we reported very
+good results, although external conditions were difficult. Demand for our products and services
+had reached record heights in 2020, so the bar for 2021 was particularly high. And in 2021 the
+market environment did not work in our favour. Lower market volatility than in the previous year
+meant our trading segments were faced with strong cyclical headwinds. But in spite of these head-
+winds we achieved our growth and profitability targets.
+That is further proof of how strong our diversified business model is. We were particularly pleased
+by the contribution last year from those components of growth that are not subject to the ebbs and
+flows of markets, with secular growth amounting to 6 per cent, principally thanks to our Investment
+Fund Services, the rating provider ISS and commodities trading at EEX.
+Inorganic growth of 7 per cent was also high. Here the most important factor was the acquisition of
+ISS that we completed in February 2021. The purchase expanded the strategic range of our products
+and services. At the same time, it made us a leading provider of ESG data. And in addition to the
+growth itself, our move towards more data and ESG has a welcome side-effect: the share of our
+recurring income is rising continuously and now comes to 55 per cent. This makes us more indepen-
+dent of the day-to-day market fluctuations.
+Yours,
+My thanks go to you, our shareholders, for your confidence in these eventful times. And I am pleased
+to be able to propose another increase in your dividend at the Annual General Meeting for 2021: up
+by 7 per cent to €3.20 per share. This gives us leeway to continue increasing the long-term value
+of your company by means of investments, mergers and acquisitions. By doing so, we are laying the
+foundations for the further growth of your Deutsche Börse. Thank you for your loyalty.
+Our sustainable finance products are also turning into a real growth business. Products and services
+related to environmental, social and governance aspects - ESG for short - accounted for some 7 per
+cent of our revenue in 2021. ISS plays a big part in this. In the years ahead, the aim will be to embed
+the ESG capabilities of ISS across our entire value chain and product portfolio. This is already reflected
+in our corporate reporting: sustainability is an important guiding principle in this Annual Report. And
+as you will see, we use non-financial indicators as well as financial ones in our management and
+control logic.
+So what comes next? To start with, we will continue to implement our Compass 2023 strategy
+consistently. And we expect that our cyclical operating environment will continue to improve. That
+should turn the headwinds into tailwinds for us. We are also planning a new structure for Clearstream
+by year-end in order to reinforce our growth momentum. We will be carving the „Fund Services" out
+of Clearstream, so that it can concentrate on its „Securities Services". This will create two largely
+independent units, with corresponding new development opportunities, also for partnerships and
+M&A activities.
+The decisive contribution comes from our motivated and highly committed teams all around the world.
+Our employees put in an excellent performance in another year dominated by COVID-19. I would like
+to take this opportunity to express my particular thanks to them.
+<3
+responsible for HR (Director of
+Labour Relations) & Compliance
+Further information
+Financial statements and notes
+Executive and Supervisory Boards | Letter from the CEO
+Management report
+Deutsche Börse Group | Annual report 2021
+3
+As a result, we achieved our targets for 2021 in terms of both net revenue and EBITDA, with €3.5
+billion in net revenue and EBITDA of €2.0 billion. Our net revenue has therefore grown by an average
+of 9 per cent and EBITDA by 10 per cent since 2019. So we are well on track to meeting the growth
+targets defined in our Compass 2023 strategy of 10 per cent for net revenue and EBITDA, respectively,
+by the end of next year.
+The full takeover of Clearstream Fund Centre also contributed to growth, as well as creating significant
+revenue synergies. We also completed our acquisition of the Swiss company Crypto Finance AG, which
+further improves our position in the blockchain and crypto token space. Together with the introduc-
+tion of G7, our next-generation post-trading platform, this means we set the pace for the technological
+transformation of capital markets. Which is how we safeguard the future of Deutsche Börse.
+Remuneration Report
+Stephan Leithner, *1966
+Dr. oec. HSG
+Bad Soden am Taunus
+Board member since 16 May 2018
+Katrin Behrens, ¹) *1971
+Spokesperson of Trade Union,
+Department Financial Services
+ver.di, Saxony-Anhalt
+Nationality: German
+Board member
+since 17 November 2021
+Karl-Heinz Flöther, *1952
+Independent Management
+Consultant, Kronberg im Taunus
+Nationality: German
+Board member since 16 May 2012
+Andreas Gottschling, *1967
+Nationality: German
+Board member since 1 July 2020
+Anja Greenwood, ¹) *1974
+Lawyer, Legal Department
+European Energy Exchange AG,
+Leipzig
+Nationality: German
+Board member
+since 17 November 2021
+Susann Just-Marx, 1) *1988
+Head of Sales Clearing
+European Energy Exchange AG,
+Leipzig
+Nationality: German
+Board member
+since 15 August 2018
+CEO 65 Equity Partners Temasek
+Holdings, Singapore
+Chong Lee Tan, *1962
+Nationality: German, US-American
+Board member since 8 May 2019
+Clara-Christina Streit, *1968
+Independent Management
+Consultant, Cologne
+Charles G.T. Stonehill, *1958
+Green & Blue Advisors LLC,
+Founding Partner, New York
+Nationality: British, US-American
+Board member since 8 May 2019
+since 17 November 2021
+Nationality: German
+Board member
+Peter Günther Sack, ¹) *1962
+Staff member in Transaction
+Management
+Board member since 19 May 2020
+Michael Rüdiger, *1964
+Independent Management
+Consultant, Utting am Ammersee
+Nationality: German
+Board member since 16 May 2018
+Barbara Lambert, *1962
+Independent Management
+Consultant, Givrins, Switzerland
+Nationality: German, Swiss
+Achim Karle,¹) *1973
+Staff member in Equity &
+Index Sales EMEA
+Deutsche Börse AG,
+Frankfurt/Main
+Nationality: German
+Board member
+since 28 August 2018
+Eurex Clearing AG, Frankfurt/Main
+Nationality: German
+278 Remuneration Report
+Head of Legal and Legal Policy
+ver.di federal administration,
+Berlin
+since 15 August 2018
+Nationality: Austrian
+Member of the Executive Board,
+Deutsche Börse AG,
+responsible for Pre- & Post-Trading
+Gregor Pottmeyer, *1962
+Graduate degree in
+Business Administration
+(Diplom-Kaufmann)
+Bad Homburg v.d. Höhe
+Nationality: German
+Member of the Executive Board
+and Chief Financial Officer,
+Deutsche Börse AG
+As at 31 December 2021
+(unless otherwise stated)
+Detailed information about the members of the Executive Board and their appointments to supervisory
+bodies of other companies or comparable control bodies, as well as their CVs can be found on the
+internet under:
+www.deutsche-boerse.com/execboard
+5
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards | The Supervisory Board
+Management report
+Financial statements and notes
+Board member
+Nationality: German
+Frankfurt/Main
+Corporate & Regulatory Legal
+Senior Expert, staff member in
+In-House Legal Counsel
+Nadine Absenger, ¹) *1975
+Markus Beck,¹) *1964
+Deputy Chairman
+Nationality: German
+Martin Jetter, *1959
+Chairman
+<3
+The Supervisory Board
+Further information
+Remuneration Report
+Board member since 24 May 2018
+Nationality: Singaporean
+277 Remuneration report
+Executive Board
+153.65 1,790.160
+1,559.120 172.27
+1,5
+152.12 1,788.610
+1,567.550 172.11
+1,5
+1,562.130 170.48
+152.47 1,783.340
+542.578 1,708.910
+1,5
+1,573.510 169.88
+152.18 1,779.900
+1,565.570
+50 1.539.080
+1,5
+1,685.770
+1,677 40
+153.25 1,760.010
+1,573.370 166.10
+1,5
+153.33 1,752.510
+1,567.210 166.96
+1,698.990
+1,5
+1,542.510 169.67
+152.47 1,754.510
+430
+1,743.480
+1,5
+1,565.570 170.65
+151.25 1,684.060
+1,5
+1,582.500 172.19
+1,5
+1,754.510
+1,684.060
+1,684.620
+1,667.930
+1970 1.650.780 1.770.880
+A1542,520 1,773.150
+1.567.760 1,776.780
+1.576.870 1,780.970
+1,550.780
+1.584.740 1,790.020
+1,5
+1,542.520
+149.86
+1,572.210 1,790.160
+2010 1.573.830 1,788.610
+1,5
+1,567.760
+149.54
+1.5
+1,576.870
+151.61
+76.550 1,783.340
+082.500 1,779.900
+1.060 1,559.120 1,760.010
+1820 1.567.550
+2000 1,562.130
+13.370
+40 1,567.210
+1,576.550 170.95
+152.45 1,780.970
+1,5
+1752.510
+152.37 1,776.780
+1543.3601729.050
+1,573.830 168.71
+1,572.210 171.71
+153.39 1,773.150
+1,5
+152.38 1,770.880
+1,584.740 170.33
+1,5
+1,5
+1,5
+1,539.080 172.50
+152.22 1,684.620
+151 Consolidated balance sheet
+153 Consolidated cash flow statement
+155 Consolidated statement of changes
+in equity
+19 Combined
+management report
+20 What we achieved in 2021
+21 About this report
+23 Deutsche Börse: Fundamental information
+about the Group
+27 ESG: Commitment and opportunity for
+Deutsche Börse
+28 How we add value
+29 Our strategy and steering parameters
+32 Our customers and markets
+38 Our employees
+45 Our economic situation
+70 Our social environment
+73 Risk management
+110 Report on opportunities
+Responsibility statement by the
+267
+Other disclosures
+240
+financial position
+Notes on the consolidated income statement
+Notes on the consolidated statement of
+comprehensive income
+187
+144 Takeover-related disclosures
+(disclosures based on HGB)
+137 Deutsche Börse AG
+118 Corporate governance statement
+117 Report on post-balance sheet date events
+114 Report on expected developments
+169
+268 Independent Auditor's Report
+149 Consolidated income statement
+150 Consolidated statement of
+148 Consolidated financial
+1.565.710 123.370
+1,5
+1,545.470 172.34
+150.43 1,667.930
+1,5
+Deutsche Börse Group
+1521.430 171.38
+1,543.360 172.51
+1.565.710 173.33
+• 540 172.58
+150.60 1,708.910
+147.80 1,685.770
+1,5
+1,5
+149.69 1,677.740
+1,5
+151.55 1,698.990
+1,5
+Annual report
+152.04 1,743.480
+1,5
+8 Report of the Supervisory Board
+6 The Supervisory Board
+5 The Executive Board
+3 Letter from the CEO
+3 Executive and
+Supervisory Board
+Contents
+statements/notes
+Annual report 2021
+1,724.380
+1,722.820
+69
+2021
+1,723.370
+152.85 1,729.050
+69
+Board member since 19 May 2021
+Deutsche Börse AG,
+Daniel Vollstedt, ¹) *1976
+Cornelis Kruijssen (until 17 Nov 2021)
+19
+11/11
+8/8
+100
+Barbara Lambert
+23
+12/12
+11/11
+100
+Michael Rüdiger
+25
+12/12
+13/13
+100
+Peter Sack (since 17 Nov 2021)
+3
+1/1
+2/2
+100
+Carsten Schäfer (until 17 Nov 2021)
+15
+11/11
+94
+4/4
+5/6
+18
+4/4
+100
+Andreas Gottschling
+26
+12/12
+14/14
+100
+Anja Greenwood (since 17 Nov 2021)
+3
+1/1
+2/2
+100
+Oliver Greie (from 19 May 2021 to 17 Nov 2021)
+8
+5/5
+3/3
+100
+Susann Just-Marx
+18
+12/12
+6/6
+100
+Achim Karle
+12/12
+100
+Charles Stonehill
+18
+99
+Average attendance rate¹
+1) Attending workshops is optional for Supervisory Board members. Workshop attendance is therefore not taken into account in the determination of the average
+attendance rate.
+Topics addressed during plenary meetings of the Supervisory Board
+During the reporting period, we discussed the implementation of our Group strategy Compass 2023 in
+detail. We advised the Executive Board on all relevant aspects of the strategy. At the end of the reporting
+year, this also included conclusions at the half-way point of the strategy. For details on the growth
+strategy, please refer to the "Our strategy and steering parameters" section in the combined management
+report.
+We also dealt with the new IT strategy 2023+. It was developed in line with the Group strategy
+Compass 2023, supports its objectives and deliberately focuses on the requirements of the business
+areas. In preparation, the Executive Board initially informed us about the starting point and the effects of
+technological developments on the capital markets. A key element of the IT strategy 2023+ is the
+ongoing development of IT in the business areas, in order to support the implementation of the business
+objectives below the Group strategy. In addition, we discussed information security and the data centre
+infrastructure. We were informed about the planned development of a global market for digital assets
+that Deutsche Börse AG is driving forward along with the founding team of 360X and external partners.
+9
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards | Report of the Supervisory Board
+Management report
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Another core topic of our Supervisory Board work in the reporting year was the various external
+acquisitions and equity investments to expand and strengthen our business. Following the majority
+acquisition of ISS, Inc. at the start of the reporting year, this was mainly the majority acquisition of the
+Swiss company Crypto Finance AG to expand our presence in digital assets and the acquisition of the
+remaining stake in Clearstream Fund Centre AG, a leading European fund distribution platform, to
+strengthen the Investment Funds Services business area. Deutsche Börse AG purchased the remaining
+49 per cent of the shares in Clearstream Fund Centre from UBS AG.
+An overarching element of our work was the discussion of different ESG aspects. The focus was on
+Deutsche Börse Group's ESG strategy, including the initiatives that are a vital part of this strategy. They
+include the ESG profile, the ESG product strategy and the ESG reporting. The latter includes an external
+review of all the ESG disclosures in the management report, which is also of crucial importance for
+measuring the ESG targets that play a key role in the new remuneration system for the Executive Board.
+They account for 25 per cent of the long-term variable remuneration alone. We also discussed the
+implementation of the statutory requirements for clear, comprehensible reporting on the Executive Board
+remuneration for 2021. As a vital part of the Group's ESG governance, we also made sustainability an
+additional topic for our Strategy Committee, which was renamed the Strategy and Sustainability
+Committee.
+Another key area of our Supervisory Board's work in the reporting period was the decisions taken on the
+future composition of the Executive Board and the changes in the members of the Supervisory Board.
+We again ensured continuity in the composition of the Executive Board in the reporting year. Gregor
+Pottmeyer was reappointed as CFO until 30 September 2025. Please refer to the Personnel matters
+section for details.
+At the Annual General Meeting of Deutsche Börse AG held on 19 May 2021, which again had to be
+held online due to the COVID-19 pandemic, all proposed shareholder representatives were newly elected
+to the Supervisory Board. Chong Lee Tan succeeded Amy Yip, who was no longer a candidate for the
+Supervisory Board. We prepared the election of shareholder representatives in detail in the plenary
+session of the Supervisory Board and in the Nomination Committee. After the Annual General Meeting
+the members of the Supervisory Board re-elected Martin Jetter as the Chair. The regular election of
+employee representatives to the Supervisory Board was delayed due to COVID-19 and was completed on
+17 November 2021. We then elected Markus Beck as Deputy Chair of the Supervisory Board before
+new members were elected to the Supervisory Board committees.
+In the year under review, we again had regular and intensive discussions concerning ongoing
+proceedings by the Public Prosecutor's Office in Cologne regarding the conception and settlement
+implementation of securities transactions by market participants over the dividend date (cum-ex
+transactions). In the opinion of the Public Prosecutor's Office, these market participants used such
+transactions to make unjustified tax refund claims. These investigations also involve current and former
+employees of Deutsche Börse Group and executive board members of subsidiaries of Deutsche Börse
+AG. In this context, the Supervisory Board also dealt with investigations into these cum-ex transactions
+by the stock exchange regulator in the German state of Hesse.
+Another important subject for the Supervisory Board was the litigation and legal proceedings involving
+Clearstream Banking S.A. in the USA and Luxembourg in connection with Iranian clients and assets.
+The efficiency, suitability and effectiveness of the internal control systems and the handling of findings
+10
+10
+82
+5/5
+4/6
+11
+12/12
+6/6
+100
+Clara-Christina Streit
+16
+12/12
+4/4
+100
+Chong Lee Tan (since 19 May 2021)
+7
+6/6
+12/12
+1/1
+Gerd Tausendfreund (until 19 May 2021)
+1)
+6/6
+2/2
+100
+Daniel Vollstedt (since 17 Nov 2021)
+2
+1/1
+1/1
+100
+Amy Yip (until 19 May 2021)
+100
+16
+8
+100
+Carsten Schäfer,¹) *1967
+Expert, staff member IT Risk
+Management
+Deutsche Börse AG,
+Frankfurt/Main
+Nationality: German
+Board member
+until 17 November 2021
+Jutta Stuhlfauth,¹) *1961
+Deputy Chairwoman
+Lawyer, M.B.A. (Wales)
+Staff member in
+Group Organisational Services
+Deutsche Börse AG,
+Frankfurt/Main
+Nationality: German
+Board member
+until 17 November 2021
+Gerd Tausendfreund, ¹) *1957
+Trade union secretary in
+the financial services department
+ver.di Hesse region, Frankfurt/Main
+Nationality: German
+Board member until 19 May 2021
+Amy Yip, *1951
+Managing Partner
+RAYS Capital Partners Limited,
+Hong Kong
+Nationality: Chinese (Hong Kong)
+Board member until 19 May 2021
+As at 31 December 2021
+(unless otherwise stated)
+Detailed information about the members of the Supervisory Board, their additional appointments to
+supervisory bodies of other companies or comparable control bodies, as well as their CVs can be found
+on the internet under
+until 17 November 2021
+www.deutsche-boerse.com/supervboard
+Board member
+Frankfurt/Main
+Karl-Heinz Flöther
+Head of Infrastructure Service
+Design & Support
+Deutsche Börse AG,
+Frankfurt/Main
+Nationality: German
+Board member
+since 17 November 2021
+1) Employee representative
+6
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards | The Supervisory Board
+Management report
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Former members of
+the Supervisory Board
+Oliver Greie,¹) *1976
+Regional Director
+ver.di Saxony, Saxony-Anhalt,
+Thuringia
+Board member
+until 17 November 2021
+Cornelis Johannes Nicolaas
+Kruijssen,¹) *1963
+Head of Touch Point
+Deutsche Börse AG,
+Nationality: Dutch
+7
+Nationality: German
+Executive and Supervisory Boards | Report of the Supervisory Board
+Martin Jetter (Chair)
+21
+12/12
+9/9
+100
+Markus Beck (Deputy Chair since 8 Dec 2021)
+22
+12/12
+10/10
+100
+Jutta Stuhlfauth (Deputy Chair until 17 Dec 2021)
+meetings
+20
+95
+Nadine Absenger
+17
+12/12
+5/5
+100
+Katrin Behrens (since 17 Nov 2021)
+1
+1/1
+Deutsche Börse Group | Annual report 2021
+0/0
+11/11
+meetings
+8/9
+at committee
+Financial statements and notes
+%
+Remuneration Report
+Further information
+Report of the Supervisory Board
+<3
+During the year under review, which was again dominated by the COVID-19 pandemic, Deutsche Börse
+AG's Supervisory Board discussed the company's position and prospects in depth. We performed the
+tasks assigned to us by law and the company's Articles of Association and bylaws. We have advised the
+Executive Board regularly on its management of the company and monitored its work. We were involved
+in all decisions of fundamental importance.
+Management report
+At our meetings, the Executive Board provided us with comprehensive and timely information in
+accordance with the legal requirements. The high frequency of plenary and committee meetings and
+workshops ensured an intensive exchange of information between the Supervisory Board and the
+Executive Board. In addition, the CEO kept the Chair of the Supervisory Board continuously and regularly
+informed of the current developments affecting the company's business, significant transactions,
+upcoming decisions and the long-term outlook, and discussed these issues with him.
+We held a total of twelve plenary meetings during 2021, including five extraordinary meetings and one
+constitutive meeting. Five Supervisory Board workshops also took place on the subjects of technology
+(March and June), strategy (April), compliance (June) and risk (September) as part of the regular
+training and professional development measures for Supervisory Board members. All meetings and
+workshops were carried out as planned despite the travel and social restrictions due to the COVID-19
+pandemic, thanks to strict hygiene measures.
+The average attendance rate for all Supervisory Board members at the plenary and committee meetings
+I was 99 per cent during the year under review.
+The Supervisory Board members' detailed attendance record is as follows:
+In the 2021 financial year, we advised on the implementation of the Group's Compass 2023 strategy
+and the development of the new IT strategy 2023+. Environmental, social and governance (ESG) topics
+were another focus of our work. We looked at the strategic significance of ESG for Deutsche Börse Group
+and made ESG a formal element of our governance. ESG is also a core component of the new
+remuneration system for the Executive Board, which was approved by a large majority at the Annual
+General Meeting in 2021, and which we can now report on with the corresponding transparency. The
+acquisition of Institutional Shareholder Services, Inc. (ISS), a leading global provider of ESG data, was
+also completed at the start of the financial year. We were also regularly involved in an advisory capacity
+in Deutsche Börse Group's other activities to buy and sell companies and parts thereof. The Executive
+Board informed us on an ongoing basis about the impact of the COVID-19 pandemic on Deutsche Börse
+Group.
+8
+Attendance
+Meetings
+(plenary and
+committees)
+<3
+Attendance
+at plenary
+Further information
+Attendance of Supervisory Board members at meetings in 2021
+Financial statements and notes
+Executive and Supervisory Boards | Report of the Supervisory Board
+Management report
+Deutsche Börse Group | Annual report 2021
+Remuneration Report
+Financial statements and notes
+Remuneration Report
+Further information
+Management report | Risk management
+<3
+Other business risks may arise from regulatory requirements and from the geopolitical or economic
+environment. Examples include a crisis in the European currency union, the impact of negative interest
+rates or a customs dispute with negative effects on trade.
+Other regulatory risks exist in connection with the forthcoming revision of the directive and regulation on
+markets in financial instruments (MiFID II/MiFIR). In terms of trading, the main risks for volumes at the
+Eurex Exchange and our spot market would be if any competitive disadvantages caused trading activities
+to move to alternative venues. The rules on non-discriminatory access to clearing and trading in
+exchange-traded derivatives could also have an adverse effect on trading volumes and revenue if the
+revision of the legislation does not abolish those rules, as the European Commission is currently
+proposing. Finally, it should be noted that proposals at EU level for a consolidated data ticker,
+particularly in combination with stricter regulation of pricing for market data, could result in business
+risks for our market data business.
+In terms of political tax discussions, the financial transaction tax (FTT) to which some European states
+aspire represents a variable which could have an adverse effect on our business. The agreement on the
+international reform of corporation tax agreed by the OECD/G20 excludes financial services from the
+scope of Pillar 1 (partial restructuring of taxation rights). It remains to be seen whether there will be any
+European efforts to introduce a digital tax or harmonise the taxation of financial services across the EU,
+which could have an adverse effect on our business, depending on how they are structured.
+Furthermore, we as a Group have an exposure to VAT risk following a letter from the German Federal
+Ministry of Finance on 3 May 2021 on the VAT treatment of services by exchange operators. This put an
+end to the standard tax practice that had been in place since the fully electronic trading systems were
+introduced in the mid 1990s. According to the letter, all exchange-based and over-the-counter services
+for securities trading in the cash market are to be invoiced without VAT from 1 July 2021. Since the
+letter is also to be applied retroactively, there is a risk for years which have not yet been definitively
+assessed that the tax authorities will reclassify services that were previously liable for VAT as VAT-free
+and so deny the deduction of input VAT, whereby there would be no objection for transactions with
+customers in Germany.
+Deutsche Börse Group | Annual report 2021
+46
+Executive and Supervisory Boards
+97
+In recent years, we took steps to reduce the direct risks associated with "Brexit" the departure of the
+United Kingdom (UK) from the European Union (EU). They focused on customer access to the Group's
+systems, on market access to the UK for our business units and on establishing an alternative pool of
+liquidity within the EU 27 for clearing interest rate swaps denominated in euros. Despite this, it will be
+necessary to keep a close eye on how the relationship evolves in future. These relations are expected to
+have an impact on issues of general market access and on the development of the regulatory
+frameworks in the respective markets. In the medium to long term, the latter could diverge and so
+jeopardise market access or result in higher operating costs. It could also result in different competition
+rules, which may lead to uncertainty, additional costs and lost revenue for our Group and for market
+participants.
+Executive and Supervisory Boards
+At Group level we can also be exposed to liquidity risk in case of a customer default. If a clearing
+member of Eurex Clearing AG defaults, its member position is liquidated. If a Clearstream customer
+defaults, the secured and generally intraday - credit line granted to increase settlement efficiency
+would be called, and the collateral provided by the client could then be liquidated. A decline in market
+liquidity, following a market disruption, would increase the liquidity risk exposure at Group level.
+Clearstream and Eurex Clearing AG use stress tests to calculate the daily liquidity that would be required
+if their two biggest customers defaulted and report this monthly. They maintain sufficient liquidity to
+cover the requirement. Potential risks that are identified in the course of stress tests are analysed and
+corresponding risk-reduction measures initiated. Aggregated across all currencies, Eurex Clearing AG and
+Clearstream always had sufficient liquidity to cover their actual liquidity needs in 2021.
+96
+Executive and Supervisory Boards
+Management report | Risk management
+Deutsche Börse Group | Annual report 2021
+Management report | Risk management
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Risks from the use of financial instruments
+Since the investment policy for both Clearstream and Eurex Clearing AG is conservative, derivative
+financial instruments such as interest rate or currency swaps are used exclusively for hedging purposes
+and therefore do not contribute to an increase in any financial risks.
+Business risk
+Business risk describes the unexpected residual loss that would occur if the earnings at risk exceed the
+forecast net profit after tax, which can be due to the competitive environment (e.g. customer action,
+investment loss, sector developments), macro-economic and geopolitical developments or strategic
+management errors. Factors influencing this residual loss include lower revenue or higher costs than
+originally planned. Business risk is reported when the value at risk is higher than the net profit planned
+for the next four quarters.
+The definition and modelling of business risk have changed since last year and no longer include a
+complex scenario analysis. The new approach is based rather on using historical forecasts and actual
+expenses and income, which makes the model more objective and easier to interpret. Modifying the
+model did cause the relationships between different types of risk reported in the overall risk profile to
+change, however, although the Group's actual risk profile did not in fact change materially compared
+with the previous year.
+Business risks are monitored permanently by the business units and no longer have to be backed by
+capital as at the reporting date following the changes made to the internal model. Business risk may
+result in revenue lagging budget projections or in costs being higher.
+Business risk includes the risk that competitors, such as the exchanges Euronext, Singapore Exchange
+(SGX), ICE Futures Europe and Mercado Español de Futuros Financieros (MEFF), as operators of
+derivatives markets, might increase their market shares on the European trading markets (both on- and
+off-exchange).
+96
+Deutsche Börse Group | Annual report 2021
+Financial statements and notes
+Financial statements and notes
+Further information
+99
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Risk management
+Remuneration Report
+Further information
+99
+<3
+Responsible business operations imply adherence to laws and regulations; they are also based on the
+principle of integrity and ethically irreproachable conduct at all times. We have a compliance
+management system based on regulatory requirements, with the objectives of preventing misconduct
+and avoiding liability and reputational risks for the Group, its legal representatives, executives and staff.
+Beyond business-related compliance requirements, the focus is on strengthening a uniform compliance
+culture throughout the Group, especially with a view to enhancing compliance awareness. The
+compliance management system under the responsibility of, and promoted by, the Executive Board of
+Deutsche Börse AG - therefore constitutes an indispensable element of good corporate governance with
+respect to compliance. Such a system provides the foundation for sustainable risk transparency;
+specifically, it facilitates risks in the areas of money laundering/terrorism financing, and other criminal
+acts (fraud), data protection, corruption prevention, as well as market manipulation, conflicts of interest
+and insider trading; it also monitors requirements concerning financial sanctions and embargoes.
+-
+The compliance management system applies to us and to the subsidiaries in Germany and abroad in
+which we hold a majority interest. Our Group-wide approach to compliance is intended to ensure that
+our Group companies respect applicable legislation and regulatory requirements.
+The Chief Compliance Officers at the companies in the Group that are covered by bank regulations have
+functional reporting lines to the Group Chief Compliance Officer. The same applies to the Chief
+Compliance Officers of Qontigo, ECC/EEX and 360T. As a regulated entity under the Investment Advisors
+Act, ISS has established a compliance function and appointed a Chief Compliance Officer in accordance
+with legal requirements, although due to the business decision to report ISS at arm's length, there is
+currently no functional reporting line to the Chief Compliance Officer of the Group. However, as part of
+the implementation of the group-wide compliance approach, measures to implement compliance group
+standards (so-called group minimum standards) in ISS have already been initiated. The Group Chief
+Compliance Officer reports in turn directly to the Executive Board of Deutsche Börse AG. Compliance
+reporting includes all relevant compliance risk areas within the mandate of the compliance function.
+95
+We are continually developing our compliance management system in order to deal with rising
+complexity and increasing regulatory requirements. Corresponding measures enable us to identify and
+manage compliance risks. This applies particularly to money-laundering, financing of terrorism and other
+criminal acts (fraud), data protection, corruption prevention market manipulation, interest conflicts and
+insider trading as well as financial sanctions and embargoes.
+Compliance – including measures against corruption and bribery
+Remuneration Report
+In the context of the current geopolitical events in Ukraine and the potential resulting economic policy
+consequences, we have analysed as a Group which fundamental risks could have an impact on the
+individual business areas. This concerns all risks for Group companies that have business relationships
+with companies based in the affected countries (Ukraine, Russia), hold assets or have other connections
+of both an economic and technical nature. Due to the low level of business relationships with the
+affected countries and the resulting low number of potentially affected assets, it was determined at the
+time of completion of this report that Deutsche Börse Group as a whole is only exposed to a low level of
+direct economic risk. Indirect risks arising, e.g., from our customers' business activities in the countries
+concerned, as well as medium- and long-term risks that may arise, e.g., from further economic
+sanctions that are not yet foreseeable, are monitored on an ongoing basis and, if necessary, controlled
+by means of further risk mitigation measures.
+The Federal Financial Supervisory Authority (BaFin) regularly considers whether to classify Deutsche
+Börse AG as a financial holding company. We are currently not classified as a financial holding
+company. Any such classification could also affect our capital requirements.
+<3
+In connection with the review of the Central Securities Depository Regulation (CDSR) there are also risks
+for the business of Eurex Securities Transaction Services GmbH, particularly from further delays to the
+conditions for the use of mandatory buy-in agents, which are linked to rules on settlement discipline. In
+addition, there are a number of risks for the securities depositories in the Group, which may also entail
+changes to their organisational structure. A review of the framework could also lead to restrictive practices
+and so represent a risk to revenue. Finally, the Group's securities depositories could also be exposed to
+revenue risk as a result of the work carried out by the contact group for the primary market at the European
+Central Bank.
+In its clearing business there are some risks for the Group concerning the final structure of the
+framework for the recovery and resolution of central counterparties, as well as from the ongoing
+development of global standards. The former relate particularly to the capital requirements of operators
+of central counterparties and so could represent a revenue and cost risk for the Group. In addition,
+further implementation of the European Market Infrastructure Regulation 2.2 (EMIR 2.2) on the work of
+the European Commission and the ESMA Supervisory Committee for Central Counterparties could affect
+the ongoing development of the Eurex clearing partnership programme for interest rate derivatives.
+Further work on global standards and the European Market Infrastructure Regulation 2.1 (EMIR 2.1)
+could also distort competition and so cause revenue to be lost by changing the incentives for market
+participants in terms of central clearing, existing clearing mandates, requirements of regulatory approval
+procedures or requirements of CCP models.
+Other business risks exist in the medium term from legislative initiatives from the European Commission
+on the Digital Finance Package. To encourage the use of distributed ledger technology (DLT) in financial
+markets, the European Commission is proposing limited and experimental DLT pilot regimes to introduce
+dedicated multilateral trading systems (known as multilateral trading facilities, MTF), but also "DLT SSS"
+(settlement systems) as novel DLT market infrastructures. They would be admitted for trading securities
+that are transferred via DLT, which are not recorded with a central depository but rather in a distributed
+ledger of the same DLT MTF or DLT SSS. This potentially poses risks to existing business models in the
+Group, to the extent that the proposed exceptions are established within the existing regulatory
+framework. Part of the package to digitise the financial sector is also the Market in Crypto Assets
+Regulation (MICA), which is intended to reduce risks for investors, ensure investor protection and
+financial stability and enable innovative new business models based on crypto assets.
+Another proposal by the European Commission, the Digital Operational Resilience Act (DORA), provides
+for an EU-wide harmonisation of the requirements for the digital operational resilience of all financial
+market participants in terms of information and communications technologies (ICT). The proposal also
+includes a new prudential regime for third-party ICT providers and critical ICT services, including cloud
+services. DORA creates a risk of increasing costs and growing complexity for the operation of the Group's
+IT infrastructure and of demarcation from other directives affecting all industries that are also intended to
+guarantee infrastructure security. Furthermore, the proposal could have an adverse impact on our multi-
+cloud strategy by making it more difficult to use cloud services in the financial industry.
+98
+Finally, it can be said that any further regulatory intervention that may take place in the context of the
+future development of COVID-19 could have an impact on our revenue.
+Deutsche Börse Group | Annual report 2021
+Management report | Risk management
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Similar risks could also arise from the implementation in Germany of the EU Directive on the Security of
+Network and Information Systems (NIS Directive) or the current revision of the NIS Directive at the
+European level. The provisions of the Second Act to Increase the Security of Information Systems (IT-SIG
+2.0) must be considered as significant for the companies concerned. Alongside new standards and
+specifications, new responsibilities, technical access rights and powers are defined for the Federal Office
+for IT Security (BSI), and the Federal Ministry of the Interior, Building and Community (BMI) is given the
+right to issue orders. The current situation is that the Group would be classified under the law as of
+"particular public interest". Its trading systems would now be included within the scope of the
+legislation, which could potentially entail new liability risks, obligations and additional costs.
+In the field of ongoing environmental, social and governance (ESG) regulation there are also a number of
+risks for our market data, derivatives and index business. They also include expected European and
+national legislative initiatives to regulate ESG data and ratings providers. A strict and prescriptive
+regulatory approach to environmental standards in the finance sector could also cause disruption in the
+Group's traditional business areas and so raise questions in terms of market quality, market depth,
+pricing and risk management. These business risks could be reinforced by the proposal announced for a
+European directive on sustainable corporate governance, and so represent revenue risks.
+Executive and Supervisory Boards
+95
+■ Deutsche Börse AG has issued a letter of comfort in favour of Eurex Clearing AG. With this letter of
+comfort, Deutsche Börse AG commits to provide Eurex Clearing AG with the funds required to meet its
+obligations including the obligation to provide additional funds of up to €300 million, as mentioned
+before. The maximum amount to be provided under the comfort letter amounts to €600 million,
+including payments already made. Third parties are not entitled to any rights under the comfort letter.
+Since Clearstream's investment strategy aims to be able to repay customer deposits at all times, maturity
+limits are set carefully. In addition, extensive sources of financing are available at all times, such as
+ongoing access to the liquidity facilities at Deutsche Bundesbank and Banque centrale du Luxembourg.
+Finally, the remaining minimum regulatory equity of Eurex Clearing AG would be drawn upon.
+■ Next, the portion of Eurex Clearing AG's equity which exceeds the minimum regulatory equity would be
+realised.
+■ After this, the relevant clearing member's contribution to the default fund would be used to cover the
+open amount. Contributions ranged from €1 million to €342 million as of 31 December 2021.
+Any remaining shortfall would initially be covered by a contribution to the default fund by Eurex
+Clearing AG. Eurex Clearing AG's contribution amounted to €200 million as of 31 December 2021.
+■ Only then would the other clearing members' contributions to the default fund be used proportionately.
+As at 31 December 2021, aggregate default fund contribution requirements for all clearing members of
+Eurex Clearing AG amounted to €6,130 million. After the contributions have been used in full, Eurex
+Clearing AG can request additional contributions from each clearing member, which can be at most
+twice as high as their original default fund contributions. In parallel to these additional contributions,
+Eurex Clearing AG provides additional funds of up to €300 million, provided via a letter of comfort from
+Deutsche Börse AG (see below). These additional funds will be used together with the additional
+clearing member contributions, on a pro-rata basis.
+"
+■ Any potential shortfall that might be incurred in connection with such a closing or cash settlement, as
+well as the associated costs, would be covered in the first instance by the collateral provided by the
+clearing member concerned. As at 31 December 2021, collateral amounting to €74,371 million had
+been provided for the benefit of Eurex Clearing AG (after haircuts).
+transactions, or settle them in cash. Clients' segregation models would be taken into account
+accordingly.
+93
+-
+In addition to the margins for current transactions, each clearing member contributes to a default fund,
+with the contributions based on its individual risk profile. This fund is jointly liable for the financial
+consequences of a default by a clearing member to the extent that this cannot be covered by the
+member's individual margin, and its own and Eurex Clearing AG's contributions to the default fund.
+Eurex Clearing AG uses daily stress tests to check whether its default fund is adequate enough to absorb
+a default of its two largest clearing members. This involves subjecting all current transactions and their
+collateral to market price fluctuations at a confidence level of at least 99.9 per cent. In order to be able
+to determine potential losses in excess of a clearing member's individual margins, the impact on the
+default fund of a potential default is simulated. Eurex Clearing AG has defined limits which, when
+exceeded, trigger an immediate adjustment to the size of the default fund if necessary. The following
+lines of defence are available in case a clearing member is unable to meet its obligations to Eurex
+Clearing AG due to a delay in performance or a default:
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+■ First, Eurex Clearing AG may net the relevant clearing member's outstanding positions and transactions
+and/or close them in terms of the risk involved – by entering into appropriate back-to-back
+Executive and Supervisory Boards
+93
+Executive and Supervisory Boards
+We are guided by applicable regulatory law and regulatory requirements and the recommendations of
+internationally acknowledged standards relating to material compliance risk areas. Based on these
+standards, our compliance function identifies fields of action and measures to ensure the compliance
+management system continues to meet the requirements as they evolve.
+Remuneration Report
+Management report | Risk management
+Financial statements and notes
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+94
+The geopolitical situation, as well as supply and demand effects, caused significant increases in price
+and volatility for many of the gas and power contracts cleared by European Commodity Clearing AG from
+September 2021 onwards. The models used to calculate the initial margin reflect this higher pricing and
+volatility. This resulted in a significant increase in initial margin to €39,203 million as at 31 December
+2021. There were no defaults by clearing members or other material disruptions to operations.
+Deutsche Börse Group | Annual report 2021
+European Commodity Clearing AG assumes the function of central counterparty in the Group for clearing
+commodity contracts. As with Eurex Clearing AG, credit risks are managed by a multi-level system
+according to the EMIR and the Group's risk management standards. The main element for mitigating
+credit risk is highly liquid collateral, which is obtained from clearing members in the form of initial
+margin and contributions to the default fund. Collateral is provided mainly in monetary form.
+In the event of default by a clearing member, Eurex Clearing AG carries out a Default Management
+Process (DMP), with the objective of closing out all positions assumed as a result of the default. Within
+the scope of the DMP, any costs incurred in connection with such close-out are covered using collateral
+from Eurex Clearing AG's lines of defence. Essentially, within the DMP framework, products which share
+similar risk characteristics are assigned to liquidation groups that are liquidated using the same process.
+Within a liquidation group, Eurex Clearing AG will balance its position by transferring defaulted positions
+to other clearing members, either via an auction or by way of bilateral independent sales. Potential
+claims against Eurex Clearing AG, arising from the settlement of positions assumed from the defaulted
+clearing members, are covered by the collateral from the multiple lines of defence. Whenever necessary,
+these collateral items are disposed of in the market by way of bilateral independent sales, in order to
+cover the outstanding claims from settling the open positions. The DMP will therefore not only contribute
+to the security and integrity of capital markets, but will also protect non-defaulted clearing members from
+any negative effects resulting from the default.
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+In the past, the DMP of Eurex Clearing AG has been used four times, involving the defaults of Gontard &
+MetallBank (2002), Lehman Brothers (2008), MF Global (2011), and Maple Bank (2016). In all of the
+cases mentioned above, the funds pledged as collateral by the defaulted clearing member were sufficient
+to cover losses incurred upon closing out positions - in fact, a significant portion of resources was
+returned to the defaulted clearing member.
+Deutsche Börse Group | Annual report 2021
+92
+92
+Credit risk can also arise from cash investments. The Treasury department is responsible and has Group-
+wide authority. Treasury invests both our funds and those deposited with our subsidiaries by our
+customers, mostly on a secured basis. We have never incurred a loss from these investment transactions
+to date.
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+Clearstream and Eurex Clearing AG run stress tests to analyse scenarios, such as the default of their
+largest client. The figures determined in this way are compared with the limits defined as part of the
+companies' risk-bearing capacity. In addition, the impact of several clearing counterparties defaulting at
+the same time is calculated for Eurex Clearing AG. Moreover, inverse stress tests are run to determine the
+number of counterparties that would have to default for losses to exceed the risk cover amount. The
+stress scenarios drawn up in the previous year were expanded in 2021, especially in view of the
+ongoing coronavirus pandemic and the potential future defaults at banks. The results were analysed
+continuously and included in the calculation of risk-bearing capacity.
+Further information
+Market risk
+Market risk include risks of an adverse development of interest rates, exchange rates or other market
+prices, as well as pension risks. We measure these risks using Monte Carlo simulations based on
+historical price data, as well as corresponding stress tests.
+Our subsidiaries Clearstream and Eurex Clearing AG invest parts of their equity in securities with the
+highest credit quality. Part of these securities have a variable interest rate, interest rate risk is low. We
+avoid open currency positions whenever possible. Furthermore, market risk could result from ring-fenced
+pension plan assets for our employees (Contractual Trust Arrangement (CTA), Clearstream's pension fund
+in Luxembourg). We reduced the risk of extreme losses by deciding to invest the bulk of the CTA on the
+basis of a value preservation mechanism.
+Pensions for our past and present employees are managed in a variety of pension funds. The pension
+risk stems from changes in the main parameters: discount rate, salary growth, inflation and the life
+expectancy of employees. Most of the risk comes from the effects of changes in the discount rate used to
+calculate pension obligations and pension plan assets.
+Liquidity risk
+Liquidity risk arises if a Group company is potentially unable to meet its upcoming payment obligations
+on time and in full or if it can only do so at a higher refinancing cost. Operating liquidity is mainly
+covered internally, by retaining earnings. Our aim is to hold sufficient liquidity to be able to meet all our
+obligations as they fall due. An intra-Group cash pool is used to pool surplus cash from our subsidiaries
+with Deutsche Börse AG, as far as regulatory and legal provisions allow. Liquid funds are invested in the
+short term in order to ensure that they are available. Short-term investments are also largely secured by
+liquid bonds from first-class issuers. We have access to short-term external sources of financing, such as
+agreed credit lines with individual commercial banks or consortia, and a commercial paper programme.
+In recent years, we have used our access to the capital markets to issue corporate bonds in order to
+meet our structural financing needs.
+<3
+We generally track a variety of risk indicators in addition to our risk metrics REC, regulatory capital
+requirements and the stress tests performed for credit risk. These include the extent to which individual
+clients utilise their credit lines, and where credit is concentrated.
+Reducing credit risk
+Our subsidiaries assess the creditworthiness of potential customers or counterparties to an investment
+before entering into a business relationship with them. We do this in the same way and determine the
+credit lines for individual borrowers based on customer requirements and regular credit checks, which
+our subsidiaries supplement with ad hoc analyses if necessary. Our subsidiaries define safety margins for
+the collateral depending on the risk involved and review them continuously.
+In addition, Eurex Clearing AG uses additional collateral to protect itself in the case of default by a
+clearing member against any risk that the value of the positions in the member's account will deteriorate
+in the period before the account is settled. This additional collateral is known as the initial margin. The
+target confidence level here is at least 99.0 per cent (with a minimum two-day holding period) for
+exchange-traded transactions, or 99.5 per cent (with a five-day holding period) for OTC transactions.
+Every day, Eurex Clearing AG verifies whether the margins match the necessary confidence level. The
+initial margin is currently calculated using both the risk-based margining method and the Eurex Clearing
+Prisma method. The Eurex Clearing Prisma method is available for all traded derivatives contracts. In
+contrast to the risk-based margining method, this method takes the clearing member's entire portfolio -
+as well as historical and stress scenarios - into account when calculating margin requirements. The
+objective is to cover market fluctuations for the entire liquidation period until the account is settled. In
+contrast to the Eurex Clearing Prisma method the risk-based margining method only partially takes
+portfolio effects into consideration when defining margin requirements. At present, it is still used for cash
+market products, physical deliveries and repo transactions.
+Margins are calculated separately for clearing member accounts and client accounts. Gains and losses
+resulting from intraday changes to the value of financial instruments are either settled in cash by the
+counterparties (variation margin) or deposited with Eurex Clearing AG as collateral by the seller due to
+the change in the equivalent value of the item (premium margin). In the case of bond, repo or equity
+transactions, the margin is collected from either the buyer or the seller (current liquidating margin),
+depending on how the transaction price performs compared to the current value of the financial
+instruments. The purpose of these margins is to offset gains and losses.
+Eurex Clearing AG only permits securities with a high credit quality and liquidity to be used as securities
+collateral for margin calls. Internal valuations and external ratings are used to determine the credit
+quality. On the basis of these consolidated ratings, only securities that are classified as at least
+investment grade are permitted. The minimum for bank bonds has been raised to at least "A-" due to the
+potential wrong-way risks. Acceptance criteria are reviewed continuously. Market risk is also covered by
+haircuts with a confidence level of at least 99.9 per cent. Hence, securities of issuers with lesser credit
+quality are subject to higher haircuts than those applied to securities with higher credit quality. Eligible
+collateral that no longer meets the high credit rating requirements at a later point in time (e.g. due to a
+new consolidated rating) is excluded. Risk inputs are checked monthly and the haircuts recalculated
+daily for each security. In addition, a minimum safety margin applies to all securities.
+Each clearing member must prove that it has liable capital (or, in the case of funds, assets under
+management) equal to at least the amounts that Eurex Clearing AG has defined for the different markets.
+The amount of liable capital (or assets under management) for which evidence must be provided
+depends on the risk. To mitigate Eurex Clearing AG's risk that clearing members might default before
+settling open transactions, members are obliged to deposit collateral in the form of cash or securities
+(margins) on a daily basis and, if required, to meet additional intraday margin calls.
+<3
+Certainty for participants and the clearing house
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+91
+Given the size and volatility of its clients' liabilities, Eurex Clearing AG has developed a leading-edge
+collateral management. This system is described in detail in the following section.
+Investment losses on currencies for which Eurex Clearing AG has no access to the respective central
+banks will be borne, on a pro-rata basis, by Eurex Clearing AG and by those clearing members active in
+the currency where losses were incurred. The maximum amount which each clearing member will have
+to contribute in this manner is the total amount such clearing member has pledged with Eurex
+Clearing AG as cash collateral in this currency. The maximum amount to be borne by Eurex Clearing AG
+is €50 million.
+We reduce our risk when investing funds belonging to Group companies and client deposits by
+distributing investments across multiple counterparties, all with a high credit quality, by defining
+investment limits for each counterparty and by investing funds primarily in the short term and in
+collateralised form if possible. Investment limits are established for each counterparty on the basis of at
+least annual credit checks and using ad hoc analyses, as necessary. Since extending its licence as an
+investment and credit institution under Kreditwesengesetz (German Banking Act), Eurex Clearing AG can
+also use the permanent facilities at Deutsche Bundesbank; it is thus in a position to manage the majority
+of client funds in a central bank environment.
+Due to its role as a central counterparty, Eurex Clearing AG has strict liquidity guidelines and its
+investment policy is correspondingly conservative. Regular analyses ensure the appropriateness of the
+liquidity guidelines. In addition, Eurex Clearing AG can use Deutsche Bundesbank's permanent facilities.
+100
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+In the medium to long term, the Clearstream Holding Group expects higher capital requirements at a
+regulatory group level for the following reasons:
+24.5
+28.2
+Nodal Clear, LLC
+360
+209
+1.8
+2.3
+0.5
+1.1
+EEX Asia Pte. Limited
+165
+179
+10.7
+11.5
+6.5
+6.4
+REGIS-TR S.A.
+%
+%
+€m
+31 Dec 2020
+31 Dec 2021
+31.5
+31 Dec 2020
+31.9
+130
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+108
+The regulatory minimum requirements were complied with at all times by all companies during the
+reporting period and in the period up to the preparation of the consolidated financial statements.
+n/a
+n/a
+6.1
+n/a
+The capital requirements of Clearstream Group as well of the subsidiaries Clearstream Banking AG and
+Clearstream Banking S.A. decreased in the reporting period. There were changes in capital requirements
+which are mainly related to operational risks, both at the single-entity and Group level.
+Management) AG
+2,033
+Crypto Finance (Asset
+n/a
+n/a
+15.0
+n/a
+7.3
+AG
+206
+Crypto Finance (Brokerage)
+112
+Further information
+31 Dec 2021
+€m
+€m
+2.3
+3.2
+31 Dec 2020
+31 Dec 2021
+31 Dec 2020
+€m
+31 Dec 2021
+€m
+31 Dec 2020
+€m
+€m
+31 Dec 2021
+Total capital ratio
+<3
+Regulatory equity
+Own funds requirements
+Eurex Securities Transactions
+Services GmbH
+Eurex Repo GmbH
+Compliance with own funds requirements
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+107
+10.2
+25.0
+31 Dec 2020
+€m
+27.6
+%
+31 Dec 2021
+Equity ratio
+Regulatory equity
+Own funds requirements
+Compliance with own funds requirements
+Pursuant to Section 39.11 of the Code for Federal Regulation (CFR), Nodal Clear, LLC is obliged to
+maintain sufficient financial resources to cover all current costs for a minimum period of twelve months,
+whereby highly liquid assets must cover all current costs for at least six months. Regulatory minimum
+requirements were met throughout the year.
+is higher. Regulatory requirements were met throughout the year. Regarding the anticipated upswing in
+the business development of EEX Asia Pte. Limited, we expect slightly increasing own funds
+requirements. Its capital base will be adjusted, if required.
+According to the MAS, EEX Asia Pte. Limited is required to maintain own funds at the rate of either
+18 per cent of annual operating revenue or 50 per cent of annual operating costs, depending on which
+According to Article 21 (b) of the Delegated Regulation (EU) No 150/2013, REGIS-TR S.A. is required to
+maintain equity in the amount of at least 50 per cent of annual operating costs.
+31
+559
+39.9
+62.4
+10.2
+11.2
+360 Treasury Systems AG
+0
+2,963
+0
+35.0
+0
+1.2
+95
+%
+789
+<3
+Overall assessment of the risk situation by the Executive Board
+Deutsche Börse AG's Executive Board is responsible for risk management throughout the Group and
+regularly reviews the entire Group's risk situation. The Executive Board of Deutsche Börse AG confirms
+the effectiveness of the risk management system.
+In line with regulatory requirements we carry out risk analyses regularly and if needed on an ad hoc
+basis to understand and measure relevant risks, and to use the findings to take action. Such risk
+analyses and assessments comprise the Group's own business activities as well as business
+relationships, market participants, products and services. Risk-mitigation measures are derived from the
+compliance risks identified.
+In the context of the current geopolitical events in Ukraine and the potentially resulting economic
+consequences, the Group analyses which risks could have an impact on the individual business areas.
+This concerns all risks for Group companies that have business relationships with companies based in
+the affected countries (Ukraine, Russia), hold assets or have other connections of both an economic and
+technical nature. Deutsche Börse Group has implemented a robust and flexible system for managing
+potential sanctions and embargo risks. Dedicated sanctions experts carefully monitor current
+developments and are in regular communication with stakeholders and Deutsche Börse Group's business
+areas in order to be able to react to restrictions in a timely manner.
+102
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Risk management
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Key non-financial performance indicators: corruption prevention and data protection
+Corruption prevention
+2021
+2020
+Punished cases of corruption
+0
+0
+Percentage of business units for which measures have been taken to address corruption risks
+Number of employees who were trained in ABC measures (anti-bribery and corruption)¹
+%
+100
+100
+7,177
+1,394
+Data protection
+Analysis of compliance risks
+Number of justified customer complaints relating to data protection
+Deutsche Börse Group has established a whistleblowing system (BKMS), where employees can relay
+information about potential or actual breaches of prudential or regulatory rules and ethical standards, by
+phone or e-mail. The anonymity of whistleblowers is guaranteed. We cultivate an open approach to
+dealing with misconduct. For this reason, concerns are often also passed on directly to the responsible
+line manager, or to Group Compliance.
+Regular compliance training is an elementary part of promoting our compliance culture. Our employees
+around the world are trained regularly on the relevant compliance topics. We particularly cover money-
+laundering, financing of terrorism, other criminal acts (fraud), financial sanctions and embargoes, market
+manipulation, insider trading and data protection. Managers exposed to a higher compliance risk by
+virtue of their work receive additional training as required. Participation in training measures covering
+the compliance topics mentioned above is mandatory for our employees, as well as for managers.
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Risk management
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+As a member of the UN Global Compact we have committed to observe its principles, notably the
+principle to work against corruption in all its forms, which includes extortion and bribery. In line with our
+code of business conduct, the Group prohibits its employees from involving themselves in corruption, or
+from taking part in any actions which may lead to the impression that the Group promises, arranges,
+provides, receives, or asks for unlawful benefits. Bribery and facilitation payments are prohibited.
+It is our Group's guiding principle that our actions and the decisions of all employees are taken
+objectively and with integrity. Management plays a particularly important role in this context. We are
+fully aware of what is known as the "tone from the top" for achieving a high level of awareness of the
+need to manage compliance risks - both within the Group and among market participants. In order to
+sustainably enshrine this guiding principle, and to prevent the Group and its staff from legal sanctions
+and reputational damage, Group Compliance has implemented a variety of preventative measures in a
+risk-oriented approach.
+Compliance organisational structure
+Group Compliance sets standards for the key compliance risks affecting all entities within the Group. In
+this context Group Compliance devises risk-oriented measures in order to contain and manage identified
+risks; to communicate risks, incidents, and the effectiveness of the measures taken; it ensures
+continuous improvement of the compliance management system by way of regular adjustments to the
+relevant internal policies and processes.
+Key compliance topics are discussed in the Group Compliance Committee. Committee members are the
+senior managers of the business units and the relevant control functions for the Group as a whole.
+Code of business conduct
+Our Group's code of business conduct, which is communicated to all members of staff, summarises the
+most important aspects with regard to corporate ethics and compliance as well as appropriate conduct.
+The Code focuses on principles to guide decisions - not rules or lists of dos and don'ts. Moreover, Group
+Compliance provides employees with compliance-relevant information via the corresponding intranet
+pages, unless this is not possible for particular confidentiality reasons. For details we refer to the section
+"Corporate governance statement".
+101
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Risk management
+Financial statements and notes
+Remuneration Report
+Further information
+Compliance rules
+<3
+Group Compliance has implemented Group-wide policies designed to ensure that the internal
+stakeholder groups acting on behalf of the Group comply with the behavioural rules set out in these
+policies. They are intended to prevent, detect and punish breaches of compliance policy. Group-wide
+communications via the intranet are geared towards providing employees (including members of the
+Executive Board and managers) with the necessary guidance for their daily work, and ensuring
+compliance.
+Compliance training
+Whistleblowing system
+11.2
+0
+1) All employees of Deutsche Börse Group must repeat the web-based ABC training every two years. Since the course is updated and completed by employees in odd-
+numbered years, the number of courses completed in the even-numbered year 2020 is significantly lower.
+110
+New financial derivatives: We operate Eurex, one of the leading global derivative exchanges. In addition
+to a broad range of established international benchmark products, we have introduced a large number of
+new products in recent years, such as MSCI, total return, dividend and ESG derivatives. These new
+products reflect changes in customer preferences and regulatory requirements. We anticipate further
+strong growth in these and future products still to be launched in the years ahead.
+When exploiting secular growth opportunities, we focus on innovative products, increasing market share
+and winning new customers. We expect to see the highest revenue growth in trading and clearing by
+2023, due in part to new financial derivatives, the clearing of OTC derivatives and further growth in the
+trading of energy and gas products. Foreign exchange trading via 360T is also expected to provide a
+contribution to net revenue growth. Post-trading will focus on the further development of investment
+fund business. The growth focus in pre-trading lies in expanding the index, analytics and ESG business.
+The commercial potential of the initiatives mentioned here is described in more detail below.
+Secular growth opportunities
+We have a very broad portfolio of products and services with which we cover all areas of a market
+infrastructure provider's value chain. This makes us one of the most broadly based stock exchange
+organisations in the world. In order to maintain and expand this position we are pursuing a medium-
+term growth strategy called Compass 2023. Among other things we are focusing on organic growth
+opportunities in order to achieve our strategic goals. We make a basic distinction between secular and
+cyclical opportunities: secular opportunities arise for example as a result of regulatory changes, new
+client requirements (such as the growing demand for over-the-counter (OTC) transactions to on-
+exchange solutions) or from the trend to allocate an increasing portion of assets to passive investment
+strategies (e.g. index funds). We exploit these opportunities in a focused and active way. Cyclical
+opportunities on the other hand cannot be influenced directly by us and are driven by macroeconomic
+changes. In addition, we intend to seize long-term opportunities arising as a result of the technological
+transformation. They particularly include distributed ledger technology (DLT) and public cloud solutions
+for the operation of IT infrastructure.
+Organic growth opportunities
+We evaluate the organic and inorganic growth opportunities in the individual business areas
+continuously, i.e. over the course of the year. At Group level these opportunities are systematically
+assessed as part of the annual budgeting process and strategic reviews. The process begins with a
+careful analysis of the market environment, which considers both what the customer wants, as well as
+market developments, competitors and regulatory changes. Ideas for growth initiatives are developed
+further using uniform, Group-wide templates and subjected to a profitability analysis. On this basis, our
+Executive Board decides which initiatives are to be implemented.
+Our opportunities management aims to identify, evaluate and assess opportunities as early as possible.
+and to take appropriate measures in order to transform opportunities into business success.
+Organisation of opportunities management
+<3
+12. Report on opportunities
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Report on opportunities
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+109
+In 2022, we intend to continue strengthening and expanding its risk management and internal control
+system (ICS). This includes, for example, further expansion of information security management,
+methodological improvements in risk management and the ICS, and a closer coordination between
+control functions, also by means of a Group-wide governance, risk and compliance tool.
+Deutsche Börse Group continually assesses its risk situation. Based on the calculated REC in stress tests
+and based on the risk management system, Deutsche Börse AG's Executive Board concludes that the
+available risk cover amount and the available liquidity are sufficient. There is currently no indication that
+the risk coverage amount has to be adjusted for 2022. Furthermore, it cannot identify any risk that
+would endanger the Group's existence as a going concern.
+Outlook
+As at 31 December 2021, the Group's REC amounted to €1,827 million, a decline of roughly 17 per
+cent year-on-year (31 December 2020: €2,203 million at the now valid 99.9 per cent confidence
+interval).
+The risk profile of Deutsche Börse Group did not change significantly in the financial year 2021. The
+aggregate total risk of Deutsche Börse Group across all risk types (operational, financial and business
+risk) was always matched by sufficient risk-bearing capacity.
+Summary
+The individual companies' capital resources sufficiently reflect the fluctuation in risk-weighted assets. In
+addition, buffers are taken into account for the calculation of the recovery indicators specified in the
+recovery plans. The objective of these indicators is to prevent triggering recovery events. The capital
+requirements determined in this way will be used for the mid-term capital planning.
+0
+As at 31 December 2021, the bank-specific countercyclical buffer requirement stood at 0.05 per cent of
+risk-weighted assets for Clearstream Banking S.A., at 0.14 per cent for Clearstream Banking AG and at
+0.05 per cent for Clearstream Holding Group, whereas for Eurex Clearing AG it was at 0.07 per cent. As
+at 31 December 2021, the systemic risk buffer was not required by the authorities in Luxembourg or
+Germany. None of the Group companies has been defined as of global systemic importance. Clearstream
+Banking S.A. has been defined by CSSF in accordance with regulation No. 20-07 as an "Other
+systemically relevant institute” (O-SII) since 1 January 2018 and requires an additional buffer of 0.5 per
+cent.
+Further information
+Regulatory capital requirements and regulatory capital ratios
+Clearstream Banking S.A., Clearstream Banking AG and Eurex Clearing AG, in their capacity as credit
+institutions, are subject to solvency supervision by the German or Luxembourg banking supervisory
+authorities (Bundesanstalt für Finanzdienstleistungsaufsicht, BaFin, and Commission de Surveillance du
+Secteur Financier, CSSF, respectively). The same applies to the Clearstream Holding at a regulatory
+group level. Eurex Repo GmbH, Eurex Securities Transactions Services GmbH and 360 Treasury Systems
+AG are also subject to specific provisions applicable to certain investment firms under BaFin supervision.
+Since the authorisation of both Eurex Clearing AG and European Commodity Clearing AG as central
+counterparties in 2014, these companies have been subject to the capital requirements defined in
+Article 16 EMIR. These requirements apply to Eurex Clearing AG as central counterparty at the same
+time as the solvency requirements; the higher requirement applies. Irrespective of its status as a
+specialist credit institution according to German law, European Commodity Clearing AG is only subject to
+EMIR capital requirements.
+Since Clearstream Banking AG as well as Clearstream Banking S.A. are authorised as a central securities
+depositories both are subject to the capital requirements defined in Article 47 CSDR. These requirements
+apply to both Clearstream central securities depositories at the same time as the solvency requirements;
+the higher requirement applies. The additional authorisation for banking-type ancillary services under
+Article 54 CSDR means that Clearstream Banking AG and Clearstream Banking S.A. will in future have
+to comply with the additional capital surcharge for the provision of intra-day credit defined in Article 54
+(3) d CSDR, in addition to the capital requirements mentioned above.
+Nodal Clear, LLC is a Derivatives Clearing Organisation (DCO) subject to regulation by the US
+Commodity Futures Trading Commission (CFTC).
+REGIS-TR S.A., as a trade repository according to EMIR, is subject to supervision exercised by the
+European Securities and Markets Authority (ESMA).
+Crypto Finance (Brokerage) AG is authorised as securities firm according to Article 41 of the Swiss
+Federal Act on Financial Institutions (FinIA) while Crypto Finance (Asset Management) AG is authorised
+as manager of collective investments according to the Swiss Collective Investment Schemes Act (CISA).
+Both are subject to the supervision by the Swiss Financial Market Supervisory Authority (FINMA).
+103
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Risk management
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Market risk exposures consist only of relatively small open foreign currency positions. As of 31
+December 2021, the company Crypto Finance (Brokerage) AG has negligible market risk positions
+resulting from exposures to digital assets. The companies concerned uniformly apply the standardised
+approach for credit risk. As a result of the specific business of the central securities depositories and
+central counterparties belonging to Deutsche Börse Group, their recognised assets are subject to wide
+fluctuations. This leads in particular to correspondingly volatile total capital ratios at the Clearstream
+companies. The volatility of the ratio is subject to major fluctuations on a day-to-day basis in the course
+of the year. Due to a high degree of secured or zero-weighted cash investments, the own funds
+requirements for credit risk exposures of Eurex Clearing AG and European Commodity Clearing AG are
+relatively stable despite volatile total assets in the course of the year.
+To calculate operational risk, Eurex Clearing AG and European Commodity Clearing AG use the basic
+indicator approach, while the Clearstream companies apply the advanced measurement approach
+(AMA).
+The specific provisions of the Investment Firm Regulation (IFR) that took effect in June 2021 and the
+new German Securities Institutions Act (Wertpapierinstitutsgesetz, WpIG) require the investment firms
+360 Treasury Systems AG and Eurex Securities Transactions Services GmbH to calculate their capital
+requirement based on the higher of a) 25 per cent of the fixed overheads, b) what are known as K
+factors or c) a fixed minimum initial capital requirement. As a small, non-interlinked investment firm,
+Eurex Repo GmbH determines its own funds requirement based on the higher of a) 25 percent of the
+fixed overheads or b) its fixed minimum capital requirement. In the reporting year, the capital
+requirements based on fixed overheads were decisive for the companies mentioned. None of the Group
+companies subject to solvency supervision has either Additional Tier 1 or Tier 2 supplementary capital.
+A minimum total capital ratio of 8 per cent generally applies to credit institutions subject to the CRR. In
+addition, CRD IV introduced various capital buffers, which the supervised (credit) institutions generally
+have to meet over and above the minimum total capital ratio of 8 per cent, although they may
+temporarily fall below these levels. The current capital buffer is 2.5 per cent.
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Risk management
+Financial statements and notes
+Remuneration Report
+<3
+3.9
+0.3
+6.3
+1,214.2
+363.9
+323.0
+Clearstream Banking S.A.
+25.0
+33.2
+1,677.7
+1,790.6
+536.1
+431.8
+Clearstream Holding Group
+%
+%
+31 Dec 2020
+31 Dec 2021
+31 Dec 2020
+€m
+31 Dec 2021
+€m
+31 Dec 2020
+€m
+€m
+31 Dec 2021
+Total capital ratio
+Regulatory equity
+Own funds requirements
+1,209.9
+Regulatory capital ratios according to CRR
+30.1
+Clearstream Banking AG
+31 Dec 2020
+€m
+31 Dec 2021
+€m
+Clearstream Banking AG
+Clearstream Banking S.A.
+CSDR capital
+Total CSDR capital requirements under Article 47 CSDR
+Own funds requirement for operational, credit and market risk
+Other CSDR capital requirements
+Capital adequacy requirements under CSDR
+Clearstream Banking AG's capital requirements according to CSDR are currently significantly above CRR
+and CRD IV capital requirements. The capital requirements under Article 47 CSDR do not stipulate a
+specific ratio. Instead, the total of share capital and reserves is compared with the capital requirements
+and has to be at least the same.
+57.6
+49.8
+749.8
+749.8
+104.2
+120.3
+Eurex Clearing AG
+22.4
+26.9
+419.9
+420.1
+150.3
+124.8
+11.2
+26.6
+No capital contributions were made in 2021, but they are planned for the years ahead in order to
+strengthen the capital base.
+104.2
+120.3
+31 Dec 2021
+€m
+31 Dec 2020
+€m
+31 Dec 2021
+€m
+31 Dec 2020
+€m
+€m
+31 Dec 2021
+Total capital requirements
+Own funds requirements for
+credit and market risk
+Own funds requirements for
+operational risk
+<3
+Composition of own funds requirements
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+105
+The own funds requirements for operational risk calculated with Eurex Clearing AG's internal risk model
+are higher than the own funds requirements derived from the basic indicator approach, which is based
+on the profit and loss statement as prescribed by CRR. Hence, Eurex Clearing AG always applies
+additional capital buffers for such risks, surpassing regulatory minimum requirements. Against this
+background, banking supervisors requested in 2011 that Eurex Clearing AG increases the basis for the
+calculation of regulatory own funds requirements by considering an appropriate share of clearing-related
+fees received for the account of operating entities. The own funds requirements for operational risk are
+calculated once a year based on a three-year average of historical income, including the assumed
+clearing fees, and are therefore not subject to daily fluctuations. Compliance with the minimum
+regulatory ratio is maintained at all times due to the sufficient capital buffer for uncollateralised cash
+investments.
+in revenue in the past years, capital requirements for operational risk rose according to the model. The
+capital requirements for credit and market risk increased as well.
+Eurex Clearing AG's capital requirements increased compared with the previous year. Given the increase
+■ The implementation of the so-called CRR II package and other amendments under Basel III
+■ The successive introduction of capital requirements resulting from the minimum requirements for
+equity and eligible liabilities (MREL) as a result of Directive 2014/59/EU
+■ The capital requirements of CSDR will apply in full in future
+31 Dec 2020
+€m
+Clearstream Holding Group
+348.6
+16.2
+20.0
+88.0
+100.3
+Eurex Clearing AG
+150.3
+124.8
+5.1
+6.7
+145.2
+118.1
+31 Dec 2021
+€m
+Clearstream Banking AG
+323.0
+56.5
+81.8
+307.4
+241.2
+Clearstream Banking S.A.
+536.1
+431.8
+83.5
+83.2
+452.6
+363.9
+31 Dec 2020
+104
+318.7
+€m
+€m
+31 Dec 2020
+31 Dec 2021
+Eurex Securities Transactions
+Eurex Repo GmbH
+met
+Own funds requirements to be
+Own funds requirements on the
+basis of fixed overheads
+Own funds requirements for
+credit and market risk
+Composition of own funds/capital requirements
+The Investment Firm Regulation requires Eurex Securities Transactions Services GmbH and 360 Treasury
+Systems AG to hold own funds of the higher of a) 25 per cent of the fixed overheads, b) a fixed
+minimum initial capital requirement of the entity or c) the capital requirements calculated based on the
+K factors. Eurex Repo GmbH determines its own funds requirements according to its classification based
+on the higher of a) or b). The capital requirement for ESTS, 360T and also for the Eurex Repo currently
+corresponds to 25 per cent of the respective fixed overheads of the previous year.
+116.9
+135.0
+549.8
+549.8
+- 15.0
+31 Dec 2021
+€m
+- 23.0
+31 Dec 2020
+31 Dec 2020
+Services GmbH
+0
+1.2
+0
+1.2
+0
+<3
+0
+2.3
+3.2
+1.6
+3.2
+0.7
+0
+€m
+€m
+€m
+31 Dec 2021
+360 Treasury Systems AG
+- 200.0
+0
+€m
+Eurex Clearing AG's capital requirements according to EMIR are currently significantly above CRR and
+CRD IV capital requirements. As with the CSDR, the capital requirements under Article 16 EMIR do not
+stipulate a specific ratio. For both Eurex Clearing AG and European Commodity Clearing AG this means
+that EMIR capital coverage of at least 100 per cent is required. A reporting requirement to the competent
+authority in this case BaFin ― is triggered when this ratio falls below 110 per cent.
+_
+The capital resources of Eurex Clearing AG and European Commodity Clearing AG are currently well
+above the regulatory requirements. As at the reporting date, total equity for both entities as disclosed in
+the statement of financial position was fully available to cover the risks according to Article 16 of EMIR,
+given that this equity fulfils the required liquidity standards. Eurex Clearing AG's own contribution to the
+default fund is €200.0 million. The own contribution to the default fund of European Commodity
+Clearing AG increased by €8.0 million to €23.0 million and was also above the regulatory minimum.
+Capital adequacy requirements under EMIR
+Own funds requirement for operational, credit and market risk
+Other EMIR capital requirements
+Total EMIR capital requirements under Article 16 EMIR
+Equity
+EMIR deductions
+Own contribution to default fund
+EMIR capital adequacy
+Eurex Clearing AG
+European Commodity Clearing
+AG
+31 Dec 2021
+31 Dec 2020
+31 Dec 2021
+31 Dec 2020
+€m
+- 200.0
+€m
+104.2
+0
+0
+0
+131.9
+158.0
+749.8
+749.8
+84.9
+93.6
+190.8
+255.8
+56.1
+58.5
+86.6
+135.5
+28.8
+35.1
+120.3
+0
+€m
+Financial statements and notes
+Further information
+Remuneration Report
+Management report | Risk management
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+106
+419.9
+420.1
+n/a
+1,214.2
+€m
+291.7
+311.4
+n/a
+150.3
+366.9
+125.1
+166.6
+161.1
+685.6
+n/a
+n/a
+119
+Further information
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+<3
+United Nations Global Compact www.unglobalcompact.org: this voluntary business initiative
+established by the United Nations aims to achieve a more sustainable and more equitable global
+economy. At the heart of the compact are ten principles covering the areas of human rights, labour,
+environment protection and anti-corruption. Deutsche Börse Group has submitted annual
+communications on progress (COPs) on its implementation of the UN Global Compact since 2009.
+Code of conduct for suppliers
+Deutsche Börse Group not only requires its management and staff to adhere to high standards - it
+demands the same from its suppliers and service providers. The code of conduct for suppliers requires
+them to respect human rights and employee rights and comply with minimum standards. Implementing
+a resolution of the Executive Board, the code of conduct for suppliers was amended in 2016 to include
+the requirements set out in the UK Modern Slavery Act, applicable to all corporations conducting
+business in the United Kingdom. Most suppliers have signed up to these conditions; all other key
+suppliers have made voluntary commitments, which correspond to, or in fact, exceed Deutsche Börse
+Group's standards. Service providers and suppliers must sign this code or enter into an equivalent
+voluntary commitment before they can do business with Deutsche Börse Group. The code of conduct is
+reviewed regularly in the light of current developments and amended if necessary. It is available on
+Deutsche Börse Group's website www.deutsche-boerse.com > Sustainability > Our ESG Profile >
+Procurement management.
+Sustainability and values
+Our business activities are based on the legal frameworks and ethical standards of the different countries
+in which Deutsche Börse Group operates. A key way in which we underscore the values we consider
+important is by joining initiatives and organisations that advocate generally accepted ethical standards.
+Relevant memberships are as follows:
+Diversity Charter www.charta-der-vielfalt.de: as a signatory to the Diversity Charter, the company has
+committed to acknowledging, respecting and promoting the diversity of its workforce, customers and
+business associates - irrespective of their age, gender, disability, race, religion, nationality, ethnic
+background, sexual orientation or identity.
+International Labour Organization www.ilo.org: this UN agency is the international organisation
+responsible for drawing up and overseeing international labour standards; it brings together
+representatives of governments, employees and employers to promote the joint development of policies
+and programmes. Deutsche Börse Group has signed up to the ILO's labour standards and hence has
+agreed to abide by them.
+120
+■ Corporate responsibility; human rights; ethical conduct
+The code of business conduct applies to members of the Executive Board, all other executives and all
+employees of Deutsche Börse Group. In addition to specifying concrete rules, the code of business
+conduct provides general guidance as to how employees can contribute to implementing the defined
+values in their everyday working life. The goal of the code of business conduct is to provide guidance on
+working together in the company on a day-to-day basis, to help resolve any conflicts and to resolve
+ethical and legal challenges. All newly hired employees receive the code of business conduct as part of
+their employment contract documentation. The code of business conduct is an integral part of the
+relationship between employer and employees at Deutsche Börse Group. Breaches may lead to
+disciplinary action. The document is available on www.deutsche-boerse.com > Sustainability > Our
+ESG profile > Employees > Guiding principles.
+Management report | Corporate governance statement
+Financial statements and notes
+Equal opportunities and protection against undesirable behaviour
+Environmental awareness
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+118
+The annual declaration of conformity pursuant to section 161 AktG can also be found online at
+www.deutsche-boerse.com > Investor Relations > Corporate Governance > Declaration of Conformity.
+The declarations of conformity for the past five years are also available there.
+Recommendation G.1, first indent DCGK recommends, among other things, that the remuneration
+system should specify what amount the total remuneration may not exceed (maximum remuneration).
+Already with the introduction of the adjusted remuneration system for the Executive Board on 1 January
+2020, the annual remuneration comprising fixed and variable remuneration components, pension
+benefits and ancillary benefits for each Executive Board member was capped at €9.5 million (total cap),
+after ancillary benefits had previously not been included in the total cap. This means that
+recommendation G.1, first indent of the GCGC has already been complied with in respect of the
+Executive Board service contracts newly concluded or extended since 1 January 2020. All other
+Executive Board service contracts were revised accordingly on 1 January 2021 based on the new
+remuneration system 2021, so that recommendation G.1 GCCG has been complied with in full since
+then."
+In detail:
+In the period since the last Declaration of Conformity dated 3 December 2020 until 31 December 2020,
+recommendation G.1, first indent GCGC was not complied with insofar as the Executive Board service
+contracts not newly concluded or extended in 2020 have only contained a total cap also including
+ancillary benefits since their revision as of 1 January 2021.
+The Executive Board and the Supervisory Board of Deutsche Börse AG declare that the
+recommendations of the GCGC have been complied with in full in the financial year 2021 to date and
+will continue to be complied with in the future.
+The following Declaration of Conformity refers to the current version of the German Corporate
+Governance Code dated 16 December 2019 (GCGC), which was published in the Federal Gazette on
+20 March 2020.
+"Declaration by the Executive Board and the Supervisory Board of Deutsche Börse AG regarding the
+German Corporate Governance Code in accordance with section 161 of the German Stock Corporation
+Act
+On 8 December 2021, the Executive Board and Supervisory Board of Deutsche Börse AG issued the
+following Declaration of Conformity:
+Declaration of Conformity pursuant to section 161 Aktiengesetz (AktG, German Stock Corporation
+Act)
+Deutsche Börse Group attaches great importance to the principles of good corporate governance and
+control. In this statement, we report on corporate governance at Deutsche Börse AG in accordance with
+principle 22 of the Deutscher Corporate Governance Kodex (the "Code", German Corporate Governance
+Code). The statement contains the corporate governance statement pursuant to sections 289f and 315d
+Handelsgesetzbuch (HGB, German Commercial Code).
+<3
+15. Corporate governance statement
+Further information
+Remuneration Report
+Management report | Corporate governance statement
+Financial statements and notes
+■
+Remuneration Report
+<3
+■Risk management
+■ Prevention of corruption
+■ Prevention of insider trading and market manipulation; personal account dealings
+■ Conflicts of interest
+■ Confidentiality and the handling of sensitive information
+Compliance with legislation and regulations; whistleblowing
+Acting responsibly means having values that are shared by all employees throughout the Group.
+Deutsche Börse AG therefore has a code of business conduct that is reviewed every year. This
+document, which is adopted by the Executive Board and applies throughout the Group, defines the
+foundations of key ethical and legal standards, including – but not limited to - the following topics:
+Code of business conduct
+Deutsche Börse Group's global orientation means that binding policies and standards of conduct must
+apply at all of the Group's locations around the world. Specifically, the main objectives of these
+principles for collaboration are to ensure responsibility, respect and mutual esteem. The Group also
+adheres to these principles when implementing its business model. Communications with clients,
+investors, employees and the general public are based on timely information and transparency. In
+addition to focusing on generating profit, Deutsche Börse Group's business is managed sustainably in
+accordance with recognised social standards.
+Conduct policies
+Information on corporate governance practices
+The 2021 remuneration report and the auditors' statement pursuant to section 162 AktG, the underlying
+remuneration system pursuant to section 87a (1) and (2) sentence 1 AktG as well as the latest
+resolution on remuneration pursuant to section 113 (3) AktG will be available at www.deutsche-
+boerse.com > Investor Relations > Corporate Governance > Remuneration.
+Publicly available information in accordance with section 289f (2) no. 1a HGB
+The Code consists of both recommendations (denoted in the text by the use of the word "shall"), which
+are reported in the Declaration of Conformity in accordance with section 161 AktG, and suggestions
+(denoted in the text by the use of the word "should"). Deutsche Börse AG fully complies with them.
+Disclosures on suggestions of the Code
+The Executive Board and Supervisory Board of Deutsche Börse AG declare in accordance with
+recommendation F.4 GCGC that recommendation D.5 GCGC was not applicable to the company in 2021
+because of the overriding statutory requirement of section 4b Stock Exchange Act. Recommendation
+D.5 GCGC states that the Supervisory Board shall form a Nomination Committee composed exclusively
+of shareholder representatives. In accordance with Section 4b of the German Stock Exchange Act,
+however, the Nomination Committee also assists the Supervisory Board of Deutsche Börse AG in
+selecting candidates for the Executive Board. As this task shall not be performed exclusively by
+shareholder representatives of the Supervisory Board, and in line with the practice to date, the
+Nomination Committee also includes employee representatives.
+Disclosures on overriding statutory provisions
+Further information
+Executive and Supervisory Boards
+Management report | Report on opportunities
+Executive and Supervisory Boards
+System availability (customer facing IT)
+Forecast for non-financial key performance indicators 2022
+Furthermore, we ensure the climate-neutrality of our Group by avoiding at least 70 per cent of our CO2
+emissions per workspace by 2022 and compensate for the remaining emissions by means of emissions
+reduction projects. This corresponds with the objective of our climate strategy to become climate-neutral
+on a net basis by 2025. All our efforts will be reviewed by the Science Based Target initiative (SBTi) by
+the end of 2023.
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Report on expected developments
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+115
+The assessment of independent ESG rating agencies is an important benchmark for our ESG efforts. We
+continuously analyse our performance and take action accordingly. Over the forecast period we expect
+that we will be able to maintain our good position above the 90th percentile of the ESG ratings.
+Moreover, the Executive Board adopted a voluntary commitment to increase the share of women holding
+middle and upper management positions to 22 per cent by the end of 2022, and of women holding
+lower management positions to 30 per cent during the same period. We have extended the scope of our
+voluntary commitment over and above the legal requirements. The defined target refers to Deutsche
+Börse Group worldwide.
+Deutsche Börse AG's Executive Board has defined target quotas for women on the two management
+levels beneath the Executive Board, in accordance with section 76 (4) of the AktG, in each case referring
+to Deutsche Börse AG. By 31 December 2022, the proportion of women holding positions in the first
+and second management levels beneath the Executive Board is planned to reach 15 per cent and 22 per
+cent, respectively.
+Being an attractive employer is important for our sustained success. We want to attract top talents and
+retain them for the long term. The measures described in the chapter “Our Employees" put us in a good
+position and we are confident that we can maintain or improve on our employee satisfaction of more
+than 71.5 per cent.
+Initiatives to promote the transparency and security of the markets will continue to be a key focus during
+the forecast period, ensuring that we add value for society. As far as the forecast development of non-
+financial performance indicators for 2021 is concerned, system availability customer facing IT was
+brought back into line with the high targets by means of additional back-up measures, which became
+part of everyday operations. We therefore expect that the system availability (customer facing IT) will
+remain high in the forecast period.
+Development of non-financial performance indicators
+1) ESG net revenue according to the internal definition of Deutsche Börse Group - see "Definition of our ESG net revenue".
+> 10%
+~€3.8 billion
+~€2.2 billion
+€2,043.1 million
+210% incl. ISS acquisition
+€3,509.5 million
+Forecast 2022
+Basis 2021
+ESG net revenue growth¹
+Earnings before interest, tax, depreciation and amortisation (EBITDA)
+Net revenue
+Employee satisfaction
+Women in leadership positions¹
+ESG ratings
+CO2 emissions per workspace vs. 2019²
+Deutsche Börse Group | Annual report 2021
+117
+The hybrid bond will be used to refinance last year's M&A activities.
+Deutsche Börse AG has successfully placed a corporate hybrid bond in the amount of €500,0 million on
+16 February 2022. The bond has a term of 26.25 years with a first call date after 6 years and a coupon
+of 2.0 per cent annually until June 2028.
+14. Report on post-balance sheet date events
+We believe the Group remains very well positioned in terms of international competition, thanks to its
+comprehensive offering along the securities trading value chain and its innovative strength. This being
+the case, we expect to see a positive trend in our results of operations over the long term. Measures
+taken as part of our growth strategy should further accelerate this growth. In this context, we aim to
+become more agile and effective and sharpen our client focus, in order to become the global market
+infrastructure provider of choice, with a top ranking in all our business areas. We endeavour to expand
+our secular growth areas further, and to increase their contribution to net revenue again by at least 5 per
+cent. Taking other cyclical and consolidation effects into account, we are planning an increase in net
+revenue to around €3.8 billion in the forecast period. We expect EBITDA to go up to some €2.2 billion
+in the forecast period. Overall, we assume on this basis that cash flow from operating activities will be
+clearly positive and that, as in previous years, the liquidity base will be sound. The overall assessment
+by the Executive Board is valid as at the publication date for this combined management report.
+Overall assessment by the Executive Board
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Report on post-balance sheet date events
+Executive and Supervisory Boards
+Forecast for results of operations 2022
+Deutsche Börse Group | Annual report 2021
+We generally aim to distribute dividends equivalent to between 40 and 60 per cent of net profit for the
+period attributable to the shareholders of Deutsche Börse AG. Within this range, we manage the actual
+distribution ratio mainly in relation to our business performance and based on continuity considerations.
+In addition, we plan to invest the remaining available funds primarily in the continued inorganic
+development of the Group. Should we be unable to invest these funds, additional distributions,
+particularly share buy-backs, represent another opportunity for the use of funds. To maintain its strong
+credit ratings at Group level, we aim for a ratio of net debt to EBITDA of no more than 1.75, and a ratio
+of free funds from operations to net debt of at least 50 per cent.
+We expect that cash flow from operating activities, which is our primary source of financing, will remain
+significantly positive in future. We expect that two significant factors will influence changes in liquidity:
+Firstly, we plan to invest around €200 million in intangible assets and property, plant and equipment at
+Group level. These investments will serve primarily to develop new products and services in our growth
+areas and to enhance existing ones. Secondly, we will propose a dividend of €3.20 per share to the
+Annual General Meeting to be held in May 2022. This would represent a cash outflow of about
+€587 million. Apart from the above, we did not expect any other material factors to impact the Group's
+liquidity at the time the combined management report was prepared. As in previous years, we assume
+that we will have a sound liquidity base in the forecast period due to positive cash flow from operating
+activities, adequate credit lines (for details see "Note 24 to the consolidated financial statements"), and
+our flexible management and planning systems.
+Future development of the Group's financial position
+-70%
+-66%
+>90th percentile
+95th percentile
+>71.5%
+22%
+>99.5%
+99.9%
+75%
+21%
+Forecast 2022
+Basis 2021
+1) Group-wide target in senior management.
+2) Unaudited figure.
+116
+2019 to 2023.
+Within the context of our growth strategy, we pursue clearly defined principles for managing operating
+costs. We achieve the necessary flexibility largely by making continuous improvements to our operating
+processes. We are expecting earnings before interest, tax, depreciation and amortisation (EBITDA) to rise
+to around €2.2 billion in the forecast period. This would put us right on track towards our medium-term
+growth targets of 10 per cent per year on average for net revenue and EBITDA over the period from
+<3
+Deutsche Börse Group | Annual report 2021
+112
+New developments such as cloud services, in the context of artificial intelligence (AI), big data, robotics,
+blockchain technology, combined with the potential for innovation offered by fintech companies, are
+driving change in the financial sector. This new wave of technology might help overcome barriers to
+market harmonisation, while creating additional efficiency and mitigating risks. The trend has been
+reinforced by the new environment resulting from the COVID-19 pandemic and is expected to continue
+in the years to come. Digitisation trends will accelerate, and the challenge for established providers is to
+find the right path with regard to new business models and innovative technologies.
+Technological opportunities
+■ In the spot and future market segment - Xetra and Eurex - an economic recovery after the COVID-19
+pandemic and a lasting increase in investor confidence in capital markets could lead to more normal
+market volatility and increase trading volumes.
+■ Net interest income at Clearstream, which is based on cash deposits from our customers, would profit
+from a change in global low interest rate policies and higher short-term rates.
+■The volumes of interest rate derivatives traded on the Group's derivatives markets could rise if
+speculation on trends in long-term yields on German and other European government bonds grows,
+and if the spread between the various European government bonds continues to narrow.
+term.
+In addition to its secular growth opportunities, we have cyclical opportunities, for instance as a result of
+positive macroeconomic developments. We do not have any direct control over these cyclical
+opportunities, but they do have the potential to increase our net revenue significantly in the medium
+Cyclical opportunities
+ESG: The trend towards sustainable business and investing represents an increasingly important secular
+growth opportunity for us, which has been accelerated by the COVID-19 pandemic. Our aim is to
+support market participants with high-quality ESG data, analytics, specialised ESG indices and the
+corresponding trading and hedging options. A big first step in this direction was taken in 2021 with the
+acquisition of Institutional Shareholder Services (ISS). We therefore expect further secular growth to
+come from developing new products and winning new customers across our entire Company.
+Expansion of the index and analytics business: Our objective in the index business is to give the already
+established European index provider STOXX an even more global profile, in order to develop and market
+other indices worldwide (in addition to its DAXⓇ and STOXX® index families). In addition, Deutsche
+Börse's index business will continue to take advantage of the structural trend towards passive investment
+products (ETFs). An increasing number of private clients and asset managers now follow this trend; not
+only are the costs lower, but many active investment strategies have been returning under-average
+performance. In order to support these trends more effectively we have acquired Axioma, a leading
+provider of portfolio and risk management solutions. The combination created Qontigo, a fully integrated
+leading information provider for institutional investors, which meets the growing market demand for
+products and analysis in this area.
+<3
+Executive and Supervisory Boards
+Further information
+Financial statements and notes
+Management report | Report on opportunities
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+111
+Cross-border settlement of investment funds: Our clients can use our settlement and custody services
+for their entire fund portfolio – covering traditional investment funds, exchange-traded funds (ETFs) as
+well as hedge funds. Given that supervisory authorities are also calling for more efficient settlement and
+custody solutions in order to guarantee maximum security for client assets under custody, we expect to
+acquire additional client portfolios in the future by means of outsourcing agreements. We are also
+continuously expanding our range of products and services. We have, for example, significantly
+expanded our range of fund services to include the management of distribution agreements, as well as
+data compilation through acquisitions. In this way, we expect to generate additional net revenue by
+realising revenue synergies.
+Growth in foreign-exchange trading (360T): 360T® is a leading global platform for currency trading,
+whose broad customer base includes companies, buy-side customers and banks. By combining 360T's
+knowledge and experience in the foreign exchange market with our IT expertise, we have opened up
+additional revenue potential. We have made progress with various measures for achieving synergies,
+including the launch of FX futures and clearing services. We also benefit from a long-term secular trend:
+even though, at present, the vast majority of daily foreign-exchange trading volumes is still executed
+OTC, demand for transparent, electronic multi-bank trading platforms is rising.
+Trading and clearing of power and gas products on EEX: European Energy Exchange AG (EEX) allows
+us to offer a broad product range for trading and clearing spot and derivatives contracts for power and
+gas as well as emission certificates. EEX has become the central market for energy in continental Europe
+and its product range includes, among others, the markets Germany, France, the Netherlands, Belgium,
+Italy and Spain. It is also active in the US market through its acquisition of Nodal Exchange. EEX's
+growth is mainly based on the growing importance of renewable energies for power generation. Owing to
+the high degree of fragmentation, as well as the inefficiency of OTC markets, the demand for on-
+exchange trading and clearing solutions has also increased over recent years. EEX believes it is well
+positioned in this changing competitive environment to achieve secular growth and gain additional
+market share.
+Clearing of OTC derivatives: The liquidity problems experienced by major market participants during the
+financial crisis were triggered by the failure to settle bilateral OTC transactions that were mainly entered
+into on an unsecured basis. In light of this, the leading industrialised nations (G20) agreed to create an
+effective regulatory environment to make OTC derivatives transactions more transparent and more
+secure. Consequently, the European Union has created the European Market Infrastructure Regulation
+(EMIR). EMIR also involves the obligation to clear standardised OTC derivative transactions using a
+central counterparty. Eurex Clearing AG and its market partners have created an alternative for clearing
+interest rates swaps in the EU, and since then has continued to expand its notional outstanding volumes
+and market share.
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Remuneration Report
+Deutsche Börse Group | Annual report 2021
+Management report | Report on opportunities
+Remuneration Report
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Report on expected developments
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+10ESG net revenue according to the internal definition of Deutsche Börse Group - see "Definition of our ESG net revenue".
+As in previous years, we expect net revenue from secular growth opportunities to increase by at least
+per cent in the forecast period. We are driving this growth through investment. By doing so, we aim to
+shift further market share from over-the-counter trading and clearing to the on-exchange segment and to
+further expand our positions in existing asset classes by introducing new products and functionalities
+and acquiring new customers. We are also expecting an additional contribution to net revenue from
+takeovers, particularly the acquisition of ISS on 25 February 2021. Business areas dependent on
+cyclical factors should also see first slightly positive effects on cyclical net revenue due to lower market
+volatility in 2021 and possible US interest rate rises in 2022. In total, we anticipate net revenue of
+approximately €3.8 billion for the forecast period. For the ESG net revenue¹0 included therein we expect
+growth of more than 10 per cent for the same period.
+5
+Given our diversified business model and multiple sources of revenue and despite the extraordinary
+macroeconomic environment, we believe we are very well positioned to further improve our earnings in
+the medium and long term. This expectation is based partly on the secular growth opportunities that we
+intend to exploit (for details, see the "Report on opportunities"), as well as on additional expected
+inorganic growth.
+Future development of results of operations
+As expected, the global economy recovered relatively well from the impact of COVID-19 pandemic over
+the course of 2021, and we are anticipating further economic growth for the forecast period. It is likely
+to be somewhat slower than the growth rates seen in 2021, however, because rising inflation and the
+expectation of tighter monetary policy by central banks could have a restraining effect. In addition, the
+intensifying conflict between Russia and Ukraine could have a negative impact on the macroeconomic
+environment.
+Macroeconomic environment
+Financial statements and notes
+Developments in the operating environment
+<3
+13. Report on expected developments
+Further information
+Remuneration Report
+Management report | Report on expected developments
+Financial statements and notes
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+113
+M&A growth opportunities
+Distributed ledger technology (DLT) represents another technological opportunity. It is considered a
+disruptive technology at times – but at present, the financial services sector is increasingly exploring its
+opportunities. Thanks to its decentralised nature, it facilitates direct interaction between participants,
+thus offering the potential for simplifying complex processes. Established market infrastructure providers
+such as Deutsche Börse Group, which covers the entire value creation chain from a single source, play
+an important role when it comes to tapping this potential – meeting existing industry standards at the
+same time. Besides legal and regulatory requirements, this also involves adhering to security standards,
+as well as limiting risks and ensuring cost efficiency.
+We have optimised our internal processes particularly with regard to cloud services. HR processes,
+purchasing and settlement of travel expenses, among others, are now processed in the cloud. This has
+led to a significant streamlining of processes, and also has a positive effect on the Group's costs. We are
+also working on transferring services and processes with clients to the cloud. For instance, the
+introduction of new trading platforms and updating of existing infrastructure might be tested faster and
+better beforehand by clients in the cloud. This would make our processes significantly more agile, as
+new releases could be introduced at more frequent intervals, allowing us to respond better to clients'
+requirements. We have signed agreements with a number of key cloud service providers, positioning
+ourselves at the forefront of cloud use in the European financial services sector.
+<3
+Further information
+The forecast describes Deutsche Börse Group's expected performance for the 2022 financial year. It
+contains statements and information on events in the future and is based on the company's expectations
+and assumptions at the time of publication of this corporate report. In turn, these are subject to known
+and unknown opportunities, risks and uncertainties. Numerous factors, many of which are outside the
+company's control, influence the Group's success, its business strategy and its financial results. Should
+opportunities, risks or uncertainties materialise or should one of the assumptions made turn out to be
+incorrect, the Group's actual performance could deviate either positively or negatively from the
+expectations and assumptions contained in the forward-looking statements and information contained in
+this report on expected developments.
+114
+Inorganic growth is an equally important part of Compass 2023. We focus on areas that are closely
+related to our strategic growth areas, which include the index and analytics business, ESG, commodities,
+forex trading, fixed income trading and investment fund services. The aim is to accelerate growth in
+these areas by means of mergers and acquisitions and make our businesses even more scalable.
+(since 8 December 2021)
+Strategy Committee
+(until 22 June 2021)
+Members
+Martin Jetter (Chair)
+■Susann Just-Marx¹
+Composition
+<3
+■Chaired by the Chair of the Supervisory Board
+4
+"Achim Karle¹
+"Carsten Schäfer¹
+■Charles Stonehill
+"Clara-Christina Streit
+(until 19 May 2021)
+"At least five other members who are elected by the Supervisory Board
+"Chong Lee Tan (since 19 May 2021)
+Further information
+Management report | Corporate governance statement
+Financial statements and notes
+(until 17 November 2021)
+▪Barbara Lambert
+▪Daniel Vollstedt¹
+(since 1 December 2021)
+Composition
+"At least four members who are elected by the Supervisory Board
+Remuneration Report
+Responsibilities
+■Takes note of and reviews the periodic risk management and compliance reports
+"Oversees monitoring of the Group's operational, financial and business risks
+"Takes note of and discusses the annual reports on significant risks and the risk management
+systems at regulated Group entities, to the extent legally permissible
+1) Employee representatives
+126
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+■Reviews the risk management framework including the risk appetite and the risk management
+roadmap
+"Cornelis Kruijssen¹
+Responsibilities
+1) Employee representatives.
+"Charles Stonehill
+"Chong Lee Tan
+1) Employee representatives.
+Technology Committee
+Members
+▪ Karl-Heinz Flöther (Chair)
+"Deals with sustainable corporate governance and business activities of Deutsche Börse Group in
+the areas environmental, social and governance (ESG) criteria
+"Deals with significant projects for Deutsche Börse Group
+"Andreas Gottschling
+▪Achim Karle¹
+■ Cornelis Kruijssen¹
+(until 17 November 2021)
+■ Peter Sack¹ (since 1 December 2021)
+"Carsten Schäfer¹
+(until 17 November 2021)
+(since 19 May 2021)
+"Advises the Executive Board on matters of strategic importance to the company and its affiliates
+"Addresses fundamental strategic and business issues, as well as projects important to Deutsche
+Börse Group
+"Advises the Executive Board on matters of strategic importance to the company and its affiliates
+"Addresses fundamental strategic and business issues and deals with the group's purpose
+"At least five other members who are elected by the Supervisory Board
+Strategy and Sustainability Committee
+(from 22 June 2021)
+Members
+"Martin Jetter (Chair)
+"Anja Greenwood¹
+(since 1 December 2021)
+Responsibilities
+Susann Just-Marx¹
+▪ Achim Karle¹
+■ Peter Sack¹ (since 1 December 2021)
+"Carsten Schäfer¹
+(until 17 November 2021)
+Composition
+"Chaired by the Chair of the Supervisory Board
+(until 17 November 2021)
+■ Susann Just-Marx¹
+"Andreas Gottschling (Chair)
+Risk Committee
+Members
+Responsibilities
+"Deals with issues relating to the preparation of the annual budget and financial topics, particularly
+capital management
+"Deals with issues relating to the adequacy and effectiveness of the company's control systems - in
+particular, to risk management, compliance and internal audit
+"Deals with audit reports and financial reporting issues, including oversight of the financial
+reporting process
+▪Half-yearly financial reports, plus any quarterly financial reports, discusses the results of the
+reviews with the auditors
+At present, no Executive Board member has passed the age limit of 65 years.
+▪ Persons who cannot chair the committee: the Chair of the Supervisory Board; former members of
+the company's Executive Board whose appointment ended less than two years ago
+▪ Prepares the Supervisory Board's recommendation to the Annual General Meeting on the election
+of the external auditors of the annual financial statements, the consolidated financial statements
+and the half-yearly financial report (to the extent that the latter is audited or reviewed by external
+auditors) and makes corresponding recommendations to the Supervisory Board
+"Reviews the non-financial reporting (sections 289b, 315b HGB)
+"Issues the engagement letter to the external auditor of the annual financial statements and the
+consolidated financial statements - including, in particular, the review or audit of half-yearly
+financial reports, reviews the non-financial reporting and determines focal areas of the audit and
+the audit fee
+▪Prepares the Supervisory Board's resolution approving the statement on the German Corporate
+Governance Code pursuant to section 161 of the AktG and the corporate governance statement in
+accordance with section 289f of the HGB
+"Control procedures on related-party transactions pursuant to section 111a (2) sentence 2 AktG
+1) Employee representatives.
+2) The by section 100 (5) AktG required expertise in auditing is covered by Ms Barbara Lambert and the expertise in financial reporting is covered by Mr Michael
+Rüdiger.The curricula vitae can be found at: www.deutsche-boerse.com > Investor Relations > Corporate Governance > Supervisory Board.
+125
+"Monitors the audit, particularly the selection and the independence of the external auditors, the
+quality of the audit and the additional services provided by the auditors
+Deutsche Börse Group | Annual report 2021
+▪ Prerequisites for the chair of the committee: the person concerned must be independent, and must
+have specialist knowledge and experience of applying accounting principles as well as internal
+control and risk management processes (financial expert)
+▪At least four members who are elected by the Supervisory Board
+(until 19 May 2021)
+■Markus Beck¹
+(until 17 November 2021)
+Katrin Behrens¹
+(since 1 December 2021)
+Andreas Gottschling
+Oliver Greie¹ (from 19 May 2021 to
+"At least one member with financial reporting expertise and one other member with auditing
+expertise²
+17 November 2021)
+■Susann Just-Marx¹
+▪ Achim Karle¹
+(since 1 December 2021)
+▪ Michael Rüdiger
+■Jutta Stuhlfauth¹
+(until 17 November 2021)
+Composition
+(since 1 December 2021)
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+"At least five other members who are elected by the Supervisory Board
+Responsibilities
+"Addresses succession planning for the Executive Board
+▪Develops a diversity concept for the Supervisory Board
+"Deals with the annual assessment of the structure, size, composition and performance of the
+Executive Board and Supervisory Board, as well as possible improvements
+"Deals with the annual assessment of the qualification requirements of individual members of the
+Executive Board and Supervisory Board, and the Executive Board and Supervisory Board as a
+whole
+▪Reviews the policy for selection and appointment of members of the Executive Board and makes
+recommendations to the Supervisory Board in this regard
+■Chaired by the Chair of the Supervisory Board
+■ Proposes suitable candidates to the Supervisory Board for inclusion in the Supervisory Board's
+election proposal to the Annual General Meeting (the proposal is submitted by shareholder
+representatives), including the regular review of the concrete targets and a job description on
+which proposals are based
+▪ Deals with aggregate remuneration and retirement benefits of individual Executive Board members
+and determines payments to surviving dependants and any other similar payments; regularly
+reviews the reasonableness of Executive Board remuneration and develops proposals for any
+adjustments where required
+"Deals with the remuneration system for the Executive Board and Supervisory Board and the
+remuneration report prepared in accordance with section 162 AktG
+▪ Approves appointments of members of Deutsche Börse AG's Executive Board to other executive
+boards, supervisory boards, advisory boards and similar boards, as well as other part-time work
+and honorary appointments, including any exemptions from the approval requirement
+"Approves the grant or revocation of general powers of attorney
+▪Approves cases in which the Executive Board grants employees retirement pensions or other
+individually negotiated retirement benefits, or proposes to enter into employer/works council
+agreements establishing pension plans
+▪Decides on deferring publication of insider information and on drafting ad hoc notifications on
+information for which the Supervisory Board is responsible
+■ Other tasks and duties set forth in section 4b (5) of the BörsG
+▪ Enters into, amends or terminates service agreements within the framework defined by the
+Supervisory Board
+Composition
+1) Employee representatives.
+'Amy Yip (until 19 May 2021)
+Further information
+<3
+Nomination Committee
+Members
+■Martin Jetter (Chair)
+"Nadine Absenger¹
+(since 19 May 2021)
+■Markus Beck¹
+"Anja Greenwood¹
+(since 1 December 2021)
+Michael Rüdiger
+■Clara-Christina Streit
+(since 19 May 2021)
+"Jutta Stuhlfauth¹
+(until 17 November 2021)
+"Gerd Tausendfreund¹
+(until 19 May 2021)
+"Charles Stonehill
+Composition
+"At least four members who are elected by the Supervisory Board
+Responsibilities
+Regulatory
+requirements
+Martin Jetter (Chair)
++
++
++
++
+Clearing,
+settlement and
+custody
+business
+Karl-Heinz Flöther
++
++
+Andreas Gottschling
++
++
+Barbara Lambert
++
++
+Information
+technology and
+security,
+digitalisation
+and
+Capital markets, business models of stock exchanges and data business
+Accounting, finance, audit
+■ Risk management and compliance
+■ Information technology and security, digitalisation
+■ Clearing, settlement and custody business
+Regulatory requirements
+compliance
+The current composition of the Supervisory Board fulfils these criteria concerning the qualification of its
+members.
+Capital markets,
+business
+Risk
+models of stock
+exchanges and
+management
+data business
+Accounting,
+finance, audit
+Supervisory Board members' general qualification requirements
++
++
++
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+129
+Independence of Supervisory Board members
+In the opinion of the shareholder representatives on the Supervisory Board, all of them are independent.
+Diversity concept for the Executive Board and the Supervisory Board
+The diversity concept for the Executive Board and the Supervisory Board, as adopted by the Supervisory
+Board in accordance with section 289f (2) no. 6 HGB, has the objective of ensuring a wide range of
+perspectives and experience through the composition of both bodies. The concept is implemented within
+the scope of selecting and appointing new Executive Board members or regarding proposals for election
+of new Supervisory Board members.
+Flexible age limit and term of office
+The Supervisory Board considers the flexible age limit stipulated in the bylaws (generally 70 years) when
+nominating candidates for election by the Annual General Meeting. Furthermore, the Supervisory Board's
+bylaws provide for a general limitation to members' maximum term of office to twelve years, which the
+Supervisory Board shall also consider in its nominations of candidates to the Annual General Meeting.
+The flexible age limit for members of the Executive Board provides for the term of office to expire at the
+end of the month during which a member reaches the age of 60 years. From the month during which an
+Executive Board member has reached the age of 60, reappointment is permitted for a period of one year
+in each case, provided that the last term of office shall expire at the end of the month during which the
+Executive Board member reaches the age of 65. When appointing members of the Executive Board, the
+Supervisory Board pursues the objective of achieving an optimal composition of the Executive Board
+from the company's perspective. In this context, experience and industry knowledge, as well as
+professional and personal qualifications, play a major role. Depending on the Executive Board position to
+be filled, it is not just the scope and depth of skills that is decisive, but also whether the specific skills
+are up to date. The flexible age limit has been deliberately worded to preserve the Supervisory Board's
+flexibility in taking decisions on appointments.
+In accordance with recommendation C.6 of the Code, the Supervisory Board shall be comprised of what
+it considers to be an appropriate number of independent shareholder representatives. The shareholder
+representatives on the Supervisory Board therefore decided that at least half the shareholder
+representatives on the Supervisory Board shall be independent. Supervisory Board members are
+considered to be independent within the meaning of C.6 of the Code if they are independent of the
+company and its Executive Board and independent of any controlling shareholder. In particular,
+Supervisory Board members are no longer to be considered independent if they have a personal or
+business relationship with the company or its Executive Board that may cause a substantial (and not
+merely temporary) conflict of interest. According to recommendation C.7 of the Code, more than half the
+shareholder representatives shall be independent of the company and the Executive Board.
++
++
+Chong Lee Tan
+Michael Rüdiger
++
++
++
++
++
+Charles Stonehill
++
++
++
+Clara-Christina Streit
++
++
++
++
+■
+"Nadine Absenger¹
+The general qualifications refer to the Supervisory Board in its entirety. At least two of its members
+should have sound knowledge, especially concerning the following topics:
+General qualification requirements
+(since 8 December 2021)
+■Clara-Christina Streit
+"Jutta Stuhlfauth¹
+(until 17 November 2021)
+1) Employee representatives
+Composition
+■Markus Beck¹
+"Chaired by the Chair of the Supervisory Board
+Responsibilities
+"Time-sensitive affairs
+Mediation Committee
+Members
+"Martin Jetter (Chair)
+▪Markus Beck¹
+■Deputy Chair of the Supervisory Board as well as one shareholder representative and one
+employee representative who are elected by the Supervisory Board
+(since 8 December 2021)
+■Nadine Absenger¹
+Members
+■Supports the Supervisory Board in meeting its supervisory duties with respect to the information
+technology used to execute the Group's business strategy and with respect to information security
+"Advises on IT strategy and architecture
+"Oversees monitoring of technological innovations, the provision of IT services, the technical
+performance and stability of IT systems, operational IT risks, and information security services and
+risks
+■Daniel Vollstedt¹
+(since 1 December 2021)
+■ Amy Yip (until 19 May 2021)
+1) Employee representatives.
+Martin Jetter (Chair)
+127
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Chairman's Committee
+Deutsche Börse Group | Annual report 2021
+▪ Katrin Behrens¹
+"Karl-Heinz Flöther
+■Susann Just-Marx¹
+Further information
+Individual (basic) qualification requirements
+Ideally, each Supervisory Board member holds the following basic qualifications:
+■
+Understanding of commercial issues
+Analytical and strategic skills
+Remuneration Report
+Understanding of the corporate governance system
+Knowledge of the financial services sector
+-
+Understanding of Deutsche Börse AG's activities
+■
+Understanding of Deutsche Börse Group's structure
+■ Understanding of the member's own position and responsibilities
+"
+Management report | Corporate governance statement
+Financial statements and notes
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+(until 17 November 2021)
+Jutta Stuhlfauth¹
+(until 17 November 2021)
+1) Employee representatives.
+Composition
+"Chaired by the Chair of the Supervisory Board
+▪Deputy Chairperson of the Supervisory Board as well as one shareholder representative and one
+employee representative each
+Responsibilities
+■Tasks and duties pursuant to section 27 (3) MitbestG
+Targets for composition and qualification requirements of the Supervisory Board
+In accordance with recommendation C.1 of the Code, the Supervisory Board has adopted a catalogue of
+specific targets concerning its composition that should serve above all as a basis for the nomination of
+future members. These targets are reviewed regularly and adjusted as necessary. They include
+qualification requirements as well as diversity targets. Furthermore, members shall have sufficient time,
+as well as the personal integrity and suitability of character, to exercise their office. In addition, more
+than half the shareholder representatives on the Supervisory Board shall be independent.
+In the reporting year, the Supervisory Board, on the recommendation of the Nomination Committee,
+added the following general qualification requirements and confirmed that the targets had been met. The
+Supervisory Board, supported by the Nomination Committee, also examined the targets for the overall
+board and for the individual members and confirmed that they had been met.
+Qualification requirements
+Given their knowledge, skills and professional experience, members of the Supervisory Board shall have
+the ability to perform the duties of a supervisory board member in a company with international
+business activities. The Supervisory Board has determined individual (basic) as well as general
+qualification requirements. Basic requirements are derived from the business model, the concrete
+targets, as well as from specific regulations applicable to Deutsche Börse Group.
+128
+<3
+■Barbara Lambert (Chair)
+"Examines the annual financial statements and the management report, the consolidated financial
+statements and the group management report, discusses the audit report with the external auditors
+and prepares the Supervisory Board's resolutions adopting the annual financial statements and
+approving the consolidated financial statements, as well as the resolution on the Executive Board's
+proposal on the appropriation of profit
+Audit Committee
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+Further information
+Risk and control management policies
+<3
+Functioning control systems are an important part of stable business processes. Deutsche Börse Group's
+enterprise-wide control systems are embedded in an overarching framework. This comprises, among
+other things, the legal requirements, the recommendations of the German Corporate Governance Code,
+international regulations and recommendations and other company-specific policies. The executives
+responsible for the different elements of the control system are in close contact with each other and with
+the Executive Board, and report regularly to the Supervisory Board or its committees. Equally, the Group
+has an enterprise-wide risk management system that covers and provides mandatory rules for functions,
+processes and responsibilities. Details of the internal control system and risk management at Deutsche
+Börse Group can be found in the section "Risk management".
+Working practices of the Executive Board and the Supervisory Board
+An important fundamental principle of the German Stock Corporation Act is the dual board system
+which assigns separate, independent responsibilities to the Executive Board and the Supervisory Board.
+These responsibilities and their implementation at Deutsche Börse AG are set out in detail in the
+following paragraphs.
+Both boards perform their duties in the interests of the company and with the aim of achieving a
+sustainable, long-term increase in value. Their actions are based on the principle of responsible
+corporate governance. Therefore, Deutsche Börse AG's Executive Board and Supervisory Board work
+closely together in a spirit of mutual trust, with the Executive Board providing the Supervisory Board with
+comprehensive information on the company's and the Group's position and the course of business in a
+regular and timely manner. In addition, the Executive Board regularly informs the Supervisory Board
+concerning issues relating to corporate planning, the risk situation and risk management, compliance
+and the company's control systems. The strategic orientation of the company is examined in detail and
+agreed upon with the Supervisory Board. Implementation of the relevant measures is discussed at
+regular intervals. The Chief Executive Officer reports to the Supervisory Board without undue delay, orally
+or in writing, on matters that are of special importance to the company.
+In addition, the CEO keeps the Chair of the Supervisory Board continuously and regularly informed of the
+current developments affecting the company's business, significant transactions, upcoming decisions
+and the long-term outlook and discusses these issues with him or her. The Supervisory Board may also
+request reports from the Executive Board at any time, especially on matters and business transactions at
+Deutsche Börse AG and subsidiaries that have a significant impact on Deutsche Börse AG's position. The
+bylaws for the Executive Board and Supervisory Board govern the corresponding information rights and
+obligations of the Executive Board and Supervisory Board in detail.
+Deutsche Börse AG's Executive Board
+The Executive Board manages Deutsche Börse AG and Deutsche Börse Group; it had six members
+during the reporting period. The main duties of the Executive Board include defining the Group's
+corporate goals and sustainable strategic orientation, managing and monitoring the operating units, as
+well as establishing and monitoring an efficient risk management system. The Executive Board is
+responsible for preparing the annual and consolidated financial statements of Deutsche Börse AG, as
+well as for producing financial information during the course of the year. In addition, it must ensure the
+company's compliance with legal requirements and official regulations.
+122
+Deutsche Börse Group | Annual report 2021
+Deutsche Börse Group | Annual report 2021
+121
+Deutsche Börse Group plays an active role in the fight against breaches of rules and regulations. One
+example is Deutsche Börse Group's whistleblowing system, which provides a channel to report non-
+compliant behaviour. Deutsche Börse Group uses the Business Keeper Monitoring System (BKMS®), an
+online application that enables employees, clients and third parties to report matters that could be
+criminal offences and incidents of non-compliance by employees or third parties concerning the business
+of Deutsche Börse Group. Reports can be in their own name or anonymously and can be made around
+the clock.
+Members
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+Further information
+Sustainability in corporate governance
+<3
+Sustainability is of significant importance for the corporate strategy of Deutsche Börse Group. It is
+therefore an essential element of corporate governance at the level of both the Executive Board and the
+Supervisory Board. The Executive Board of Deutsche Börse AG takes all strategic decisions concerning
+sustainability matters at Deutsche Börse Group. It is supported on the one hand by the interdisciplinary
+Group Sustainability Board, which is chaired by the CFO. This board takes fundamental decisions, alone
+or in coordination with the Executive Board, on company initiatives relating to environmental, social and
+governance topics (ESG). It also reviews and evaluates sustainability projects and defines quantifiable
+targets and timelines for them. The Group ESG Strategy, which reports to the CEO, provides support by
+coordinating overarching ESG product initiatives, managing the ESG reporting and continuously
+monitoring the ESG profile and climate strategy of Deutsche Börse AG.
+At the level of the Supervisory Board, the responsibilities of the existing Strategy Committee were
+expanded in the reporting year to reflect the strategic importance of sustainability and the Strategy and
+Sustainability Committee was formed. In addition to embedding ESG in the work of the Supervisory
+Board in this way, it is particularly important for the board as a whole and in the other Supervisory
+Board committees, especially the Audit Committee, the Risk Committee and the Nomination Committee.
+Current, relevant sustainability aspects also form part of the training programme for the Executive Board
+and Supervisory Board and are dealt with in workshops and seminars.
+Further information on this subject can be found online at www.deutsche-boerse.com > Sustainability.
+More information about the Supervisory Board committee Strategy and Sustainability can be found in the
+chapter "Supervisory Board committees".
+Sector-specific policies
+Deutsche Börse Group's pivotal role in the financial sector requires that it handles information - and
+especially sensitive data and facts - responsibly. A number of rules are in force throughout the Group to
+ensure that employees comply with this. These cover both legal requirements and special policies
+applicable to the relevant industry segments, such as the whistleblowing system and risk and control
+management policies.
+Whistleblowing system
+Further information regarding the whistleblowing system can be found at www.deutsche-boerse.com
+Our Company > Contact > Whistleblower system.
+Executive and Supervisory Boards
+130
+Financial statements and notes
+The Supervisory Board reviews the knowledge, skill and experience of the Executive Board and
+Supervisory Board and their members regularly, at least once a year, and examines the structure, size,
+composition and performance of the Executive Board and Supervisory Board. Its review is based on
+concrete targets. The Supervisory Board also regularly, at least once a year, reviews the effectiveness of
+its work, discusses opportunities for improvement and decides on suitable measures if necessary. The
+concrete targets are described in the chapter "Targets for composition and qualification requirements of
+the Supervisory Board" and the annual effectiveness test is described in the chapter "Examination of the
+effectiveness of Supervisory Board work".
+The Supervisory Board Chair is in regular contact with the representatives of shareholders and
+employees on the Supervisory Board, in addition to the scheduled meetings.
+Supervisory Board committees
+The Supervisory Board's goal in establishing committees is to improve the efficiency of its work by
+examining complex matters in smaller groups that prepare them for the plenary meeting of the
+Supervisory Board. Additionally, the Supervisory Board has delegated individual decision-making powers
+to the committees, to the extent that this is legally permissible. The Supervisory Board had seven
+committees in the reporting period. The responsibilities of the existing Strategy Committee were
+expanded to form a Strategy and Sustainability Committee. For details of the committees, please refer to
+the tables "Supervisory Board committees in the reporting year: composition and responsibilities”. Their
+individual responsibilities are governed by the Supervisory Board's bylaws. The committees' rules of
+procedure correspond to those for the plenary meeting of the Supervisory Board. Details of the current
+duties and members of the individual committees can be found online at www.deutsche-boerse.com >
+Corporate Governance > Investor Relations > Supervisory Board > Committees.
+The chairs of the individual committees report to the plenary meeting about the subjects addressed and
+resolutions passed in the committee meetings. Information on the Supervisory Board's concrete work
+and meetings during the reporting period can be found in the report of the Supervisory Board.
+More information on the Supervisory Board and its committees, the individual members and their
+appointments and biographies, can be found at: www.deutsche-boerse.com > Corporate Governance >
+Investor Relations > Supervisory Board.
+124
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Supervisory Board committees in the reporting year: composition and responsibilities
+of Procedure.
+The Supervisory Board holds at least six regular meetings every year. In addition, extraordinary meetings
+are held as required. The committees also hold regular meetings. Unless mandatory statutory provisions
+or the Articles of Associations call for a different procedure, the Supervisory Board passes its resolutions
+by a simple majority. If a vote is tied, the Chair has the casting vote. The work of the Supervisory Board
+and its committees is defined by the Rules of Procedure for the Supervisory Board, which is available at
+www.deutsche-boerse.com > Investor Relations > Corporate Governance > Supervisory Board > Rules
+Management report | Corporate governance statement
+Further information
+Remuneration Report
+<3
+<3
+The members of the Executive Board are jointly responsible for all aspects of management. Irrespective
+of this collective responsibility, the individual members manage the company's business areas assigned
+to them in the Executive Board's schedule of responsibilities independently and are personally
+responsible for them. In addition to the business areas, the functional areas of responsibility are that of
+the Chief Executive Officer (CEO), the Chief Financial Officer (CFO), the Chief Information Officer/ Chief
+Operating Officer (CIO/COO) and HR & Compliance. The business areas cover the operating business
+units, such as the company's cash market activities, the derivatives business, securities settlement and
+custody and the market data and financial information business. Details can be found in the "Overview
+of Deutsche Börse Group - Organisational structure" section.
+Further details of the Executive Board's work are set out in the bylaws that the Supervisory Board has
+adopted for the Executive Board. Among other things, these list issues that are reserved for the entire
+Executive Board, special measures requiring the approval of the Supervisory Board, other procedural
+details and the arrangements for passing resolutions. The Executive Board holds regular meetings; these
+are convened by the CEO, who coordinates the Executive Board's work. Any Executive Board member
+can require a meeting to be convened. In accordance with its bylaws, the entire Executive Board
+normally takes decisions on the basis of resolutions passed by a simple majority of the members voting
+on them in each case. If a vote is tied, the CEO has the casting vote.
+More information on the Executive Board, its composition, members' individual appointments and
+biographies can be found at www.deutsche-boerse.com > Investor Relations > Corporate Governance >
+Executive Board.
+Deutsche Börse AG's Supervisory Board
+Further information
+The Supervisory Board consists of 16 members, made up of an equal number of shareholder
+representatives and employee representatives in line with the German Mitbestimmungsgesetz (MitbestG,
+German Co-determination Act). The term of office of the current members ends at the Annual General
+Meeting in 2024. The same applies to the employee representatives elected to the Supervisory Board of
+Deutsche Börse AG in the reporting year. The election procedure was interrupted by the COVID-19
+pandemic and was completed on 17 November 2021. In the period between the Annual General
+Meeting on 19 May 2021 and the close of the election procedure the employee representatives were
+appointed as Supervisory Board members by the district court.
+Remuneration Report
+The Supervisory Board supervises and advises the Executive Board in its management of the company.
+It supports the Executive Board in significant business decisions and provides assistance on strategically
+important issues. The Supervisory Board has specified measures requiring its approval in the bylaws for
+the Executive Board. In addition, the Supervisory Board is responsible for appointing the members of the
+Executive Board, deciding on their total remuneration and examining Deutsche Börse AG's annual and
+consolidated financial statements and the combined management report. Details of the Supervisory
+Board's work during the 2021 financial year can be found in the report of the Supervisory Board.
+Management report | Corporate governance statement
+Financial statements and notes
+Deutsche Börse Group | Annual report 2021
+123
+Executive and Supervisory Boards
+Remuneration Report
+<3
+Ad hoc disclosures, information on directors' dealings and voting rights notifications, corporate reports
+and interim reports, and company news can all be found on Deutsche Börse's website www.deutsche-
+boerse.com. Deutsche Börse AG provides information about its annual and consolidated financial
+statements as well as interim reports in conference calls for analysts and investors. Furthermore, a
+regular investor day is held and Deutsche Börse continuously outlines its strategy and business
+developments to everyone who is interested, abiding by the principle that all target groups worldwide
+must be informed at the same time.
+Additionally, Deutsche Börse AG submitted a COP for 2021 to the UN Global Compact. Good corporate
+governance is one of Deutsche Börse Group's core concerns. The Group has complied with the Global
+Compact's principles for many years. Public records of this have been available since the company
+officially joined the initiative in 2009: www.deutsche-boerse.com > Sustainability > Our ESG profile >
+Global initiatives > UN Global Compact.
+Accounting and auditing
+Deutsche Börse AG's annual report provides shareholders and interested members of the public with
+detailed information on Deutsche Börse Group's business performance during the reporting period.
+Additional information is published in its half-yearly financial report and two quarterly statements. The
+annual financial statement documents and the annual report are published within 90 days of the end of
+the financial year (31 December); intra-year financial information (half-yearly financial report and
+quarterly statements) is made available within 45 days of the end of the relevant quarter or six-month
+period. Following preparations by the Audit Committee, the annual and consolidated financial statements
+are discussed by the entire Supervisory Board and with the external auditors, examined, and then
+approved. The Executive Board discusses the half-yearly report and the quarterly statements for the first
+and third quarters with the Supervisory Board's Audit Committee prior to their publication. The half-
+yearly financial report is reviewed by the external auditors.
+Following an extensive selection process by the Supervisory Board, the Annual General Meeting 2021
+elected PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft, Frankfurt am Main, (PwC) as
+the new auditors for the annual and consolidated financial statements 2021 and for the auditor's review
+of the half-yearly financial report in the reporting year. PwC was also engaged to perform a review of the
+contents of the remuneration report during the 2021 financial year. The auditors responsible are Marc
+Billeb and Dr Michael Rönnberg. The Supervisory Board's proposal was based on a corresponding
+recommendation by the Audit Committee, which had obtained the necessary statement of independence
+from PwC before the election. This states that there are no personal, business, financial or other
+relationships between the auditor, its governing bodies and audit managers on the one hand, and the
+company and the members of its Executive and Supervisory Boards on the other, that could give cause
+to doubt the auditor's independence. The Audit Committee checked that this continued to be the case
+during the reporting period. It also oversaw the financial reporting process in 2021. The Supervisory
+Board was informed in a timely manner of the committee's work and the insights gained; there were no
+material findings. Information on audit services and fees is provided in "Note 6 to the consolidated
+financial statements".
+136
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Deutsche Börse AG (disclosures based on HGB)
+Financial statements and notes
+Further information
+Performance figures for Deutsche Börse AG
+The annual financial statements of Deutsche Börse AG are prepared in accordance with the provisions of
+the German Commercial Code (Handelsgesetzbuch, HGB) and the supplementary provisions of the
+German Stock Corporation Act (Aktiengesetz, AktG) and are the underlying basis for the explanations
+that follow.
+Business and operating environment
+General position
+Deutsche Börse AG is the parent company of Deutsche Börse Group. The parent company's business
+activities include first and foremost the cash and derivatives markets, which are reflected in the Eurex
+(financial derivatives) and Xetra (cash equities) segments. Deutsche Börse AG also operates essential
+parts of Deutsche Börse Group's information technology. The development of Deutsche Börse Group's
+Clearstream (post-trading) segment is reflected in Deutsche Börse AG's business development, primarily
+due to the profit and loss transfer agreement with Clearstream Holding AG. Contributions from the IFS
+(investment fund services) segment of Deutsche Börse Group, in contrast, play a lesser role for Deutsche
+Börse AG. Despite this, the business and the operating environment of Deutsche Börse AG are
+essentially the same as those of Deutsche Börse Group. They are described in the section
+"Macroeconomic and sector-specific environment".
+Deutsche Börse AG's course of business in the reporting period
+Deutsche Börse AG's revenues fell by 5.0 per cent in the 2021 financial year, which was in line with the
+company's expectations. By contrast, total costs (staff costs, amortisation of intangible assets and
+depreciation of property, plant and equipment and other operating expenses) rose by 4.8 per cent. Net
+profit was down by 18.8 per cent compared with the previous year. Low market volatility and thus lower
+activity among market participants led to cyclical headwinds in the trading-related segments (Eurex and
+Xetra). In the previous reporting year, dividend income also included non-recurring positive effects.
+Based on these developments, the Executive Board of Deutsche Börse AG assesses the development in
+financial year 2021 in context as solid.
+2021
+2020
+€m
+€m
+Change
+%
+Sales revenue
+Total costs
+1,485.0
+1,003.8
+16. Deutsche Börse AG (disclosures based on HGB)
+Further information
+Additional new functions were also offered in the reporting year to make the virtual AGM more
+interactive. Here Deutsche Börse AG goes well beyond the minimum statutory requirements in the spirit
+of transparency and communication with our shareholders. Shareholders had the opportunity to address
+any further questions to the company during the AGM by using electronic communications technology.
+The company also gave shareholders or their proxies the opportunity to comment on the agenda
+beforehand, in writing or by video message.
+Financial statements and notes
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+In 2020 the Supervisory Board discussed the efficiency of its work at the initiative of the newly elected
+Supervisory Board Chair Martin Jetter. Under his leadership the members of the Steering Committee, the
+Chair of the Audit Committee and the Chair of the Risk Committee developed concrete measures to
+increase the time available to individual Supervisory Board members for exercising their advisory
+function on business and strategy-related topics. A review of how the corresponding organisational
+measures had been implemented showed that they had largely been put into practice.
+Long-term succession planning for the Executive Board
+Together with the Executive Board, the Supervisory Board ensures that long-term succession planning
+takes place. For this purpose the Supervisory Board, or its Nomination Committee, regularly - at least
+once a year concerns itself with potential candidates for the Executive Board. The Chair of the
+Executive Board is involved in these considerations, provided that the discussions do not refer to their
+own succession. The Supervisory Board prepares an applicant profile for vacant Executive Board
+positions. The Supervisory Board takes care to ensure that the knowledge, expertise and experience of
+all Executive Board members is diverse and well balanced, and adheres to the adopted diversity concept.
+Moreover, the Supervisory Board ensures it is informed regularly about the succession planning at the
+first level beneath the Executive Board, and provides advice to the Executive Board in this regard.
+Target figures for the proportion of female executives beneath the Executive Board
+Deutsche Börse AG's Executive Board has defined target quotas for women on the two management
+levels beneath the Executive Board, in accordance with section 76 (4) AktG, in each case referring to
+Deutsche Börse AG. By 31 December 2021, the proportion of women holding positions in the first and
+second management levels beneath the Executive Board was planned to reach 15 per cent and 20 per
+cent, respectively. As of 31 December 2021, the share of women holding positions on the first and
+second management levels beneath the Executive Board at Deutsche Börse AG in Germany was 14 per
+cent and 22 per cent, respectively.
+Moreover, the Executive Board had adopted a voluntary commitment to Group-wide increase in the share
+of women holding management positions (first three management levels below the Executive Board) to
+20 per cent by 31 December 2021, and of women holding lower management positions to 30 per cent
+during the same period. This voluntary commitment in fact went further than the statutory obligation.
+Firstly, the target figures determined in this context relate to Deutsche Börse Group worldwide. Secondly,
+the definition of management levels/positions was expanded to include heads of teams, for example. On
+a global level, as at 31 December 2021, these quotas stood at 21 per cent for upper management levels
+and 30 per cent for lower management positions.
+134
+Remuneration Report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+Further information
+Shareholder representation, transparent reporting and communication
+Shareholders exercise their rights at the Annual General Meeting (AGM). In the spirit of good corporate
+governance, Deutsche Börse AG aims to make it as easy as possible for shareholders to exercise their
+shareholder rights. For instance, Deutsche Börse AG shareholders may follow the AGM over the internet
+and can be represented at the AGM by proxies nominated by Deutsche Börse AG. These proxies exercise
+voting rights solely in accordance with shareholders' instructions. Additionally, shareholders may exercise
+their voting rights by post or online. Among other things, the AGM elects the shareholder representatives
+to the Supervisory Board and decides on formal approval for the actions of the Executive Board and the
+Supervisory Board. It also passes resolutions on the appropriation of the unappropriated surplus,
+resolves on capitalisation measures and approves intercompany agreements and amendments to
+Deutsche Börse AG's Articles of Association and appoints the external auditors. Ordinary AGMs - at
+which the Executive Board and the Supervisory Board give an account for the past financial year – take
+place once a year.
+-
+In view of the ongoing effects of the COVID-19 pandemic the Executive Board decided in agreement with
+the Supervisory Board to hold the Annual General Meeting once again as a virtual event in the reporting
+year, without the physical presence of shareholders or their proxies as provided for by section 1 (2)
+sentence 1 (6) Gesetz über Maßnahmen im Gesellschafts-, Genossenschafts-, Vereins-, Stiftungs- und
+Wohnungseigentumsrecht zur Bekämpfung der Auswirkungen der COVID-19-Pandemie (Act on
+Measures in Corporate, Cooperative, Association, Foundation and Residential Property Law to Combat
+the Effects of the COVID-19 pandemic) (extended and amended by Art. 11 of the Act of 22 December
+2020, BGBI. I p. 3332). Shareholders were able to follow the entire Annual General Meeting live online
+and exercise their voting rights by means of postal voting or appointing the company proxies.
+Additionally, the company voluntarily published the speeches by the Chairs of the Executive Board and
+Supervisory Board ahead of the Annual General Meeting, enabling shareholders to submit questions
+about them in advance too. Questions could be submitted to the company electronically up to one day
+before the Annual General Meeting and were answered in full during the meeting.
+To maximise transparency and ensure equal access to information, Deutsche Börse AG's corporate
+communications generally follow the rule that all target groups should receive all relevant information
+simultaneously. Deutsche Börse AG's financial calendar informs shareholders, analysts, shareholders'
+associations, the media and interested members of the public of key events such as the date of the
+AGM, or publication dates for financial performance indicators.
+135
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+1,563.3
+- 5.0
+- 18.8
+4.8
+Deutsche Börse AG's result from equity investments for the 2021 financial year totalled €652.5 million
+(2020: €765.2 million). Among others, it consisted of dividend income of €298.1 million (2020:
+€348.2 million) and income from the transfer of profits of €349.4 million (2020: €401.4 million).
+138
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Deutsche Börse AG (disclosures based on HGB)
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Earnings before interest, tax, depreciation and amortisation (EBITDA) fell to €1,233.9 million (2020:
+€1,470.2 million). Net profit for the period amounted to €943.3 million, a fall of 18.8 per cent (2020:
+€1,161.9 million).
+Sales revenue by segment
+Eurex (financial derivatives)
+EEX (commodities)
+360T (foreign exchange)
+Total expenses for 2021 include €347.4 million in internal Group transfer expenses (2020:
+€333.7 million).
+Xetra (securities trading)
+IFS (investment fund services)
+Qontigo (index and analytics business)
+Total
+Sales revenue by geographical regions
+Germany
+Other European Union
+Other Europe
+America
+Asia/Pacific
+Total
+Overview of total costs
+Staff costs
+Depreciation and amortisation
+Other operating expenses
+Clearstream (post-trading)
+957.7
+Other operating expenses were up 4.4 per cent year-on-year, to €680.3 million (2020: €651.4 million).
+The company's total costs of €1,003.8 million were up 4.8 per cent year-on-year (2020: €957.7
+million). For a breakdown, please refer to the table "Overview of total costs". Staff costs rose by 6.3 per
+cent year-on-year during the year under review, to €258.4 million (2020: €243.1 million). The higher
+staff costs are mainly due to the increase in the number of employees. Staff numbers increased from an
+average of 1,572 in the prior year to 1,664 in the 2021 financial year.
+Net income from equity investments
+652.5
+EBITDA
+1,233.9
+765.2
+1,470.2
+- 14.7
+- 16.1
+Net profit for the period
+943.3
+1,161.9
+- 18.8
+Earnings per share (€)¹
+5.14
+6.33
+Amortisation of intangible assets and depreciation of property, plant and equipment increased to a total
+of €65.1 million in the year under review (2020: €63.2 million).
+133
+137
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Deutsche Börse AG (disclosures based on HGB)
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Results of operations of Deutsche Börse AG
+Deutsche Börse AG's net revenue decreased by 5.0 per cent in 2021 to €1,485.0 million (2020:
+€1,563.3 million). At €922.7 million, the largest contribution to revenue came from the Eurex (financial
+derivatives) segment (2020: €1,017.7 million). The breakdown of revenue by company segment is
+provided in the "Sales revenue by segment" table. The “Sales revenue by geographical region" table
+shows the distribution of sales by geographical regions.
+For more information on the development of the Eurex (financial derivatives) segment, please refer to
+the "Eurex (financial derivatives) segment" section.
+The revenue contributed by the EEX (commodities) and 360T (foreign exchange) segments is generated
+mainly by IT services. Therefore, the explanations in the "EEX (commodities) segment" and "360T
+(foreign exchange) segment" sections relate only indirectly to Deutsche Börse AG. The result of
+operations for the Qontigo segment (index and analytics business) is presented in the section “Qontigo
+segment (index and analytics business). It should be noted that the business development of the
+STOXX Ltd. subsidiary does not directly impact upon the business performance of Deutsche Börse AG.
+Comments on the business development in the Xetra (cash equities) segment can largely be found in
+the "Xetra (cash equities) segment" section. Revenue attributable to the Clearstream (post-trading) and
+IFS (investment fund services) segments result from the IT services Deutsche Börse AG provides to
+companies belonging to the Clearstream Holding subgroup.
+Other operating income went down to €39.8 million during the year under review (2020: €50.4
+million).
+Income for financial year 2021 includes transfer income of €256.3 million from other companies in the
+Group (2020: €232.8 million).
+1) Calculation based on weighted average of shares outstanding
+Deutsche Börse AG regards regular reviews of the effectiveness of Supervisory Board work - in
+accordance with recommendation D.13 of the Code - as a key component of good corporate
+governance. The annual self-assessment is supported by an external service provider every third year,
+most recently in 2019. The 2021 effectiveness examination was completed in the third quarter by
+means of a structured questionnaire and focusing on the tasks and composition of the Supervisory
+Board, co-operation between Supervisory Board members and between the Executive Board and the
+Supervisory Board, Supervisory Board meetings and Supervisory Board committees. In the reporting
+year the questionnaire was expanded to include current topics regarding ESG criteria in the work of the
+Supervisory Board, the format of meetings, conference technology and attendance fees. The review
+yielded positive results, both in terms of overall effectiveness as well as regarding the audited subject
+areas. Where it identifies room for improvement, optimising proposals were discussed by the Supervisory
+Board and measures for their execution implemented.
+Educational and professional background
+As a matter of principle, Supervisory Board members are responsible for their continuing professional
+development. Deutsche Börse AG follows recommendation D.12 of the Code and the guidelines of the
+European Securities and Markets Authority (ESMA) on management bodies of market operators and data
+reporting services providers, and supports Supervisory Board members in this endeavour. For example, it
+organises targeted introductory events for new Supervisory Board members and workshops on selected
+strategy issues as well as on professional topics. In addition to one strategy and two technology
+workshops, the Supervisory Board held a workshop on risk and compliance matters in the reporting
+period. In individual cases, Deutsche Börse AG assumes the costs incurred for third-party training, as
+part of its own training programme “Qualified Supervisory Board" for Supervisory Board members, for
+instance.
+8.7
+6,7
+0.1
+1,485.0
+1,563.3
+- 5.0
+2021
+€m
+2020
+€m
+Change
+%
+258.4
+243.1
+6.3
+65.1
+63.2
+3.0
+680.3
+651.4
+4.4
+1,003.8
+957.7
+4.8
+139
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Deutsche Börse AG (disclosures based on HGB)
+Financial statements and notes
+Remuneration Report
+Further information
+0.0
+92.0
+92.5
+- 3.4
+480.5
+0.6
+468.3
+478.4
+Change
+%
+2020
+€m
+2021
+€m
+- 5.0
+1,563.3
+1,485.0
+51.3
+3.9
+5.9
+12.7
+<3
+23.7
+9.3
+111.9
+122.3
+-0.7
+387.3
+384.6
+16.7
+0.6
+0.7
+21.4
+517.6
+- 2.4
+424.9
+478.7
+26.7
+Examination of the effectiveness of Supervisory Board work
+Development of profitability
+Financial position of Deutsche Börse AG
+131
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+For the Executive Board, the Act to Supplement and Amend the Regulations for the Equal Participation of
+Women in Leadership Positions in the Private and Public Sector (FüPoG II) dated 10 June 2021 has
+introduced a statutory minimum participation requirement. Executive Boards of listed companies with
+more than three Executive Board members are required to have at least one woman and one man on the
+board (sec. 76 para. 3a AktG (new version)). This statutory minimum participation requirement replaces
+the obligation of companies to set a legally non-binding target quota. Although FüPoG II grants a grace
+period for compliance with the enhanced rules Deutsche Börse AG does already fulfil the new statutory
+requirement and does also report in accordance with section 289f para. 2 no. 5a HGB (new version).
+In accordance with previous legal standards, Deutsche Börse AG's Supervisory Board had defined a
+target quota for women on the Executive Board in accordance with section 111 (5) AktG (old version).
+The first minimum target – 20 per cent of the Executive Board members were to be women - was
+complied with by the end of the implementation period on 30 June 2017. The quota of women on the
+Executive Board was 20 per cent at this time. Effective 1 July 2017, the Supervisory Board decided to
+extend the 20 per cent target quota of women on the Executive Board until 31 December 2021. This
+quota, however, declined due to the increase of the Executive Board to six members as of 1 July 2018,
+despite the fact that the actual number of women on the Executive Board did not change. The quota of
+women on the Executive Board on 31 December 2021 was 16.7 per cent.
+International profile
+The composition of the Executive Board and the Supervisory Board shall reflect the company's
+international activities. With Barbara Lambert, Charles Stonehill, Clara-Christina Streit and Chong Lee
+Tan, there are four shareholder representatives on the Supervisory Board who are not or not exclusively
+German citizens. Cornelis Kruijssen, employee representative on the Supervisory Board until
+17 November 2021, has Dutch nationality. In addition, many of the members of the Supervisory Board
+have long-term professional experience in the international field or are working abroad on a permanent
+basis. The Supervisory Board will therefore continue to meet the objectives concerning its international
+composition.
+The same applies to the Executive Board, where Stephan Leithner holds non-German citizenship, and
+whose members have gained long-standing international working experience as well.
+The Supervisory Board has set itself the objective of considering an appropriate range of educational and
+professional backgrounds regarding its own composition, as well as regarding the composition of the
+Executive Board. The composition of both the Supervisory Board and the Executive Board reflect these
+objectives. In addition to possessing professional experience in the financial services industry, members
+of the Executive Board and the Supervisory Board also have a professional background in consultancy,
+the IT sector, auditing, administration and regulation. In terms of academic education, most members
+have business, economics or legal degrees, in addition to backgrounds in IT, engineering and other
+areas. Education and professional experience thus also contribute to fulfilling the previously mentioned
+qualification requirements for Supervisory Board members.
+132
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+The composition of both Deutsche Börse AG's Supervisory Board and Executive Board is in line with the
+objectives stated above. Please refer to www.deutsche-boerse.com > Investor Relations > Corporate
+Governance Supervisory Board for further information concerning the members of the Supervisory
+Board and its committees. For further information concerning the members of the Executive Board,
+please see www.deutsche-boerse.com > Investor Relations > Corporate Governance > Executive Board.
+Preparing the election of a shareholder representative to the Supervisory Board
+The Supervisory Board's Nomination Committee - whose task it is to propose suitable candidates to the
+Supervisory Board for its proposal to the Annual General Meeting - has discussed the matter of a
+successor to Karl-Heinz Flöther, who is expected to leave the Supervisory Board in May 2022. Mr
+Flöther decided to step down because he will then have been a Supervisory Board member for ten years
+since 16 May 2012.
+When selecting appropriate candidates, the committee has taken into account the above criteria. After
+screening and holding several interviews with the candidates, the Nomination Committee has decided to
+propose Shannon A. Johnston to the Supervisory Board as the candidate for election at the Annual
+General Meeting.
+Further information about the candidate including a CV will be published with the invitation to the
+ordinary Annual General Meeting of Deutsche Börse AG on 18 May 2022 and can also be found before
+the AGM at www.deutsche-boerse.com > Investor Relations > Annual General Meeting.
+Training and professional development measures for members of the Supervisory Board
+In detail: With regard to the Supervisory Board, the legally binding gender quota of 30 per cent in
+accordance with section 96 (2) AktG applies. In order to prevent the possible discrimination of either
+shareholder representatives or employee representatives, and in order to increase the planning security
+in the relevant election procedures, the shareholder representatives on the Supervisory Board have
+opposed the overall compliance of the quota in accordance with section 96 (2) (sentence 2) AktG. Thus,
+the minimum proportion of 30 per cent is to be complied with for each gender with regard to the
+shareholder representatives and the employee representatives. Based on the statutory calculation
+method, this means that at least two women and two men from each the shareholder representatives
+and from the employee representatives must be on the Supervisory Board. Currently, there are two
+women from the shareholder representatives and four women from the employee representatives. The
+legally prescribed gender quota is thus complied with.
+Future personnel decisions will take this into account.
+For the Executive Board, the Supervisory Board is alike determined to further increase the share of
+women, while taking the current appointments into consideration. Currently, there is one female member
+on the board.
+30 percent of the shareholder representatives of the Supervisory Board are women and the Supervisory
+Board is determined to further increase this share.
+As at 31 December 2021, cash and cash equivalents amounted to €215.5 million
+(2020: €518.4 million). This includes balances on current accounts, fixed-term deposits and other
+short-term investments, whereby the bulk is held in cash.
+Deutsche Börse AG has external credit lines available of €600.0 million (2020: €605.0 million), which
+were unused as at 31 December 2021. Moreover, the company has a commercial paper programme in
+place, which allows for flexible and short-term financings of up to €2.5 billion, in various currencies.
+Commercial paper with a nominal value of €801.0 million (2020: €0.0 million) was in circulation at
+year-end.
+Through a Group-wide cash-pooling system, Deutsche Börse AG ensures an optimum allocation of
+liquidity throughout Deutsche Börse Group; in this way, the parent entity makes sure that all subsidiaries
+are in a position to honour their payment obligations at any time.
+Deutsche Börse AG has issued three corporate bonds with a nominal value of €600 million each and
+three corporate bonds with a nominal value of €500 million each. For more details concerning these
+bonds, please refer to the “Financial position" section.
+In the 2021 financial year, Deutsche Börse AG generated cash flow from operating activities of €906.7
+million (2020: €889.9 million).
+Cash flow from investing activities amounted to €-2,978.6 million (2020: €–366.9 million). The
+decline is related particularly to the investments made in the reporting year. The equity investments in
+Institutional Shareholder Services Inc. increased by €1,665.4 million, in Clearstream Fund Centre AG by
+€735.2 million and in Crypto Finance AG by €132.1 million.
+Cash flow from financing activities amounted to €1,261.9 million in the year under review (2020:
+€ 521.5 million). A dividend of €550.6 million was paid for the 2020 financial year. It was offset by
+the issue of bonds with a nominal value of €1,000 million and commercial paper with a nominal value
+of €801 million. Cash and cash equivalents amounted to €-761.2 million as of the reporting date
+31 December 2021 (2020: €48.8 million). It is made up of liquid funds of €215.5 million (2020:
+€518.4 million), less cash-pooling liabilities of €976.6 million (2020: €469.6 million).
+140
+18.2
+22.1
+- 9.3
+1,017.7
+922.7
+Deutsche Börse AG's return on equity expresses the ratio of net income after taxes to average equity
+available to the company during the course of 2021. Return on equity declined from 37.5 per cent in
+2020 to 26.2 per cent in the year under review.
+%
+€m
+Change
+2020
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Corporate governance statement
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Theodor Weimer's term of office as Chairman of Deutsche Börse AG's Executive Board runs until
+31 December 2024. Theodor Weimer will reach the age of 65 in 2024. Gregor Pottmeyer's term of
+office as CFO of Deutsche Börse AG was extended until 30 September 2025. Mr Pottmeyer will reach
+the age of 60 in 2022. While maintaining the general rule on a flexible age limit, the Supervisory Board
+decided in view of their long-standing experience and knowledge of the sector and professional and
+personal qualifications, not to renew Mr Weimer's and Mr Pottmeyer's term of office solely on an annual
+basis once they reached the age of 60.
+Share of women holding management positions
+Deutsche Börse Group is an international company. Working at our company means collaborating with
+colleagues across 69 locations from more than 100 nations. We take pride in the wealth of cultural,
+professional, and personal backgrounds of our colleagues around the globe. We are committed to
+maintaining, supporting, and fostering the diverse and inclusive culture of Deutsche Börse AG across all
+diversity dimensions.
+Regulation requires that in this report we especially reflect on a particular aspect of diversity: the share
+of women holding management positions.
+€m
+As of today, Deutsche Börse AG is already in full compliance with statutory law regarding to the required
+share of women in both the Executive Board and the Supervisory Board. This is as well particularly true
+for the enhanced diversity requirements for the Executive Board introduced in German law in the year
+2021.
+2021
+Total
+-73.0
+thereof attributable to Deutsche Börse AG shareholders
+Net profit for the period
+Tax expense
+Earnings before tax (EBT)
+Financial expense
+Financial income
+Earnings before interest and tax (EBIT)
+Depreciation, amortisation and impairment losses
+Earnings before interest, tax, depreciation, and amortisation (EBITDA)
+Other result
+Result of the equity method measurement of associates
+Result from financial investments
+Operating costs
+Other operating expenses
+Staff costs
+Net revenue (total revenue less volume-related costs)
+Volume-related costs
+40.5
+3,756.4
+thereof attributable to non-controlling interests
+4,446.6
+Earnings per share (basic) (€)
+4
+2.8
+46.6
+21.5
+38.6
+24.3
+85.2
+7
+- 1,368.7
+- 1,551.6
+- 545.8
+- 549.5
+6
+- 822.9
+- 1,002.1
+5
+3,213.8
+3,509.5
+- 542.6
+- 937.1
+Earnings per share (diluted) (€)
+2,043.1
+Total revenue
+4
+268 Independent Auditor's Report
+267 Responsibility statement by the Executive Board
+240 Other disclosures
+187 Consolidated Balance sheet disclosures
+169 Consolidated income statement disclosures
+156 Notes to the consolidated financial statements
+155 Consolidated statement of changes in equity
+153 Consolidated cash flow statement
+151 Consolidated balance sheet
+150 Consolidated statement of comprehensive income
+149 Consolidated income statement
+148 Consolidated financial statements
+Consolidated financial
+statements/notes
+■ According to the terms of Deutsche Börse AG's €600.0 million fixed-rate bond issue 2012/2022, the
+terms of Deutsche Börse AG's €500.0 million fixed-rate bond issue 2015/2025, the terms of Deutsche
+Börse AG's €600.0 million fixed-rate bond issue 2018/2028, the terms of Deutsche Börse AG's
+€500.0 million fixed-rate bond issue 2021/2026, and the terms of Deutsche Börse AG's
+€500.0 million fixed-rate bond issue 2021/2031, the holders of the respective bonds have a
+termination right in the event of a change of control (as defined in the terms of the respective bond). If
+these termination rights are exercised, the bonds are repayable at par plus any accrued interest. A
+change of control occurs if a person or a group of persons acting in concert, or third parties acting on
+their behalf, has or have acquired more than 50 per cent of the shares of Deutsche Börse AG or the
+number of Deutsche Börse AG shares required to exercise more than 50 per cent of the voting rights at
+Annual General Meetings of Deutsche Börse AG. In addition, the respective bond terms require that the
+change of control must adversely affect the rating given to one of the preferential unsecured debt
+instruments of Deutsche Börse AG by Moody's Investors Services, Inc., S&P Global Ratings or Fitch
+Ratings Limited. Further details can be found in the applicable bond terms.
+■ Under the terms of Deutsche Börse AG's €600.0 million fixed-rate bond issue 2020/2047 (hybrid
+bond), Deutsche Börse AG has a termination right in the event of a change of control (as defined in the
+terms of the bond), which, if exercised, entitles Deutsche Börse AG to redeem the bonds at par, plus
+accrued interest. If Deutsche Börse AG does not exercise this termination right, the affected bonds'
+coupon will increase by an additional 500 basis points per annum. A change of control occurs if a
+person or a group of persons acting in concert, or third parties acting on their behalf, has or have
+acquired more than 50 per cent of the shares of Deutsche Börse AG or the number of Deutsche Börse
+AG shares required to exercise more than 50 per cent of the voting rights at Annual General Meetings
+of Deutsche Börse AG. In addition, the relevant bond terms require that the change of control must
+adversely affect the long-term rating given to Deutsche Börse AG by Moody's Investors Services, Inc.,
+S&P Global Ratings or Fitch Ratings Limited. Further details can be found in the applicable bond
+terms.
+■ On 28 March 2017, Deutsche Börse AG and its subsidiary Clearstream Banking S.A. entered into a
+multicurrency revolving facility agreement with a banking syndicate for a working capital credit totalling
+up to €750.0 million. If there is a change of control, the credit relationship between Deutsche
+Börse AG and the lenders can be reviewed in negotiations within a period of no more than 60 days. In
+this process, each lender has the right, at its own discretion, to terminate its credit commitment and
+demand partial or full repayment of the amounts owing to it. A change of control occurs if Deutsche
+Börse AG no longer directly or indirectly holds the majority of Clearstream Banking S.A. or if a
+person or a group of persons acting in concert acquires more than 50 per cent of the voting shares of
+Deutsche Börse AG.
+The following material agreements of the Company are subject to a change-of-control clause following a
+takeover bid:
+<3
+Further information
+Deutsche Börse Group | Annual report 2021
+85.1
+Executive and Supervisory Boards
+Financial statements and notes | Consolidated income statement
+Other operating income
+196.6
+142.7
+4
+Treasury result from banking and similar business
+3,519.3
+4,218.8
+4
+Sales revenue
+€m
+€m
+2020
+2021
+Note
+<3
+for the period 1 January to 31 December 2021
+Consolidated income statement
+Further information
+Remuneration Report
+Management report
+1,869.4
+10
+- 293.7
+- 106.2
+269.0
+15
+Exchange rate differences
+Items that may be reclassified subsequently to profit or loss:
+- 0.3
+79.3
+-0.4
+- 29.1
+15
+- 0.4
+4.8
+25.7
+52.2
+- 25.2
+61.0
+1,125.1
+1,264.9
+€m
+Other comprehensive income from investments using the equity method
+€m
+-0.3
+Remeasurement of cash flow hedges
+150
+27.6
+91.9
+950.4
+978.0
+1,662.2
+1,570.3
+thereof attributable to non-controlling interests
+thereof attributable to Deutsche Börse AG shareholders
+Total comprehensive income
+- 147.1
+- 146.8
+318.0
+397.3
+Other comprehensive income after tax
+0.1
+- 3.4
+15
+Deferred taxes
+- 40.3
+52.7
+-0.4
+Remuneration Report
+2020
+Note
+45.2
+55.2
+1,079.9
+1,209.7
+1,125.1
+1,264.9
+- 403.1
+- 444.4
+9
+1,528.2
+1,709.3
+- 102.9
+8
+26.0
+32.9
+8
+1,605.1
+1,749.4
+- 264.3
+22
+2021
+6.59
+22
+Deferred taxes
+Other
+Equity investments measured at fair value through OCI
+Changes from defined benefit obligations
+Items that will not be reclassified to profit or loss:
+Net profit for the period reported in consolidated income statement
+for the period 1 January to 31 December 2021
+income
+Consolidated statement of comprehensive
+<3
+Further information
+Remuneration Report
+Financial statements and notes | Consolidated statement of comprehensive income
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+149
+5.89
+6.58
+5.89
+Financial statements and notes
+147
+Executive and Supervisory Boards
+Age structure of employees
+Total Deutsche Börse AG
+Asia
+Other European countries
+France
+Great Britain
+Germany
+Employees per country/region
+On 31 December 2021, Deutsche Börse AG had employees at six locations around the world.
+Information on the countries, regions, the employees' age structure and length of service are provided in
+the tables that follow.
+During the 2021 financial year, 86 employees left Deutsche Börse AG, resulting in a staff turnover rate
+of 5 per cent.
+The number of employees (as defined by HGB)¹¹ at Deutsche Börse AG rose by 50 in the reporting year
+and totalled 1,686 as at 31 December 2021 (31 December 2020: 1,636). The average number of
+employees at Deutsche Börse AG in the 2021 financial year was 1,664 (2020: 1,572).
+<3
+Deutsche Börse AG employees
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Deutsche Börse AG (disclosures based on HGB)
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+Under 30 years
+141
+30-39 years
+More than 50 years
+0.1
+2
+0.2
+3
+0.5
+8
+Management report | Takeover-related disclosures
+15
+98.3
+1,658
+%
+31 Dec 2021
+11 Employees do not include the company's legal representatives, apprentices and employees on parental leave.
+Total Deutsche Börse AG
+More than 15 years
+5-15 years
+Under 5 years
+Employee length of service
+Total Deutsche Börse AG
+40-49 years
+1,686
+5,672.4
+Non-current assets as at 31 December
+- 366.9
+- 2,978.6
+889.9
+906.7
+€m
+€m
+2020
+2021
+<3
+Cash and cash equivalents as at 31 December
+Cash flow from financing activities
+Cash flow from investing activities
+Cash flow from operating activities
+Cash flow statement (condensed)
+Further information
+Remuneration Report
+Management report | Deutsche Börse AG (disclosures based on HGB)
+Financial statements and notes
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+1,261.9
+8,559.5
+- 521.5
+48.8
+5,480.0
+8,370.6
+Financial assets
+83.2
+72.1
+Property, plant and equipment
+109.2
+116.8
+Intangible assets
+€m
+€m
+2020
+2021
+Non-current assets (condensed)
+Working capital amounted to €-1,852.1 million in 2021 (2020: €-249.6 million). The change is
+mainly due to higher liabilities under cash-pooling agreements and the issue of commercial paper.
+Receivables from and liabilities to affiliated companies include invoices for intra-Group services and
+amounts invested by Deutsche Börse AG within the scope of cash-pooling arrangements. The receivables
+from affiliated companies relate to invoices for intra-Group services, but primarily to Clearstream Holding
+AG for the company's profit transfer of €349.4 million. Liabilities to affiliated companies resulted mainly
+from cash-pooling amounting to €976.5 million (2020: €469.6 million) and trade liabilities of
+€48.8 million (2020: €135.3 million).
+Deutsche Börse AG's investments in intangible assets and property, plant and equipment totalled
+€61.5 million during the year under review (2020: €61.4 million), unchanged year-on-year.
+Depreciation and amortisation in 2021 amounted to €65.1 million (2020: €63.2 million).
+As at 31 December 2021, the non-current assets of Deutsche Börse AG amounted to €8,559.5 million
+(2020: €5,672.4 million). At €7,842.1 million, most of the non-current assets consisted of shares in
+affiliated companies (2020: €5,309.3 million), mainly the investments in Clearstream Holding AG,
+Institutional Shareholder Services, Inc., Clearstream Fund Centre AG, 360 Treasury Systems AG, Eurex
+Frankfurt AG and Qontigo GmbH.
+Assets of Deutsche Börse AG
+- 761.2
+100
+0.9
+%
+Management report | Takeover-related disclosures
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+144
+Under Wertpapierhandelsgesetz (WpHG, German Securities Trading Act), any investor whose
+shareholding reaches, exceeds or falls below specified voting right thresholds as a result of purchase,
+sale or any other transaction is required to notify the company and Bundesanstalt für
+Finanzdienstleistungsaufsicht (BaFin, German Federal Financial Supervisory Authority). The lowest
+threshold for this disclosure requirement is 3 per cent. Deutsche Börse AG is not aware of any direct or
+indirect equity interests in its capital exceeding 10 per cent of the voting rights.
+The Executive Board is only aware of those restrictions on voting rights that arise from Aktiengesetz
+(AktG, German Stock Corporation Act). Those shares affected by section 136 AktG are therefore
+excluded from voting rights. Furthermore, shares held by Deutsche Börse AG as treasury shares are
+exempted from the exercise of any rights according to section 71b AktG.
+The share capital has been contingently increased by up to €17.8 million by issuing up to 17.8 million
+no-par value registered shares (contingent capital 2019). The contingent capital increase will only be
+implemented to the extent that holders of convertible bonds or of warrants attaching to bonds with
+warrants issued by the Company or by a Group company in the period until 7 May 2024 on the basis of
+the authorisation granted to the Executive Board by resolution of the Annual General Meeting of 8 May
+2019 on Item 8 (b) of the agenda exercise their conversion or option rights, that they meet their
+conversion or option obligations, or that shares are tendered, and no other means are used to settle such
+rights or obligations. More details can be found in Article 4 (7) of the Articles of Association of Deutsche
+Börse AG.
+The share capital of Deutsche Börse AG amounted to €190.0 million on the above-mentioned reporting
+date and was composed of 190 million no-par value registered shares. There are no other classes of
+shares besides these ordinary shares.
+Financial statements and notes
+Deutsche Börse AG makes the following disclosure in accordance with sections 289a sentence 1 and
+315a sentence 1 of the German Commercial Code (HGB) as at 31 December 2021:
+17. Takeover-related disclosures
+Further disclosures on Deutsche Börse AG are provided in the "Report on expected developments".
+Deutsche Börse AG expects sales revenue to grow to approximately €1.60 billion and EBITDA to grow to
+approximately €1.25 billion in 2022.
+Additional factors influencing Deutsche Börse AG's future results of operations are income from
+investments in affiliated companies and income from profit and loss transfer agreements.
+As a result of the TP adjustments EFAG and ECAG shall receive a higher remuneration for operation of
+the Eurex business from financial year (FY) 2022 onwards. The remaining Eurex profits (after
+compensation of EFAG and ECAG) shall be split between DBAG and EGAG at an expected distribution
+key of 88/12 (instead of 85/15 applied in previous FY). This will have a negative impact on EBITDA for
+the periods from 2022 onwards. Compared with the reporting year, this is expected to have a negative
+effect of approximately €26 million on Deutsche Börse AG's EBITDA in 2022.
+<3
+Further information
+Remuneration Report
+31 Dec 2021
+Financial statements and notes
+Remuneration Report
+<3
+Deutsche Börse Group | Annual report 2021
+146
+The Executive Board is authorised to purchase treasury shares up to 10 per cent of the share capital.
+However, the acquired shares, together with any treasury shares acquired for other reasons that are held
+by the company or attributed to it in accordance with sections 71a et seq. AktG, may at no time exceed
+10 per cent of the company's share capital. The authorisation to acquire treasury shares is valid until 7
+May 2024 and may be exercised by the company in full or in part on one or more occasions. However,
+it may also be exercised by dependent companies, by companies in which Deutsche Börse AG holds a
+majority interest or by third parties on its or their behalf. The Executive Board may elect to acquire the
+shares (1) on the stock exchange, (2) via a public tender offer addressed to all shareholders or via a
+public request for offers of sale addressed to the company's shareholders, (3) by issuing tender rights to
+shareholders or (4) using derivatives (put options, call options, forward purchases or a combination of
+put options, call options and forward purchases). The full and exact wording of the authorisation to
+acquire treasury shares, and particularly the permissible uses to which the shares may be put, can be
+found in items 6 and 7 of the agenda for the Annual General Meeting held on 8 May 2019.
+Furthermore, the Executive Board is authorised to increase the share capital by up to a total of
+€6.0 million on one or more occasions in the period up to 16 May 2022, subject to the approval of the
+Supervisory Board, by issuing new no-par value registered shares against cash and/or non-cash
+contributions (authorised capital IV). Shareholders must be granted pre-emptive rights unless the
+Executive Board makes use of the authorisation granted to it to exclude such rights, subject to the
+approval of the Supervisory Board. The Executive Board is authorised to exclude shareholders' pre-
+emptive rights for fractional amounts with the approval of the Supervisory Board. However, according to
+the authorisation, the Executive Board may only exclude shareholders' pre-emptive rights if the total
+number of shares issued during the term of the authorisation, excluding pre-emptive rights, does not
+exceed 20 per cent of the share capital. The full authorisation is derived from Article 4 (6) of the Articles
+of Association of Deutsche Börse AG.
+In addition, the Executive Board is authorised to increase the share capital by up to a total of
+€19.0 million on one or more occasions in the period up to 18 May 2024, subject to the approval of the
+Supervisory Board, by issuing new no-par value registered shares in exchange for cash contributions
+(authorised capital III). Shareholders must be granted pre-emptive rights, which the Executive Board can
+exclude, subject to the approval of the Supervisory Board, only for fractional amounts. However,
+according to the authorisation, the Executive Board may only exclude shareholders' pre-emptive rights if
+the total number of shares that are issued during the term of authorisation and that exclude
+shareholders' pre-emptive rights does not exceed 10 per cent of the share capital. The exact content of
+this authorisation is derived from Article 4 (5) of the Articles of Association of Deutsche Börse AG.
+<3
+Further information
+Remuneration Report
+Further information
+Financial statements and notes
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+145
+The Executive Board is also authorised to increase the share capital by up to a total of €19.0 million on
+one or more occasions in the period up to 18 May 2025, subject to the approval of the Supervisory
+Board, by issuing new no-par value registered shares against cash and/or non-cash contributions
+(authorised capital II). Shareholders must be granted pre-emptive rights, which the Executive Board can
+exclude in certain cases, subject to the approval of the Supervisory Board in each case. The Executive
+Board is authorised to exclude shareholders' pre-emptive rights: (1) in the case of cash capital increases,
+provided that the issue price of the new shares is not significantly lower than the quoted price, and the
+total number of shares issued under exclusion of shareholders' pre-emptive rights does not exceed 10
+per cent of the share capital; (2) in the case of physical capital increases in exchange for non-cash
+contributions for the purpose of acquiring companies, parts of companies, interests in companies, or
+other assets; or (3) with respect to fractional amounts. However, according to the authorisation, the
+Executive Board may only exclude shareholders' pre-emptive rights if the total number of shares that are
+issued during the term of authorisation and that exclude shareholders' pre-emptive rights does not
+exceed 10 per cent of the share capital. The full authorisation, and particularly the conditions under
+which shareholders' pre-emptive rights can be excluded, is derived from Article 4 (4) of the Articles of
+Association of Deutsche Börse AG.
+Subject to the approval of the Supervisory Board, the Executive Board is authorised to increase the share
+capital by up to a total of €19.0 million on one or more occasions in the period up to 18 May 2026 by
+issuing new no-par value registered shares in exchange for cash and/or non-cash contributions
+(authorised capital I). Shareholders must be granted pre-emptive rights. However, subject to approval by
+the Supervisory Board, the Executive Board may exclude shareholders' pre-emptive rights with respect to
+fractional amounts. However, according to the authorisation, the Executive Board may only exclude
+shareholders' pre-emptive rights if the total number of shares that are issued during the term of
+authorisation and that exclude shareholders' pre-emptive rights does not exceed 10 per cent of the share
+capital. Full authorisation, and particularly the conditions under which shareholders' pre-emptive rights
+can be excluded, is derived from Article 4 (3) of the Articles of Association of Deutsche Börse AG.
+Members of the Executive Board are appointed and dismissed in accordance with sections 84 and 85
+AktG and with Article 6 of the Articles of Association of Deutsche Börse AG. Amendments to the Articles
+of Association of Deutsche Börse AG are adopted by resolution of the Annual General Meeting in
+accordance with section 119 (1) No. 6 AktG. Under Article 12 (4) of the Articles of Association of
+Deutsche Börse AG, the Supervisory Board has the power to make changes to the Articles of Association
+that relate to the wording only. In accordance with Article 18 (1) of the Articles of Association of
+Deutsche Börse AG, resolutions of the Annual General Meeting are passed by a simple majority of the
+votes cast, unless otherwise required by AktG. Insofar as AktG additionally prescribes a majority of the
+share capital represented at the time of a resolution, a simple majority of the share capital represented is
+sufficient where this is legally permissible.
+Employees holding shares in Deutsche Börse AG exercise their rights in the same way as other
+shareholders in accordance with the statutory provisions and the Articles of Association.
+There are no shares with special provisions granting the holder control rights.
+Management report | Takeover-related disclosures
+Management report | Takeover-related disclosures
+Disclosures in accordance with sections 289a sentence 1 and 315a sentence 1 of the German
+Commercial Code (HGB) and explanatory notes
+Deutsche Börse Group | Annual report 2021
+25.9
+437
+32.0
+539
+42.1
+Executive and Supervisory Boards
+%
+31 Dec 2021
+1,686
+100
+30.6
+517
+24.8
+418
+33.1
+558
+11.5
+193
+1,686
+100
+710
+Deutsche Börse Group | Annual report 2021
+143
+■introduction of a dynamic profit split mechanism between DBAG and EGAG reflecting the Eurex
+revenues derived from the Swiss and German customer base, respectively.
+■ Increase of EFAG's and ECAG's cost+ plus margin for operation of the Eurex business to 13 per cent
+(so far 7 per cent) and pay additional returns for product development activities and ECAG's risk
+bearing capital;
+142
+The expected developments in Deutsche Börse AG's business are largely subject to the same factors as
+those influencing Deutsche Börse Group. However, Deutsche Börse AG's sales revenue is significantly
+influenced by the trading-related segments Eurex and Xetra. These are mainly generated by passing on
+revenue via Eurex Frankfurt AG (EFAG) and Eurex Clearing AG (ECAG) (so-called
+"Betriebsführungskonstrukt").
+Forecast for Deutsche Börse AG
+The description of the internal control system (ICS), required by section 289 (4) HGB, is provided in
+the "Risk management" section.
+The opportunities and risks of Deutsche Börse AG and the activities and processes to manage these are
+largely the same as for Deutsche Börse Group, so reference is made to the “Risk management" and the
+"Report on opportunities". As a rule, Deutsche Börse AG shares the opportunities and risks of its equity
+investments and subsidiaries in accordance with its equity interest. Risks that could potentially threaten
+the existence of the Eurex Clearing AG subsidiary would also have a direct influence on Deutsche Börse
+AG based on a letter of comfort issued by Deutsche Börse AG. As of the reporting date, there were no
+risks jeopardising the company's existence. Further information on the letter of comfort issued to Eurex
+Clearing AG is available in the section “Other financial obligations and off-balance sheet transactions" in
+the notes to the annual financial statements of Deutsche Börse AG.
+The corporate governance statement in accordance with section 289f HGB is the same as that for
+Deutsche Börse Group. Reference is therefore made to the section “Corporate governance statement".
+Opportunities and risks facing Deutsche Börse AG
+Corporate governance statement in accordance with to section 289f HGB
+The principles governing the structure and design of the remuneration system at Deutsche Börse AG are
+the same as those for Deutsche Börse Group, so reference is made to the "Remuneration report" which
+will be published alongside with the annual report.
+Against the background of new transfer pricing (TP) rules (applicable as of 1 January 2022),
+comprehensive transfer pricing analysis for the Eurex business was undertaken in the second half of
+2021. The analysis showed that the transfer pricing set-up used for the Eurex business can be
+maintained in principle. However certain adjustments (TP adjustments) are necessary:
+<3
+Further information
+Remuneration report of Deutsche Börse AG
+Remuneration Report
+Executive and Supervisory Boards
+Management report | Deutsche Börse AG (disclosures based on HGB)
+Financial statements and notes
+Interests in equity attributable to non-controlling shareholders are presented under “non-controlling
+interests" within equity. Where these are classified as “puttable instruments”, they are reported under
+"liabilities" at cost.
+Currency translation
+Transactions denominated in a currency other than a company's functional currency are translated into
+the functional currency at the spot exchange rate applicable at the transaction date. Monetary balance
+sheet items in foreign currencies are measured at the exchange rate on the reporting date. Non-
+monetary balance sheet items recognised at historical cost are measured at the exchange rate on the
+transaction date. By contrast, non-monetary balance sheet items measured at fair value are translated at
+the exchange rate prevailing at the valuation date. Exchange rate differences for monetary balance sheet
+items are recognised either as other operating income or expenses or as the treasury result from banking
+and similar business or as net income from financial investments in the period in which they arise,
+unless the underlying transactions are hedged. In the case of equity instruments designated at FVOCI,
+the exchange rate differences are recognised in other comprehensive income. Exchange rate differences
+for non-monetary balance sheet items at fair value are recognised in other comprehensive income. Gains
+and losses from a monetary item that forms part of a net investment in a foreign operation are
+recognised directly in "retained earnings".
+159
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes to the consolidated financial statements
+Intra-Group assets and liabilities are eliminated. Income arising from intra-Group transactions is netted
+against the corresponding expenses. Intercompany profits or losses arising from deliveries of intra-Group
+goods and services, as well as dividends distributed within the Group are eliminated. Deferred taxes for
+consolidation adjustments are recognised where these are expected to reverse in subsequent years.
+2. Consolidation principles
+Further information
+IFRS 17 "Insurance Contracts"
+<3
+Remuneration Report
+Financial statements and notes | Notes to the consolidated financial statements
+The amendments to deferred tax related to assets and liabilities arising from a single transaction
+The amendment to IAS 12 clarifies that the exemption from recognising deferred taxes on the initial
+recognition of an asset or liability outside a business combination does not apply to transactions in
+which equal amounts of deductible and taxable temporary differences arise on initial recognition. This
+amendment generally matches our approach. Potential effects on the financial performance and financial
+position of the Group are being analysed, however.
+158
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Remuneration Report
+Management report
+IFRS 17 establishes the principles for the recognition, measurement, presentation and disclosure of
+insurance contracts. The objective of IFRS 17 is to ensure that an entity provides information to
+consistently represent insurance contracts. According to the standard, insurance liabilities shall be
+measured at the current fulfilment cash flows instead of historical costs. Furthermore, the objective is to
+form a uniform basis regarding the recognition, measurement and presentation of insurance contracts,
+including the notes. The effective date was deferred. The standard is now applicable in the EU for
+financial years beginning on or after 1 January 2023. The standard was endorsed by the EU on 23
+November 2021. On the basis of our analysis we are not expecting any effect on the financial position
+and financial performance
+Further information
+387.8
+Balance sheet items of entities whose functional currency is not the euro are translated into the reporting
+currency as follows: assets and liabilities are translated into euro at the spot rate and equity items at
+historical rates. Resulting exchange differences are recognised directly in "retained earnings". When the
+relevant subsidiary is sold, these exchange rate differences are recognised in the net profit for the period
+in which the deconsolidation gain or loss is realised.
+0
+0
+- 602.9
+945.5
+- 26.6
+- 62.6
+2,701.0
+- 1,900.0
+- 40.9
+999.1
+- 356.0
+9.1
+8.7
+- 787.7
+- 2,168.0
+21
+2.5
+0.9
+177.4
+625.3
+516.5
+229.3
+47.4
+- 341.5
+16
+- 531.9
+Interest paid
+Dividends received
+Interest-similar income received
+Cash and cash equivalents at end of period
+Cash and cash equivalents at beginning of period
+Effect of exchange rate differences
+Net change in cash and cash equivalents (brought forward)
+Further information
+Remuneration Report
+Financial statements and notes | Consolidated cash flow statement
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+153
+370.0
+- 460.5
+- 254.2
+798.7
+21
+- 550.6
+506.0
+20.2
+0
+82.8
+- 154.4
+143.6
+- 163.6
+0
+- 6.4
+- 11.9
+- 0.1
+9
+- 61.8
+- 53.1
+1,125.1
+264.3
+1,264.9
+293.7
+10, 11
+€m
+€m
+2020
+2021
+Note
+- 358.2
+21
+206.6
+- 2.8
+- 448.5
+- 26.4
+-601.2
+- 61.2
+- 134.3
+- 1,843.0
+- 12.0
+- 1,359.3
+- 37.8
+Income tax paid
+- 168.6
+- 19.0
+1,523.0
+- 2.1
+Total equity
+163.5
+- 78.6
+2,280.3
+908.9
+- 2,552.8
+1,181.4
+0.3
+- 832.8
+721.8
+1,412.0
+Notes
+<3
+2021
+26.5249
+24.8605
+26.2698
+SGD (S$)
+1.5871
+1.5791
+1.5277
+1.6254
+GBP (£)
+0.8589
+0.8908
+0.8371
+0.8999
+Any goodwill arising on the acquisition of a foreign operation and any fair value adjustments to the
+carrying amounts of assets and liabilities arising from initial consolidation are reported in the functional
+currency of the foreign operation and translated at the closing rate.
+Net investments in a foreign operation
+Translation differences from a monetary item that is part of a net investment of Deutsche Börse Group in
+a foreign operation are initially recognised in other comprehensive income and reclassified to profit or
+loss when the net investment is sold.
+160
+ling
+interests
+€m
+equity
+€m
+25.6569
+CZK (Kč)
+1.2299
+1.1317
+The following euro exchange rates of consequence to Deutsche Börse Group were applied:
+Exchange rates
+Swiss franc
+US dollars
+Czech koruna
+Singapore dollar
+British pound
+Average rate
+2021
+€m
+Average rate
+2020
+1.0800
+1.0713
+Closing price as
+at 31 Dec 2021
+1.0337
+Closing price as
+at 31 Dec 2020
+1.0832
+USD (US$)
+The amendment to IAS 1 supplements guidelines for determining disclosures on accounting methods in
+an entity's financial statements and explains how an entity can identify material accounting policies. We
+are currently analysing potential additions to the disclosures in the notes.
+1.1821
+1.1477
+CHF (Fr.)
+<3
+earnings
+Retained
+154
+- 381.8
+- 470.7
+- 352.4
+- 340.9
+5.4
+10.2
+526.1
+2,506.7
+2,040.0
+441.2
+21
+2,145.5
+2,506.7
+- 8.9
+- 6.3
+370.0
+2020
+€m
+- 460.5
+€m
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Consolidated statement of changes in equity
+tion
+surplus
+€m
+- 155.8¹
+- 471.8
+1,344.7
+190.0
+Balance as at 1 January 2020
+Share Treasury
+premium shares
+€m
+€m
+€m
+capital
+cribed
+holders'
+control-
+Revalua-
+Subs-
+Non-
+Attributable to Deutsche Börse AG shareholders
+for the period 1 January to 31 December 2021
+Consolidated statement of changes in equity
+<3
+Further information
+Remuneration Report
+Share-
+The amendment to IAS 1 and IFRS guidance document 2 on materiality
+Amendments to IAS 16: Clarifications
+None
+1.3
+14.2
+1.2
+0.1
+1.2
+1.2
+Changes due to capital
+payments
+Increase in share-based
+7.0
+1.3
+7.2
+Other adjustments
+397.3
+1,662.2
+36.7
+91.9
+1,570.3
+387.8 6,556.1
+55.2 1,264.9
+5,287.4¹ 6,168.3
+1,209.7 1,209.7
+227.3
+360.6
+1,437.0
+133.3
+133.3
+Total comprehensive income
+Other comprehensive income
+196.3¹
+Sales under the Group Share
+Plan
+465.2
+14.2
+increases/decreases
+- 458.2
+1,359.6
+190.0
+Balance as at 31 December 2021
+- 476.0
+- 580.9
+- 30.3
+69.1
+87.8
+98.9
+- 11.1
+- 550.6
+- 545.0
+1.3
+- 560.6
+7.0
+7.2
+Transactions with shareholders
+- 550.6
+- 11.1
+0.4
+0.4
+Dividends paid
+combinations
+Changes from business
+1.3
+1,352.4
+190.0
+Balance as at 1 January 2021
+Profit for the period
+7.7
+Sales under the Group Share
+Plan
+0.0
+-0.2
+0.2
+0.2
+Other adjustments
+- 147.2
+978.0
+27.6
+- 17.6
+6.6
+- 129.5
+950.4
+40.5
+- 40.5
+Total comprehensive income
+Other comprehensive income
+after tax
+6,110.6
+1,125.1
+375.3
+45.2
+5,735.3
+1,079.9
+4,828.2¹
+1,079.9
+Net profit for the period
+€m
+- 89.0
+990.9
+14.3
+14.3
+Changes from business
+6,556.1
+387.8
+- 532.5
+- 15.1
+- 517.4
+6,168.3
+5,287.4¹
+196.3¹
+- 465.2
+1,352.4
+190.0
+Balance as at 31 December 2020
+- 531.7
+6.6
+7.7
+Transactions with shareholders
+558.5
+- 26.6
+531.9
+531.9
+Dividends paid
+11.7
+11.7
+combinations
+- 61.7
+6,163.8
+7,193.6
+548.8
+None
+1 Jan 2022
+See notes under
+this table
+See notes under
+this table
+Group
+Deutsche Börse
+Effects on
+Application date
+1 Jan 2023
+Amendment to IAS 1 and IFRS Guidance Document 2 on Materiality
+Amendments to IFRS 3 relating to a reference in the Conceptual
+Framework
+IAS 8
+IFRS 3
+1 Jan 2023
+Amendments in classifcation of liabilities as current or non-current
+IAS 1
+<3
+Standard/amendment/interpretation
+Further information
+Remuneration Report
+Financial statements and notes | Notes to the consolidated financial statements
+Management report
+Executive and Supervisory Boards
+IAS 1
+Amendments relating to accounting estimates
+1 Jan 2023
+None
+1 Jan 2022
+None
+1 Jan 2022
+None
+1 Jan 2023
+See notes under
+this table
+1 Jan 2023
+The annual improvements resulted in amendments to IFRS 1, IFRS 9,
+IAS 41 and IFRS 16
+First-time Adoption of IFRS 17 and IFRS 9 - Comparative Information
+Amendments to IAS 37 include the definition of what costs an entity
+includes when assessing whether a contract will be loss-making
+Insurance Contracts
+Annual Improvement Cycle
+2018-2020
+IAS 37
+IFRS 17, IFRS 9
+IFRS 17
+None
+this table
+1 Jan 2022
+<3
+IAS 16
+1 Jan 2023
+See notes under
+Amendments in relation to deferred taxes that relate to assets and
+liabilities arising from a single transaction
+IAS 12
+Deutsche Börse Group | Annual report 2021
+Amendment to IAS 1 "Classification of liabilities as current or non-current"
+The amendments only relate to the presentation of liabilities in the statement of financial position - not
+the amount or the timing of recognition of assets, liabilities, income and expenses or disclosure made by
+entities about these items. The amendments clarify that liabilities must be classified as current or non-
+current on the basis of the rights that are in existence at the reporting date. We are currently analysing
+the potential impact of the amendments on the presentation of the consolidated financial statements.
+157
+not yet implemented
+Deutsche Börse Group | Annual report 2021
+156
+Information about capital management, which is also part of these consolidated financial statements, is
+included in the chapter Regulatory capital requirements and regulatory capital ratios in section Risk
+management in the combined management report.
+Deutsche Börse AG's consolidated financial statements have been prepared in euros, the functional
+currency of Deutsche Börse AG. Unless stated otherwise, all amounts are shown in millions of euros
+(€m). Due to rounding, actual amounts may differ from unrounded or disclosed figures.
+The consolidated income statement is structured using the nature of expense method.
+The disclosures required in accordance with Handelsgesetzbuch (HGB, German Commercial Code)
+section 315e (1) have been presented in the notes to the consolidated financial statements.
+The 2021 consolidated financial statements have been prepared in compliance with the International
+Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB)
+and the related interpretations issued by the International Financial Reporting Interpretations Committee
+(IFRIC), as adopted by the European Union in accordance with Regulation No. 1606/2002 of the
+European Parliament and of the Council on the application of international accounting standards.
+Basis of reporting
+Deutsche Börse AG is the parent company of Deutsche Börse Group. Deutsche Börse AG (the
+"company") has its registered office in Frankfurt/Main, Germany, and is registered in the commercial
+register B of the Frankfurt/Main Local Court (Amtsgericht Frankfurt am Main) under HRB 32232.
+Deutsche Börse AG and its subsidiaries operate cash and derivatives markets. Its business areas range
+from pre-IPO and growth financing services, the admission of securities to listing, through trading,
+clearing and settlement, down to custody of securities. Furthermore, IT services are provided and market
+information distributed. Moreover, Deutsche Börse AG has a stock exchange licence and certain
+subsidiaries of Deutsche Börse AG have a banking licence and offer banking services to customers.
+Eurex Clearing AG is a central counterparty, a bank and its role is to mitigate performance risks for
+buyers and sellers. For details regarding internal organisation and reporting, see Fundamental
+information about the Group in the combined management report.
+Company information
+Executive and Supervisory Boards
+1. General principles
+Notes to the consolidated financial statements
+Further information
+Remuneration Report
+Financial statements and notes | Notes to the consolidated financial statements
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+155
+1) Adjustment of revaluation reserve and retained earnings see Note 15.
+7,742.4
+Basis of preparation
+Management report
+Financial statements and notes | Notes to the consolidated financial statements
+Remuneration Report
+Further information
+-
+New accounting standards
+None
+1 Apr 2021
+Amendments due to COVID-19-related lease concessions beyond
+30 June 2021
+IFRS 16
+none
+1 Jan 2021
+IBOR Reform 2: Amendment of IFRS 9, IAS 39, IFRS 7 and other
+standards
+IFRS 9, IAS 39, IFRS 7 and
+others
+Group
+none
+1 Jan 2021
+Amendments to IFRS 4: Insurance Contracts
+IFRS 4
+Application date
+Deutsche Börse
+Effects on
+Standard/amendment/interpretation
+All the mandatory standards and interpretations endorsed by the European Commission
+were applied by us in the reporting year 2021. They were not applied earlier than required.
+New accounting standards – implemented in the year under review
+Assets and liabilities, items in the consolidated statement of comprehensive income, and disclosure
+requirements are listed separately if they are material. We define as material a proportion of around 10
+per cent of the relevant total.
+All accounting policies, estimates, measurement uncertainties, and discretionary judgements referring to
+a specific subject matter are described in the corresponding note. Such disclosures are focused on
+applicable accounting options under IFRSs. Deutsche Börse Group does not present the underlying
+published IFRS guidelines, unless this is considered crucial to enhance transparency. The annual
+financial statements of subsidiaries included in the consolidated financial statements have been
+prepared on the basis of the Group-wide accounting policies based on IFRS that are described in the
+following. They were applied consistently to the periods shown.
+<3
+The IASB issued the following new or amended standards and interpretations, which were not applied in
+the consolidated financial statements, because endorsement by the EU was still pending or the
+application was not mandatory. The new or amended standards and interpretations must be applied for
+financial years beginning on or after the effective date. Even though early application may be permitted
+for some standards, Deutsche Börse Group does usually not use any early application options.
+Net change in cash and cash equivalents
+equity
+Dividends paid
+Repayment of long-term financing
+Proceeds from long-term financing
+Total
+Proceeds from sale of treasury shares
+Payments to non-controlling interests
+Cash flows from investing activities
+Proceeds from disposals of intangible assets
+Proceeds from disposals of non-current financial instruments
+Net increase/(net decrease) in current liabilities from banking business with an
+original term greater than three months
+Financial liabilities measured at amortised cost
+12
+3,539.9
+3,474.4
+Financial liabilities at FVPL
+12
+Repayment of short-term financing
+Financial instruments held by central counterparties
+6,908.5¹
+Other financial liabilities at FVPL
+8.4
+1.5
+Other non-current liabilities
+20
+17.5
+13.9
+Deferred tax liabilities
+CURRENT LIABILITIES
+Income tax liabilities
+9
+338.5
+216.7
+9,442.4
+201,554.0
+Proceeds from short-term financing
+Cash flows from financing activities
+<3
+Other financial debt assets at FVPL
+Financial instruments held by central counterparties
+Financial assets at FVPL
+Debt financial assets measured at amortised cost
+Debt instruments
+Strategic investments
+Equity investments measured at FVOCI
+Financial assets
+Payments on account and construction in progress
+Computer hardware, operating and office equipment
+Fixtures and fittings
+Land and buildings
+Property, plant and equipment
+Finance lease payments
+Other intangible assets
+Goodwill
+Software
+Intangible assets
+NON-CURRENT ASSETS
+Assets
+as at 31 December 2021
+Consolidated balance sheet
+Further information
+Remuneration Report
+Financial statements and notes | Consolidated balance sheet
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+Effects of the disposal of (shares in) subsidiaries, net of cash disposed
+Payments on account and assets under development
+Note
+135,116.6¹
+267.1
+1) Due to a correction of the previous year's figures, non-current assets decreased by € 26.2 million and current assets by € 63.6 million. Current and non-current
+liabilities decreased correspondingly.
+152
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Consolidated cash flow statement
+Remuneration Report
+Further information
+Consolidated cash flow statement
+for the period 1 January to 31 December 2021
+Net profit for the period
+Depreciation, amortisation and impairment losses
+(Decrease)/increase in non-current provisions
+Deferred tax income
+152,677.9¹
+Cash flows from derivatives
+Changes in working capital, net of non-cash items:
+Decrease/(increase) in receivables and other assets
+Increase/(decrease) in current liabilities
+Increase in non-current liabilities
+Net loss on disposal of non-current assets
+Cash flows from operating activities excluding CCP positions
+Changes in liabilities from CCP positions
+Changes in receivables from CCP positions
+Cash flows from operating activities
+Payments to acquire intangible assets
+Payments to acquire property, plant and equipment
+Payments to acquire non-current financial instruments
+Payments to acquire investments in associates
+Payments to acquire subsidiaries, net of cash acquired
+Other non-cash income
+244.6
+222,919.3
+215,177.0
+Other current provisions
+19
+335.3
+313.7
+Financial liabilities at amortised cost
+12
+Trade payables
+704.4
+388.6
+Other financial liabilities at amortised cost
+15,914.3
+14,630.0
+Cash deposits by market participants
+78,292.5
+146,121.8¹
+38,188.8
+12
+Financial instruments held by central counterparties
+103,267.7
+Other financial liabilities at FVPL
+4.7
+Other current liabilities
+Liabilities held for sale
+20
+2
+2,788.6
+80,609.5¹
+174.1
+544.7
+1.9
+0
+Total liabilities
+Total equity and liabilities
+Financial liabilities at FVPL
+31 Dec 2021
+(Net increase)/net decrease in current receivables and securities from banking
+business with an original term greater than three months
+10
+Other financial assets at FVPL
+116.0
+15.8
+Income tax assets
+9
+115.5
+109.5
+Other current assets
+14
+2,675.6
+548.1
+Assets held for sale
+2
+11.9
+0
+Total assets
+222,919.3
+152,677.9¹
+1) Due to a correction of the previous year's figures, non-current assets decreased by €26.2 million and current assets by €63.6 million. Current and non-current
+liabilities decreased correspondingly.
+151
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Consolidated balance sheet
+Remuneration Report
+Further information
+Equity and liabilities
+EQUITY
+156.2
+80,704.5¹
+103,195.7
+Financial instruments held by central counterparties
+12
+Restricted bank balances
+969.4
+15,799.6
+amortised cost
+Other financial assets
+Trade receivables
+12
+Debt financial assets measured at amortised cost
+0.5
+1.5
+12
+Debt financial assets measured at FVOCI
+138,107.4¹
+202,457.0
+161.7
+Subscribed capital
+139.8
+6.0
+16.8
+CURRENT ASSETS
+Deferred tax assets
+Other non-current assets
+89.5
+88.9
+Investment in associates
+42.4
+Other cash and bank balances
+1,029.6
+€m
+1,467.3
+Financial assets at FVPL
+9
+Share premium
+Treasury shares
+Revaluation surplus
+548.8
+9,442.4
+4.4
+997.5
+107.0
+224.3
+2.8
+1,634.7
+8,059.8
+11,460.4
+12
+7.0
+8.5
+101.7
+90.1
+52.4
+57.0
+Non-controlling interests
+369.2
+530.4
+593.7
+11
+1,255.4
+1,913.6
+126.3
+100.1
+3,957.6
+383.8
+14,570.5¹
+5,723.2
+€m
+31 Dec 2020
+5,596.0
+20,462.4
+8,162.9
+553.2
+438.0
+78,542.0
+6,168.3
+7,193.6
+Retained earnings
+<3
+4
+Note
+31 Dec 2021
+€m
+31 Dec 2020
+€m
+15
+190.0
+1,359.6
+190.0
+1,352.4
+168.0
+127.2
+18, 19
+5,287.4
+Other non-current provisions
+149.0
+17, 18
+Provisions for pensions and other employee benefits
+6,556.1
+11,005.2¹
+13,623.0
+NON-CURRENT LIABILITIES
+7,742.4
+- 458.2
+-465.2
+- 61.7
+- 196.3
+Shareholders' equity
+6,908.5¹
+6,163.8
+222.4
+616.6
+16,225.1
+38,420.1
+EEX (commodities)
+Its product portfolio comprises contracts on power, natural gas and emission allowances, as well as
+freight rates and agricultural products. Revenue is generated primarily from fees that are charged for
+exchange trading and clearing of commodity products. Transaction fees are specified in the price list.
+Rebates are granted primarily in the form of monthly rebates for the provision of a certain volume or level
+of liquidity. These types of rebates are dependent upon the total monthly volume or the monthly
+fulfilment of certain liquidity provision obligations. Revenue is recognised as soon as contracts are
+matched/registered and there is no unfulfilled obligation towards the customer as the service has already
+been performed by this point in time. EEX recognises receivables when the promised service is provided
+at a certain time and the entitlement to consideration depends solely on the passage of time. Most of the
+invoiced amounts are debited directly from the clearing members. Infrastructure fees and Market Data
+Services are accounted for in the same way as described in the section "Eurex (financial derivatives)".
+Non-controlling interests³
+Total assets and liabilities acquired
+Preliminary
+goodwill
+calculation
+0.2
+0.0
+11.9
+0.3
+0.1
+1.4
+1.9
+Investments in associates and joint ventures are measured at cost on initial recognition and accounted
+for using the equity method upon subsequent measurement. Where Deutsche Börse Group's share of the
+voting rights in a company amounts to less than 20 per cent, our significant influence is exercised
+through the Group's representation on the supervisory board or the board of directors.
+167
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Deferred tax liabilities on temporary differences
+Financial statements and notes | Notes to the consolidated financial statements
+Current liabilities
+Current assets
+Financial statements and notes | Notes to the consolidated financial statements
+Remuneration Report
+Further information
+The preliminary purchase price allocation as at the acquisition date was as follows:
+Goodwill resulting from the business combination with Crypto Finance AG, Zurich,
+Switzerland (Crypto Finance)
+Consideration transferred
+Purchase price in cash
+Cash flow hedge²
+Total consideration
+Acquired assets and liabilities
+Customer relationships
+Tradename
+Software
+Property, plant and equipment
+Deferred tax assets
+Acquired bank balances
+Non-current liabilities
+170
+Remuneration Report
+3. Adjustments
+■ volume-related costs.
+Revenue recognition
+This section comprises details on revenue from contracts with customers. They particularly include
+performance obligations and methods of revenue recognition. Revenue is measured on the basis of the
+consideration agreed in a customer contract. The Group recognises revenue when it transfers control
+over goods or services to the customer. For information on contract assets and liabilities see Note 13.
+Revenue is recognised in Deutsche Börse Group's segments as follows:
+Eurex (financial derivatives)
+Revenue in the derivatives business (mainly equity, interest rate and share index derivatives) is
+generated primarily from fees that are charged for transactions with regard to the matching/registration,
+administration and regulation of order book and off-book transactions on Eurex Germany. Fees, as well
+as any reductions are specified in price lists and circulars. Rebates depend mainly on monthly volumes
+or the monthly fulfilment of liquidity provisioning obligations in certain products or product groups.
+Administration fees of financial derivatives are recognised over time as the service is provided until the
+transaction has been closed, terminated or has matured. Revenue for transactions in listed derivatives is
+recognised as soon as contracts are matched/registered and there is no unfulfilled obligation towards the
+customer. Receivables are recognised when the promised service is provided at a specific point in time
+or monthly based on the utilisation in the respective month and the claim to the consideration solely
+depends on the course of time. Transaction fees are invoiced on a monthly basis and are payable when
+invoiced. Since discounts are generally granted on a monthly basis, the recognition of a contractual
+liability is not necessary. Payments are generally debited directly from the clearing member immediately
+after invoicing.
+169
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated income statement
+Remuneration Report
+Further information
+<3
+Revenue is also generated with clearing and settlement services for over-the-counter (OTC) transactions.
+This mainly comes in the form of booking and management fees. Fees for these transactions and the
+related discounts are also specified in price lists and circulars of Eurex Clearing AG. In the case of OTC
+transactions, posting fees are recognised at novation on a monthly basis. These fees are recognised at a
+specific point in time; namely, when the promised service is transferred at a specific point in time and
+the entitlement to consideration depends solely on the passage of time. OTC administrative fees are
+recognised over time as the service is provided until the transaction has been closed, terminated or has
+matured. A receivable is recognised monthly based on the usage within the respective month, provided
+that the respective position is still open at month end. In general, the payments are directly debited from
+the clearing member.
+In addition, infrastructure fees are charged for the technical connections to the trading and clearing
+systems of Deutsche Börse Group. The customer has use of the company's service and uses the service
+as it is performed over the life of the contract. As the smallest reporting period is the same as the
+contract term, the percentage of completion equals 100 per cent. The infrastructure revenue generated
+from this is usually realised monthly with invoicing.
+Market participants subscribe to real-time trading and market signals or licence these services for their
+own use, processing or dissemination. The customer simultaneously receives and consumes the benefits
+provided by the entity's performance during the contract term. Customers report their usage, and fees
+are charged in the month after usage. Deutsche Börse Group puts together monthly estimates that are
+based on the trend of the preceding months. Revenue estimates are revised when warranted by the
+circumstances. Increases and decreases in estimated revenue are reflected in the consolidated income
+statement in the period in which the circumstances that give rise to the revision become known by the
+management. Revenue is recognised based on the price specified in the price list. Customers are
+invoiced on a monthly basis and consideration is payable when invoiced.
+■ other operating income and
+Further information
+■ result of treasury activities in banking and similar business,
+Overall, Deutsche Börse Group's net revenue comprised the following items:
+We modified our segment reporting in the first quarter of 2021, adding the segment Institutional
+Shareholder Services (ISS). The business operations of ISS are now reported in the new segment ISS.
+The separate reporting corresponds to the internal management and reporting structure and increases
+transparency as well as value of information for users of the financial statements.
+Internally developed software
+Deutsche Börse AG reviewed its amortisation period for internally developed software in the first quarter.
+The useful lives applied the previous year were five years for internally developed software releases and
+seven years for newly developed systems.
+The review showed that the fundamental useful life for internally developed software releases is seven
+years and for newly developed systems ten years. We therefore decided to bring the amortisation period
+into line with the useful life of the assets. The change took place as of 1 January 2021. Amortisation in
+2021 would have been €74.7 million instead of €42.1 million if the useful lives had not been modified.
+168
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated income statement
+Remuneration Report
+Further information
+<3
+Notes on the consolidated income statement
+4. Net revenue
+Recognition of income and expenses
+Revenue,
+Call option
+Executive and Supervisory Boards
+89.4
+201.4
+201.4
+€m
+9 Dec 2021
+Preliminary
+goodwill
+calculation
+Goodwill (not tax-deductible)
+Total assets and liabilities acquired
+Other current liabilities
+33.4
+Contract liabilities
+Deferred tax liabilities
+Other current assets (without cash)
+Acquired bank balances
+Other non-current assets
+Property, plant and equipment
+Software
+Database
+Trade names
+Other non-current and current liabilities
+2.8
+36.0
+8.7
+<3
+Further information
+Financial statements and notes | Notes to the consolidated financial statements
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+166
+The purchase price allocation was based on a preliminary basis, as it was not yet possible to make a
+final determination, particularly with regards to taxes and the valuation of intangible assets.
+The consolidation of Discovery Data resulted in an increase in net revenues of €1.3 million as well as in
+a decrease in profit after tax of €- 0.3 million. If the company had been consolidated as at 1 January
+2021, this would have resulted in an increase in net revenues of €18.6 million as well as in an
+decrease of profit after tax of €– 5.9 million.
+140.2
+61.2
+18.1
+- 9.4
+-0.4
+- 14.4
+3.7
+18.0
+0.1
+0.6
+Customer relationships
+15 Dec 2021
+€m
+Acquired assets and liabilities
+Purchase price in cash
+0
+1) A call option in the amount of €5.7 million was acquired, which is accounted outside the scope of IFRS 3 as a financial instrument under IFRS 9.
+2) Reclassification of the effective portion of the cash flow hedge of the purchase price to the cost of the investment
+3) Non-controlling interests are calculated on the basis of the acquired net assets excluding goodwill.
+Goodwill (not tax-deductible)
+27.1
+- 20.8
+- 3.0
+- 14.5
+-2.2
+50.2
+19.0
+0.9
+0.2
+4.4
+3.6
+16.0
+77.3
+- 6.5
+- 5.7
+23.5
+The full consolidation of Crypto Finance resulted in an increase in net revenues of €1.6 million as well
+as in an increase in profit after tax of €0.1 million. If the company had been fully consolidated as at 1
+January 2021, this would have resulted in an increase in net revenues of €18.3 million as well as in an
+increase of profit after tax of €2.2 million.
+The purchase price allocation was based on a preliminary basis, as it was not yet possible to make a
+final determination, particularly with regards to taxes and the valuation of intangible assets.
+164
+Consideration transferred
+Goodwill resulting from the business combination with Discovery Data Holdings Inc.,
+New Jersey, USA (Discovery Data)
+The preliminary purchase price allocation as at the acquisition date was as follows:
+Further information
+Financial statements and notes | Notes to the consolidated financial statements
+Remuneration Report
+Management report
+Management report
+Deutsche Börse Group | Annual report 2021
+165
+The identifiable assets and liabilities of Discovery Data are recognised at fair value on the acquisition
+date. Any excess of cost over the acquirer's interest in the fair value of the subsidiary's net identifiable
+assets is recognised as goodwill. Goodwill is reported in subsequent periods at cost less accumulated
+impairment losses.
+Discovery Data, a global provider of data solutions and analytics, was included in the consolidated
+financial statements using the purchase method. Significant synergies are expected from the transaction,
+particularly revenue synergies, which is reflected in the goodwill resulting from the transaction.
+On 9 December 2021, Institutional Shareholder Services Inc. completed the acquisition of 100 per cent
+of the shares in Discovery Data Holdings, Inc. for a price of €201.4 million (USD 228.0 million),
+thereby assuming control. The business operations of Discovery Data and the Group are a perfect fit.
+Together the two companies will serve the growing demand for detailed data, research solutions and
+analytics. Discovery Data was allocated to the ISS segment when the transaction was concluded.
+Acquisition of Discovery Data Holdings Inc., New Jersey, USA (Discovery Data)
+E>
+Further information
+Financial statements and notes | Notes to the consolidated financial statements
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+Total consideration
+Executive and Supervisory Boards
+Segment reporting
+163
+Financial liabilities
+Provisions for pensions and other employee benefits
+Assets held for sale (total)
+Other non-current assets
+Property, plant and equipment
+Intangible assets
+Assets and liabilities held for sale
+No impairment losses were recognised since the agreed sales price is higher than the carrying amount of
+the disposal group. From the date of reclassification, intangible assets and property, plant and
+equipment are no longer depreciated or amortised.
+The assets and liabilities of the disposal group are held at their carrying amount, which is lower than
+their fair value less costs to sell, and shown separately in the statement of financial position
+under the items "Assets held for sale" and "Liabilities held for sale".
+At the beginning of September 2021, Clearstream International S.A. signed a binding agreement on the
+sale of REGIS-TR S.A., Luxembourg, Luxembourg, and Clearstream Holding AG on the sale of REGIS-TR
+UK Ltd, London, United Kingdom, to the SIX Group. Both entities, assigned to the Clearstream segment,
+were therefore classified as disposal groups as of the same date. We expect the transaction to be closed
+in the first quarter of 2022.
+Disposal Régis-T.R. S.A., Luxembourg, Luxembourg (REGIS-TR)
+Disposals
+25 Feb 2021
+€m
+Consideration transferred
+Purchase price in cash
+Settlement of option programmes
+Payment to escrow account¹
+Transaction costs for seller²
+Debt repayment
+Contingent purchase price components at fair value
+Sponsor call right³
+Cash flow hedge+
+Total consideration
+903.4
+66.8
+22.9
+Deferred tax liabilities
+25.9
+Liabilities held for sale (total)
+31.12.2021
+Initial recognition of ISS, a provider of governance solutions, ESG data and analytics, in the consolidated
+financial statements took place using the purchase method. Significant synergies are expected from the
+transaction, particularly revenue synergies, which is reflected in the goodwill resulting from the
+transaction.
+The identifiable assets and liabilities of ISS are recognised at fair value on the acquisition date. Any
+excess of cost over the acquirer's interest in the fair value of the subsidiary's net identifiable assets is
+recognised as goodwill. Goodwill is reported in subsequent periods at cost less accumulated impairment
+losses.
+161
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes to the consolidated financial statements
+Remuneration Report
+Further information
+The preliminary purchase price allocation as at the acquisition date was as follows:
+Goodwill resulting from the business combination with Institutional Shareholder Services Inc., Rockville,
+USA (ISS)
+Preliminary
+goodwill
+calculation
+Deutsche Börse Group | Annual report 2021
+In the first quarter 2021, Deutsche Börse AG completed the acquisition of 81.2 per cent of the shares in
+ISS for a price of €1,653.3 million (USD 1,978.9 million), thereby assuming control. The business
+operations of ISS and the Group are a perfect fit. Together the two companies will meet the steadily
+growing demand for detailed data, research solutions and analysis of non-financial information,
+particularly relating to ESG criteria. ISS is included in the segment reporting as a separate operating
+segment as of the closing date of the transaction on 25 February 2021.
+Acquisition of Institutional Shareholder Services Inc., Rockville, USA (ISS)
+Deutsche Börse AG's equity interests in subsidiaries and associates included in the consolidated
+financial statements as at 31 December 2021 are presented in the list of shareholdings in note 34.
+Initial consolidation of subsidiaries in the course of business combinations uses the purchase method.
+The acquiree's identifiable assets, liabilities and contingent liabilities are recognised at their acquisition
+date fair values. Any excess of cost over the acquirer's interest in the fair value of the subsidiary's net
+identifiable assets is recognised as goodwill. Goodwill is reported in subsequent periods at cost less
+accumulated impairment losses. Non-controlling interests are measured at their relevant interest of the
+acquiree's net identifiable assets at acquisition date.
+Deutsche Börse AG and all subsidiaries directly or indirectly controlled by Deutsche Börse AG are
+included in the consolidated financial statements. Deutsche Börse AG controls a company if it is exposed
+to variable returns resulting from its involvement with the company in question or has rights to such
+returns and is able to influence them by using its power over the company.
+Subsidiaries and business combinations
+Further information
+Remuneration Report
+Financial statements and notes | Notes to the consolidated financial statements
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+€m
+Associates
+584.5
+Essential acquisitions
+- 8.7
+9.1
+35.5
+- 83.3
+- 69.5
+- 103.8
+- 226.4
+- 67.0
+408.5
+1,244.8
+The full consolidation of ISS resulted in an increase in net revenues of €222.4 million as well as in an
+increase in profit after tax of €15.7 million. If the company had been fully consolidated as at 1 January
+2021, this would have resulted in an increase in net revenues of €257.7 million as well as in an
+increase in profit after tax of €18.0 million.
+Management report
+162
+Deutsche Börse Group | Annual report 2021
+Financial statements and notes | Notes to the consolidated financial statements
+Remuneration Report
+Further information
+<3
+The contingent purchase price component is based on an increase in company value within the first
+three years and the resulting obligation has no upper limit. It is classified as a financial liability in
+accordance with IFRS 9.
+Goodwill amounts to €1,340.1 million as at 31 December 2021. The change compared to the
+acquisition date results from exchange rate differences amounting to €95.3 million.
+Executive and Supervisory Boards
+11.7
+The purchase price allocation was based on a preliminary basis, as it was not yet possible to make a
+final determination, particularly with regards to taxes.
+Acquisition of the 2nd tranche of Clearstream Fund Centre AG, Zurich, Switzerland (CFC)
+On 1 June 2021 Deutsche Börse AG completed the acquisition of the remaining 48.8 per cent of the
+CHF shares in CFC (formerly Fondcenter AG) from UBS Group (UBS) for a purchase price of CHF 390
+million (€356 million). A further 51.2 per cent of the shares in CFC were sold within the Group by
+Clearstream Holding AG to Deutsche Börse AG, making it the sole owner of the Zurich-based fund
+distribution platform. Deutsche Börse Group acquired the first 51.2 per cent of CFC from UBS in
+September 2020. The transaction included the right to buy the remaining shares at a later date.
+Deutsche Börse Group had recognised the related financial liability before acquiring the 2nd tranche,
+accounting for it at the expected settlement amount using the effective interest method (in the category
+"financial liabilities measured at amortised cost”). No non-controlling interests were recognised, in
+accordance with the anticipated acquisition method. The remeasurement of the financial liability on the
+basis of the agreed purchase price resulted in income of €39.9 million, which is shown in the item
+"Other operating income".
+Acquisition of Crypto Finance AG., Zurich, Switzerland
+Deutsche Börse AG completed the acquisition of 57.5 per cent of the shares in Crypto Finance AG for a
+price of €77.3 million (CHF 87.4 million) on 15 December 2021, thereby assuming control. In the
+course of a capital increase against cash, Deutsche Börse AG increased its capital share to 67.5
+per cent. The business operations of Crypto Finance and the Group are a perfect fit. With this acquisition
+Deutsche Börse has a direct entry point for investments in digital assets, including post-trading and
+custody services. Crypto Finance was allocated to the Xetra segment (cash market) when the transaction
+was concluded.
+Crypto Finance, a FINMA-regulated provider of trading, custody and investment services for digital
+assets, was included in the consolidated financial statements for the first time using the purchase
+method. Significant synergies are expected from the transaction, particularly revenue synergies, which is
+reflected in the goodwill resulting from the transaction.
+The identifiable assets and liabilities of Crypto Financ are recognised at fair value on the acquisition
+date. Any excess of cost over the acquirer's interest in the fair value of the subsidiary's net identifiable
+assets is recognised as goodwill. Goodwill is reported in subsequent periods at cost less accumulated
+impairment losses.
+26.5
+1.6
+5.4
+200.1
+2.2
+32.0
+1,653.3
+Acquired assets and liabilities
+Customer relationships
+Trade names
+Software
+Software in development
+Property, plant and equipment
+Other non-current assets
+89.9
+Other current assets
+Trade receivables
+Acquired bank balances
+Deferred tax liabilities
+Deferred tax assets
+Contract liabilities
+Other current liabilities
+Non-controlling interests5
+Total assets and liabilities acquired
+Goodwill (not tax-deductible)
+1) Purchase price payments to an escrow account until final settlement
+2) Original costs of seller
+3) A call right was purchased for €8.7 million that is recognised as a financial instrument in accordance with IFRS 9 rather than in accordance with IFRS 3.
+4) Reclassification of effective portion of cash flow hedge for the purchase price to acquisition cost of the investment
+5) The non-controlling interests are calculated on the basis of the acquired net assets, excluding goodwill.
+476.9
+Other non-current liabilities
+107.6
+30.2
+1,019.4
+1,113.0
+74.1
+128.0
+EEX (commodities)
+Power derivatives
+Power spot
+0
+83.4
+33.5
+203.4
+0
+600.3
+0
+228.6
+128.0
+0
+59.0
+56.9
+0
+55.8
+50.0
+0
+0
+24.2
+22.6
+74.1
+83.4
+88.5
+84.2
+0
+0
+62.5
+62.1
+0
+50.7
+1.2
+7.7
+71.1
+350.4
+325.7
+16.9
+5.2
+360T (foreign exchange)
+Trading
+88.6
+86.7
+0
+Other
+3.8
+24.6
+0
+113.2
+107.5
+0
+0
+Xetra (cash equities)
+Trading and clearing
+226.9
+237.3
+450.1
+20.8
+1.4
+15.7
+44.9
+72.7
+0
+0
+Gas
+65.2
+54.5
+0
+0
+Annual fees
+20.0
+35.6
+17.0
+Technical connection fees
+10.7
+10.2
+0
+0
+Market Data Services
+10.5
+0
+0
+Other
+0
+€m
+The other revenue stems from non-recurring service contracts. The performance obligations for
+advertising services and event sponsoring are settled when the service is provided, i.e. when the
+publication takes place or the advert is published. Performance obligations for advisory services are
+settled over time on the basis of the service rendered up to the reporting date. Measurement of the
+percentage of completion follows the invoicing.
+2021
+€m
+Fees collected for the administration of securities, for corporate events for securities and for settlement
+services are recognised when the agreed service is provided to the customer. This occurs when
+instructions are received and the transactions are processed. The service has been fulfilled at this point
+in time. Receivables are recognised if the agreed service is rendered at a specific point in time and the
+claim to the consideration solely depends on the course of time. Since discounts are generally granted
+on a monthly basis, the recognition of a contractual liability is not necessary. Customers are invoiced on
+a monthly basis and consideration is payable when invoiced.
+Via Clearstream, we offer a wide range of global securities financing (GSF) services. These include
+collateral management and securities lending services. Customers of collateral management services
+simultaneously receive and consume the benefits with the company's performance of the service.
+Revenue is recognised over time concurrent with the provision of collateral management services.
+Services in the securities lending business, on the other hand, are provided at a specific point in time.
+In addition, infrastructure fees are charged for the technical connections to our custody and clearing
+systems. They are accounted for in the same way as described in the section “Eurex (financial
+derivatives)".
+IFS (Investment Fund Services)
+The segment provides services to standardise fund processing and to increase efficiency and safety in
+the investment fund sector. The services offered comprise order routing, settlement and asset
+administration, as well as custody services. By acquiring Clearstream Fund Centre AG, IFS has expanded
+its range of services related to the distribution and placement of collective investment funds in Germany
+and abroad. Service and distribution agreements are signed with the fund providers or asset managers.
+A trailer fee is charged and recognised in "Funds distribution". Service fees are also charged for the
+management of distribution contracts and for granting access to the fund platform. Revenue is
+recognised when the promised service is transferred to the customer. This occurs when instructions are
+received and the transactions are processed. The service has been fulfilled at this point in time. Revenue
+is recognised based on the price specified in the price list and reduced by the corresponding rebates.
+Customers are invoiced on a monthly basis and consideration is payable when invoiced.
+Qontigo (index and analytics business)
+The Qontigo segment comprises the index and analytics business. The index offering ranges from blue-
+chip, benchmark, strategy, sustainability to smart-beta indices. The Group generates revenue from
+calculating and marketing indices, which financial market participants use as underlyings for financial
+instruments or as a benchmark for the performance of investment funds. In its analytics business
+Qontigo offers its clients risk-analytics and portfolio-construction tools.
+172
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated income statement
+Remuneration Report
+Further information
+<3
+Customers in the index business simultaneously receive and consume all of the benefits provided during
+the contract term. The recognition of revenue for index licences is based on fixed payments, variable
+payments (usage-based volumes; mostly assets under management) or a combination of the two. For
+variable payments, customers report their usage and fees are invoiced in the quarter after usage;
+monthly estimates are recognised. This is determined either based on the customer's average usage over
+the previous twelve months, adjusted to take into account current developments in the markets or based
+on the real data in the markets on a customer level.
+Revenue estimates are revised when warranted by the circumstances. Increases and decreases in
+estimated revenue are reflected in the consolidated income statement in the period in which the
+circumstances that give rise to the revision become known by the management. For two fee components
+(minimum fee and usage-based fee), a contract liability is recognised and reduced each month based on
+the usage that has been recognised each month. Customers are invoiced on a quarterly basis and
+consideration is payable when invoiced.
+Customers of the analytics business either receive the right to access the intellectual property or receive
+the right to use the intellectual property. The intellectual property licences are granted for software
+products, which are subsequently referred to as “SaaS Front Office" and "SaaS Middle Office". Revenue
+generated with SaaS Front Office fees is recognised at a specific point in time because all contractual
+obligations are fulfilled, and the customer obtains control of the asset, as soon as the licence key is
+transferred to the customer. SaaS Middle Office fees are recognised over time, i.e. the contractual term.
+Fees are also charged for the maintenance and servicing (summarised as "Maintenance") of the software
+products, which are realised over the contract term. For this purpose, the transaction price for
+maintenance is calculated and allocated according to the "expected cost plus a margin" approach. This
+revenue is presented under "Axioma".
+Additional costs are capitalised for multi-year contracts when initiating a contract.
+ISS (Institutional Shareholder Services)
+<3
+The ISS segment offers corporate governance solutions, ESG data and analytics services. Net revenue
+aggregated as ESG revenue is generated in the business units Corporate Solutions, ESG Analytics and
+Governance Solutions. Net revenue aggregated as non-ESG revenue is generated in the business units
+Market Intelligence, Media, FWW (fund data), Liquid Metrics and SCAS (Securities Class Action Service).
+Most of this revenue stems from fixed-term contracts and recurring services. Revenue is recognised over
+time when the contractually agreed service is provided to the customer. Fees are generally charged in
+advance, either before the licence starts or periodically over the term of the licence. Proxy voting services
+are provided at a point in time and revenue is recognised when the contractually agreed service is
+provided to the client.
+Further information
+Financial statements and notes | Notes on the consolidated income statement
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated income statement
+Remuneration Report
+Further information
+360T (foreign exchange)
+<3
+360T is a provider of optimised services covering the entire trading process of foreign-exchange products
+and generates commission income from trading fees. In addition, 360T generates other fees in the form
+of access fees to use the trading platform, installation fees from the onboarding of customers on its
+trading platform, as well as user set-up fees and fees for the programming and maintenance of
+necessary interfaces. Revenue is recognised when the contractually agreed service is provided to the
+customer. Revenue from the use of the platform and maintenance fees are recognised on a pro-rata
+basis. Access fees, transaction fees, as well as trading platform fees, contain different discount
+schedules on a monthly basis. Such discounts are considered accordingly in the month in which the
+services are rendered and reduce the sales revenue of such period. They are invoiced on a monthly
+basis. Maintenance fees are invoiced on an annual basis.
+Xetra (securities trading)
+As a general rule, securities intended for trading on the regulated market of Frankfurter Wertpapierbörse
+(FWB, the Frankfurt Stock Exchange) are subject to the admission and listing or inclusion, resolved by
+FWB's Management. Deutsche Börse AG, as the operator of the public-sector exchange, charges fees for
+the admission, listing, inclusion and quotation of securities on the regulated market. Fees charged for
+the admission and inclusion of securities with definite maturities on the regulated market are realised
+using the projected useful lives of the underlying securities. Accordingly, the fees charged for the listing
+of securities on the regulated unofficial market are realised using the projected useful lives of the
+underlying securities. The method for measuring the percentage of completion of the performance
+obligation on the basis of projected useful lives is considered appropriate within the meaning of IFRS 15.
+Invoicing is made on a quarterly basis and receivables are payable upon receipt of invoice.
+Listing fees are levied for the activity of all bodies of FWB, which supervise the trading and the
+settlement of trades as well as ensure the proper functioning of all trading activities (permanent
+possibility to make use of exchange facilities). Listing fees are recurring fees, which are charged for a
+service that is delivered over time. Accordingly, revenue is realised on a pro-rata basis. Revenue from
+fees for listings on the regulated unofficial market is realised in a similar manner. This revenue is
+presented under “Listing revenue".
+Contracts for trading and clearing cash market products, contracts for trading data and market signals
+and contracts for infrastructure services in the Xetra (securities trading) segment are accounted for in the
+same way as described in the section Eurex (financial derivatives).
+Clearstream (post-trading)
+Clearstream provides post-trading infrastructure and services; it offers transaction settlement services as
+well as administration and custody of securities. The fees are calculated in accordance with the prices
+set in the price list as well as with any relevant discounts granted. In accordance with the general terms
+and conditions, the customer authorises direct debiting and consequently no financing component has
+been identified. Customers in the custody business receive the benefit from the service provided and
+consume it at the same time as the performance is fulfilled during the contract period. The revenue
+generated from this is generally realised on a monthly basis upon invoicing.
+171
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Remuneration Report
+0.4
+173
+Deutsche Börse Group | Annual report 2021
+Financial statements and notes | Notes on the consolidated income statement
+Remuneration Report
+Further information
+Composition of net revenue (part 1)
+Eurex (financial derivatives)
+Equity index derivatives
+Interest rate derivatives
+Equity derivatives
+OTC Clearing
+Margin fees
+Infrastructure
+Eurex Data
+Other
+Sales revenue
+<3
+Treasury result from banking and
+similar business
+2021
+€m
+2020
+€m
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+174
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated income statement
+Remuneration Report
+Further information
+<3
+Performance-related fees for services in connection with securities and class-action litigation are variable
+consideration and are only recognised when all the conditions have been met and no uncertainty
+remains concerning the variable consideration that is beyond the control of the entity. This is the case
+when the lawsuit has been won or a settlement has been reached. Fees for exceeding the minimum
+volumes for proxy research and services in connection with the exercise of voting rights are also variable
+consideration.
+Since neither the volume that will be used nor the price of these services can be determined with
+reasonable certainty when the contract starts, the variable portion of the consideration is restricted up to
+the date of full performance and only recognised when the transaction price can be determined.
+Consideration is generally due 30 days after the invoice date. At the start of the contract ISS expects that
+the period between providing the service and receiving the consideration from the clients is at most one
+year, so there is no significant financing component.
+Result of treasury activities in banking and similar business
+2020
+The treasury result of banking and similar business stems mainly from investing surplus liquidity and
+from the fair value measurement of foreign exchange transactions. It also includes income from
+exchange rate differences resulting from finance instruments in the banking business. Given the
+currently prevailing interest rate anomaly, we also generate interest income from customer balances held
+with us (in a negative interest rate environment). Furthermore, this item comprises interest payments
+made on customer balances (positive interest rate environment) as well as cash investments (negative
+interest rate environment) and fees for providing customer credit lines. Interest income and interest
+expenses are calculated, allocated and realised when due, with the applicable effective interest rate on a
+daily basis.
+Other operating income is income not directly attributable to our typical business model. Other operating
+income is usually realised when all chances and risks have been transferred. Other operating income
+comprises, for instance from, income from subleasing property, agency contracts as well as the reversal
+of impairments recognised on trade receivables. In addition, valuation effects, such as income from
+exchange rate differences from non-banking business, are reported under other operating income.
+Volume-related costs
+The item “volume-related costs" consists of expenses directly related to revenue and which depend
+directly on the following factors:
+■The number of certain trading and settlement transactions,
+■ The custody volume and volume of global securities financing,
+■The amount of purchased data,
+■ The sales commissions to distribution partners for the distribution of capital investments,
+■ Revenue sharing agreements and maker-taker price models.
+Volume-related costs are not incurred if the corresponding revenue is no longer generated.
+Other operating income
+0
+2020
+19.4
+Regulatory services
+93.5
+92.9
+- 27.0
+- 23.8
+6.9
+0.1
+Xetra Data
+18.9
+21.2
+7.0
+-0.8
+1.7
+- 35.0
+- 38.0
+1.0
+0.9
+Trading and clearing
+Xetra (cash equities)
+101.5
+107.8
+- 6.4
+- 0.9
+20.4
+- 1.1
+- 0.9
+0.0
+0.5
+- 10.9
+- 14.1
+118.3
+115.8
+Power spot
+0.0
+0.0
+0.0
+-0.6
+71.1
+72.1
+Gas
+0.0
+0.0
+- 10.3
+- 11.5
+54.9
+43.0
+Infrastructure
+32.2
+15.8
+- 5.4
+0.4
+0
+19.6
+7.7
+9.0
+0.0
+- 1.5
+0.0
+0.0
+Market Data Services
+10.2
+10.7
+0.0
+0.0
+0.0
+0.0
+Technical connection fees
+17.0
+20.0
+0.0
+0.0
+0.0
+0.0
+Annual fees
+2.7
+Listing
+Other
+Power derivatives
+1.1
+- 4.2
+23.5
+- 1.6
+- 1.1
+0.4
+0.0
+Other
+81.9
+84.3
+- 4.8
+- 4.3
+0.0
+0.0
+Trading
+360T (foreign exchange)
+302.2
+341.5
+- 30.8
+- 26.9
+2.1
+1.1
+36.4
+57.5
+- 4.6
+1.6
+EEX (commodities)
+1,110.3
+995.8
+Further information
+Composition of net revenue (part 2)
+<3
+Other operating income
+Volume-related costs
+Net revenue
+2021
+2020
+2021
+2020
+€m
+€m
+€m
+€m
+2021
+€m
+€m
+Eurex (financial derivatives)
+Equity index derivatives
+0.1
+0.1
+- 60.3
+- 59.9
+389.9
+Remuneration Report
+540.5
+Financial statements and notes | Notes on the consolidated income statement
+Executive and Supervisory Boards
+18.0
+0
+0
+Xetra Data
+116.6
+113.6
+0
+Regulatory services
+9.9
+12.7
+0
+0
+Infrastructure
+42.8
+43.9
+0
+0
+415.6
+425.5
+0.4
+0
+175
+Deutsche Börse Group | Annual report 2021
+Management report
+Listing
+Interest rate derivatives
+0.1
+0.0
+0.0
+- 0.5
+-0.2
+88.0
+84.0
+10.9
+8.7
+- 10.4
+- 11.0
+63.0
+59.8
+Other
+11.9
+7.3
+- 8.0
+- 3.6
+54.6
+37.2
+16.7
+18.0
+114.4
+- 104.1
+85.4
+0.1
+68.0
+-0.1
+- 3.0
+- 3.4
+225.7
+200.1
+Equity derivatives
+0.0
+0.1
+- 9.5
+- 8.6
+49.5
+48.4
+OTC Clearing
+Margin fees
+Infrastructure
+Eurex Data
+23.9
+22.3
+- 22.6
+- 17.4
+57.1
+54.9
+- 30.2
+- 20.6
+0.0
+Additional costs are capitalised for multi-year contracts when initiating a contract.
+3,509.5
+0.0
+0
+0
+0
+thereof 360T
+0
+0
+0
+0
+0
+0
+thereof Xetra
+thereof Clearstream
+0
+- 5.0
+17.5
+0
+21.6
+0
+46.5
+- 621.0
+3,213.8
+Consolidation of internal revenue
+- 8.9
+13.7
+76.0
+78.4
+0.0
+0
+thereof Eurex
+- 8.9
+- 8.7
+55.6
+55.3
+46.6
+thereof EEX
+- 1,013.1
+12.1
+0
+0
+- 50.3
+- 51.2
+0
+0
+0
+- 1.0
+85.1
+40.5
+- 937.1
+- 542.6
+3,509.5
+3,213.8
+1) Clearstream Fund Centre was only included in the Group from 30 September 2020, which means that comparability is not possible.
+178
+0
+10.9
+0
+- 0.3
+0
+2.9
+1.5
+- 7.0
+- 5.9
+190.2
+thereof IFS
+thereof Qontigo
+thereof ISS
+Group
+0
+0
+0
+0
+-0.4
+0
+54.2
+94.0
+Total
+0.0
+0.0
+-4.7
+-4.9
+41.3
+34.7
+Exchange licences
+0.0
+0.0
+-3.0
+-3.1
+33.9
+34.7
+Other licences
+0.6
+ETF licences
+0.0
+Qontigo (index and analytics business)
+382.4
+-454.4
+-87.1
+77.6
+14.4
+Other
+39.4
+0.1
+-1.1
+-2.3
+67.7
+34.4
+39.5
+0.4
+- 469.6
+- 102.1
+232.8
+-9.2
+-9.2
+107.6
+158.2
+n/a
+Non-ESG
+1.1
+n/a
+-5.7
+n/a
+65.7
+n/a
+1.1
+n/a
+- 14.4
+n/a
+223.9
+n/a
+n/a
+-8.7
+n/a
+0.0
+105.6
+Axioma
+0.1
+1.7
+-15.0
+-14.3
+75.9
+Deutsche Börse Group | Annual report 2021
+73.1
+1.7
+- 31.9
+- 31.5
+258.7
+248.1
+ISS (Institutional Shareholder Services)
+ESG
+0.7
+0.3
+Executive and Supervisory Boards
+Financial statements and notes | Notes on the consolidated income statement
+Remuneration Report
+2.9
+3.0
+36.5
+26.2
+549.5
+545.8
+Composition of fees paid to the auditor (PwC)
+Statutory audit services
+Other assurance or valuation services
+Tax advisory services
+Other services
+Total
+Composition of fees paid to the auditor (KPMG)
+Statutory audit services
+Other assurance or valuation services
+Total
+Tax advisory services
+Miscellaneous
+4.1
+21.6
+Advertising and marketing costs
+15.9
+15.6
+Travel, entertainment and corporate hospitality expenses
+4.3
+5.8
+Cost of exchange rate differences
+4.6
+5.7
+Voluntary social benefits
+5.3
+4.4
+Supervisory Board remuneration
+4.6
+Short-term leases
+29.1
+Other services
+1) Additional values added for the appointed auditor.
+AG¹
+€m
+€m
+6.1
+3.9
+0.6
+0.5
+0.8
+0.2
+0.2
+0
+7.7
+4.6
+180
+1.2
+KPMG network
+Total
+thereof KPMG
+4.5
+2021
+thereof PwC
+PwC network
+GmbH
+€m
+€m
+6.8
+4.1
+0.6
+0.2
+0.4
+0.2
+0
+0
+7.8
+2020
+Insurance premiums, contributions and fees
+31.8
+37.4
+- 31.3
+373.6
+378.2
+- 239.5
+- 256.0
+120.6
+155.8
+20.6
+33.4
+1.5
+7.3
+142.7
+196.6
+Other operating income of €85.1 million (2020: €40.5 million) related mainly to valuation of the
+acquisition of the second Clearstream Fund Centre tranche in the amount of €39.7 million, a receivable
+for reimbursement of costs in the amount of €17.1 million and the valuation of a contingent purchase
+price component in the amount of €7.0 million. Further effects result from income from exchange rate
+differences of €4.5 million (2020: €6.0 million), income from management services of €1.9 million
+(2020: €1.3 million).
+5. Staff costs
+- 33.4
+Composition of staff costs
+64.9
+Other operating income
+Further information
+<3
+Revenue recognised in the financial year from performance obligations fulfilled or partially fulfilled in
+prior periods amounted to €12.3 million (2020: €17.1 million).
+Composition of treasury result from banking and similar business
+2021
+€m
+2020
+€m
+Interest income from positive interest environment
+Debt financial assets measured at amortised cost
+Interest expenses from positive interest environment
+Financial liabilities measured at amortised cost
+Interest income from negative interest environment
+Debt financial assets measured at amortised cost
+Interest expenses from negative interest environment
+Financial liabilities measured at amortised cost
+Net interest income
+Result from fair value valuation of foreign currency derivatives
+Other currency result
+Total
+19.9
+Wages and salaries
+Social security contributions, retirement and other benefits
+Total
+4
+2021
+2020
+€m
+€m
+Costs for IT service providers and other consulting services
+196.6
+248.2
+IT costs
+152.7
+139.3
+Non-recoverable input tax
+59.7
+40.0
+Premises expenses
+<3
+Composition of other operating expenses
+6. Other operating expenses
+Further information
+2021
+2020
+€m
+€m
+827.2
+682.2
+174.9
+Management report
+140.7
+822.9
+Wages and salaries comprise costs associated with the efficiency programme of €25.4 million
+(2020: €36.4 million).
+179
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated income statement
+Remuneration Report
+1,002.1
+0.1
+203.3
+24.6
+36.7
+0.0
+-0.1
+812.5
+334.6
+0
+- 0.1
+Qontigo (index and analytics business)
+ETF licences
+46.0
+39.6
+0.0
+0.0
+Exchange licences
+36.9
+29.4
+37.8
+0.0
+101.2
+Funds distribution¹
+Other
+119.5
+92.1
+0.0
+0.0
+96.2
+78.6
+0.0
+0.0
+35.5
+26.0
+0.0
+0.0
+531.9
+0.0
+Connectivity
+0.0
+Other licences
+Non-ESG
+70.3
+n/a
+0.0
+n/a
+237.2
+n/a
+0
+n/a
+Total
+4,285.9
+3,584.0
+142.7
+196.6
+Consolidation of internal revenue
+n/a
+0.0
+0.0
+166.9
+116.2
+114.8
+0.0
+0.0
+Axioma
+90.8
+85.7
+0.0
+0.0
+289.9
+277.9
+0
+0
+ISS (Institutional Shareholder Services)
+ESG
+n/a
+Settlement
+Custody
+IFS (investment fund services)
+Clearstream (post-trading)
+Sales revenue
+<3
+Treasury result from banking and
+similar business
+2021
+€m
+2020
+2021
+2020
+€m
+€m
+€m
+Custody
+597.4
+565.6
+-0.2
+Composition of net revenue (part 3)
+0.0
+Further information
+Financial statements and notes | Notes on the consolidated income statement
+Funds distribution¹
+0.1
+- 0.1
+43.9
+43.8
+11.9
+30.0
+- 63.9
+- 63.8
+364.0
+391.7
+176
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Remuneration Report
+Settlement
+193.0
+180.8
+0.0
+Connectivity ICSD
+80.3
+74.4
+0.0
+0.0
+Other
+47.4
+47.9
+0.7
+7.3
+1,047.7
+999.8
+51.3
+108.1
+0.0
+52.9
+51.6
+GSF collateral management
+0.0
+0.0
+Net interest income from banking business
+0
+0
+50.8
+Third-party services
+- 67.1
+23.9
+0.0
+0.0
+GSF lending services
+54.1
+54.3
+0.0
+0.0
+23.9
+- 64.7
+100.8
+0.0
+0.0
+0.0
+-24.5
+-29.0
+29.6
+25.3
+GSF Collateral management
+0.0
+0.0
+-0.3
+-1.3
+51.3
+51.6
+Connectivity ICSD
+0.0
+GSF Lending services
+0.0
+23.8
+-0.1
+-73.2
+-66.6
+120.2
+114.8
+Net interest income from banking business
+0.0
+0.0
+-0.8
+-0.3
+50.0
+100.5
+Third Parties
+0.0
+0.0
+-0.1
+23.8
+-6.6
+-5.3
+73.7
+87.4
+Settlement
+0.0
+0.0
+-6.0
+-6.6
+90.2
+72.0
+Connectivity
+0.0
+0.0
+-1.6
+0.0
+33.9
+-1.4
+113.0
+-4.7
+-6.5
+0.0
+69.1
+Other
+20.7
+0.8
+-27.2
+-31.4
+41.6
+0.6
+24.6
+1.6
+-286.6
+835.4
+827.2
+IFS (investment fund services)
+Custody
+0.0
+23.0
+0.4
+- 282.3
+417.5
+0
+- 9.9
+- 7.4
+0
+0
+-0.4
+- 0.3
+0
+0
+- 50.3
+- 51.2
+0
+0
+thereof ISS
+Group
+- 5.7
+- 5.4
+thereof Qontigo
+thereof IFS
+-0.1
+- 0.1
+thereof Eurex
+Settlement
+0
+thereof EEX
+0.0
+- 1.0
+4,218.8
+0
+0
+thereof 360T
+0.0
+0
+0
+thereof Xetra
+thereof Clearstream
+0
+0
+0
+0
+€m
+€m
+2021
+€m
+2020
+€m
+2021
+€m
+2020
+Clearstream (post-trading)
+Custody
+1.9
+0.2
+0
+445.2
+-153.9
+-148.3
+2020
+2021
+€m
+Volume-related costs
+1) Clearstream Fund Centre was only included in the Group from 30 September 2020, which means that comparability is not possible.
+Net revenue
+142.7
+177
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated income statement
+Deutsche Börse Group | Annual report 2021
+Composition of net revenue (part 4)
+Other operating income
+<3
+Remuneration Report
+3,519.3
+196.6
+Further information
+The other intangible assets were largely acquired within the context of business combinations and refer
+to exchange licences, trade names and customer relationships. The acquisition costs correspond to the
+fair values as at the acquisition date. Depending on the relevant acquisition transaction, the expected
+useful life is 5 to 20 years for trade names with finite useful lives, 4 to 24 years for participant and
+customer relationships and 2 to 20 years for other intangible assets.
+Exchange licences as well as certain trade names have no finite useful lives and, in addition, there is an
+intention to maintain the exchange licences as part of the general business strategy. Therefore, an
+indefinite useful life is assumed.
+Value in use is estimated on the basis of the discounted estimated future cash flows from continuing use
+of the asset and from its ultimate disposal, before taxes. For this purpose, discount rates are estimated
+based on the prevailing pre-tax weighted average cost of capital. If no recoverable amount can be
+determined for an asset, the recoverable amount of the cash-generating unit (CGU) to which the asset
+can be allocated is determined.
+Intangible assets are derecognised on disposal or when no further economic benefits are expected to
+flow from them.
+- 3.4
+Impairment tests
+At each reporting date, the Group assesses whether there are any indications that an intangible asset
+may be impaired. If this is the case, the carrying amount is compared with the recoverable amount (the
+higher of the value in use and fair value less costs of disposal) to determine the amount of any potential
+impairment.
+Capitalised development costs are amortised from the date of first use of the software using the straight-
+line method over the asset's expected useful life. The useful life of internally developed software is
+generally assumed to be seven years; a useful life of ten years is used as the basis in the case of newly
+developed systems.
+Purchased software is generally amortised based on the projected useful life. The amortisation period for
+intangible assets with finite useful lives is reviewed at a minimum at the end of each financial year. If
+the expected useful life of an asset differs from previous estimates, the amortisation period is adjusted
+accordingly.
+Recognition and measurement
+Financial statements and notes | Notes on the consolidated statement of financial position
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Remuneration Report
+Further information
+บ
+Irrespective of any indications of impairment, intangible assets with indefinite useful lives and intangible
+assets not yet available for use must be tested for impairment at least once a year. Impairment tests are
+carried out on 1 October every financial year. If the estimated recoverable amount of the asset or CGU is
+lower than the respective carrying amount, an impairment loss is recognised and the net carrying
+amount of the asset or CGU, respectively, is reduced to its estimated recoverable amount.
+At each reporting date, the Group assesses whether there are any indications that an impairment
+recognised for non-current assets in previous years (except goodwill) no longer applies. If this is the
+case, the carrying amount of the asset is increased and the difference is recognised in profit or loss. The
+maximum amount of this reversal is limited to the carrying amount that would have resulted if no
+impairment loss had been recognised in previous periods. Deutsche Börse Group does not reverse any
+goodwill impairments.
+10. Intangible assets
+The recoverable amount of the (groups of) CGUs was determined based on the fair value less costs to
+sell. The value in use was only determined if the fair value less costs to sell did not exceed the carrying
+amount. Given that no active market was available for the (groups of) CGUs, the determination of fair
+values less costs to sell was based on the discounted cash flow method (level 3 input factors). The
+detailed planning period usually covers a respective time period of five years; for (groups of) CGUs,
+which have been allocated an asset with an indefinite useful life, such time period ends in perpetuity.
+Individual costs of capital are determined for each (group of) CGU(s), for the purpose of discounting
+projected cash flows. These capital costs are based on data incorporating beta factors, borrowing costs,
+as well as the capital structure of the respective peer group. Pricing, trading volumes, assets under
+custody, market share assumptions or general business development assumptions are based on past
+experience or market research. Other key assumptions are mainly based on external factors and
+generally correspond to internal management planning. Significant macroeconomic indicators include,
+for instance, equity index levels, volatility of equity indices, as well as interest rates, exchange rates,
+GDP growth, unemployment levels and government debt. When calculating value in use, the projections
+are adjusted for the effects of future restructurings and performance investments, if appropriate.
+At the acquisition date, goodwill is allocated to the CGUs or groups of CGUs, that is/are expected to
+create synergies from the relevant acquisition. If changes arise in the structure of CGUs, for example
+through a new segmentation, goodwill is allocated taking into account the relative fair values of the
+newly defined CGUs. Irrespective of any indications of impairment, these items must be tested for
+impairment at least annually at the lowest level of impairment at which Deutsche Börse Group monitors
+the respective goodwill. An impairment loss is recognised if the carrying amount of the CGUs or groups
+of CGUs, to which goodwill is allocated, including the carrying amount of that goodwill, is higher than
+the recoverable amount of this group of assets. The impairment loss is first allocated to the goodwill,
+then to the other assets in proportion to their carrying amounts.
+187
+position
+16.1
+E
+- 1.3
+0.3
+- 1.0
+188
+0.9
+0
+0
+1.5
+- 14.1
+2.0
+427.4
+400.7
+1.9
+443.5
+402.6
+To determine the expected income tax expense, earnings before tax have been multiplied by the
+composite tax rate of 26 per cent assumed for 2021 (2020: 26 per cent).
+As at 31 December 2021, the reported income tax rate was 25.9 per cent (2020: 26.3 per cent).
+186
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+Notes on the consolidated statement of financial
+Deutsche Börse Group | Annual report 2021
+Adjustment of previous year Goodwill
+Management report
+550.2
+0
+271.2
+837.2
+0
+0
+4.3
+0
+0
+4.3
+Additions
+13.9
+54.8
+0
+64.8
+0.8
+134.3
+Disposals
+- 3.3
+- 0.1
+15.5
+0
+-0.2
+0
+15.8
+Acquisitions from business combinations
+6,216.7
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+บ
+Intangible assets
+Purchased
+Internally
+developed
+Payments
+on account
+and
+Other
+software
+€m
+Executive and Supervisory Boards
+software
+€m
+construction
+in progress
+€m
+intangible
+assets
+€m
+Total
+€m
+Historical cost as at 1 Jan 2020
+296.8
+1,147.2
+3,470.5
+102.4
+1,199.8
+Goodwill
+€m
+14.0
+18.1
+- 12.8
+Provisions for pensions and other employee benefits
+81.7
+88.1
+- 25.6
+- 17.7
+Other provisions
+19.1
+- 2.4
+- 0.1
+Liabilities
+83.1
+40.8
+- 22.5
+- 10.7
+Tax loss and interest carryforwards
+58.0
+15.6
+0
+0
+Deferred taxes (before netting)
+352.3
+257.7
+- 551.0
+- 16.3
+- 19.7
+7.4
+34.4
+€m
+0
+€m
+Intangible assets
+Internally developed software
+74.5
+86.0
+- 449.8
+- 254.1
+17.2
+30.0
+- 312.7
+- 38.7
+Other
+57.3
+56.0
+- 411.1
+- 221.6
+Financial assets
+1.5
+1.7
+- 31.0
+- 13.8
+Other assets
+- 32.5
+thereof recognised in profit and loss
+300.9
+190.4
+Remuneration Report
+Further information
+Reconciliation from expected to reported income tax expense
+Earnings before tax (EBT)
+Expected income tax expense
+Effects of different tax rates
+Effects of non-deductible expenses
+Effects of tax-exempt income
+Tax effects from loss carryforwards
+Effects from changes in tax rates
+Effects from intra-group restructuring
+Financial statements and notes | Notes on the consolidated income statement
+Other
+Income taxes for previous years
+Income tax expense
+<3
+2021
+2020
+€m
+€m
+1,709.3
+1,528.2
+444.4
+397.3
+Income tax expense arising from current year
+- 15.2
+Management report
+Deutsche Börse Group | Annual report 2021
+- 525.1
+- 303.4
+thereof recognised in other comprehensive income"
+51.4
+67.3
+- 25.9
+Deferred taxes set off
+- 212.5
+- 96.0
+212.5
+- 9.3
+Executive and Supervisory Boards
+96.0
+139.8
+161.7
+- 338.5
+- 216.7
+1) See Note 15 for further information on deferred taxes recognised in other comprehensive income.
+Short-term elements of deferred taxes are recognised in non-current assets and liabilities in the
+consolidated balance sheet, in line with IAS 1 "Presentation of Financial Statements".
+At the end of the reporting period, accumulated unused tax losses for which no deferred tax assets were
+recognised amounted to €55.5 million (2020: €27.2 million). These unused tax losses are attributable
+to domestic losses totalling €14.4 million and to foreign tax losses totalling €41.1 million (2020:
+Germany nil, foreign tax losses €27.2 million).
+Tax losses can be carried forward indefinitely in Germany as well as in the United Kingdom under
+consideration of the minimum taxation rules. In the United States, losses may be carried forward for a
+maximum period of 20 years, provided they were incurred before 1 January 2018. In accordance with
+the latest tax reform in the US, adopted at the end of December 2017, losses incurred after
+31 December 2017 may be carried forward indefinitely, taking into account newly introduced minimum
+taxation rules. In all other countries, losses can be carried forward indefinitely.
+There were no unrecognised deferred tax liabilities on future dividends of subsidiaries and associates or
+on gains from the disposal of subsidiaries and associates in the reporting period (2020: none).
+185
+Total
+- 3.6
+1.1
+1.1
+11.8
+Reclassifications into assets held for sale
+-7.3
+- 3.5
+0
+0.1
+0
+- 10.9
+Reclassifications
+€m
+- 1.1
+0
+0
+0
+0
+Exchange rate differences
+2.1
+1.7
+0
+0.1
+3.2
+7.1
+Amortisation and impairment losses as at
+0
+0
+11.8
+0
+0
+Exchange rate differences
+- 1.2
+- 0.5
+0
+0
+-0.5
+-2.2
+Amortisation and impairment losses as at
+31 Dec 2020
+198.0
+31 Dec 2021
+957.0
+15.5
+196.9
+1,367.4
+Amortisation
+37.6
+57.8
+0
+0
+71.0
+166.4
+Impairment losses
+0
+0
+231.5
+0
+31 Dec 2020
+€m
+31 Dec 2021
+years
+31 Dec 2020
+years
+435.7
+n/a
+21.2
+n/a
+235.8
+237.1
+18.8
+19.8
+169.6
+179.7
+16.8
+17.8
+Software, payments on account and software in development
+Research costs are recognised as expenses in the period in which they are incurred. Development costs
+for internally developed intangible assets are only capitalised when the definition and recognition criteria
+for intangible assets according to IAS 38 are met and development costs can be separated from research
+costs.
+Development costs that have to be capitalised include direct labour costs, costs of purchased services
+and workplace costs, including proportionate overheads that can be directly attributed to the preparation
+of the respective asset for use, such as costs for the infrastructure of software development.
+Development costs that do not meet the requirements for capitalisation are recognised through profit or
+loss. Interest expense that cannot be allocated directly to one of the development projects is recognised
+through profit or loss in the reporting period.
+Total development costs in the reporting year 2021 came to €202.8 million (2020: €158.2 million), of
+which €128.7 million were capitalised (2020: €104.0 million).
+Impairment testing in 2021 revealed an impairment loss of €11.8 million (2020: €8.2 million), which
+is shown in the line item “Depreciation, amortisation and impairment losses" and relates to the following
+assets:
+■ An impairment loss of €8.0 million (recoverable amount: negative) in the fourth quarter of 2021
+concerned settlement, custody and asset servicing services for the Investor CSD product in the
+Clearstream segment. The asset was intended for use by a particular customer. Finally, the customer
+decided not to use the product. Promotional activities towards other potential customers did not result
+in successful marketing.
+■ Another impairment loss of €3.9 million (recoverable amount: negative) in the fourth quarter of 2021
+relates to the OTC currency clearing system in the Eurex segment. The combination of internal and
+external operating costs and limited market interest led to the decision to cease providing OTC currency
+clearing services.
+190
+€m
+31 Dec 2021
+Remaining amortisation period as at
+บ
+15.5
+Carrying amount as at 31 Dec 2020
+117.7
+266.1
+Carrying amount as at 31 Dec 2021
+184.9
+368.3
+3,957.7
+5,596.0
+126.3
+100.1
+271.1
+1,255.4
+1,913.6
+1,023.7
+1,541.8
+5,723.2
+189
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+Material intangible assets with finite useful lives
+Customer Relationship ISS Data & Research
+Customer Relationship Clearstream Funds Centre
+Customer Relationship 360T
+Carrying amount as of
+8,162.9
+Reclassifications
+0
+0
+0
+0
+- 1.2
+0
+0
+- 1.2
+Additions
+14.5
+76.8
+0
+76.4
+0.9
+168.6
+Disposals
+0
+0
+0
+0
+0
+Reclassifications
+2.3
+98.5
+0
+Adjustment of previous year Goodwill
+2,190.8
+652.7
+2.4
+23.1
+0
+- 23.8
+-0.1
+0.3
+- 8.6
+- 1.9
+- 67.4
+- 1.4
+- 19.4
+- 98.7
+- 100.8
+Exchange rate differences
+31 Dec 2020
+315.7
+1,223.1
+3,957.7
+141.8
+1,452.3
+7,090.6
+Acquisitions through business combinations
+79.5
+0
+1,456.2
+Historical cost as at
+0
+0
+Reclassifications into assets held for sale
+Amortisation
+30.5
+86.3
+0
+0
+38.5
+155.3
+Impairment losses
+0
+2.6
+0
+5.6
+0
+8.2
+Disposals
+-2.2
+0
+0
+0
+0
+- 2.2
+Reclassifications
+0
+1,208.3
+158.9
+9.9
+0
+-7.6
+- 10.4
+0
+- 4.1
+0
+- 22.1
+Exchange rate differences
+12.0
+4.0
+183.3
+- 0.1
+0
+78.8
+Historical cost as at 31 Dec 2021
+416.4
+1,392.0
+5,596.0
+115.6
+2,184.7
+9,704.7
+Amortisation and impairment losses as at
+1 Jan 2020
+170.9
+868.6
+278.0
+€m
+0.1
+31.12.2021
+2021
+Composition of financial expense
+26.0
+32.9
+0.1
+1.2
+Total
+Other interest income and similar income
+25.3
+24.2
+Interest income on tax refunds
+0.1
+0.1
+Interest income from financial assets measured at fair value through profit or loss
+0
+2.2
+Interest income from financial liabilities measured at amortised cost
+0.4
+5.1
+0.1
+Interest income from financial assets measured at fair value through other comprehensive income
+Interest income from financial assets measured at amortised cost
+2020
+€m
+€m
+Interest expense from financial assets measured at amortised cost
+73.0
+Total
+2.8
+2.2
+Other interest expense
+1.8
+1.4
+Expense of the unwinding of the discount on pension provisions
+5.5
+5.2
+€m
+Interest expense on lease liabilities
+20.8
+Interest expense on taxes
+3.4
+2.3
+Transaction cost of financial liabilities measured at amortised cost
+49.7
+39.8
+Interest expense from financial liabilities measured at amortised cost
+3.9
+1.2
+35.8
+€m
+2020
+2021
+Result of derivatives
+Result of financial investments measured at fair value through profit or loss
+Result of financial investments measured at amortised cost
+Result of strategic investments measured at fair value through other comprehensive income
+(dividends)
+21.5
+38.6
+Result of the equity method measurement of associates
+€m
+€m
+2020
+Result of hedge accounting
+2021
+Net income from financial investments comprises measurement effects, dividend payments,
+distributions, foreign currency translation effects and write-downs on financial investments. Gains and
+losses on financial investments at FVPL are recognised on a net basis in the period in which they arise.
+Distributions from funds and dividends are recognised in profit or loss when the Group's right to receive
+payments is established and when such dividends are not capital repayments.
+7. Result from financial investments
+In the financial year 2021, after an extensive selection process by the Supervisory Board, the Annual
+General Meeting elected PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft,
+Frankfurt/Main, (PwC) as the new auditors for the annual and consolidated financial statements 2021
+as well as for the review of the half-year financial report in the reporting year. Fees paid for "statutory
+audit services" rendered by PwC mainly comprise the audit of the consolidated financial statements and
+the annual financial statements of Deutsche Börse AG as well as various audits of the annual financial
+statements of subsidiaries. Audit-integrated reviews of interim financial statements were performed.
+Other assurance services relate to ISAE 3000 reports and statutory or contractual audit services. Tax
+advisory services comprise support services for the preparation of tax returns and the assessment of and
+advice on tax matters. Quality assurance support services were provided for Deutsche Börse AG as part
+of other services.
+E>
+Further information
+Financial statements and notes | Notes on the consolidated income statement
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+31.12.2020
+Composition of result from financial investments
+102.9
+Total
+0.3
+Composition of financial income
+The financial result comprises interest income and expenses which are not attributable to the Group's
+banking business and are therefore not recognised in net revenue. Interest income and expense are
+recognised using the effective interest method over the respective financial instrument's term to maturity.
+Interest income is recognised when it is probable that the economic benefits associated with the
+transaction will flow to the entity and the income can be measured reliably. Interest expense is
+recognised in the period in which it is incurred.
+<3
+8. Financial result
+Remuneration Report
+Financial statements and notes | Notes on the consolidated income statement
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+181
+0
+In 2021, the investment Clarity Al Inc., which was previously measured at equity, was reclassified to the
+category "measured at fair value through profit or loss". The fair value measurement resulted in a -
+valuation effect of €34.5 million. Furthermore, this item includes € 18.5 million in valuation effects
+from fund units measured at fair value through profit or loss. For changes in financial investments see
+Note 12.
+24.3
+85.2
+-0.2
+- 1.4
+5.2
+- 5.0
+2.9
+53.0
+- 5.3
+0
+In addition to the result of the equity valuation the net income from associates also includes impairment
+losses. Impairment losses of €0.2 million were recognised in the reporting year on the investment in
+enermarket GmbH (2020: none). The increase in the result of the equity method measurement of
+associates compared with the previous year is mainly attributable to the valuation of Tradegate AG
+Wertpapierhandlesbank in the amount of € 28.2 million and Clarity Al Inc. in the amount of € 10.5
+million, both of which showed a positive business performance in the reporting year.
+The financial result benefited from a one-time effect resulting from the adjustment of the expected
+interest rate (~3 per cent for interest periods as of 2019) for possible tax repayments in the amount of
+€4.8 million due to the decision of the Federal Constitutional Court of 8 July 2021.
+Further information
+Deutsche Börse Group | Annual report 2021
+104.1
+130.2
+310.4
+313.4
+414.5
+443.6
+€m
+€m
+2020
+2021
+<3
+Total
+Foreign jurisdictions
+Germany
+Deferred income tax expense/(-income)
+Foreign jurisdictions
+Germany
+Current income tax expense/(-income)
+Allocation of income tax expense to Germany and foreign jurisdictions
+Further information
+Financial statements and notes | Notes on the consolidated income statement
+Remuneration Report
+- 0.1
+- 11.9
+- 3.7
+3.6
+31.12.2020
+182
+31.12.2021
+Deferred tax liabilities
+<3
+Deferred tax assets
+Composition of deferred taxes
+Further information
+Remuneration Report
+Financial statements and notes | Notes on the consolidated income statement
+Management report
+Management report
+Deutsche Börse Group | Annual report 2021
+184
+The following table shows the carrying amounts of deferred tax assets and liabilities as at the reporting
+date by line item or loss carryforwards:
+Current income tax expense was reduced by €1.2 million in the reporting year by the utilisation of
+previously unrecognised tax loss carryforwards (2020: €0.3 million). There was no deferred tax income
+from previously unrecognised tax losses (2020: €2.4 million). As in the previous year, there were no
+effects resulting from changes of the impairment of deductible temporary differences.
+Tax rates of 10.0 to 34.6 per cent (2020: 10.0 to 34.6 per cent) were applied to the Group companies
+in the remaining countries; see Note 34.
+A tax rate of 24.9 per cent (2020: 24.9 per cent) was used for the Group companies in Luxembourg.
+This includes trade tax at a rate of 6.7 per cent (2020: 6.7 per cent) and corporation tax at 18.2 per
+cent (2020: 18.2 per cent).
+Tax rates of 27.4 to 31.9 per cent (2020: 27.4 to 31.9 per cent) were used in the reporting period to
+calculate income taxes for the German Group companies. These reflect trade income tax at rates of
+11.6 to 16.1 per cent (2020: 11.6 to 16.1 per cent), corporation tax of 15 per cent (2020: 15 per
+cent) and the 5.5 per cent solidarity surcharge (2020: 5.5 per cent) on corporation tax.
+402.6
+443.5
+- 2.0
+Executive and Supervisory Boards
+Executive and Supervisory Boards
+- 9.9
+183
+425.5
+425.5
+414.5
+443.6
+for previous years
+for the current year
+Current income tax expense/(-income)
+€m
+€m
+2021
+18.1
+Composition of taxes
+Deferred tax assets and liabilities are computed using the balance sheet liability approach. The deferred
+tax calculation is based on temporary differences between the carrying amounts of assets and liabilities
+in the IFRS financial statements and their tax base that will lead to a future tax liability or benefit when
+assets are used or sold or liabilities are settled. These differences are used to calculate deferred tax
+assets or liabilities.
+Deutsche Börse Group is subject to the tax laws of those countries in which it operates and generates
+income. If it is probable that the tax authorities will not accept the disclosed amounts or the legal
+assessments on which the Group's tax declarations are based (uncertain tax positions), tax liabilities are
+recognised based on the best possible estimate of expected cash outflows. Tax assets are recognised if it
+is considered likely that they will be realised. The recognition of uncertain tax positions is reassessed if
+there is a change in the underlying facts or their legal assessment (e.g. change in case law).
+<3
+9. Taxes
+Further information
+Remuneration Report
+Financial statements and notes | Notes on the consolidated income statement
+Deutsche Börse Group | Annual report 2021
+Management report
+Executive and Supervisory Boards
+The deferred tax assets or liabilities are measured using the tax rates that are currently expected to apply
+when the temporary differences reverse, based on tax rates that have been enacted or substantively
+enacted by the reporting date. Deferred tax assets are recognised for the unused tax loss and interest
+carryforwards only to the extent that it is probable that future taxable profit will be available. Deferred tax
+assets and deferred tax liabilities are offset where a legally enforceable right to set off current tax assets
+against current tax liabilities exists and the deferred tax assets and deferred tax liabilities relate to income
+taxes levied by the same taxation authority.
+- 11.0
+2020
+- 0.1
+403.1
+444.4
+0.5
+Deferred income tax expense/(-income)
+0.9
+Total taxes
+Other taxes
+Total income tax expense
+443.5
+for previous years
+13.0
+- 2.0
+402.6
+0
+- 1.0
+due to changes in tax legislation and/or tax rates
+due to tax loss and interest carryforwards
+0.3
+6.3
+- 25.2
+- 11.9
+- 3.4
+due to temporary differences
+Report on specific compliance audits
+Deutsche Börse Group | Annual report 2021
+■
+Dealing with the financing of and accounting for M&A transactions
+Report on the performance of the Eurex subgroup
+■
+14
+■
+Dealing with the status of the SAP roadmap
+■
+■ Dealing with ESG reporting and its integration into the annual report for 2021
+■ Dealing with the tax positions of Deutsche Börse AG and other tax issues
+accordance with section 289f Handelsgesetzbuch (HGB, German Commercial Code) and the
+declaration of conformity in accordance with section 161 AktG
+Dealing with legal risks, such as the status of on-going proceedings regarding cum-ex transactions and
+Management of regulatory changes such as, in particular, the Act to Strengthen Financial Market
+Integrity (FISG, German Financial Market Integrity Strengthening Act)
+Management of outsourcing
+■
+■
+■
+■ Measures to close internal and external audit findings
+Preparation of the Supervisory Board's resolution on the corporate governance statement in
+■ Discussion and formal adoption of the Audit Committee's tasks for the coming year
+■ Internal control systems: discussion of questions relating to risk management, compliance and capital
+market compliance, and the internal control and audit system; discussion of the methods and systems
+used and their efficiency, adequacy and effectiveness
+Executive and Supervisory Boards | Report of the Supervisory Board
+■ Deutsche Börse AG's dividend and the Group's budget
+the litigation involving Clearstream Banking S.A. in the USA and Luxembourg in connection with
+Iranian clients and assets
+Management report
+■
+Remuneration Report
+■ Deutsche Börse Group's recovery and resolution plans
+■ Statutory auditors: obtaining the statement of independence from the external auditors and monitoring
+the external auditors' independence; issuing the engagement letter to the external auditors for the audit
+of the annual and consolidated financial statements and the integrated combined management report;
+agreeing the external auditors' fee; defining the focus areas of the audit; discussing non-audit services
+rendered by the external auditors and the engagement of the external auditors to conduct an audit of
+the remuneration report; evaluation of the quality of the audit
+■ Discussion of the risk appetite of Deutsche Börse Group for 2022
+Discussion of outstanding audit findings and plan of action to address them
+Company acquisitions: integration of company acquisitions, risk management in the context of M&A
+transactions
+Implementation of new regulatory requirements
+■ Risk management in Eurex and Clearstream subgroups
+Operational risk, information security and business continuity management
+■
+■ Deutsche Börse Group's risk strategy and risk culture
+Ongoing enhancements to Group-wide compliance and risk management and the harmonisation of
+internal control systems
+■ Discussion about the quarterly compliance and risk management reports
+Financial statements and notes
+Risk Committee (five meetings during the reporting period)
+"
+■ Discussion of the results of the annual staff survey
+■ Discussion of the competence profile for the Supervisory Board, the suitability assessment, review of
+effectiveness and training schedule for 2022
+representatives of a successor to Amy Yip and Karl-Heinz Flöther as Supervisory Board members
+ordinary Annual General Meeting in 2021, candidate search and selection by shareholder
+Preparations for the election of the shareholder representatives to the Supervisory Board by the
+■
+■ Personnel matters: discussion of succession planning for the Executive Board and subordinate
+management levels, preparing a recommendation to the plenary session on the reappointment of
+Gregor Pottmeyer, dealing with external memberships and executive and supervisory board mandates
+of Heike Eckert, Thomas Book and Gregor Pottmeyer
+■ Executive Board remuneration: target achievement by members of the Executive Board; determination
+of the variable remuneration for Executive Board members for 2020; preliminary discussion of target
+achievement by members of the Executive Board for 2021; preparing the adoption for the Supervisory
+Board of the individual targets for the members of the Executive Board for 2022; discussion of the
+remuneration report 2021, including the new regulatory requirements; review of appropriateness of
+Executive Board remuneration and pensionable income
+<3
+Nomination Committee (seven meetings during the reporting period)
+Further information
+Report by the Chair of the Supervisory Board on the corporate governance roadshow
+management report and the audit report, as well as of the half-yearly financial report and the quarterly
+statements
+by internal control functions and external auditors and regulatory authorities were other important areas
+of our work.
+■ Financial topics, particularly capital management, tax positions and internal transfer pricing
+The strategy for Eurex' derivative business was a key topic at the strategy workshop on 21 April 2021.
+Another topic was the M&A process, particularly Deutsche Börse AG's concept for the post-merger
+integration. The Executive Board also informed us fully about the capital market's view of Deutsche
+Börse AG. In addition, the Executive Board reported on implementation of the hybrid working model
+once the COVID-19 pandemic was over.
+In another extraordinary meeting on 17 March 2021, we again examined a potential company
+acquisition by Deutsche Börse AG.
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report
+Executive and Supervisory Boards | Report of the Supervisory Board
+Deutsche Börse Group | Annual report 2021
+11
+At an extraordinary meeting on 12 March 2021, we discussed the Supervisory Board report for 2020
+in its updated form.
+At the ordinary meeting on 5 March 2021, we discussed Deutsche Börse AG's financial statements for
+2020 as well as the consolidated financial statements for 2020 in the presence of the external auditors.
+We approved the 2020 financial statements and consolidated financial statements, having carried out
+our own detailed examination, in line with the recommendation by the Audit Committee. The committee
+had previously examined the documents in depth in preparation for our meeting. We also adopted the
+report of the Supervisory Board for 2020, the latest version of the corporate governance statement and
+the agenda for the Annual General Meeting in 2021, which again took place online this year due to
+COVID-19. The Executive Board informed us of the personnel situation in Deutsche Börse Group. The
+Executive Board also reported on the current status of ongoing proceedings regarding securities
+transactions by market participants over the dividend date (cum-ex transactions). We were informed
+about the current status of legal proceedings involving Clearstream Banking S.A. in the USA and
+Luxembourg in connection with Iranian clients and assets. We also looked at a potential company
+acquisition by Deutsche Börse AG.
+In the technology workshop on 5 March 2021, we discussed in detail the topics of data protection and
+data security when transferring personal data to the USA, following changes to the legal situation in
+Europe. We also gained a general impression of the IT architecture and its importance for internal
+company change processes, as well as the current status of the IT architecture in Deutsche Börse Group.
+At our ordinary meeting on 5 February 2021, the Executive Board reported in a regular cycle on the
+status of the cross-divisional client relationship management. We also addressed in detail the
+preliminary results for 2020 financial year, the Executive Board's dividend proposal for 2020 and the
+financing of the majority acquisition of ISS, Inc. Following a detailed examination, we set the amount of
+the variable remuneration payable to the Executive Board for the 2020 financial year. We also adopted
+the combined corporate governance statement 2020. The Executive Board informed us in detail about
+succession planning for the senior management level and about gender diversity and the creation of a
+global talent pool for upper and middle management.
+Our plenary meetings and workshops during the reporting period focused particularly on the following
+issues:
+In addition, the Supervisory Board Chair held virtual meetings with institutional investors and proxy
+advisers in the period from November 2021 and January 2022, to discuss current governance topics
+affecting the Supervisory Board. These discussions centred on personnel decisions for the Supervisory
+Board and Executive Board, the remuneration report for 2021, which for the first time has to be
+approved by the Annual General Meeting, the planned revision of the attendance fees for Supervisory
+Board members, and the implementation of the Supervisory Board's efficiency initiative carried out the
+previous year. The Supervisory Board Chair summarised his dialogue with investors in the plenary
+meetings.
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report
+Executive and Supervisory Boards | Report of the Supervisory Board
+Deutsche Börse Group | Annual report 2021
+System availability (customer facing IT)
+■ Discussion of topics relating to tax risk
+At the extraordinary meeting on 17 May 2021, the Executive Board informed us about the status of
+investigations by the exchange regulator in Hesse regarding security transactions by market participants
+over the dividend date (cum-ex transactions).
+At our ordinary meeting on 19 May 2021, we discussed the forthcoming Annual General Meeting with
+the Executive Board, which would be attended by Supervisory Board members Amy Yip and Gerd
+Tausendfreund for the last time.
+At the constitutive meeting on 19 May 2021, after the close of the Annual General Meeting, Martin
+Jetter was re-elected as Chair and Jutta Stuhlfauth as Deputy Chair of the Supervisory Board of
+Deutsche Börse AG. The newly elected shareholder representative Chong Lee Tan attended the meeting,
+as did the employee representatives. The latter were initially appointed by the court, since the election of
+shareholder representatives could not be completed because of COVID-19. We passed a resolution
+changing the composition of the Supervisory Board committees and discussed the IT equipment
+provided for use by the Supervisory Board and the measures in place to ensure information security.
+The status of litigation about Iranian customers and assets involving Clearstream Banking S.A. in the
+USA and Luxembourg was the subject of an extraordinary Supervisory Board meeting on
+27 May 2021.
+Audit Committee (six meetings during the reporting period)
+The Supervisory Board had seven permanent committees in the reporting year. The committees are
+responsible primarily for preparing the decisions to be taken by, and topics to be discussed in, the
+plenary meetings. Additionally, the Supervisory Board has delegated individual decision-making powers
+to the committees, to the extent that this is legally permissible. The individual committee chairs reported
+in detail to the plenary meetings on the work performed by their committees. The Chair of the
+Supervisory Board chairs the Nomination Committee, the Strategy Committee/Strategy and Sustainability
+Committee, the Chairman's Committee and the Mediation Committee. Details on the members and
+duties of the Supervisory Board committees in 2021 can be found in the “Corporate governance
+statement" section of the combined management report. The committees focused on the following key
+issues:
+Committee work
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report
+Executive and Supervisory Boards | Report of the Supervisory Board
+Deutsche Börse Group | Annual report 2021
+13
+In view of the COVID-19 pandemic, the Supervisory Board meetings all took place at the company's
+headquarters in the reporting year, using its existing videoconferencing technology. Martin Jetter, the
+Supervisory Board Chair, presented the agenda before each meeting and informed the Supervisory Board
+about current matters. At the end of each meeting, the Supervisory Board members talked openly and
+extensively among themselves, without the Executive Board members, about the meeting itself and
+general topics. A similar discussion also took place at the Supervisory Board meeting on 4 March 2022
+in which we approved the separate and consolidated financial statements for 2021. From the middle of
+the year onwards, the members of the Audit Committee also had regular talks with the external auditors
+without the Executive Board members.
+■ Financial reporting: examination, in the presence of the auditors, of the annual financial statements of
+Deutsche Börse AG and of the consolidated financial statements, of the integrated combined
+The newly elected employee representatives took part for the first time at the ordinary meeting on 8
+December 2021. We elected the employee representative Markus Beck as Deputy Chair of the
+Supervisory Board. We adopted the budget for 2021 and renewed the appointment of CFO Gregor
+Pottmeyer until 30 September 2025. The Executive Board also informed us about the achievements to
+date at the half-way point of the Group strategy Compass 2023. It also informed us about the
+implementation status of the personnel strategy and the revisions that had been made to the strategy for
+2022. We gained an impression of the performance of recently acquired companies and equity
+investments in the context of Deutsche Börse Group's corporate venturing activities and adopted the
+Executive Board targets for 2022. We discussed and adopted the results of our annual effectiveness
+review in accordance with section D.13 of the German Corporate Governance Code (GCGC), the annual
+suitability assessment of the Supervisory Board and the Executive Board, as well as the upcoming year's
+training plan for the Supervisory Board. Furthermore, we adopted the declaration of conformity pursuant
+to section 161 Aktiengesetz (AktG, German Stock Corporation Act) for the 2021 financial year. The
+declaration of conformity can be viewed at www.deutsche-boerse.com > Investor Relations > Corporate
+Governance Declaration of conformity.
+At the ordinary meeting on 29 September 2021, we were informed in detail by the Executive Board
+about the project to develop a global market for digital assets that Deutsche Börse AG is driving forward
+along with the founding team of 360X and external partners. The Executive Board also informed us
+about the results of a structured investor survey. We discussed the intention to renew the Executive
+Board appointment of Gregor Pottmeyer in good time. The status of ongoing proceedings regarding
+securities transactions by market participants over the dividend date (cum-ex transactions) was again
+discussed by the Supervisory Board. We also reviewed the results of the adequacy review of Executive
+Board remuneration. We carried out the scheduled review of the competence profile for the Supervisory
+Board and approved an updated version. We also prepared the annual review of the Supervisory Board's
+effectiveness.
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report
+Executive and Supervisory Boards | Report of the Supervisory Board
+Deutsche Börse Group | Annual report 2021
+12
+At the ordinary meeting on 22 June 2021, we adopted an amendment to the bylaws for the
+Supervisory Board, making ESG aspects a formal element of our corporate governance. In addition, we
+passed a resolution on the scheduled review of Executive Board remuneration and engaged an external
+remuneration expert to determine whether it is appropriate. We again dealt with the status of ongoing
+proceedings regarding security transactions by market participants over the dividend date (cum-ex
+transactions). Finally, we adopted an updated version of the travel expense policy for the Supervisory
+Board.
+Another IT workshop held on 21 June 2021 was the first time the full Supervisory Board had discussed
+the IT strategy 2023+, which is in line with the Group strategy Compass 2023 and supports its goals.
+Preventing corruption and fraud was the subject of a compliance workshop that took place on the same
+day.
+At the extraordinary meeting on 9 June 2021, we again dealt with the status of ongoing proceedings
+regarding security transactions by market participants over the dividend date (cum-ex transactions).
+The main aspects of the company's D&O insurance from the Supervisory Board perspective were dealt
+with at a risk workshop on 29 September 2021.
+■ Discussion of risks in the index business and mitigating measures
+in 2021
+10% CAGR
+■ Discussion of the concept and development of the IT strategy 2023+
+Remuneration Report
+Management report | What we achieved in 2021
+Financial statements and Notes
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+144 Takeover-related disclosures
+137 Deutsche Börse AG (disclosures based on HGB)
+118 Corporate governance statement
+117 Report on post-balance sheet date events
+114 Report on expected developments
+110 Report on opportunities
+73 Risk management
+70 Our social environment
+45 Our economic situation
+38 Our employees
+32 Our customers and markets
+29 Our strategy and steering parameters
+28 How we add value
+27 ESG: Commitment and opportunity for Deutsche Börse
+23 Deutsche Börse: Fundamental information about the Group
+21 About this report
+20 What we achieved in 2021
+management report
+Combined
+18
+Chair of the Supervisory Board
+Further information
+Combined management report
+1. What we achieved in 2021
+ΚΡΙ
+>10%
+210%
+ESG net revenue growth¹
+2019-2021
+in 2021
+11% CAGR
+€2,043.1 million
+2019-2021
+in 2021
+10% CAGR
+€3,509.5 million
+2019-2021
+9% CAGR
+2019-2023
+Martin Jetter
+10% CAGR
+€2.0 billion
+2019-2023
+Cash EPS
+EBITDA
+€3.5 billion
+2019-2023
+Net revenue
+10% CAGR
+Target achievement 2021
+<3
+Target
+Economic situation
+in 2021
+Makin 2015
+for the Supervisory Board
+Frankfurt/Main, 4 March 2022
+Audit of the annual and consolidated financial statements
+■The Mediation Committee is set up by law. Pursuant to section 31(3) MitbestG, it submits proposals to
+the Supervisory Board for the appointment or dismissal of Executive Board members when a two-thirds
+majority has not been reached. The Mediation Committee only convenes as required. There was no
+need for the Mediation Committee to hold a meeting during the year under review.
+Mediation Committee (no meetings during the reporting period)
+■The Chairman's Committee convenes on the initiative of the Chair of the Supervisory Board; it deals
+with time-sensitive affairs and prepares the corresponding Supervisory Board plenary meetings. There
+was no need for the Chairman's Committee to hold a meeting during the year under review.
+Chairman's Committee (no meeting during the reporting period)
+■ Follow up on the SAP roadmap and the planned relocation to a new data centre
+Update planning in the event of system failures
+■
+Upgrades to structure of digital workplace under COVID-19
+■
+■ Discussion on internalising applications to expand the service range of Deutsche Börse in the energy
+sector and introduction of energy platform services
+■ Debate on information security, IT risk management and cyber resilience in the face of various attack
+scenarios
+PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft, domiciled in Frankfurt am Main, (PwC)
+audited the annual financial statements of Deutsche Börse AG, the consolidated financial statements and
+the integrated combined management report for the financial year ended 31 December 2021, together
+with the accounting system, and issued an unqualified audit opinion. The condensed financial
+statements and interim management report contained in the half-yearly financial report for the first six
+months of 2021 were reviewed by PwC. The documents relating to the financial statements and the
+reports by PwC were submitted to us for inspection and examination in good time. The auditors
+responsible were Marc Billeb and Dr Michael Rönnberg. The auditors attended the relevant meetings of
+the Audit Committee and the meeting of the full Supervisory Board to discuss the financial statements -
+in all cases also without the Executive Board members. They reported on the key results of their audit. In
+particular, they explained the net assets, financial position and results of operation of the company and
+the Group and were available to provide further information. The audit of the annual and consolidated
+financial statements and the combined management report and non-financial declaration did not give
+rise to any objections. The same applies to the non-mandatory review of the form and contents of the
+remuneration report. PwC provided information on other services that it had rendered in addition to its
+audit services. There were no grounds for suspecting that the auditors' independence might be impaired.
+■ Discussion of quantum computing and distributed ledger technologies (DLT) and their respective use
+cases for Deutsche Börse AG
+Technology Committee (four meetings during the reporting period)
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report
+Executive and Supervisory Boards | Report of the Supervisory Board
+Deutsche Börse Group | Annual report 2021
+15
+■ Discussion of Deutsche Börse Group's ESG strategy and outlook for 2022
+Strategy and Sustainability Committee (since 22 June 2021, one meeting during the reporting
+period)
+■ Debate on market positioning and growth opportunities of Deutsche Börse Group on capital markets
+■ Discussion of cloud, big data and automation initiatives
+Strategy Committee (until 22 June 2021, one meeting during the reporting period)
+16
+Executive and Supervisory Boards | Report of the Supervisory Board
+No conflicts of interest arose with regard to individual Supervisory Board members during the reporting
+period. The Supervisory Board would like to thank the Executive Board and all employees for their great
+commitment and good work in 2021, which the COVID-19 pandemic made particularly challenging.
+<3
+Management of individual conflicts of interest
+Further information
+Remuneration Report
+Financial statements and notes
+Executive and Supervisory Boards | Report of the Supervisory Board
+Management report
+Deutsche Börse Group | Annual report 2021
+17
+The Supervisory Board took important decisions on the future composition of the Executive Board and
+renewed the terms of office of CFO Gregor Pottmeyer until 30 September 2025.
+No personnel changes were made with regard to the Executive Board in 2021.
+The interrupted election of employee representatives to the Supervisory Board was completed on 15 and
+16 November 2021. Four of the eight employee representatives previously appointed by the court were
+elected as new members of the Supervisory Board.
+Deutsche Börse Group | Annual report 2021
+It was not possible to complete the election of employee representatives by the close of the Annual
+General Meeting on 19 May 2021 because of the COVID-19 pandemic. Employee representatives were
+therefore appointed provisionally by the court from 19 May 2021 until completion of the election
+procedure. Seven of the eight employee representatives were already members of the Supervisory Board.
+It was only Oliver Greie, who as a trade union representative succeeded Gerd Tausendfreund, who
+stepped down from the Supervisory Board at the close of the Annual General Meeting on 19 May 2021.
+The shareholder representative Chong Lee Tan was one of eight members newly elected to the
+Supervisory Board. Chong Lee Tan succeeded Amy Yip, who was no longer a candidate for the
+Supervisory Board. Chong Lee Tan was given a detailed introduction to Supervisory Board work at the
+beginning of his term of office.
+In line with the articles of association the Supervisory Board consists of sixteen members. The
+Supervisory Board's period of office ended at the close of the Annual General Meeting on 19 May 2021.
+The following personnel changes were made to the Supervisory Board during the reporting period:
+Personnel matters
+Our own examination – during a plenary meeting - of the 2021 annual financial statements,
+consolidated financial statements and the integrated combined management report, including the non-
+financial statement, did not lead to any objections. We therefore approved the result of the audit. We
+approved the annual financial statements prepared by the Executive Board and the consolidated
+financial statements at our meeting on 4 March 2022, in line with the Audit Committee's
+recommendation. As a result, the annual financial statements of Deutsche Börse AG have been adopted.
+The Audit Committee discussed the Executive Board's proposal for the appropriation of the
+unappropriated surplus (Bilanzgewinn) in detail with the Executive Board. The discussion covered the
+company's liquidity, its financial planning and shareholders' interests. Following this discussion and its
+own examination, the Audit Committee concurred with the Executive Board's proposal for the use of
+appropriation of the unappropriated surplus. After examining this ourselves, the plenary meeting of the
+Supervisory Board also approved the Executive Board's proposal.
+-
+The Audit Committee discussed the financial statement documents and the reports by PwC in detail with
+the auditors and examined them carefully itself. It is satisfied that the reports meet the statutory
+requirements under sections 317 and 321 HGB in particular. The committee reported to the Supervisory
+Board on its examination and recommended that it approve the annual financial statements and
+consolidated financial statements.
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report
+Martin Jetter was re-elected as Chair of the Supervisory Board at the constitutive meeting following the
+Annual General Meeting on 19 May 2021.
+Dealing with digitalisation initiatives at the Clearstream subgroup
+Customers and markets
+Employees
+incl. ISS acquisition
+20
+20
+3) Unaudited figure.
+95th percentile
+1) ESG net revenue according to the internal definition of Deutsche Börse Group - see "Definition of our ESG net revenue".
+2) Group-wide target in senior management.
+>90th percentile
+MSCI, S&P, Sustainalytics
+vs. 2019
+-66%
+>99.5%
+75%
+21%
+Number of employees
+Employee satisfaction
+Women in leadership positions²
+>20%
+Social environment
+>71.5%
+Net zero until 2025
+(-100% vs. 2019)
+ESG ratings
+99.9%
+10,200
+CO2 emissions per workspace³
+6.9
+118.2
+-0.2
+7.8
+7.1
+1.5
+2.1
+7.5
+9.1
+- 0.2
+7.8
+EEX
+1.0
+5.6
+8.4
+Xetra
+5.0
+242.7
+2.0
+1.5
+12.6
+6.9
+IFS
+551.8
+-0.2
+7.8
+9.7
+Trade names and exchange licences
+1.5
+10.4
+2.8
+360T
+-0.2
+7.8
+7.7
+7.5
+STOXX
+6.3
+- 0.3
+6.8
+360T Core
+19.9
+- 0.3
+7.8
+7.7
+2.0
+23.8
+8.7
+EEX Core
+13.5
+- 0.3
+7.8
+7.0
+1.5
+6.0
+7.1
+420.0
+1.5
+6.3
+7.8
+7.4
+1.5
+7.9
+5.9
+Axioma
+58.7
+7.6
+1.4
+7.8
+2.5
+15.8
+4.7
+Nodal
+26.1
+1.4
+7.5
+7.8
+1,111.1
+585.5
+1.5
+6.7
+4.4
+360TGTX
+1.7
+1.5
+6.0
+6.9
+1.5
+2.7
+1.8
+1) CAGR compound annual growth rate.
+192
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+6.6
+7.8
+0.1
+13.7
+27.7
+2.0
+6.0
+7.0
+1.5
+4.6
+3.1
+Management report
+360T Core
+0.1
+7.8
+7.0
+1.5
+7.0
+4.8
+EEX Core
+19.9
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+1,310.0
+-0.2
+7.8
+6.2
+1.5
+3.9
+1.4
+Eurex
+Clearstream
+-0.2
+7.8
+7.6
+1.0
+2.7
+1.9
+Qontigo
+4.3
+-0.2
+Goodwill
+%
+Key assumptions used for impairment tests in 2020
+E
+CAGR¹
+Allocated
+book value
+€m
+Risk-free
+interest rate
+%
+Market risk
+Discount
+%
+Long-term
+premium
+%
+rate
+%
+growth rate
+Net revenue
+costs
+%
+Operating
+360TGTX
+Deutsche Börse Group | Annual report 2021
+0.9
+9.7
+0
+3.1
+3.1
+- 13.1
+- 0.3
+- 2.3
+0
+- 0.6
+-0.5
+-0.7
+0
+- 3.6
+459.5
+96.6
+12.6
+-0.2
+343.2
+- 11.0
+-6.3
+0
+0
+0.3
+0.3
+0.5
+70.3
+13.1
+- 0.9
+3.0
+46.4
+4.7
+3.9
+134.5
+-0.7
+- 3.1
+0
+- 6.3
+43.4
+3.1
+355.8
+918.9
+- 0.2
+- 2.8
+- 3.0
+- 0.4
+- 6.7
+0
+2.0
+- 0.5
+0
+1.3
+- 3.3
+0
+Reclassifications into assets held for
+sale
+- 0.1
+0
+1.3
+7.0
+- 2.8
+5.0
+combinations
+Additions
+Disposals
+Reclassifications
+85.1
+6.0
+1.4
+83.9
+4.2
+0.4
+97.1
+42.6
+7.2
+3.5
+25.6
+29.1
+5.6
+1.6
+Acquisitions through business
+Exchange rate differences
+Operating and office equipment
+Leasehold improvements
+Measurement of right-of-use assets
+Depreciation period
+3 to 5 years
+5 to 19 years
+Based on lease term
+We lease a large number of different assets. These mainly include buildings and cars. Right-of-use
+assets are measured at cost. Any accumulated depreciation and impairment amounts are deducted from
+the cost of right-of-use assets as part of subsequent measurement. This does not apply to short-term
+leases with a term of not more than twelve months and leases for low-value assets. Expenses in the
+reporting year resulting from the above-mentioned short-term and low-value assets are reported in other
+operating expenses.
+Useful life of property, plant and equipment
+IT hardware
+Right-of-use land and buildings
+Depreciation period
+Based on lease term
+Based on lease term
+As a lessor in the case of an operating lease, we present the leased asset as an item of property, plant
+and equipment and measures the asset at amortised cost. The lease instalments received during the
+period are shown under other operating income.
+194
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Right-of-use - IT hardware, operating and office equipment as well as carpool
+Management report
+Useful life of property, plant and equipment
+E
+6.3
+7.7
+2.0
+17.8
+11.0
+1) CAGR compound annual growth rate
+Even in case of a reasonably possible change of one of the parameters, under the condition that all the
+other parameters remain constant, none of the above-mentioned CGUs or groups of CGUS with the
+exception of ISS CGU, would be impaired. At the ISS CGU, the recoverable amount exceeds the carrying
+amount in the annual impairment test by €136.4 million. A reduction in the annual growth rate of the
+net revenue by 8.7 per cent or rather an increase in operating costs by 9.1 per cent or a reduction in the
+growth rate in perpetuity by 0.6 percent or rather an increase in capital costs by 0.4 per cent would
+result in the recoverable amount being equal to the carrying amount.
+Depreciable items of property, plant and equipment are carried at cost less cumulative depreciation. The
+straight-line depreciation method is used. The carrying amount is immediately written down to its
+recoverable amount if the carrying amount is higher than its recoverable amount. Costs of an item of
+property, plant and equipment comprise all costs directly attributable to the production process, as well
+as an appropriate proportion of production overheads. No borrowing costs were recognised in the
+reporting period or in the previous year as they could not be directly allocated to any particular
+development project. If it is probable that the future economic benefits associated with an item of
+property, plant and equipment will flow to the Group and the cost of the asset in question can be reliably
+determined, costs subsequent to acquisition is added to the carrying amount of the asset as incurred.
+The carrying amounts of any parts of an asset that have been replaced are derecognised. Repair and
+maintenance costs are expensed as incurred.
+193
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+11. Property, plant and equipment
+Measurement of purchased property, plant and equipment
+Nodal
+Historical costs as at 31 Dec 2020
+Financial statements and notes | Notes on the consolidated statement of financial position
+บ
+€m
+€m
+€m
+Historical costs as at 1 Jan 2020
+389.1
+77.5
+9.8
+€m
+303.2
+15.8
+795.4
+Acquisitions through business
+combinations
+Additions
+Disposals
+Reclassifications
+313.0
+Remuneration Report
+€m
+€m
+Further information
+Property, plant and equipment (incl. Right-of-use assets)
+Advance
+payments
+Land and
+buildings
+(right-of-use)
+Fixtures
+and
+fittings
+€m
+IT hardware, operating and office
+equipment as well as carpool
+progress
+Total
+Right-of-
+Purch-
+use
+ased
+Total
+made and
+construction in
+4.6
+8.0
+2.0
+Exchange rate differences
+6.2
+4.4
+4.4
+0.7
+1.1
+25.5
+- 1.2
+53.1
+Balance as at 31 Dec 2021
+1,378.6
+120.2
+244.6
+61.9
+1,125.9
+584.7
+88.0
+691.2
+0
+0
+0
+3,957.6
+Acquisitions through business
+combinations
+0
+0
+52.1
+- 1.2
+13.7
+78.8
+1,300.9
+1,456.2
+Adjustment of previous year Goodwill
+0
+0
+0
+10.7
+559.3
+1,388.9
+Changes in other intangible assets by category
+0
+270.3
+0.9
+271.2
+Additions
+0
+0
+0
+0.3
+0.8
+Amortisation
+0
+-0.4
+- 36.5
+- 1.6
+- 38.5
+0.5
+183.4
+5,596.0
+Acquisitions through business combinations
+4.9
+Exchange
+licences
+€m
+Trade
+names
+€m
+Member and
+customer
+relationships
+Miscellaneous
+intangible
+1,040.9
+assets
+€m
+€m
+€m
+Balance as at 1 Jan 2020
+24.5
+524.7
+486.8
+Total
+Exchange rate differences
+549.7
+9.1
+€m
+€m
+€m
+€m
+Balance as at 1 Jan 2020
+1,293.6
+119.5
+€m
+245.2
+969.0
+66.3
+608.6
+0
+3,308.9
+Reallocation due to change in reporting
+structure
+17.0
+6.7
+0
+€m
+ISS
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+Goodwill and other intangible assets from business combinations
+Changes in goodwill classified by (groups of) CGUs
+Total
+E
+Eurex
+€m
+EEX 360T
+€m
+€m
+Xetra
+stream
+IFS
+Qontigo
+Clear-
+1,111.1
+0
+142.1
+0
+0
+0
+4.3
+0
+4.3
+- 5.0
+550.2
+-0.1
+- 1.5
+- 53.6
+0
+- 67.4
+Balance as at 31 Dec 2020
+1,372.4
+115.8 240.2
+0
+2.5
+0
+484.9
+0
+0
+161.6
+Acquisitions through business
+combinations
+64.1
+1.2
+0
+Adjustment of previous year Goodwill
+0
+Exchange rate differences
+- 2.3
+- 4.9
+goo
+0
+0
+0
+9.6
+- 2.1
+- 10.5
+7.1
+5.6
+IFS
+557.8
+0.1
+7.8
+6.6
+1.5
+1.5
+7.5
+360T
+243.3
+0.1
+7.8
+7.0
+1.5
+9.9
+6.5
+7.4
+0.1
+2.0
+6.0
+8.0
+2.5
+8.2
+6.3
+Clearstream
+7.8
+1,125.7
+7.8
+6.7
+1.0
+3.3
+2.2
+Qontigo
+675.7
+0.1
+1,240.9
+4.1
+118.8
+1.5
+5.8
+6.8
+ISS Core
+96.7
+2.0
+6.0
+7.4
+- 0.1
+8.2
+6.3
+Axioma
+62.1
+2.0
+6.0
+7.7
+2.5
+EEX
+7.8
+420.0
+0.1
+7.8
+6.6
+1.5
+6.9
+2.5
+Xetra
+0.1
+11.2
+7.8
+6.8
+1.0
+-0.4
+3.9
+Trade names and exchange licences
+STOXX
+0.1
+- 6.2
+ISS
+4.9
+Additions
+Amortisation
+0
+0
+0
+0.9
+0.9
+652.7
+0
+- 67.9
+- 2.0
+- 71.1
+Exchange rate differences
+Balance as at 31 Dec 2021
+1.8
+14.3
+- 1.2
+59.5
+0.4
+117.2
+- 0.1
+- 19.0
+Reclassifications
+0
+0
+0
+0
+535.1
+0
+Acquisitions through business combinations
+22.4
+518.1
+710.4
+4.6
+1,255.4
+0
+Balance as at 31 Dec 2020
+4.3
+0.1
+24.2
+Operating
+premium
+%
+rate
+%
+growth rate
+%
+Net revenue
+costs
+Long-term
+%
+Goodwill
+Eurex
+1,379.9
+0.1
+7.8
+6.5
+1.5
+%
+75.7
+Discount
+Risk-free
+interest rate
+%
+648.4
+1,237.1
+4.0
+1,913.6
+191
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Market risk
+Management report
+Remuneration Report
+Further information
+Key assumptions used for impairment tests in 2021
+E
+CAGR¹
+(Group of) CGUS
+Allocated
+book value
+€m
+Financial statements and notes | Notes on the consolidated statement of financial position
+0
+6.0
+0
+Financial assets are first recognised at fair value. For financial assets not at fair value through profit or
+loss the recognised amount also includes transaction costs that can be allocated directly to the
+acquisition of this asset. Transaction costs of financial assets at fair value through profit or loss are
+expensed as incurred.
+Financial assets are classified at the acquisition date, from which subsequent measurement is derived.
+We assign financial assets to the following measurement categories:
+■ At fair value (either at “fair value through other comprehensive income" (FVOCI) or "fair value through
+profit or loss" (FVPL))
+■ At amortised cost (aAC)
+Debt instruments are allocated on the basis of the business model for managing the financial assets and
+the contractual cash flow characteristics. Debt instruments are only reclassified if the business model for
+managing them is changed. We do not make use of the option to designate debt instruments at fair
+value through profit or loss upon initial recognition (fair value option).
+The classification of investments in equity instruments not held for trading depends on whether the
+option of designating the corresponding financial assets as at fair value through other comprehensive
+income (FVOCI option) is used on initial recognition. Each individual equity instrument can be allocated
+separately and may not be changed in subsequent periods.
+196
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+First-time measurement and classification
+Financial statements and notes | Notes on the consolidated statement of financial position
+Further information
+บ
+Subsequent measurement of debt instruments
+We allocate each debt instrument to one of the following categories:
+■ Amortised cost (aAC): Assets allocated to the "hold" business model and whose cash flows consist of
+solely payments of principal and interest are measured at amortised cost. Interest income from these
+financial assets is measured using the effective interest method. Gains and losses from derecognition,
+impairment and exchange rate movements are recognised through profit or loss. Measurement effects
+are shown in banking business or non-banking business depending on how the financial assets are
+allocated. For financial assets from banking business all measurement effects are shown in the treasury
+result of banking and similar business. Interest income from the non-banking business is shown in the
+financial result. All other effects of non-banking business are presented in net income from financial
+investments. All effects relating to the measurement of trade receivables are shown in other operating
+income and expenses.
+■ Fair value through other comprehensive income (FVOCI): Investments in debt instruments allocated
+to the "hold and sell” business model and whose cash flows consist solely of payments of principal and
+interest are measured as at fair value through other comprehensive income. Impairments on these debt
+instruments are recognised as net income from financial investments through profit or loss. On disposal
+of these debt instruments all the balances in the revaluation surplus are reclassified to net income from
+financial investments through profit or loss. Interest income from fixed income debt securities in this
+category are shown in the financial result.
+■ Fair value through profit or loss (FVPL): Financial assets that do not meet the criteria for
+measurement at amortised cost or at FVOCI are measured at FVPL and their measurement effects are
+shown in net income from financial investments. Distributions from fund interests are also shown in
+net income from financial investments. Interest income from fixed income bonds in this category are
+shown in the financial result.
+Subsequent measurement of equity instruments
+Equity instruments are always subsequently measured at fair value. In the reporting year 2021, we are
+reporting three strategic investments for the first time under other financial assets at fair value through
+profit or loss. For all other equity instruments, we have exercised the irrevocable FVOCI option as of the
+reporting date, with the result that the gains and losses are recognised in other comprehensive income.
+When the item is derecognised the gains and losses are not recycled through profit or loss, but
+reclassified to retained earnings. Dividends from these financial assets are shown in Result from
+financial investments.
+197
+Remuneration Report
+Deutsche Börse Group | Annual report 2021
+Clearstream Banking S.A. acts as a principal in securities borrowing and lending transactions in the
+context of the ASLplus securities lending system and is an intermediate between lender and borrower
+without becoming a contracting party from an economic perspective. Consequently, these transactions
+are not recognised in the consolidated balance sheet.
+E
+57.0
+5.8
+96.0
+84.4
+101.7
+7.0
+530.4
+90.1
+8.5
+593.7
+The average remaining term of leases is 13.8 years.
+Financial assets are recognised when the Group or one of its companies becomes party to a financial
+instrument. Regular way purchases and sales of financial assets are generally recognised and
+derecognised at the trade date. Purchases and sales of debt instruments classified as "at amortised cost"
+and of equities eligible for clearing via the central counterparties (CCPs) of Deutsche Börse Group are
+recognised and derecognised at the settlement date. Financial assets are derecognised when the
+contractual rights to the cash flows expire or when the company transfers these rights in a transaction
+that transfers substantially all risks and rewards of ownership of the financial assets.
+The remaining term of the material sub-lease is one year; it is then renewed automatically for an
+indefinite period. Both parties can terminate the lease at the end of the remaining term by giving notice
+of six months.
+195
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+12. Financial instruments
+Financial assets
+Additions and disposals
+For details regarding the corresponding lease liabilities, please see Note 12.
+Executive and Supervisory Boards
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+Our exposure to various risks associated with the financial instruments is discussed in Note 24. The
+maximum exposure to credit risk at the end of the reporting period is the carrying amount of each class
+of financial assets mentioned above.
+Presentation and netting of financial assets and liabilities
+Financial assets and liabilities in the statement of financial position are divided into non-current and
+current. They are presented as non-current if the remaining term is more than twelve months as at the
+reporting date. They are presented as current assets if the remaining term is less than twelve months.
+Financial assets and liabilities are offset and only the net amount is presented in the consolidated
+balance sheet when a Group company currently has a legally enforceable right to set off the recognised
+amounts and intends either to settle on a net basis or to realise the asset and settle the liability
+simultaneously.
+199
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+We do not make use of the option to designate financial liabilities at fair value through profit or loss upon
+initial recognition (fair value option).
+Further information
+E
+The derivative financial instruments we use include interest rate swaps, foreign exchange swaps, foreign
+exchange forwards and foreign exchange options.
+Derivatives are initially recognised at fair value on the date a derivative contract is taken out. The Group
+applies the provisions of IFRS 9 to account for hedges that meet the criteria for hedge accounting. When
+a hedging transaction takes place the economic relationship between the hedging instrument and the
+hedged item is documented in accordance with the requirements of IFRS 9.
+All other derivative transactions are mainly used to hedge foreign currency risks in economic hedging
+relationships and are classified as “held for trading" for accounting purposes and are remeasured at the
+end of each reporting period at fair value through profit or loss. Gains and losses from the subsequent
+measurement are either recognised in the result of treasury activities in banking business and similar
+business or in net income from financial investments.
+Cash flow hedges that qualify for hedge accounting
+In 2021 we used cash flow hedge accounting to hedge the foreign exchange risk on highly likely
+transactions as well as translation effects of intercompany monetary items. We also used cash flow
+hedge accounting to hedge the interest rate risk of a highly probable securities issue by means of interest
+rate swaps.
+The effectiveness of the hedging relationship is assessed at the beginning and over the entire duration of
+the hedging relationship to ensure that there is an economic relationship between the hedging
+instrument and the hedged item. This entails establishing hedging transactions in which all the relevant
+contractual parameters of the hedging instrument exactly match those of the hedged item.
+Ineffectiveness may arise in the hedging of planned transactions if the timing of the planned transaction
+changes compared with the original estimate. Ineffectiveness due to changes in our default risk or the
+default risk of the counterparty to the hedging transaction is deemed to be negligible. Effectiveness is
+measured regularly as at the reporting dates. The Group uses the hypothetical derivative method for this
+purpose.
+The effective portion of changes in the fair value of derivatives designated as cash flow hedges is shown
+in the reserve for cash flow hedges as part of other comprehensive income; it is limited to the
+cumulative absolute change in the hedged fair value of the hedged since the hedging transaction. Gains
+or losses on the ineffective portion are recognised directly through profit or loss, either in the treasury
+result of banking and similar business or in net income from financial investments. If forward contracts
+are used to hedge planned transactions we designate the entire change in the fair value of the forward,
+including the forward component, as a hedging instrument. In this case, the gains or losses from the
+effective portion of the change in fair value for the entire future transaction are recognised in the reserve
+for cash flow hedges as a component of equity. If the Group uses futures to hedge existing receivables
+and liabilities, only the spot component of the future is designated. Gains or losses from the effective
+portion of the change in the spot component of the future are shown in the reserve for cash flow hedges.
+200
+-0.1
+Derivative financial instruments and hedge accounting
+Contingent purchase payments recognised by the purchaser of a business combination in accordance
+with IFRS 3 are not measured at amortised cost. The resulting financial liabilities are recognised at fair
+value. With a contingent purchase price component the purchaser is obliged to transfer additional assets
+or shares to the seller if certain conditions are met. Subsequent measurement is at fair value through
+profit or loss.
+Financial liabilities measured at fair value through profit or loss
+Financial liabilities not held for trading are accounted for at amortised cost. The borrowing costs
+associated with the placement of financial liabilities are included in the carrying amount and accounted
+for using the effective interest method if they are directly attributable. Discounts are amortised over the
+term of the liabilities using the effective interest method. Liabilities to non-controlling shareholders for
+the acquisition of non-controlling shares settled in cash or another financial asset are recognised at the
+present value of the future purchase price. The effect of the present value of accrued interest on the
+financial obligation and all measurement changes in the obligation is subsequently measured through
+profit or loss. The equity interest attributable to a non-controlling shareholder underlying the transaction
+is accounted for as if it had already been acquired at the time of the transaction.
+E
+Impairment
+As a rule, any impairment for expected credit losses for debt instruments reported at amortised cost and
+at fair value through other comprehensive income is determined using the three-stage impairment model
+in IFRS 9. The losses represent a forward-looking measurement of future losses that are generally
+subject to estimates.
+Stage 1: The impairment upon initial recognition is measured on the basis of the expected losses in the
+event of default within the next twelvemonths after the reporting date.
+Stage 2: If a financial asset's credit risk has increased significantly, the expected credit loss is
+determined over the entire term. A significant increase in credit risk is determined individually using
+internal ratings and is assumed if there is a downgrade of three notches within the internal rating
+system.
+Stage 3: Credit-impaired financial assets are allocated to Stage 3 and the impairment is based on the
+full lifetime expected credit losses. This is the case if there are observable data of significant financial
+difficulties and there is a high risk of default, even if the definition of a default has not yet been met.
+If the credit risk for debt instruments at amortised cost and at fair value through profit or loss is low in
+absolute terms as at the reporting date, they remain in Stage 1 even if the default risk has increased.
+We have the following two triggers to identify a default event and which cause a transfer to stage 3 of
+the model:
+Legal default event: a contractual partner of the Group is unable to fulfil its contractual obligations due
+to its insolvency.
+Contractual default event: a contractual partner of the Group is unable or unwilling to fulfil its
+contractual obligations in a timely manner. The non-fulfilment of the contractual obligation could result
+in a financial loss for us.
+We measure the expected credit losses for trade receivables using a simplified approach, which requires
+lifetime expected losses to be recognised from initial recognition of a receivable. Due to the high recovery
+rate for trade receivables with a due date of less than 360 days, a default is assumed for amounts which
+are overdue for more than 360 days.
+198
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+Financial Liabilities
+Additions and disposals
+บ
+Financial liabilities are recognised when a Group company becomes a party to the instrument.
+Purchases and sales of equities via the central counterparty Eurex Clearing AG are recognised at the
+settlement date analogous to financial assets. Financial liabilities are derecognised when the contractual
+obligation has been extinguished because it has been discharged or cancelled or has expired.
+Financial liabilities measured at amortised cost
+438.0
+Carrying amount as at 31 Dec 2021
+Management report
+52.5
+4.2
+39.0
+43.2
+0
+100.9
+Disposals
+-0.4
+- 2.5
+0
+- 5.8
+48.5
+- 5.8
+- 8.7
+Exchange rate differences
+0.4
+0.3
+0.1
+0.3
+-0.4
+0
+1.1
+Depreciation and impairment losses as
+0
+Amortisation
+297.4
+0
+- 0.2
+5.7
+Exchange rate differences
+3.8
+1.0
+0.3
+1.1
+1.4
+-0.2
+Historical costs as at 31 Dec 2021
+588.1
+112.3
+17.5
+372.6
+390.1
+8.5
+1,099.0
+Depreciation and impairment losses as
+at 1 Jan 2020
+42.6
+37.7
+2.8
+214.3
+217.1
+at 31 Dec 2020
+90.3
+9.2
+44.1
+0
+0
+0
+0.1
+Exchange rate differences
+0.8
+0.7
+0
+1.0
+1.0
+0
+0
+Depreciation and impairment losses as
+at 31 Dec 2021
+150.1
+55.3
+11.7
+288.2
+299.9
+0
+505.3
+0
+369.2
+2.6
+0
+Carrying amount as at 31 Dec 2020
+sale
+0.1
+6.9
+247.2
+254.1
+0
+388.5
+Amortisation
+59.2
+4.9
+42.2
+47.1
+10.5
+116.9
+Disposals
+-0.3
+0
+- 0.1
+-2.2
+- 2.3
+0
+- 2.6
+0
+Reclassifications into assets held for
+Deutsche Börse AG issued senior hybrid bonds with a nominal volume of €1,000.0 million in the
+financial year to refinance an acquisition. The issue was divided into two tranches, with maturities of
+five and ten years. The five-year bond pays interest of 0.00 per cent and the ten-year bond pays interest
+of 0.125 per cent.
+71.7
+0
+38,188.8
+56,681.8
+3,474.4
+53,207.4
+71.7
+38,188.8
+0
+27.8
+78,292.5
+94,911.2
+3,539.9
+Total
+0
+Cash deposits from market participants
+140.3
+79.5
+Other
+27.8
+The financial liabilities recognised on the balance sheet were not secured by liens or similar rights as at
+31 December 2021 or as at 31 December 2020.
+0
+219.8
+78,292.5
+98,451.1
+Cash deposits by market participants
+34,444.5
+42,567.5
+Liabilities from margin payments
+74.5
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+204
+38,188.8
+78,292.5
+0.4
+0.4
+473.3
+1,280.1
+31,750.3
+5,964.8
+€m
+€m
+31 Dec 2020
+31 Dec 2021
+Total
+to European Energy Exchange AG by clearing members
+to Nodal Clear, LLC by clearing members
+to European Commodity Clearing AG by clearing members
+to Eurex Clearing AG by clearing members
+Composition of cash deposits by market participants
+74.5
+Dividends related to investments derecognised during the period
+Bank overdrafts
+Total
+224.3
+107.0
+4.3
+4.9
+228.6
+111.9
+201
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+บ
+We do not pledge any of these financial assets as collateral. Debt securities amounting to €0.5 million
+expired in 2021 (2020: €0.5 million). Debt securities amounting to €1.5 million were classified as
+current as at 31 December 2021 (2020: €0.5 million); total impairments came to less than €0.1
+million (2020: less than €0.1 million). Additions to this item came partly from follow-on investments of
+€64.7 million and also from the reclassification of two strategic investments of €7.0 million, which were
+previously accounted for using the equity method.
+Amounts recognised in profit or loss and other comprehensive income
+Gains/(losses) recognised in other comprehensive income
+Strategic investments
+Debt instruments
+Total
+Gains/(losses) recognised in profit or loss
+Total
+E
+Listed debt instruments
+0
+Strategic investments
+€m
+408.9
+51.1
+357.8
+486.7
+63.6
+423.1
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+บ
+Changes in the forward component of the hedging instrument that relates to the hedged item are
+considered to be hedging costs and shown separately in the reserve for hedging costs in other
+comprehensive income. The fair value of the forward component not included in the hedging
+relationship at the time it is designated is written off pro rata temporis over the period of the hedging
+relationship. The amount written down is recycled from the reserve for hedging costs to profit or loss.
+Cumulative amounts in the reserve for cash flow hedges are reclassified according to the following
+methodology:
+■If the cash flow hedges serve to hedge a planned transaction, the amount from the hedging instrument
+that has accumulated in other comprehensive income up to the acquisition date is derecognised from
+the reserve and treated as part of the acquisition costs.
+■ For cash flow hedges of existing receivables and liabilities, the amount that has accumulated in the
+reserve for cash flow hedges is reclassified to profit or loss in the periods in which there are changes in
+the hedged future cash flows recognised through profit or loss.
+■ If this amount is a loss, however, and the assumption is that all or part of this loss cannot be recouped
+in future periods, then this amount is recognised immediately through profit or loss.
+When a hedging instrument expires or is sold or terminated, or when a hedge no longer meets the
+criteria for hedge accounting, hedge accounting is discontinued. The hedging relationship continues,
+however, if it was originally designated as a rolling hedge. If the expected transaction is deemed to be
+highly probable, new hedging instruments are arranged to replace those that have expired. When the
+forecast transaction is no longer expected to occur, the cumulative gain or loss and deferred costs of
+hedging that were reported in equity are immediately reclassified to profit or loss.
+Financial assets measured at fair value through other comprehensive income
+This item comprises strategic investments which we have irrevocably elected to recognise at fair value
+through other comprehensive income in this category at initial recognition. Fixed-income bonds allocated
+to the "Hold and sell" business model are also presented at fair value through other comprehensive
+income.
+Composition of financial assets measured at fair value through other comprehensive income
+2021
+2020
+€m
+Financial assets and liabilities measured at fair value through profit or loss
+0.0
+Eurex Clearing AG, European Commodity Clearing AG and Nodal Clear, LLC all act as central
+counterparties:
+90.2
+90.2
+designated as hedges
+Foreign currency derivatives not
+0
+0
+11.6
+11.6
+0
+flow hedges
+Interest rate swaps designated as cash
+0.2
+0
+0.2
+0.2
+0.2
+0
+designated as cash flow hedges
+Forward exchange transactions
+8.3
+8.1
+0.2
+112.2
+о
+102.0
+8.1
+Call options not designated in hedging
+0
+71.4
+Fund units and debt securities
+1) Of which €<0.1 million (2020: €0.1 million) are attributable to non-controlling interests.
+0.0
+0
+74.6
+0
+74.6
+Strategic investments
+49.8
+7.6
+42.2
+160.0
+14.0
+146.0
+Other financial assets
+0
+0
+0
+10.1
+10.1
+relationships
+8.1
+Financial instruments of the central counterparties
+10.1
+€m
+58,020.6
+82,264.9
+30,373.2
+thereof non-current
+Total
+Others
+Options
+Repo transactions
+€m
+31 Dec 2020
+31 Dec 2021
+€m
+Composition of financial instruments held by central counterparties
+บ
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+205
+The fair values recognised in the consolidated balance sheet are based on daily settlement prices. These
+are calculated and published by the clearing houses in accordance with the rules set out in the contract
+specifications.
+The transactions of the clearing houses are only executed between the respective clearing house and a
+clearing member. Purchases and sales of equities and bonds via the Eurex Clearing AG central
+counterparty are recognised and simultaneously derecognised at the settlement date. For products that
+are marked-to-market (futures, options on futures, as well as OTC interest-rate derivatives), the clearing
+houses recognise gains and losses on open positions of clearing members on each exchange day. By
+means of the variation margin, profits and losses on open positions resulting from market price
+fluctuations are settled on a daily basis. The difference between this and other margin types is that the
+variation margin does not comprise collateral, but is a daily offsetting of profits and losses in cash.
+Therefore, futures and OTC interest rate derivatives are not reported in the consolidated balance sheet.
+"Traditional" options, for which the buyer must pay the option premium in full upon purchase, are
+carried in the consolidated balance sheet at fair value. Receivables and liabilities from repo transactions
+and from cash-collateralised securities lending transactions are classified as held for trading and carried
+at fair value.
+■ Nodal Clear, LLC, as part of the Nodal Exchange Group, is a Derivatives Clearing Organisation (DCO)
+registered in the United States and is the central counterparty for all transactions executed on Nodal
+Exchange.
+European Commodity Clearing AG guarantees the settlement of spot and derivatives transactions at the
+trading venues of EEX group and the connected partner exchanges.
+■ Eurex Clearing AG guarantees the settlement of all transactions involving futures and options on Eurex
+Germany. It also guarantees the settlement of all transactions for Eurex Repo (repo trading platform),
+certain exchange transactions in equities on Frankfurter Wertpapierbörse (FWB, the Frankfurt Stock
+Exchange). Eurex Clearing AG also guarantees the settlement of off-order-book trades entered for
+clearing in the trading systems of the Eurex exchanges as well as Eurex Repo. In addition, Eurex
+Clearing AG clears over-the-counter (OTC) interest rate derivatives and securities lending transactions,
+where these meet the specified novation criteria.
+29,587.4¹
+€m
+0
+112,638.1
+€m
+€m
+€m
+€m
+Total
+Current
+Non-current
+Total
+Current
+Non-current
+Carrying amount 31 Dec 2020
+Carrying amount 31 Dec 2021
+Derivatives
+Other financial assets and liabilities measured at fair value through profit or loss
+Other financial assets and liabilities at FVPL
+Receivables and liabilities that may be offset against a clearing member are reported on a net basis.
+Financial liabilities of €128,0 million (31 December 2020: €95.0 million) and financial assets of
+€200.0 million (31. December 2020: €0.0 million) were eliminated because of intra-Group GC Pooling
+transactions.
+1) Due to a correction of the previous year's figures, non-current assets decreased by €26,2 million and current assets by €63,6 million.
+80,704.5¹
+103,195.7
+thereof current
+6,908.5¹
+9,442.4
+87,613.0¹
+5.0
+2021
+6.7
+€m
+57,726.6
+Debt securities amounting to €218.9 million expired in 2021 (2020: €609.6 million).
+Amounts reported separately under liabilities as cash deposits by market participants are restricted. Such
+amounts are mainly invested via bilateral or triparty reverse repurchase agreements and in the form of
+overnight deposits at central banks and banks and shown as restricted bank balances. Government and
+government-guaranteed bonds with an external credit rating of at least AA- are accepted as collateral for
+the reverse repurchase agreements.
+203
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+Composition of financial liabilities at amortised cost
+31 Dec 2021
+31 Dec 2020
+บ
+Non-current
+€m
+Current
+€m
+Total
+€m
+Non-current
+Current
+Total
+€m
+€m
+€m
+56,729.1
+Trade payables
+997.5
+1,467.3
+161.8
+5.4
+50.0
+55.4
+of which expected losses
+-0.4
+0
+- 0.4
+- 0.3
+0
+-0.3
+Restricted bank balances
+0
+Cash and other bank balances
+0
+Total
+1,634.7
+78,542.0
+1,029.6
+96,340.6
+78,542.0
+1,029.6
+97,975.3
+0
+38,420.1
+38,420.1
+0
+1,467.3
+55.9
+0
+704.4
+1,176.2
+1,176.2
+Purchase price liabilities from business
+combinations
+0
+0
+0
+479.5
+0
+479.5
+Commercial Papers issued
+0
+1,551.8
+1,551.8
+0
+546.4
+546.4
+Liabilities from CCP balances
+0
+733.1
+733.1
+0
+565.3
+0
+704.4
+574.4
+0
+0
+388.6
+Other liabilities at amortised costs
+3,539.9
+15,914.3
+19,454.2
+3,474.4
+14,630.0
+Bonds issued
+3,037.3
+599.4
+3,636.7
+2,637.1
+0
+388.6
+18,104.4
+2,637.1
+Deposits from securities settlement
+business
+0
+12,177.2
+12,177.2
+0
+12,191.6
+12,191.6
+Money market borrowings
+574.4
+2020
+105.9
+156.6
+Non-current
+Current
+Total
+Non-current
+€m
+€m
+€m
+€m
+Current
+€m
+Total
+€m
+0
+969.4
+969.4
+0
+616.6
+616.6
+0
+- 8.8
+- 8.8
+0
+- 9.2
+- 9.2
+E
+amortised costs
+31 Dec 2020
+of which expected losses
+€m
+49.7
+25.5
+0.11
+0.3
+49.8
+25.8
+0
+0.3
+0
+0.3
+The sale of a strategic investment resulted in a disposal of financial assets for €8.8 million
+(2020: €12.5 million) and a resulting effect of €-4,9 million (2020: €0.1 million) recognised directly in
+equity and transferred to the retained earnings. The sale of the strategic investment was due to its
+acquisition by another company outside the Group.
+Furthermore, there was a significant positive valuation effect of €39.0 million resulting from a strategic
+investment.
+202
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+Financial assets and liabilities measured at amortised cost
+Composition of financial assets at amortised cost
+Trade receivables
+Other financial assets measured at
+Other
+1,634.7
+17,434.3
+7,440.3
+0
+6,440.0
+6,440.0
+Customer overdrafts from settlement
+business
+0
+531.6
+531.6
+0
+267.7
+267.7
+Receivables from CCP balances
+0
+1,189.3
+1,189.3
+0
+675.6
+675.6
+Margin calls
+6.7
+0
+156.6
+7.440.3
+15,799.6
+0
+2,252.4
+997.5
+16,225.1
+17,222.5
+Fixed income securities
+1,528.8
+396.1
+1,924.9
+992.1
+206.0
+1,198.1
+Reverse repo transactions
+0
+4,274.3
+4,274.3
+0
+6,176.7
+6,176.7
+Balances on nostro accounts
+0
+1,905.4
+1,905.4
+0
+2,252.4
+Money market lendings
+31 Dec 2021
+39.9
+42.2
+565.3
+0.2
+Settlement
+9.2
+0
+- 0.3
+8.3
+1.2
+0
+Reclassification to profit or loss
+0
+0
+-0.4
+Hedging costs deferred and recognised in
+OCI
+3.8
+11.6
+0.3
+- 8.1
+- 0.4
+0
+0
+Balance as at 31 Dec 2021
+Further information
+Remuneration Report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+209
+There were no transfers between levels for recurring fair value measurements during the year under
+review.
+40.1
+▪ Level 2: Financial instruments with no quoted prices for identical instruments on an active market and
+whose fair value is determined using valuation methods based on observable market parameters.
+■Level 3: Financial instruments where the fair value is determined using one or more unobservable
+significant inputs. This does not apply to listed equity instruments
+The financial assets measured at fair value includes financial assets and liabilities at the following three
+hierarchy levels:
+Fair value hierarchy
+The separate amount in the cost of hedging reserve comprises the forward component of forward
+contracts. The separated costs relate to over-time hedged items in the form of existing purchase price
+obligations from company acquisitions.
+12.6
+11.6
+0
+0.2
+0.9
+■ Level 1: Financial instruments with a quoted price for identical assets and liabilities in an active
+market.
+บ
+instruments recognised in OCI
+40.1
+41.3
+0
+- 41.3
+0
+instruments recognised in OCI
+Change in fair value of hedging
+Balance as at 1 Jan 2020
+0.2
+Hedging costs deferred and recognised in
+OCI
+0
+0
+0
+€m
+€m
+€m
+€m
+€m
+Total
+0.2
+Change in fair value of hedging
+-0.3
+0
+0
+0
+- 39.9
+- 0.1
+Balance as at 31 Dec 2020
+-0.2
+0
+-0.2
+0
+0
+Settlement
+1.5
+0
+0
+1.3
+0.2
+Reclassification to profit or loss
+0.3
+0
+Fair value hierarchy
+ASSETS
+Financial assets measured at fair value through other
+comprehensive income (FVOCI)
+0
+9,442.4
+0
+9,442.4
+Other non-current financial liabilities
+Non-current financial instruments held by central
+counterparties
+loss (FVPL)
+Financial liabilities measured at fair value through profit or
+8.4
+LIABILITIES
+112,740.2
+21.3
+113,138.9
+Total assets
+153.2
+112,740.2
+17.0
+112,910.3
+377.4
+Total
+0
+1.5
+71.4
+210
+2.1
+112,721.2
+0
+112,723.3
+Total liabilities
+0.6
+6.9
+4.2
+4.7
+Other current financial liabilities at FVPL
+0
+103,267.7
+0
+103,267.7
+counterparties
+Current financial instruments held by central
+0
+14.0
+102.0
+0
+224.3
+0
+0
+224.3
+Level 3
+€m
+Level 2
+€m
+€m
+€m
+4.3
+Level 1
+Fair value as at
+31 Dec 2021
+Other non-current financial assets
+Non-current financial instruments held by central
+counterparties
+loss (FVPL)
+Financial assets measured at fair value through profit or
+Total
+Debt instruments
+Strategic investments
+thereof attributable to:
+4.3
+0
+0
+116.0
+Other current financial assets
+0
+103,195.7
+0
+103,195.7
+counterparties
+Current financial instruments held by central
+139.2
+17.0
+156.2
+0
+9,442.4
+0
+9,442.4
+224.3
+0
+4.3
+228.6
+rate swaps
+Reserve for
+cash flow
+hedges interest
+Leasing liabilities
+exchange
+transactions
+Deutsche Börse Group | Annual report 2021
+206
+175.6
+174.1
+1.5
+13.1
+4.7
+8.4
+Executive and Supervisory Boards
+1.5
+0
+2.1
+0.6
+1.5
+Total liabilities
+Contingent consideration
+1.5
+1.5
+1.5
+0
+Management report
+Further information
+0.8
+0.3
+9.4
+59.1
+Net gain/(loss) from other financial assets measured at fair value through profit or loss
+Distributions from fund units
+-0.2
+- 1.4
+Net gain/(loss) from cash flow hedges
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+38.6
+Net gain/(loss) from derivatives not designated as hedges
+€m
+€m
+2020
+2021
+Amounts recognised in profit or loss
+As at 31 December 2021 there were foreign currency derivatives not designated in hedges with a term
+of less than eight months with a nominal amount of €3,419.2 million (31 December 2020: €2,524.2
+million with a term of less than seven months). Thereof €2,359.1 million (31 December 2020: €510.3
+million) is attributable to derivatives with a positive fair value and thereof €1,060.1 million
+(31 December 2020: €2,013.9 million) is attributable to derivatives with a negative fair value. These
+foreign currency derivatives were entered into mainly in order to convert USD amounts received into
+euros for liquidity management purposes on the one hand and as an alternative to unsecured deposits
+and loans on the other hand with the aim of hedging the unsecured counterparty risk as well as liquidity
+risk in daily liquidity management.
+บ
+15.6
+Net gain/(loss) from other financial liabilities measured at fair value through profit or loss
+Total
+2.1
+1.5
+Derivatives
+58.2
+15.8
+42.4
+272.2
+116.0
+156.2
+Total assets
+6.9
+7.6
+0
+14.0
+14.0
+0
+Contingent consideration
+42.2
+0
+Reserve for
+cash flow
+hedges foreign
+currency swaps
+7.6
+0.6
+4.2
+1.5
+Other financial liabilities
+132.7
+132.7
+0
+2.1
+2.1
+0
+designated as hedges
+11.1
+Foreign currency derivatives not
+39.9
+1.5
+9.0
+2.1
+6.9
+Forward exchange transactions
+174.1
+172.6
+41.4
+1.4
+designated as cash flow hedges
+75.0
+0
+16.0
+Weighted average hedge rate for hedging instruments
+Carrying amount €m
+Nominal amount €m
+Interest rate swaps
+Interest rate risk
+Hedge rate for hedging instruments
+0.2
+Carrying amount in €m
+AUD
+1.20
+1.16
+Weighted average hedge rate for hedging instruments
+1,421.8
+39.9
+- 7.4
+Carrying amount in €m
+340.8
+Nominal amount in AUDm
+1.08
+0
+0
+Cost of hedging
+reserve
+1.8
+Reserve for
+cash flow
+hedges forward
+บ
+Cash flow hedge reserve
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+1.56
+Management report
+Deutsche Börse Group | Annual report 2021
+208
+The revaluation surplus for cash shown in other comprehensive income relates to the following hedging
+instruments:
+0
+0
+11.6
+0
+600.0
+Executive and Supervisory Boards
+1.08
+0.14
+- 2.3
+- 11.7
+39.9
+- 0.2
+0.9
+9.9
+€m
+€m
+2020
+2021
+Planned refinancings
+Planned acquisitions
+Intra-group monetary foreign currency items
+Hedging foreign currency risks
+Changes in value of the hedged items in cash flow hedges
+The effects of interest rate and foreign currency hedging instruments on the net assets, financial position
+and results of operations are as follows:
+1.3
+50.4
+Cash flow hedges that qualify for hedge accounting
+We enter into cash flow hedges in various currencies to hedge existing or future transactions. The
+hedged items included in hedge accounting are, on the one hand, intercompany loans in USD and CHF
+and, on the other hand, a highly probable planned business acquisition in AUD. In addition, a highly
+probable planned refinancing of a bond maturing in 2022 was designated in a cash flow hedge to hedge
+the interest rate risk.
+0
+207
+Hedging interest rate risks
+Executive and Supervisory Boards
+2021
+56.3
+Deutsche Börse Group | Annual report 2021
+436.3
+Nominal amount in USDm
+USD
+Carrying amount in €m
+Nominal amount in CHFm
+CHF
+Hedge rate for hedging instruments
+Currency risk
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+Foreign exchange swaps and forward exchange contracts
+บ
+2020
+Forward exchange contracts and foreign exchange swaps were concluded in USD, CHF and AUD and
+are denominated in the same currency as the intercompany foreign currency transactions and the highly
+probable future transactions. Therefore, the hedge ratio is 1:1. The foreign currency hedges in USD will
+mature in 2024. The other foreign currency hedges and the interest rate hedges expire in 2022.
+Hedging transactions in cash flow hedges
+- 78,015.0¹
+- 108,810.4
+from options
+- 126,928.4
+23,152.6
+108,810.4
+from options
+Financial assets
+82,264.9
+- 81,078.2
+58,020.6
+Financial liabilities
+126,856.4
+Financial liabilities from repo
+44,591.5
+- 23,152.6
+- 44,591.5
+81,173.2
+31 Dec 2020
+€m
+31 Dec 2021
+€m
+31 Dec 2020
+€m
+31 Dec 2021
+€m
+31 Dec 2020
+€m
+- 82,336.9
+31 Dec 2021
+€m
+Net amount of financial
+instruments
+transactions
+- 57,925.6
+Management report
+- 78,437.2
+Securities and book-entry securities collateral². 3
+Gross amount of offset financial
+instruments
+Cash collateral (cash deposits) 1,3
+€m
+€m
+31 Dec 2020
+31 Dec 2021
+E
+Composition of collateral held by central counterparties
+Further information
+Remuneration Report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Executive and Supervisory Boards
+78,015.0¹
+Deutsche Börse Group | Annual report 2021
+The aggregate margin calls based on the executed transactions and default fund requirements after
+haircuts was €109,657.0 million as at the reporting date (2020: €62,467.3 million). Collateral
+totalling €126,842.0 million (2020: €79,747.6 million) was actually deposited.
+Securities collateral is generally not derecognised by the clearing member providing the collateral, as the
+opportunities and risks associated with the securities are not transferred to the secure party. Recognition
+at the secure party is only permissible if the clearing member providing the transfer is in default
+according to the underlying contract.
+In addition to these daily collateral payments, each clearing member must make contributions to the
+respective default fund (for further details, see section risk management in the combined management
+report). Cash collateral is reported in the consolidated balance sheet under “cash deposits by market
+participants" and the corresponding amounts under "restricted bank balances".
+As the clearing houses of the Deutsche Börse Group guarantee the settlement of all traded contracts,
+they have established multi-level collateral systems. The central pillar of the collateral systems is the
+determination of the overall risk per clearing member (margin) to be covered by cash or securities
+collateral. Losses calculated on the basis of current prices and potential future price risks are covered up
+to the date of the next collateral payment.
+Cash or securities held as collateral by central counterparties
+1) Due to a correction of the previous year's figures, the gross amounts and thus also the net amounts of financial assets from options decreased by € 89.7 million.
+The financial liabilities from options decreased correspondingly.
+- 29,587.4¹
+- 30,373.2
+48,427.6
+30,373.2
+78,437.2
+29,587.4¹
+- 48,427.6
+215
+E
+213
+Financial assets from repo
+transactions
+Sensitivity analysis of the financial assets and financial liabilities allocated to Level 3 depending
+on unobservable input parameters.
+บ
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+The unobservable inputs can generally consist of a range of values that are considered probable. The
+sensitivity analysis determines the fair values of the financial instruments using input factors that lie at
+the lower or upper limit of the possible range. The fair values of the financial instruments in Level 3
+would change as follows using these inputs:
+375.4
+1.9
+78.6
+298.9
+Balance as at 31 Dec 2021
+Financial assets
+4.9
+0
+4.9
+Gains/(losses) recognised in equity
+7.1
+0
+7.1
+Unrealised gains/(losses) from currency translation
+recognised in equity
+44.9
+0
+0
+44.9
+Changes recognised in the revaluation surplus
+Total
+0
+Derivatives
+Financial liabilities
+Contingent consideration
+Gross presentation of offset financial instruments held by central counterparties
+Offsetting financial instruments
+Further information
+Remuneration Report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+214
+The financial instrument's carrying amount represents a reasonable approximation of fair value for all
+other positions.
+The bonds issued by Deutsche Börse Group have a fair value of €3,722.9 million (31 December 2020:
+€2,784.0 million) and are disclosed under liabilities measured at amortised cost. The fair value of such
+instruments is based on the debt instruments' quoted prices. Due to insufficient market liquidity, the
+debt securities were allocated to Level 2.
+The financial assets measured at amortised cost held by Deutsche Börse Group include debt instruments
+with a fair value of €1,914.7 million (31 December 2020: €1,205.0 million). The fair value of the
+debt instruments was determined by reference to published price quotations in an active market. The
+securities were allocated to Level 1.
+The fair values of the other financial assets and liabilities not measured at fair value were determined as
+follows:
+- 15.3
+1) A possible change in one of the significant unobservable input factors with the other input factors remaining unchanged would have the effects shown in the table
+above.
+7.6
+-2.7
+3.0
+- 3.8
+5.5
+€m
+€m
+Decrease
+Increase
+Fair value change
+Value of equity (10% change)
+Volatility (10% change)
+Expected value of equity (10% change)
+Change input paramter¹
+Gross amount of financial
+instruments
+78,250.7
+Authorised share
+capital |¹
+48,591.2
+Existing shareholders' pre-emptive rights may be disapplied for
+fractioning and/or may be disapplied if the share issue is:
+n/a
+Expiry date
+บ
+19 May 2020 18 May 2025
+19,000,000
+Authorised share
+capital II¹
+19 May 2021 18 May 2026
+19,000,000
+43.8
+Date of
+authori-
+sation by the
+shareholders
+Number
+shares
+Composition of authorised share capital
+Further information
+■ for cash at an issue price not significantly lower than the stock
+exchange price, up to a maximum amount of 10 per cent of
+the nominal capital.
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+217
+Subject to the agreement of the Supervisory Board, the Executive Board is authorised to increase the
+subscribed share capital by the following amounts:
+Changes in equity are presented in the consolidated statement of changes in equity. As at 31 December
+2021 the number of no-par value registered shares of Deutsche Börse AG in issue was 190,000,000
+(31 December 2020: 190,000,000).
+15. Equity
+The increase in other current assets results almost exclusively from the increase in other receivables from
+the CCP business in connection with physical commodity deliveries not yet settled on the spot markets,
+which were subject to high volatility at year-end 2021. Other current liabilities also increased
+correspondingly, see Note 20. These receivables do not belong to the financial assets, as the claims do
+not include receipts of cash or cash equivalents but claims on physical deliveries of commodities.
+548.1
+2,675.6
+10.7
+36.2
+0
+6.3
+Management report
+26.6
+against non-cash contributions for the purpose of acquiring
+companies, parts of companies, interests in companies or
+other assets.
+19,000,000
+Other
+Defined benefit
+obligations
+hedges
+Cash flow
+measured
+at FVOCI
+payments
+Share-based
+investments
+Equity
+E
+Revaluation surplus
+Revaluation surplus
+Further information
+Authorised share
+capital III¹
+Authorised share
+capital IV²
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+218
+There were no further subscription rights to shares as at 31 December 2021 or 31 December 2020.
+The bonds may also be issued by companies based in Germany or abroad that are affiliated with
+Deutsche Börse AG within the meaning of sections 15 ff. Aktiengesetz (AktG, German Stock Corporation
+Act). Accordingly, the share capital was contingently increased by up to €17,800,000 (contingent
+capital 2019). To date, the authorisation to issue convertible bonds and/or bonds with warrants has not
+been exercised.
+The Executive Board is authorised, subject to the consent of the Supervisory Board, to exclude the
+subscription rights of the shareholders in relation to bonds with conversion or option rights to acquire
+shares in Deutsche Börse AG in the following cases: (i) to avoid fractional amounts, (ii) when the issue
+price of a bond is not materially below the theoretical fair value determined in accordance with
+recognised financial techniques and the total number of shares attributable to these bonds does not
+exceed 10 per cent of the share capital, (iii) to grant the holders of conversion or option rights to shares
+of Deutsche Börse AG subscription rights to offset any dilutive effects to the same extent as they would
+be entitled to receive after exercising these rights.
+By resolution of the Annual General Meeting of 8 May 2019, the Executive Board is authorised, subject
+to the consent of the Supervisory Board, to issue in the period until 7 May 2024 on one or several
+occasions convertible bonds and/or warrant-linked bonds or a combination of such instruments with a
+total principal amount of up to €5,000,000,000 with or without a limited term and to grant holders or
+creditors of such bonds conversion or option rights, respectively, to acquire new no-par value registered
+shares in Deutsche Börse AG representing a notional interest in the share capital of up to €17,800,000
+as stipulated in the terms and conditions of convertible bonds or the terms and conditions of the
+warrants attaching to the warrant-linked bonds.
+Contingent capital
+1) Shares may only be issued, excluding shareholders' pre-emptive subscription rights, provided that the aggregate amount of new shares issued excluding
+shareholders' pre-emptive rights during the term of the authorisation (including under other authorisations) does not exceed 20 per cent of the issued share capital.
+2) Shares may only be issued, excluding shareholders' pre-emptive subscription rights, provided that the aggregate amount of new shares issued excluding shareholders' pre-
+emptive rights during the term of the authorisation (including under other authorisations) does not exceed 10 per cent of the issued share capital.
+17 May 2017 16 May 2022 n/a
+6,000,000
+19 May 2020 18 May 2024 n/a
+Financial statements and notes | Notes on the consolidated statement of financial position
+38,193.0
+15.3
+47.8
+15.1
+0
+4.1
+0
+1.2
+0
+2.9
+€m
+€m
+31 Dec 2020
+31 Dec 2021
+Total
+Short-term contract liabilities
+13.8
+Long-term contract liabilities
+Total
+Current contract costs
+Non-current contract costs
+Contract costs
+Contract balances
+The Group has recognised the following other contract assets and liabilities:
+13. Contract balances
+3) The collateral value is determined on the basis of the fair value less a haircut
+2) The amount includes the clearing fund totalling €2,995.7 million (2019: € 2,294.1 million).
+1) The amount includes the clearing fund totalling €5,943.5 million (2019: € 4,600.8 million).
+79,747.6
+126,842.0
+41,554.6
+Contract liabilities
+28.9
+136.3
+151.4
+67.6
+93.0
+414.3
+2,477.0
+€m
+€m
+31 Dec 2020
+31 Dec 2021
+Total
+Miscellaneous
+Crypto assets
+Interest receivables on taxes
+Tax receivables (excluding income taxes)
+30.5
+Prepaid expenses
+Composition of other current assets
+14. Other current assets
+The total transaction price allocated to performance obligations that have not been satisfied in full as at
+31 December 2021 for multi-year contracts that are not invoiced on a variable basis as performance
+obligations are satisfied is €148.3 million. We anticipate that €75.5 million of the transaction price will
+be recognised as revenue in the next reporting period. The remaining €72.7 million will be recognised in
+subsequent financial years.
+บ
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+216
+Contract liabilities are generally advance payments by customers for performance obligations that have
+not yet been satisfied in full. The increase in contract liabilities mainly results from changes in the basis
+of consolidation amounting to €117.3 million. The €34.4 million included in contract liabilities as at 31
+December 2020 (2020: €30.0 million) was recognised as revenue in 2021. Contract liabilities are
+presented in the consolidated statement of financial position in “Other non-current liabilities" and "Other
+current liabilities".
+Contract costs are “incremental costs of obtaining a contract" within the meaning of IFRS 15 and include
+sales commissions. The Group only recognises the costs of obtaining a contract as an asset for multi-
+year contracts. The recognised costs are amortised in line with revenue recognition. Total amortisation
+came to €1.6 million in 2021 (2020: €0 million) and is shown in the consolidated income statement
+under depreciation, amortisation and impairment losses. Other contract assets are presented in the
+consolidated statement of financial position in “Other non-current assets" and "Other current assets".
+44.3
+Other receivables from CCP transactions (commodities)
+0
+0
+34.1
+0
+1.5
+172.6
+0
+174.1
+87,693.6¹
+Total liabilities
+Other current financial liabilities
+0
+80,609.5¹
+0
+80,609.5¹
+counterparties
+0
+1.5
+0
+1.5
+0
+6,908.5¹
+0
+6,908.5¹
+Other non-current financial liabilities
+Non-current financial instruments held by central
+counterparties
+loss (FVPL)
+Financial liabilities measured at fair value through profit or
+LIABILITIES
+141.0
+87,621.4¹
+87,692.1¹
+1.5
+1) Due to a correction of the previous year's figures non-current financial assets held by central counterparties decreased by €26.2 million and current financial assets
+held by central counterparties by €63.6 million. The current and non-current liabilities oft the central counterparties decreased correspondingly.
+The other non-current and current assets and liabilities included in the Level 2 hierarchy include foreign
+currency forwards. The basis for measuring the market value of the foreign currency forwards is the
+forward rate at the reporting date for the remaining term. They are based on observable market prices.
+The basis for measuring the market value of financial instruments held by central counterparties are
+market transactions for identical or similar assets on non-active markets and option pricing models
+based on observable prices.
+Measurement by means of price
+higher (lower)
+- the volatility were
+higher (lower)
+of the equity were
+- the expected value
+The estimated fair
+value would go up
+(down), if:
+Connection between
+material unobser-
+vable inputs and fair
+value measurement
+4
+บ
+Contingent purchase price components
+Net asset value
+Interests in institutional investment funds
+20.7
+Adjusted prices for
+assets on inactive
+markets
+Internal Black-Scholes
+option pricing
+model
+Measurement Method
+Strategic investments
+Derivates
+Financial instrument
+Measurement methods and inputs for the fair value hierarchy Level 3
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+211
+The following table shows the valuation techniques including the significant unobservable inputs used to
+determine the fair value of financial instruments (FVPL) in Level 3.
+Material unobservable inputs
+Value of equity
+Volatility
+87,783.0¹
+Total assets
+34.0
+4.9
+4.9
+107.0
+0
+0
+107.0
+Level 3
+€m
+Level 2
+€m
+€m
+€m
+Level 1
+บ
+thereof attributable to:
+0
+31 Dec 2020
+Financial assets measured at fair value through profit or
+Total
+Debt instruments
+Strategic investments
+Financial assets measured at fair value through other
+comprehensive income (FVOCI)
+ASSETS
+Fair value hierarchy previous year
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+€m
+Fair value as at
+n/a
+0
+4.9
+87,621.4¹
+15.8
+87,671.1¹
+Total
+7.6
+8.1
+0
+15.7
+Other current financial assets
+0
+80,704.5¹
+0
+80,704.5¹
+111.9
+counterparties
+26.4
+0.2
+15.8
+42.4
+0
+6,908.5¹
+0
+6,908.5¹
+Other non-current financial assets
+Non-current financial instruments held by central
+counterparties
+loss (FVPL)
+107.0
+0
+Current financial instruments held by central
+adjustments for assets on inactive markets
+A descriptive sensitivity analysis is not
+used here for this reason.
+Discounted-cash flow-
+- 1.5
+34.0
+107.0
+Balance as at 31 Dec 2020
+- 3.6
+0
+- 3.6
+recognised in equity
+Unrealised gains/(losses) from currency translation
+26.6
+0
+0
+26.6
+139.4
+Changes recognised in the revaluation surplus
+0
+2.3
+0
+Result from financial investments
+-0.3
+0
+- 0.3
+0
+Other operating expenses
+7.3
+- 0.3
+7.6
+0
+2.3
+Other operating income
+Acquisitions from business combinations
+0.8
+7.8
+1.5
+6.4
+0
+51.7
+1.5
+16.1
+34.1
+Result from financial investments
+Other operating income
+or loss
+Unrealised capital gains/(losses) recognised in profit
+37.0
+0
+0
+37.0
+Reclassifications
+- 21.9
+- 12.8
+- 9.1
+Disposals
+111.5
+- 1.9
+40.4
+73.0
+Additions
+0.8
+0
+0
+9.8
+9.3
+9.6
+Balance as at 1 Jan 2020
+€m
+€m
+€m
+€m
+Financial
+liabilities
+measured at fair
+value through
+profit or loss
+profit or loss
+measured at fair
+value through
+Strategic
+investments
+Financial assets
+Total
+Liabilities
+Assets
+53.8
+Changes in Level 3 financial instruments
+บ
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+212
+- the expected value
+of the equity were
+higher (lower)
+The estimated fair
+value would go up
+(down), if:
+n/a
+model
+Value of equity
+These investments include private equity
+funds and alternative investments held
+by Deutsche Börse Group They are valued
+by the fund manager based on net asset
+value. Net asset value is determined
+using non-public information from the
+respective private equity managers.
+Deutsche Börse Group only has limited
+insight into the specific inputs used by the
+fund managers; a descriptive sensitivity
+analysis is therefore not used here.
+The table below shows the reconciliation of the opening balance to the closing balance for Level 3 fair
+values.
+-0.3
+17.5
+- 16.7
+0
+or loss
+Unrealised capital gains/(losses) recognised in profit
+2.2
+2.2
+0
+0
+Other operating income
+2.2
+2.2
+0
+0
+loss
+- 87.9
+Realised capital gains/(losses) recognised in profit or
+87.8
+- 6.7
+5.2
+Reclassifications
+- 0.9
+- 0.9
+0
+Disposals
+36.2
+- 3.3
+14.5
+25.0
+Additions
+86.3
+Current financial instruments held by central
+€m
+€m
+0.1
+- 159.3
+0.9
+- 155.8
+0
+22.5
+- 40.0
+- 177.6
+- 1.2
+- 196.3
+1.3
+61.7
+9.2
+- 132.8
+- 1.1
+- 61.7
+1) The position recognition of hidden reserves from fair value measurement, which was included in the previous year, was retroactively allocated to the retained earnings.
+4.3
+Retained earnings
+0
+Balance as at 31 Dec 2020 (net)
+0.4
+58.0
+Reversals
+0
+- 13.0
+- 3.5
+- 16.0
+0
+- 32.5
+Balance as at 31 Dec 2021
+0
+- 22.3
+- 3.4
+50.8
+0.4
+25.5
+Balance as at 1 Jan 2020 (net)
+Balance as at 31 Dec 2021 (net)
+The "retained earnings" item includes exchange rate differences amounting to €133.9 million
+(2020: €-98.3 million).
+219
+Deutsche Börse Group | Annual report 2021
+31 Dec 2021
+Number
+31 Dec 2020
+Number of shares issued as at 31 December
+Number of treasury shares as at the reporting date
+Number of shares outstanding as at 31 December
+190,000,000
+- 6,381,218
+183,618,782
+Number
+190,000,000
+- 6,478,743
+183,521,257
+The proposal on the appropriation of distributable profit reflects treasury shares held directly or indirectly
+by the company that do not carry dividend rights under section 71b Aktiengesetz (AktG, the German
+Stock Corporation Act). The number of shares carrying dividend rights can change until the Annual
+General Meeting through the repurchase or sale of further treasury shares. In this case, with a dividend
+of €3.20 per eligible share, an amended resolution for the appropriation of distributable profit will be
+proposed to the Annual General Meeting.
+17. Provisions for pensions and other employee benefits
+Defined benefit pension plans
+Provisions for pensions and similar obligations are measured using the projected unit credit method on
+the basis of actuarial reports. Calculating the present value requires certain actuarial assumptions (e.g.
+discount rate, staff turnover rate, salary and pension trends) to be made. The current service cost and
+the net interest expense or income for the subsequent period are calculated on the basis of these
+assumptions.
+220
+Total¹
+No-par value shares carrying dividend rights
+587.6
+32.4
+620.0
+- 323.3
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+บ
+16. Shareholders' equity and appropriation of net profit of Deutsche Börse AG
+The annual financial statements of the parent company Deutsche Börse AG, prepared as at
+31 December 2021 in accordance with the provisions of Handelsgesetzbuch (HGB, the German
+Commercial Code), report net profit for the period of €943.3 million) (2020: €1,161.9 million) and
+equity of €3,919.9 million (2020: €3,511.8 million). In 2021, Deutsche Börse AG distributed
+€550.6 million (€3.00 per share) from distributable profit for the previous year.
+66.8
+Proposal on the appropriation of the unappropriated surplus
+Appropriation to other retained earnings in the annual financial statements
+Unappropriated surplus
+Proposal by the Executive Board:
+Distribution of a regular dividend to the shareholders of €3.20 per share for 183,618,782 no-par value shares carrying
+dividend rights
+Appropriation to retained earnings
+31 Dec 2021
+€m
+943.3
+Net profit for the period
+0.1
+€m
+0
+0
+0
+- 14.6
+Balance as at 31 Dec 2020 (gross)
+0
+31.8
+- 40.1
+- 244.4
+- 1.6
+- 254.3
+Changes from defined benefit
+obligations
+0
+60.8
+0.1
+60.9
+Changes from share-based
+- 40.3
+payments
+25.7
+Fair value measurement
+- 9.3
+€m
+€m
+0
+6.1
+0.2
+- 219.2
+- 1.2
+- 214.1
+Changes from defined benefit
+obligations
+0
+0
+0
+- 25.2
+-0.4
+- 25.6
+0
+1.3
+Balance as at 1 Jan 2020 (gross)
+0
+- 0.1
+59.9
+0.3
+58.3
+Additions
+0
+0
+0.2
+6.9
+0.1
+7.2
+Reversals
+0
+-7.5
+0
+- 7.5
+0
+- 1.8
+0
+0
+Deferred taxes
+0
+Balance as at 1 Jan 2020
+0
+1.3
+Fair value measurement
+0
+52.2
+52.7
+0
+Balance as at 31 Dec 2020
+104.9
+0
+1.5
+- 183.6
+- 87.2
+84.0
+Balance as at 31 Dec 2021 (gross)
+1.3
+12.6
+Cash
+2.9
+Interest rate futures
+-0.2
+0.1
+Investment funds
+31.2
+5.9
+6.1
+3.0
+436.9
+82.0
+381.0
+82.0
+Qualifying insurance policies
+28.1
+Total listed
+0.5
+0.6
+402.9
+Total not listed
+75.6
+349.9
+75.3
+Government bonds
+241.2
+Stock index futures
+211.5
+144.4
+0
+17.3
+138.4
+Derivatives
+2.8
+3.0
+Multilateral development banks
+Corporate bonds
+In addition to the general actuarial risks, the risks associated with the defined benefit obligations relate
+especially to financial risks in connection with the plan assets, including in particular counterparty credit
+and market risks.
+42.8
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+E
+Market risk
+The return on plan assets is assumed to be the discount rate determined on the basis of corporate bonds
+with an AA rating. If the actual rate of return on plan assets is lower than the discount rate used, the net
+defined benefit liability increases accordingly. If volatility is low, the actual return is further expected to
+exceed the return on corporate bonds with a good rating in the medium to long term. The level of the net
+liability is influenced by the discount rates in particular, whereby the current low interest rates contribute
+to a relatively high net liability. We consider the share price risk resulting from derivative positions in
+equity index futures in the plan assets to be appropriate. The company bases its assessment on the
+expectation that the overall volume of payments from the pension plans will be manageable in the next
+few years, that the total amount of the obligations will also be manageable and that it will be able to
+meet these payments in full from operating cash flows. Any amendments to the investment policy take
+into account the duration of the pension obligation as well as the expected payments over a period of ten
+years.
+Executive and Supervisory Boards
+Inflation risk
+Duration and expected maturities of the pension obligations
+The weighted duration of the pension obligations as at 31 December 2021 is 15.6 years
+(2020: 16.6 years).
+Expected maturities of undiscounted pension payments
+Less than 1 year
+Between 1 and 2 years
+Between 2 and 5 years
+Bonds
+Possible inflation risks that could lead to an increase in defined benefit obligations exist because some
+pension plans are final salary plans or the annual capital components are directly related to salaries, i.e.
+a significant increase in salaries would lead to an increase in the benefit obligation from these plans. In
+Germany, however, there are no contractual arrangements with regard to inflation risk for these pension
+plans. An interest rate of 6 per cent p.a. has been agreed for the employee-financed deferred
+compensation plan; the plan does not include any arrangements for inflation, so that it has to be
+assumed that there will be little incentive for employees to contribute to the deferred compensation plan
+in times of rising inflation. In Luxembourg, salaries are adjusted for the effects of inflation on the basis of
+a consumer price index no more than once a year; this adjustment leads to a corresponding increase in
+the benefit obligation from the pension plan. Since the obligation will be met in the form of a capital
+payment, there will be no inflation-linked effects once the beneficiary reaches retirement age.
+Total plan assets
+Deutsche Börse Group | Annual report 2021
+Risks
+8.0
+31.8
+6.8
+53.3
+10.0
+51.6
+11.1
+226
+96.2
+83.4
+18.0
+533.1
+100.0
+464.4
+100.0
+As at 31 December 2021 the plan assets did not include any financial instruments of the Group (2020:
+zero). Neither did they include any properties or other assets used by companies in Deutsche Börse
+Group.
+18.0
+%
+Pension growth
+%
+-14.7
+Reduction by 1.0 percentage point
+707.9
+17.4
+746.9
+18.4
+Salary growth
+537.8
+Increase by 0.5 percentage points
+1.7
+642.1
+1.8
+Reduction by 0.5 percentage points
+593.4
+-1.6
+619.3
+613.5
+-1.8
+-13.9
+Increase by 1.0 percentage point
+In Germany, the "2018 G" mortality tables (generation tables) developed by Prof Klaus Heubeck are
+used. For Luxembourg, generation tables of “Institut national de la statistique et des études économiques
+du Grand-Duché de Luxembourg" are used.
+Sensitivity analysis
+The sensitivity analysis presented in the following considers the change in one assumption of the main
+plans in Germany and Luxembourg at a time, leaving the other assumptions unchanged from the original
+calculation, i.e. possible correlation effects between the individual assumptions are not taken into
+account.
+Sensitivity of defined benefit obligation
+Change in actuarial assumption Effect on defined benefit obligation
+2021
+2020
+519.2
+Defined benefit
+Change
+%
+Defined benefit
+obligation
+€m
+Change
+%
+Present value of the obligation
+Discount rate
+603.1
+630.6
+obligation
+€m
+€m
+More than 5 years up to 10 years
+615.3
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+บ
+225
+Composition of plan assets
+In Germany, plan assets are held by a trustee in safekeeping for individual companies of the Group and
+for the beneficiaries. At the company's instruction, the trustee uses the funds transferred to acquire
+securities, without any consulting by the trustee. The contributions are invested in accordance with an
+investment policy, which may be amended by the companies represented in the investment committee.
+The trustee may refuse to carry out instructions if they are in conflict with the fund's allocation rules or
+the payment provisions. In accordance with the investment policy, a value preservation mechanism is
+applied; investments can be made in different asset classes.
+Luxembourg
+In Luxembourg, the Board of Directors of the Clearstream Pension Fund is responsible for determining
+the investment strategy, with the aim of maximising returns in relation to a benchmark. This benchmark
+is 75 per cent derived from the return on five-year German federal government bonds and 25 per cent
+from the return on the EURO STOXX 50 Index. According to the investment policy, the fund may only
+invest in fixed-income and variable-rate securities, as well as listed investment fund units; it may hold
+cash, including in the form of money market funds.
+Composition of plan assets
+31 Dec 2021
+31 Dec 2020
+€m
+Germany
+Increase by 0.5 percentage points
+-3.3
+-3.1
+2.0
+643.8
+2.1
+Reduction by 0.5 percentage points
+591.4
+-1.9
+617.2
+609.9
+-2.1
+Increase by one year
+621.0
+3.0
+650.1
+3.1
+Reduction by one year
+584.6
+Life expectancy
+Total
+Other long-term employee benefits
+Expected pension payments¹
+147.10
+138.45
+1.5
+1.5
+0.0
+2019
+6,409
+147.10
+147.10
+101.71
+0.7
+0.0
+0.7
+2020
+7,739
+147.10
+10,596
+2018
+0.0
+31 Dec 2021
+31 Dec 2021
+€
+€
+€
+obligation
+€m
+31 Dec 2021
+€m
+147.10
+31 Dec 2021
+2017
+45
+147.10
+136.00
+136.00
+0.0
+0.0
+€m
+147.10
+66.39
+0.5
+2020
+Average price of the exercised
+share options
+Average price of the forfeited
+share options
+€
+€
+135.97
+2019
+130.51
+104.78
+140.38
+74.02
+142.26
+50.56
+The stock options from the 2017 SBP tranche were exercised in the reporting period following the
+expiration of the waiting period. Shares of the SBP tranches 2018, 2019 and 2020 were paid to former
+employees as part of severance payments in the year under review.
+The carrying amount of the provision for the SBP results from the measurement of the number of SBP
+stock options at the fair value of the closing auction price of Deutsche Börse shares in electronic trading
+at the Frankfurt Stock Exchange at the reporting date and its proportionate recognition over the waiting
+period.
+138.55
+provision at
+2018
+Tranche
+0.0
+0.5
+2021
+9,768
+147.10
+147.10
+32.48
+2017
+0.3
+0.3
+Total
+34,557
+3.0
+1.5
+1.5
+Average price of the exercised and forfeited share options
+0.0
+Non-current
+Current
+provision at
+Settlement
+Further information
+Defined contribution pension plans and multi-employer plans
+Defined contribution plans
+บ
+There are defined contribution plans as part of the occupational pension system using pension funds
+and similar pension institutions. In addition, contributions are paid to the statutory pension insurance
+scheme. The level of contributions is normally determined in relation to income. As a rule, no provisions
+are recognised for defined contribution plans. The contributions paid are reported as pension expenses
+in the year of payment. There are defined contribution pension plans for employees in several countries.
+In addition, the employer pays contributions to employees' private pension funds.
+During the reporting period, the costs associated with defined contribution plans amounted to
+€43.5 million (2020: €37.0 million).
+Multi-employer plans
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Amongst other financial institutions, several Deutsche Börse Group companies are member institutions
+of BVV Versicherungsverein des Bankgewerbes a.G., a pension insurance provider with registered office
+in Berlin. Employees and employers make regular contributions, which are used to provide guaranteed
+pension plans and a potential surplus. The contributions to be made are derived from contribution rates
+applied to active employees' monthly gross salaries, taking into account specific financial thresholds.
+Member institutions have a subsidiary liability for the fulfilment of BVV's agreed pension benefits.
+However, we consider the risk that this liability will be invoked as remote. Given that BVV membership is
+governed by several Works Council Agreements, membership termination is subject to certain conditions.
+The notice period is specified in the BVV constitution. The subsidiary liability for the reached entitlement
+of each employee remains with the employer after the membership termination. Deutsche Börse Group
+considers BVV pension obligations as multi-employer defined benefit pension plans. However, we
+currently lack information regarding the allocation of BVV assets to individual member institutions and
+the respective beneficiaries. Moreover, we do not know Deutsche Börse Group's actual share in BVV's
+total obligations. This plan is therefore shown in the Group's financial reporting as a defined contribution
+plan. On the basis of current information published by BVV there is no shortfall that could affect the
+future contributions payable by the Group. Deutsche Börse group is not liable for other BVV members'
+obligations.
+During the reporting period, the costs associated with designated multi-employer plans, amounted to
+€10.3 million (2020: €10.0 million). In 2022 we expect to make contributions to multi-employer plans
+amounting to around €10.2 million.
+228
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+EPEX Netherlands B.V. participates in the ABP pension fund within the EEX subgroup. Participation is
+mandatory for all employees. Employer contributions are calculated by ABP and adjusted, if necessary.
+Since the allocation of assets to member institutions and beneficiaries is not possible, this pension plan
+can also be presented only as a defined contribution plan.
+Further information
+Management report
+Deutsche Börse Group | Annual report 2021
+31 Dec 2021
+31 Dec 2020
+€m
+€m
+16.7
+15.7
+13.5
+Executive and Supervisory Boards
+15.6
+50.1
+161.6
+144.6
+248.8
+226.0
+The expected costs of defined benefit plans (excluding service cost for deferred compensation) amount to
+approximately €15.2 million plus €1.5 million for the net interest expense.
+227
+57.0
+1) The expected payments in Swiss francs were translated into euros at the relevant closing rate on 31 December.
+Other long-term employee benefits
+Pensions obligations (IHK)
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+E
+229
+Evaluation of the SBP
+Valuation of SBP shares
+Tranche
+Balance at
+31 Dec 2021
+Number
+Deutsche Börse
+AG share price at
+31 Dec 2021
+Intrinsic value/
+option at
+Deutsche Börse Group | Annual report 2021
+Fair value/
+option at
+To determine the fair value of the stock options the intrinsic value of the additional pro rata stock options
+is calculated, which also includes an expectation about future dividend payments.
+2.00
+The number of stock options is determined by the amount of the individual and performance-based SBP
+bonus for the financial year, divided by the average share price (Xetra closing price) of Deutsche Börse
+AG's shares in the fourth quarter of the financial year in question. Neither the converted SBP bonus nor
+the stock options are paid at the time the bonus is determined. Rather, the entitlement is generally
+received three years after the grant date (the "waiting period"). Within this period, beneficiaries cannot
+assert shareholder rights (in particular, the rights to receive dividends and attend the Annual General
+Meeting). Once they have met the condition of service, the beneficiaries' claims resulting from the SBP
+are calculated on the first trading day following the last day of the waiting period. The current market
+price at that date (closing auction price of Deutsche Börse shares in electronic trading on the Frankfurt
+Stock Exchange) is multiplied by the number of stock options. Stock options are settled in cash.
+Stock Bonus Plan (SBP)
+Jubilee
+Total
+E
+31 Dec 2021
+31 Dec 2020
+€m
+€m
+The SBP is open to senior executives of Deutsche Börse AG and its participating subsidiaries. It grants a
+long-term remuneration component in the form of so-called SBP shares. These are generally accounted
+for as share-based payments for which Deutsche Börse AG has a choice of settlement in cash or equity
+instruments for certain tranches. Tranches due in previous years were each settled in cash. In the
+reporting period, the company established an additional tranche of the SBP for senior executives who
+are not risk takers. In order to participate in the SBP, a beneficiary must have earned a bonus. The
+awards are settled in cash and the SBP shares are measured as cash-settled share-based payment
+transactions. The cost of the options is estimated using an option pricing model (fair value
+measurement) and recognised in staff costs in the consolidated income statement.
+7.7
+6.0
+6.2
+13.7
+14.6
+The obligation arising from partial retirement agreements is reported under other current assets, as the
+allocated plan assets exceed the corresponding liability.
+18. Share-based payment
+Deutsche Börse Group operates the Group Share Plan (GSP), the Stock Bonus Plan (SBP), the Co-
+Performance Investment Plan (CPIP), the Performance Share Plan (PSP) and the Management Incentive
+Programme (MIP) as well as the Long-term Sustainable Instrument (LSI) and the Restricted Stock Units
+(RSU), which provide share-based payment components for employees, senior executives and executive
+board members.
+8.5
+2.00
+In the 2021 financial year, employees converted a total of €5.0 million (2020: €4.8 million) of their
+variable remuneration into deferred compensation benefits.
+2.00
+672.2
+Essentially, the retirement benefits encompass the following retirement benefit plans:
+Executive boards of Group companies (Germany and Luxembourg)
+Individual commitment plans exist for executive board members of certain Group companies; they are
+based on the plan for executives described in the second paragraph below, i.e. in each calendar year the
+company provides an annual contribution to a capital component calculated in accordance with actuarial
+principles. The benefit assets equal the total of the acquired capital components of the individual years
+and are converted into a lifelong pension once the benefits fall due. In addition, retirement benefit
+agreements are in place with members of the executive boards of Group companies, under which they
+are entitled to pension benefits upon reaching the age of 63 and following reappointment. When the
+term of office began, the replacement rate was 30 per cent of individual pensionable income. It rose by
+5 percentage points with each reappointment, up to a maximum of 50 per cent of pensionable income.
+Germany
+There is an employee-funded deferred compensation plan for employees of certain Deutsche Börse
+Group companies in Germany who joined prior to 1 January 2019. Under this plan, it is possible to
+convert portions of future remuneration entitlements into benefit assets of equal value which bear
+interest of 6 per cent p.a. The benefits consist of a capital payment made in equal annual instalments
+over a period of three years upon the reaching the age of 65 or at an earlier date due to disability or
+death.
+In the period from 1 January 2004 to 30 June 2006, executives in Germany were offered the
+opportunity to participate in the following pension system based on capital components: the benefit is
+based on annual income received, composed of fixed annual salary and the variable remuneration. Every
+year, participating Group companies provide for an amount that corresponds to a certain percentage of
+the pensionable income. The participating companies provide an amount corresponding to a specific
+percentage of this eligible income every year. This amount is multiplied by a capitalisation factor
+depending on age, resulting in the annual capital component. The benefit assets equal the total of the
+acquired capital components of the individual years and are converted into a lifelong pension once the
+benefits fall due. This benefit plan was closed to new staff on 30 June 2006; the executives who were
+employed in the above period can continue to earn capital components.
+668.6
+222
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+บ
+As part of adjustments to the remuneration systems to bring them into line with supervisory
+requirements contracts were adjusted for some executives. For executives affected, whose contracts
+allowed for the inclusion of only the income received and the variable remuneration above the upper
+limit of the contribution assessment as pensionable income, the pensionable income was determined on
+the basis of income received from the year 2016. This is adjusted annually to account for the increase of
+the cost of living according to the consumer price index for Germany as issued by the Federal Statistical
+Office. For executives affected, whose capital components were calculated on the basis of income
+received, without observing the upper limit of the contribution assessment, an amount has been
+determined that will be reviewed annually and adjusted if necessary, by the Supervisory Board, taking
+any changes in circumstances in terms of income and purchasing power into account.
+Deutsche Börse Group | Annual report 2021
+Luxembourg
+65.0
+519.0
+353.1
+347.0
+Former employees with vested
+entitlements
+Pensioners or surviving dependants
+Total
+184.5
+84.6
+9.1
+193.6
+206.8
+118.4
+0.6
+2.9
+121.9
+118.4
+0
+62.1
+The defined benefit pension plan in favour of Luxembourg employees is funded by means of cash
+contributions to an "association d'épargne pension" (ASSEP) organised in accordance with Luxembourg
+law. The benefits consist of a one-off capital payment, which is generally paid upon reaching the age of
+65. Employees receive an annual account statement showing their current balance. The pension plan
+does not pay any benefits in the event of death or disability. Contributions to the ASSEP are funded in
+full by the participating companies. The contributions are determined annually on the basis of actuarial
+opinions in accordance with Luxembourg law.
+Deutsche Börse Group | Annual report 2021
+Balance as at 1 Jan
+672.2
+621.6
+- 464.4
+- 428.2
+207.8
+157.2
+€m
+Current service cost
+26.2
+0
+0
+27.9
+26.2
+Interest expense/(income)
+4.7
+27.9
+223
+2020
+2020
+€m
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+Changes in net defined benefit obligations
+Present value of
+obligations
+2021
+€m
+Fair value of plan
+assets
+E
+4
+2021
+2020
+€m
+€m
+2021
+€m
+Total
+6.0
+74.9
+Eligible current employees
+83.9
+65.4
+31 Dec 2021
+€m
+663.1
+Total
+31 Dec 2020
+€m
+666.7
+obligations that are at least partially
+funded
+Fair value of plan assets
+513.8
+414.1
+- 55.2
+- 533.1
+- 464.4
+Funded status
+99.7
+20.1
+10.2
+- 63.8
+130.0
+Present value of defined benefit
+€m
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+บ
+The fair value of the plan assets is deducted from the present value of the pension obligations, if
+necessary taking into account the regulations on the upper limit of the value of plan assets in excess of
+the obligation (so-called asset ceiling), so that the net pension obligation or the asset value from the
+defined benefit plans results.
+Net interest expense for the financial year is calculated by applying the discount rate determined at the
+beginning of the financial year to the net defined benefit liability determined as at that date.
+Other
+€m
+The relevant discount rate is determined by reference to the return on long-term corporate bonds with a
+rating of at least AA (Moody's Investors Service, S&P Global Ratings, Fitch Ratings and DBRS) on the
+basis of the information provided by Bloomberg and a maturity that corresponds approximately to the
+maturity of the pension obligations. Moreover, the bonds must be denominated in the same currency as
+the underlying pension obligation. Measurement of the pension obligations in euros is based on a
+discount rate which is determined according to the adjusted "Global Rate: Link" methodology from the
+advisory company Willis Towers Watson, updated in line with the current market trend.
+Other long-term benefits for employees and members of executive boards (e.g. total disability pension,
+transitional payments) are also measured using the projected unit credit method. Actuarial gains and
+losses and past service cost are recognised immediately and in full through profit or loss.
+The defined benefit obligations of the companies of Deutsche Börse Group relate primarily to final salary
+arrangements and pension plans based on capital components, which guarantee employees a choice of
+either lifelong pensions or capital payments on the basis of the final salary paid. Deutsche Börse Group
+uses external trust solutions to cover some of its pension obligations.
+Net liability of defined benefit obligations
+Total
+Germany
+Luxembourg
+€m
+The actuarial gains or losses and the difference between the expected and the actual return or loss on
+plan assets are recognised in other comprehensive income in the revaluation surplus. They result from
+changes in expectations with regard to life expectancy, pension trends, salary trends and the discount
+rate.
+216.1
+Present value of unfunded obligations
+0.6
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+บ
+The defined benefit plans comprise a total of 4,156 beneficiaries (2020: 2,882). The present value of
+defined benefit obligations can be allocated to the beneficiaries as follows:
+Allocation of the present value of the defined benefit obligation to the beneficiaries
+Total
+Management report
+Total
+Luxembourg
+€m
+Other
+€m
+31 Dec 2021
+31 Dec 2020
+€m
+€m
+Germany
+€m
+4.8
+Executive and Supervisory Boards
+221
+0.1
+5.5
+202.3
+5.5
+Net liability of defined benefit
+104.5
+20.7
+10.3
+Deutsche Börse Group | Annual report 2021
+135.5
+obligations
+Amount recognised in the balance sheet
+104.5
+20.7
+10.3
+135.5
+207.8
+207.8
+2.00
+- 3.3
+1.4
+0.3
+0
+-0.3
+0
+Changes in the basis of consolidation
+Balance as at 31 Dec
+11.0
+12.1
+0
+- 9.8
+1.2
+3.6
+668.6
+672.2
+- 533.1
+- 464.4
+135.5
+- 8.5
+207.8
+-0.6
+0.6
+0
+0
+0
+Settlements
+0
+0
+0
+Reclassification to "Held for Sale"
+0
+0
+Tax and administration costs
+- 0.7
+0.8
+1.3
+1.4
+0.6
+0
+0
+Provisions for the SBP amounting to €3.0 million were recognised at the reporting date of 31 December
+2021 (31 December 2020: €3.4 million). The total expense for SBP stock options in the reporting
+period amounted to €1.3 million (2020: €1.5 million).
+Provisions for pension plans and other employee benefits are measured annually at the reporting date
+using actuarial techniques. The assumptions for determining the actuarial obligations for the pension
+plans differ according to the individual conditions in the countries concerned and are shown in the
+following table:
+%
+%
+%
+%
+1.10
+1.10
+0.70
+Luxembourg
+0.70
+3.30
+3.00
+3.30
+2.00
+n/a
+1.90
+n/a
+3.00
+Assumptions
+Germany
+Germany
+224
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+Luxembourg
+บ
+Discount rate
+Salary growth
+Pension growth
+Staff turnover rate¹
+1) Up to the age of 50, afterwards 0 per cent
+31 Dec 2021
+31 Dec 2020
+Actuarial assumptions
+- 4.1
+0
+Withdrawal from plan assets
+- 20.2
+6.0
+Adjustments to demographic assumptions
+- 2.3
+0
+0
+0
+6.0
+- 2.3
+Adjustments to financial assumptions
+- 38.0
+25.1
+0
+- 38.0
+25.1
+Experience adjustments
+0
+- 0.9
+- 20.2
+0
+1.9
+Past service cost
+0
+0.3
+0
+0
+0
+0
+0.3
+32.5
+- 3.3
+- 4.1
+29.3
+28.4
+Remeasurements
+Return on plan assets, excluding amounts
+already recognised in interest income
+32.6
+0
+- 5.8
+0
+- 42.9
+- 43.6
+Plan participants
+1.4
+0.9
+- 1.4
+-0.9
+- 43.6
+0.0
+Benefit payments
+- 8.7
+- 13.5
+8.7
+13.5
+0.0
+0
+0
+0
+- 42.9
+0
+- 0.9
+- 5.8
+- 41.2
+19.3
+- 20.2
+6.0
+- 61.4
+0
+25.3
+2.7
+0.1
+- 1.6
+1.1
+0.1
+Contributions:
+Employers
+Effect of exchange rate differences
+230
+-0.2
+- 4.0
+n/a
+n/a
+n/a
+175.00
+%
+n/a
+n/a
+n/a
+n/a
+n/a
+150.00
+Growth rate Earnings per Share %
+ESG-Target Achievement
+182.10
+149.97
+144.13
+n/a
+n/a
+Valuation of CPIP and PSP shares
+Tranche
+38,420.1
+1,467.3
+78,542.0
+1,029.6
+- 72.0
+15,799.7
+- 2,019.0
+- 15,914.3
+2,966.5
+- 78,292.5
+120.80
+2,040.0
+16,225.1
+- 1,919.7
+- 14,630.0
+1,037.7
+- 38,188.8
+2,506.7
+240
+Balance as at
+31 Dec 2021
+95.0
+119.59
+n/a
+%
+To determine the fair value of the subscription rights, the intrinsic value of the additional pro rata
+subscription rights is calculated, which also includes an expectation about future dividend payments.
+Evaluation of the CPIP and the PSP
+In the financial year 2015, a new remuneration programme (Co-Performance Investment Plan, CPIP)
+was introduced, and the former CEO of Deutsche Börse AG, Carsten Kengeter, was offered a one-time
+participation. The appropriate number of phantom shares was calculated based on the number of shares
+granted and the increase of Deutsche Börse AG's net profit for the period attributable to shareholders of
+Deutsche Börse AG, as well as on the relative performance of the total shareholder return (TSR) on
+Deutsche Börse AG's shares compared with the total shareholder return of the STOXX Europe 600
+Financials Index entities. The performance period for the measurement of the performance criteria
+commenced on 1 January 2015 and ends on 31 December 2019. The shares are subject to a
+performance period of five years and a waiting period until 31 December 2019. The payment of the
+stock bonus was settled in cash and paid in full as at 31 March 2021.
+Co-Performance Investment Plan (CPIP)
+บ
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Valuation parameters for CPIP and PSP shares
+Management report
+Deutsche Börse Group | Annual report 2021
+233
+The payout amount is calculated by multiplying the final number of performance shares with the average
+share price of Deutsche Börse AG's shares (Xetra closing price) in the last calendar month preceding the
+performance period, plus the total of dividend payments made during the performance period based on
+the final number of performance shares. In the reporting year, PSP shares of tranche 2016 were paid
+out with a relevant payout share price of €150.87. Until the 2020 tranche, servicing and treatment will
+be in accordance with the cash settlement rules. Settlement is in cash and with the exception of the
+2021 tranche the transaction is measured and recognised as cash-settled share-based remuneration.
+Because of its specific contractual conditions the 2021 tranche is treated as a settlement with equity
+instruments.
+The final number of performance shares was calculated by multiplying the original number of
+Performance Shares with the level of overall target achievement. The PSP level of overall target
+achievement was based on two performance factors during the performance period: firstly, on the
+relative performance of the total shareholder return (TSR) on Deutsche Börse AG's shares compared with
+the total shareholder return of the STOXX Europe 600 Financials Index as the peer group; and secondly,
+on the increase of Deutsche Börse AG's net profit for the period attributable to shareholders of the parent
+company. The two performance factors contribute 50 per cent each to calculate overall target
+achievement. For the 2021 tranche the overall target achievement depends on the performance against
+three different metrics over the performance period. The total shareholder return (TSR) for the Deutsche
+Börse AG share compared with the total shareholder return for the STOXX Europe 600 Financials Index
+accounts for 50 per cent. The annual growth rate for adjusted earnings per share over the performance
+period accounts for a further 25 per cent. The remaining 25 per cent are calculated by reference to
+performance against four equally weighted ESG targets.
+The 100 per cent stock bonus target was calculated in euros for each Executive Board member. The 100
+per cent stock bonus target for selected executives and employees of Deutsche Börse AG and
+participating subsidiaries is defined by the responsible decision-making bodies. Based on the PSP 100
+per cent stock bonus target, the corresponding number of phantom shares for each beneficiary was
+calculated by dividing the stock bonus target by the average share price (Xetra closing price) of Deutsche
+Börse AG's shares in the last calendar month preceding the performance period. Any right to payment of
+a PSP stock bonus vested only at the end of a five-year performance period.
+The PSP was launched in the financial year 2016 for members of the Executive Board of Deutsche
+Börse AG as well as selected senior executives and employees of Deutsche Börse AG and of participating
+subsidiaries. The number of phantom PSP shares to be allocated is calculated based on the number of
+shares granted and the increase of net profit for the period attributable to Deutsche Börse AG
+shareholders, as well as on the relative performance of the total shareholder return (TSR) on Deutsche
+Börse AG's shares compared with the total shareholder return of the STOXX Europe 600 Financials Index
+constituents. The shares are subject to a performance period of five years. The subsequent payment of
+the stock bonus will be settled in cash.
+Performance Share Plan (PSP)
+Executive and Supervisory Boards
+31 Dec 2020
+€m
+Term to
+। ।
+shareholders
+171.86-
+139.72-
+attributable to Deutsche Börse AG
+Net profit for the period
+2016
+31 Dec 2020
+250.0
+Tranche
+Relative total shareholder return
+Tranche
+2017
+31 Dec 2021
+235.0
+31 Dec 2023
+75.0
+31 Dec 2025 31 Dec 2024
+0.0
+100.0
+Tranche
+2019
+Tranche
+2020
+Tranche
+2021
+%
+Tranche
+2018
+31 Dec 2022
+235.0
+31 Dec 2021
+€m
+Cash and cash equivalents
+less financial instruments with an original maturity exceeding 3 months
+Current liabilities from cash deposits by market participants
+3.3
+3.0
+23.7
+7.6
+2,788.6
+544,7
+The increase in other current liabilities results almost exclusively from the increase in liabilities from CCP
+business. These liabilities are not part of the financial liabilities because the obligation does not consist
+in payment of cash but in physical delivery of commodities.
+6.7
+239
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+Other disclosures
+21. Notes on the consolidated cash flow statement
+Deutsche Börse Group | Annual report 2021
+Composition of other non-cash income
+11.4
+13.8
+Liabilities to employees
+Liabilities to supervisory bodies
+Miscellaneous
+Total
+E
+31 Dec 2021
+€m
+31 Dec 2020
+9.1
+€m
+415.1
+136.3
+30.5
+41.9
+42.8
+30.6
+29.9
+2,527.6
+Co-Performance Investment Plan (CPIP) and Performance Share Plan (PSP)
+<3
+2020
+Equity method measurement
+Impairment of financial instruments
+Subsequent measurement of derivatives
+Contract assets and liabilities
+Gains on the disposal of subsidiaries and equity investments
+Miscellaneous
+Total
+- 156.4
+Reversal of discount and transaction costs from long-term financing
+Reconciliation to cash and cash equivalents
+Reconciliation to cash and cash equivalents
+Restricted bank balances
+Other cash and bank balances
+Net position of financial instruments held by central counterparties
+Current financial instruments measured at amortised cost
+less financial instruments with an original maturity exceeding 3 months
+Current financial liabilities measured at amortised cost
+Cash and cash equivalents comprise cash and bank balances – to the extent that these do not result
+from reinvesting current liabilities from cash deposits by market participants – as well as receivables and
+liabilities from banking business with an original maturity of three months or less.
+2021
+Subsequent measurement of non-derivative financial instruments
+- 163.6
+€m
+€m
+39.5
+0.5
+8.9
+- 18.1
+-0.4
+- 17.2
+143.6
+2.1
+101.5
+- 3.9
+2.6
+- 10.5
+0
+5.8
+6.3
+19.4
+E
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Balance as at
+31 Dec 2021
+Tran-
+che
+Valuation of LSI and RSU shares
+To determine the fair value of the subscription rights the intrinsic value of the additional pro rata
+subscription rights is calculated, which also includes an expectation about future dividend payments.
+Evaluation of the LSI and the RSU
+Like the LSI plan, the RSU plan applies to risk takers within Deutsche Börse Group. RSU shares are
+settled in cash; Deutsche Börse Group thus measures the RSU shares as cash-settled share-based
+payment transactions. The options are measured using an option pricing model (fair value
+measurement). Any right to payment of a stock bonus only vests after the expiration of the one-year
+service period on which the plan is based, taking a three-year retention period and a one-year waiting
+period into account. In the reporting year, RSU shares of tranche 2016 were paid out with a relevant
+payout share price of € 138.22.
+บ
+Deutsche Börse AG
+share price as at
+31 Dec 2021
+Restricted Stock Units (RSU)
+Remuneration Report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+231
+The number of LSI and RSU shares for the 2016 to 2020 tranches is calculated by dividing the
+proportionate LSI or RSU bonus, respectively, for the year in question by the average closing price of
+Deutsche Börse AG shares in the last month of a financial year. The number of LSI and RSU shares for
+the 2021 tranche is based on the closing auction price of Deutsche Börse shares as at the disbursement
+date of the cash component of the 2021 tranche in 2022 or on the closing price as at the following
+trading day on the Frankfurt Stock Exchange. This results in individual LSI tranches for the LSI bonus,
+which have maturities of between one and five years. The RSU bonus is used as a basis for another
+four-year tranche. Payment of each tranche is made after a waiting period of one year. Neither
+remuneration system stipulates any condition of service. Following the expiry of the waiting period, both
+the LSI and the RSU shares of the 2016 to 2020 tranches are measured on the basis of the average
+closing price of Deutsche Börse AG shares in the last month preceding the end of the waiting period.
+The LSI and RSU shares of the 2021 tranche are measured at the closing auction price as at the first
+trading day in February of the year in which the holding period ends. In the reporting year, LSI shares of
+the tranches 2015 to 2019 were paid out with a relevant payout share price of € 138.22 for shares of
+tranches 2015 to 2017. For shares of tranches 2018 and 2019 the relevant payout share price was
+€ 136.90. The difference in payout share prices is caused by the nature of the specific terms and
+conditions for the respective tranches.
+Further information
+The LSI remuneration model requires at least half of a part of the variable remuneration to be settled in
+cash and half in phantom shares of Deutsche Börse AG (LSI shares). All tranches will be settled in cash.
+A portion of the variable remuneration is paid in the subsequent year and another portion over a further
+period of three or four years. Moreover, a portion of the variable remuneration shall be converted into
+RSU, subject to a three-year retention period after grant and a one-year waiting period (RSU shares).
+Deutsche Börse Group thus measures the LSI shares as cash-settled share-based payment transactions.
+The options are measured using an option pricing model (fair value measurement). Any right to payment
+of a stock bonus only vests after the expiration of the one-year service period on which the plan is
+based, taking certain waiting periods into account.
+Intrinsic value/
+Fair value/
+option as at
+31 Dec 2021
+147.10
+1,748
+2016
+€m
+€m
+€m
+€
+option as at
+31 Dec 2021
+€
+Number
+31 Dec 2021
+31 Dec 2021
+obligation
+Non-current
+provision as at
+Current
+provision as at
+Settlement
+€
+147.10
+Long-term Sustainable Instrument (LSI)
+Long-term Sustainable Instrument (LSI) and Restricted Stock Units (RSU)
+tranche
+2020
+tranche
+2019
+Disposals
+Disposals
+Disposals
+tranche
+2018
+Disposals
+tranche
+2017
+2020
+Additions
+tranche
+2021
+Balance at
+31 Dec
+บ
+Change in number of SBP shares allocated
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+Fully
+In 2014, Deutsche Börse Group introduced the Long-Term Sustainable Instrument (LSI) plan in order to
+provide share-based remuneration in line with regulatory requirements. This programme was extended
+in 2016 with the Restricted Stock Units (RSU) plan. The following disclosures relate to both plans.
+settled
+cash
+options
+Balance at
+31 Dec 2021
+34,557
+- 1,414
+34,557
+- 1,414
+9,768 12,539
+9,768 12,539
+- 171
+- 171
+107
+Options
+forfeited
+278
+38,225
+Total
+107
+278
+303
+38,225
+To other senior
+executives
+303
+Social security liabilities
+147.10
+0.2
+Tranche
+2020
+settled
+Fully
+Additions/ Additions/ Additions/ Additions/ Additions/
+(disposals) (disposals) (disposals) (disposals) (disposals)
+Tranche
+Tranche
+2019
+2021
+Tranche
+2018
+2017
+Tranche
+cash
+options
+Additions/
+(disposals)
+Tranche
+2016
+Change in number of LSI and RSU shares allocated
+Provisions amounting to €32.2 million were recognised as at 31 December 2021 (31 December 2020:
+€33.3 million). The total expense for LSI/RSU stock options in the reporting period amounted to
+€9.5 million (31 December 2020: €5.9 million).
+22.7
+9.5
+32.2
+226,085
+Total
+Balance at
+31 Dec
+2020
+6.8
+Balance at
+To other senior
+executives
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+232
+226,085
+226,085
+48,024 - 75,377
+48,024 75,377
+1,064
+1,064
+31 Dec 2021
+4,881
+- 1,287
+4,881
+395
+- 1,287
+1,149
+1,149
+247,236
+247,236
+Total
+395
+0.2
+0.0
+134.98-144.09
+0.8
+7.3
+138.03-147.10
+147.10
+147.10
+51,178
+2018
+6.5
+0.0
+6.3
+147.10
+147.10
+147.10
+42,764
+2017
+0.0
+6.3
+6.8
+2019
+147.10
+4.3
+1.6
+5.9
+126.10-147.10
+147.10
+147.10
+147.10
+48,024
+40,408
+2021
+41,963
+2020
+5.1
+0.6
+5.7
+128.88-147.10
+147.10
+147.10
+- 9.8
+Vacation entitlements, flextime and overtime credits
+Other Liabilities from CCP positions (Commodities)
+Contract liabilities
+Financial statements and notes | Notes on the consolidated statement of financial position
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+236
+The value of the programme was calculated using the Black-Scholes model and contract-specific inputs
+at the time the transaction was completed. The main valuation parameters were the enterprise value of
+ISS, its expected volatility, the contractually agreed interest rate on the loan and the expected time until
+maturity. Since the programme does not have a vesting period, the total value was recognised as
+expense at the transaction date.
+Valuation
+An employee share programme was set up for the senior management of ISS in the course of the
+acquisition. It enables management to purchase shares in the parent of ISS, Inc. (ISS HoldCo, Inc.).
+Deutsche Börse Group has the right to buy back the shares after not less than three years at their fair
+value. According to an IFRIC interpretation from 2005, this programme is treated like an award of stock
+options. Since Deutsche Börse Group has a unilateral right to settle the transaction with treasury shares
+in Deutsche Börse AG, the programme is treated according to the rules for equity settlement.
+ISS Employee Share Programme (MBP)
+The value of the virtual shares is determined using a Monte Carlo simulation on the respective balance
+sheet date, which appropriately reflects the contract-specific conditions. The underlying simulations
+depend on the underlying from which the payment is linked to the beneficiaries of the MIP. The
+enterprise value of the Qontigo Group serves as the underlying. On the basis of the simulations carried
+out, a discounted average payment of the contractually agreed payment flows to the respective
+participants is calculated. The main valuation parameters include the enterprise value and the expected
+volatility of the Qontigo Group as well as the expected term and the contract-specific payment profile. A
+pro rata addition of expenses over the vesting period is conducted in accordance with the criteria for a
+non-forfeiture of the programme.
+Valuation
+The MIP was set up for the senior management of the Qontigo Group (index and analytics business of
+Group Deutsche Börse) as part of the acquisition. It grants a non-current remuneration component in the
+form of virtual shares of the Qontigo Group. These are generally accounted for as share based payments.
+The amounts payable to the beneficiaries are intended to reflect the economic development of the
+Qontigo Group. The MIP contains a time-based and a performance-based component. The vesting
+period is three years with the possibility of an early execution and started with the implementation of the
+transaction. Due to a potential payout with cash by Group Deutsche Börse, the MIP is accounted for
+under the principles of a cash-settlement.
+Axioma Management Incentive Programme (MIP)
+Other share based payment programmes in the light of acquisitions
+The expense of this discount is recognised in the income statement at the grant date. In the reporting
+period, an expense totalling €4.8 million (2020: €4.8 million) was recognised in staff expense for the
+GSP.
+Remuneration Report
+Further information
+E
+ISS Employee Incentive Programme (MAP)
+Reclassification
+Balance as at 1 Jan 2021
+Changes in other provisions (part 1)
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+บ
+Deutsche Börse Group | Annual report 2021
+A provision is only recognised for restructuring when a detailed, formal restructuring plan has been
+adopted and those concerned have been given the reasonable impression that the restructuring
+measures will be implemented. This can be by starting to implement the plan or by announcing its key
+elements to those concerned. The restructuring provisions and the provisions for contractually agreed
+early retirement benefits and severance payments are recognised in other provisions.
+Provisions are recognised if the Group has a present obligation from an event in the past, it is probable
+that there will be an outflow of resources embodying economic benefits to settle the obligation and the
+amount of this obligation can be estimated reliably. The amount of the provision corresponds to the best
+estimate of the expenditure required to settle the obligation at the reporting date. The provision is to be
+reversed if it is no longer probable that settling the obligation will entail the outflow of resources
+embodying economic benefits.
+Other provisions
+19. Changes in other provisions
+The value of the virtual shares is calculated at the date of each allocation to the beneficiaries, using a
+Black-Scholes model with contract-specific inputs. The main valuation parameters include the enterprise
+value and the expected volatility of ISS, as well as the expected term and the contract-specific payment
+profile. In line with the vesting criteria, the value of the award is recognised as an expense over the
+vesting period.
+Valuation
+An employee incentive programme was set up for selected managers at ISS, which has not yet been fully
+awarded as at the reporting date. It grants a long-term remuneration component in the form of virtual
+shares in ISS. The programme is accounted for as share-based payments. The amounts awarded to the
+beneficiaries are intended to reflect the economic development of ISS. The MAP contains a time-based
+and a performance-based component. The vesting period is three years, and under certain
+circumstances can be exercised early. Since Deutsche Börse Group has a unilateral right to settle the
+transaction with treasury shares in Deutsche Börse AG, the programme is treated according to the rules
+for equity settlement.
+237
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Management report
+516,666
+145,794
+4,052
+138.22
+560,000
+338,376
+9,406
+138.22
+138.22
+€
+Fair value/
+option as at
+31 Dec 2021
+Granted
+Number of
+Performance
+Shares
+Number
+Grant Share
+Price
+€
+Investment
+Target
+Group Share Plan (GSP)
+Total
+1,300,000
+Utilisation
+3,738
+516,666
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+235
+Employees of Deutsche Börse Group who are not members of the Executive Board or senior executives
+have the opportunity to acquire shares of Deutsche Börse AG at a discount under the Group Share Plan
+(GSP). Under the GSP tranche for the year 2021, the participating employees could subscribe for up to
+50 shares of the Company at a discount of 40 per cent and another 50 shares at a discount of 10 per
+cent. The acquired shares are subject to a lock-up period of two years.
+1,044,760
+145,794
+4,052
+134,501
+138.22
+145,794
+4,052
+138.22
+560,000
+134,501
+3,738
+138.22
+560,000
+4,013,332
+Reversal
+Additions
+Currency translation
+Other tax provisions
+56.2
+76.9
+85.4
+154.1
+-0.2
+0
+Anticipated Losses
+0
+0.1
+0
+0.22
+3.1
+7.7
+11.2
+19.6
+0
+129.1
+€m
+Other personnel
+provision
+€m
+- 0.1
+- 3.1
+- 1.1
+0
+0
+0
+1.8
+€m
+0.3
+0.0
+23.4
+4.5
+7.9
+38.9
+€m
+Miscellaneous
+0
+Gregor Pottmeyer
+- 2.6
+- 24.1
+payments
+Bonuses
+€m
+Share-based
+บ
+Balance as at 31 Dec 2021
+Interest
+Currency translation
+€m
+Additions
+Utilisation
+Reclassification
+Changes in the basis of consolidation
+Balance as at 1 Jan 2021
+Changes in other provisions (part 2)
+Balance as at 31 Dec 2021
+Interest
+Reversal
+- 28.0
+Interest on taxes
+€m
+€m
+- 19.5
+- 11.0
+- 27.3
+- 88.8
+- 4.8
+0
+0
+Restructuring and
+efficiency measures
+0
+92.1
+- 2.3
+- 0.3
+0
+112.6
+3.7
+122.8
+79.5
+Dr. Stephan Leithner
+Heike Eckert
+Dr. Thomas Book
+132,150
+2017
+0.0
+1.5
+1.5
+152.18
+138.22
+147.10
+147.10
+2016
+€m
+€m
+31 Dec 2021
+31 Dec 2021
+Non-current
+provision as at
+Current
+provision as at
+9,965
+Settlement
+obligation
+€m
+141.35
+20.4
+5.7
+93.57
+147.10
+147.10
+53,342
+2019
+18.8
+154.75
+0.0
+126.76
+147.10
+147.10
+132,606
+2018
+0.0
+20.4
+18.8
+0.0
+€
+€
+44.6
+15.4
+5.2
+24.7
+The other non-current and current provisions amount to a total of €462.5 million (31 December 2020:
+€481.7 million). The non-current provisions of €127.2 million (31 December 2020: €168.0 million)
+largely have a remaining term of one to five years. Furthermore current provisions exist for
+€335.3 million (31 December 2020: €313.7 million).
+Provisions for restructuring and efficiency measures include provisions for contractually agreed early
+retirement benefits and severance payments as well as expenses directly related to restructuring
+measures.
+0
+For details of share-based payments, see Note 18.
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Further information
+20. Other current liabilities
+Composition of other current liabilities
+238
+€
+0.0
+0.0
+Number
+31 Dec 2021
+Fair value/
+option as at
+Intrinsic value/
+option as at
+31 Dec 2021
+Deutsche Börse AG
+share price as at
+31 Dec 2021
+-0.2
+-0.3
+0
+- 2.8
+7.5
+4.6
+12.9
+0.0
+0.2
+0.2
+0.2
+9.3
+Tax liabilities (excluding income tax)
+5.7
+22,820
+To other senior
+308,109
+38,116
+- 24,016
+- 20,117
+- 3,574
+- 3,025
+executives
+- 87,744
+496,043
+Board¹
+at
+31 Dec
+2021
+Tranche
+2021
+Tranche
+2020
+Tranche
+2019
+Tranche
+2018
+- 87,574
+Tranche
+2017
+144,977
+- 2,876
+Dr. Christoph Böhm
+Dr. Theodor Weimer
+Board member
+Granted PSP-Tranche 2021 for Board Members
+At the beginning of the fiscal year 2021 PSP-tranche 2021 was granted. The relevant grant share price
+for tranche 2021 shares was at €138.22. The performance period ends on 31 December 2025. The
+individual investment target amounts, grant share price, number of initially granted virtual shares as well
+as the fair value at reporting date can be summarised for the respective board members as follows:
+Granting of PSP-Tranche 2021 for Board Members
+1) Active and former Executive Board members.
+- 44,018
+11,342 92,232
+49,458 400,341
+- 7,248
+- 31,264
+- 6,833
+- 26,950
+- 3,112
+- 6,686
+- 5,901
+- 131,762
+641,020 - 87,574
+Total
+-0.5
+2020
+Tranche
+2016
+(disposals)
+400,341
+Total
+0
+0
+1.4
+27.41
+147.10
+49.4
+147.10
+2021¹
+1.6
+0.0
+1.6
+61.27
+147.10
+147.10
+49,458
+(disposals)
+21.9
+1) Due to the treatment of the 2021 tranche as equity-settled, no provisions are recognized for this tranche. The above figures also include the shares of the members
+of the Board of Management
+Balance
+Additions/ Additions/ Additions/ Additions/
+(disposals) (disposals)
+Additions/ Additions/
+(disposals) (disposals)
+Additions/
+(disposals)
+Tranche
+2015
+31 Dec
+2020
+Balance
+at
+To the
+Executive
+26.1
+Change in number of CPIP and PSP shares allocated
+บ
+Further information
+Financial statements and notes | Notes on the consolidated statement of financial position
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+234
+Provisions for the CPIP and the PSP amounting to €48.0 million were recognised at the reporting date
+31 December 2021 (31 December 2020: €68.8 million). Of these provisions, €14.8 million were
+attributable to members of the Executive Board (2020: €8.5 million). The total expense for CPIP and
+PSP stock options in the reporting period was €6.0 million (2020: €8.5 million). Of that amount, an
+expense of €3.5 million was attributable to members of the Executive Board (2020: €6.0 million).
+Changes in the basis of consolidation
+Eurex
+Carrying amounts -
+maximum risk exposure
+56,696.97
+6,311.8
+Amount at
+31 Dec 2020
+€m
+7,487.17
+Other financial instruments
+Other loans
+Group
+100.5
+0.3
+100.5
+0
+Other assets
+Group
+13.3
+15.3
+0
+0
+Trade receivables
+Group
+978.2
+625.8
+96,609.8
+Balance brought forward
+Amount at
+31 Dec 2021
+€m
+Amount at
+31 Dec 2020
+€m
+885.76
+427.36
+1,417.3
+695.07
+1,122.3
+1,122.3
+560.6
+560.67
+Total
+96,609.8
+56,696.97
+6,311.8
+0
+7,487.17
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+Credit risk of financial instruments (part 2)
+Carrying amounts -
+maximum risk exposure
+<3
+Collateral
+Segment
+Amount at
+31 Dec 2021
+€m
+246
+Clearstream (GSF)
+0
+Clearstream (post-trading)
+126,842.0⁹
+79,747.69
+112.1
+8.4
+0
+0
+Total
+208,729.0
+120,693.67
+133,254.3
+87,234.77
+1) Presented in the items "restricted bank balances" and "other cash and bank balances".
+2) The amount includes collateral totalling €5.0 million (2020: €5.1 million)
+3) The amount includes collateral totalling €8.0 million (2020: €8.0 million)
+4) The portfolio of deposited collateral is not directly attributed to any utilisation, but is determined by the scope of the entire business relationship and the limits granted.
+5) Off-balance-sheet items
+6) Meets the IFRS 9 criteria for a financial guarantee contract
+7) Prior-year figures adjusted as securities lending transactions from Clearsteam Banking S.A.'s ASLplus programme do not represent a risk position
+8) Net value of all margin requirements resulting from executed trades at the reporting date as well as default fund requirements: this figure represents the risk-oriented view
+of Eurex Clearing AG and European Commodity Clearing AG, while the carrying amount of the "financial instruments held by central counterparties" item in the balance
+sheet shows the gross amount of the open trades according to IAS 32.
+9) Collateral value of cash and securities collateral deposited for margins, covering the net value of all margin and default fund requirements
+Cash investments
+Clearstream receives cash deposits from its customers in various currencies, whereas Eurex Clearing AG
+receives cash collateral mainly in EUR and CHF. In line with treasury policy, these entities shall invest
+such funds, and this is where the credit risk is potentially stemming from.
+We mitigate such risks either – to the extent possible – by investing short-term funds on a secured basis,
+e.g. via reverse repurchase agreements, or by depositing them with central banks.
+According to the treasury policy, eligible collateral mainly consists of highly liquid financial instruments
+with a minimum rating of AA- (S&P Global Ratings/Fitch) or Aa3 (Moody's) issued or guaranteed by
+governments or supranational institutions.
+62,467.38
+109,657.08
+Derivatives
+held by central counterparties
+17.3
+147.2
+0
+0
+Eurex (financial derivatives)
+1,217.0
+697.0
+0
+0
+Group
+9.8
+Other receivables
+27.8
+0
+Other financial assets at fair
+value
+Group
+14.0
+7.6
+0
+2,350.1
+1,521.0
+100.5
+0
+Financial instruments
+0
+Automated Securities Fails
+Financing5
+n/a
+n/a4
+Collateralised cash investments
+Reverse repo transactions
+Eurex (financial derivatives)¹
+Clearstream (post-trading)
+820.9
+574.9
+828.9
+580.5
+4,274.3
+6,176.7
+4,360.6
+6,346.0
+5,095.2
+6,751.6
+5,189.5
+6,926.5
+Uncollateralised cash
+investments
+Money market lendings -
+central banks
+Eurex (financial derivatives)
+Clearstream (post-trading)
+33,709.3
+7,350.7
+31,711.6
+0
+0
+€m
+Amount at
+31 Dec 2020
+4
+Amount at
+31 Dec 2021
+€m
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+24. Financial risk management
+<3
+Detailed qualitative disclosures on financial instruments in accordance with IFRS 7.33 that are part of
+these consolidated financial statements, such as the nature and extent of risk arising from financial
+instruments and risk management objectives, strategies and procedures, are included under the caption
+Risk management approach and risk controlling in the combined management report in the section risk
+management.
+We evaluate our risk position continuously. In the view of the Executive Board, no threat to the continued
+existence of the Group can be identified at this time.
+245
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+6,291.8
+Management report
+Remuneration Report
+Further information
+Credit risk
+Credit risk of financial instruments (part 1)
+Segment
+<3
+Collateral
+Amount at
+Amount at
+31 Dec 2021
+€m
+31 Dec 2020
+€m
+Financial statements and notes | Other disclosures
+0
+0
+Money market lendings -
+other counterparties
+10.1
+7.0
+0
+0
+Fund assets
+Group
+Group
+14.0²
+14.92
+0
+0
+66.73
+Eurex (financial derivatives)
+37.13
+0
+90,097.3
+49,250.3
+0
+Loans for settling
+securities transactions
+Technical overdraft
+facilities
+Clearstream (post-trading)
+531.6
+267.7
+0
+247
+0
+1,186.3
+Eurex (financial derivatives)
+Clearstream (post-trading)
+298.5
+187.5
+0
+89.6
+148.3
+0
+0
+Balances on nostro accounts and
+other bank deposits
+Clearstream (post-trading)
+1,905.4
+0
+2,252.4
+43,888.7
+3,809.7
+0
+Group
+854.1
+3,603.7
+0
+0
+Securities
+Clearstream (post-trading)
+1,910.2
+EEX (commodities)
+Management report
+Deutsche Börse Group | Annual report 2021
+Management report
+9.2
+249
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+<3
+Trade receivables are written off when there is no reasonable expectation of recovery. The following
+criteria are used for the assessment of derecognition:
+■ Insolvency proceedings are not started for want of assets.
+■ Insolvency proceedings have not resulted in any payment for a period of three years and there is no
+indication that any amount will be received going forward.
+■ Enforcement activities are not pursued by Deutsche Börse Group due to cost-benefit analysis or
+Deutsche Börse Group has tried unsuccessfully to collect the receivable for a period of three years.
+In the reporting year, as in the previous year there were no significant write-offs due to customer
+defaults. Moreover, no significant payments were received for receivables which had previously been
+written off (2020: nil).
+Debt securities
+All debt securities measured at amortised cost are considered to have low default risk and the loss
+allowance recognised during the period was therefore limited to twelve months' expected losses. The
+Group considers listed bonds to have a low credit risk if they have an investment grade credit rating from
+an external rating agency. All debt securities measured at fair value through OCI are assigned to Level 1
+on recognition and are reviewed regularly for changes in credit risk on the basis of their rating. The
+expected loss for listed debt securities is determined using the default rates provided by a rating agency.
+Development of the loss allowance
+Development of the loss allowance
+Closing loss allowance as at 1 January 2020
+Increase from business combinations
+Debt securities
+Stage 1
+€m
+1.8
+6.5
+0.8
+0.1
+€m
+€m
+€m
+€m
+€m
+€m
+0.0%
+0.0%
+0.1%
+1.3%
+5.4%
+Trade
+receivables
+Stage 1/2
+€m
+81.9%
+33.0
+13.3
+5.9
+3.2
+15.0
+7.9
+1.8
+80.1
+0.0
+0.0
+0.0
+100%
+€m
+Trade
+Stage 3
+Increase from business combinations
+0
+0
+0
+0
+Increase in the allowance recognised
+in profit or loss during the period
+0.2
+0.2
+0.8
+1.2
+Decrease in the allowance recognised
+in profit or loss during the period
+-0.1
+-0.3
+- 1.2
+1.6
+Closing loss allowance as at 31 December 2021
+0.4
+0.8
+8.0
+9.2
+250
+9.5
+8.3
+0.9
+0.3
+Total
+€m
+€m
+0
+1.1
+6.0
+7.1
+0
+0.1
+1.0
+1.1
+receivables
+Increase in the allowance recognised
+0.3
+0.3
+2.1
+2.7
+Decrease in the allowance recognised
+in profit or loss during the period
+0
+-0.6
+-0.8
+- 1.4
+Closing loss allowance as at 31 December 2020
+in profit or loss during the period
+€m
+Total
+Insolvent
+Not more
+Not more
+Not more
+Not more
+Not more
+More
+than 30
+than 60
+than 90
+than 120
+days past
+days past
+days past
+days past
+than 360
+days past
+than 360
+days past
+Insol-
+vent
+Total
+due
+due
+due
+Loss allowance
+Trade receivables
+Expected loss rate
+Loss allowances for trade receivables as at 31 December 2021
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+<3
+Unsecured cash investments are permitted only with counterparties with impeccable credit ratings within
+the framework of defined counterparty credit limits. In this context, impeccable creditworthiness means
+an internal rating of at least “D”, which corresponds to an external rating from Fitch of at least “BBB”.
+Counterparty credit risk is monitored on the basis of an internal rating system.
+The fair value of securities received under reverse repurchase agreements was €5,189.5 million (2020:
+€6,926.0 million). Clearstream Banking S.A. and Eurex Clearing AG are entitled to pledge the eligible
+securities received to their central banks in order to make use of the central banks' monetary policy
+instruments.
+As at 31 December 2021, Clearstream Banking S.A. had pledged securities with a value of
+€229.0 million (2020: €168.20 million) to central banks as collateral for credit lines received from the
+central banks. As in the previous year, these all come from the Clearstream investment portfolio.
+Eurex Clearing AG had pledged no securities to central banks as at 31 December 2021, the same as the
+previous year.
+Loans for settling securities transactions
+Clearstream grants customers intraday technical overdraft facilities to maximise settlement efficiency.
+These settlement facilities are subject to internal credit review procedures. They are revocable at the
+discretion of the Clearstream subgroup and are in general fully secured. As at 31 December 2021 they
+came to €110.2 billion (2020: €106.2 billion). Of the total, €5.9 billion (2020: €5.5 billion) are
+unsecured and only relate to credit lines granted to selected central banks and multilateral development
+banks in accordance with the CSDR exception defined in Article 23 of the Delegated Regulation (EU)
+2017/390 based on the creditworthiness of the borrowers and zero risk weight applied by the
+Regulation (EU) No 575/2013 (CRR). Actual outstandings at the end of each business day generally
+represent a small fraction of the facilities and amounted to €531.6 million as at 31 December 2021
+(2020: €267.7 million); see Note 12.
+Clearstream also guarantees the undue residual risk resulting from the Automated Securities Fails
+Financing (ASL) programme it offers to its customers, where Clearstream Banking S.A. acts as an
+intermediary between borrower and lender. Such risks are secured. As at 31 December 2021 the
+outstanding loans under this programme amounted to €885.8 million (2020: €427.3 million).
+Collateral received by Clearstream Banking S.A. in connection with these loans amounted to
+€1,122.3 million (2020: €560.6 million).
+due
+In 2020 and 2021, no losses from credit transactions occurred in relation to any of the transaction types
+described.
+To safeguard the Group's central counterparties against the risk of default by a clearing member, the
+clearing conditions require the clearing members to deposit margins in the form of cash or securities on
+a daily basis or an intraday basis in the amount stipulated by the respective clearing house. Additional
+security mechanisms of the Group's central counterparties are described in detail in the section risk
+management.
+248
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+<3
+Trade receivables
+Trading, settlement and custody fees are generally collected without delay by direct debit. Fees for other
+services, such as the provision of data and information, are settled mainly by transfer. Trade receivables
+are analysed using an expected credit loss model based on the simplified approach as outlined in
+IFRS 9. To measure the expected credit loss, trade receivables and contract assets have been grouped
+based on the days past due. The trade receivables share the main risk characteristics. The expected loss
+amount has been determined by applying the lifetime expected loss approach. The expected loss rates
+are based on the payment profiles over a period of five years and the loss profile experienced over that
+period. As at 31 December 2021 there were no contract assets (2020: nil).
+Financial instruments of the central counterparties
+due
+due
+€m
+1.9
+8.8
+Loss allowances for trade receivables as at 31 December 2020
+Expected loss rate
+Trade receivables
+Loss allowance
+Not more
+Not more
+than 30
+days past
+than 60
+days past
+6.1
+Not more
+than 90
+days past
+Not more
+than 360
+More
+than 360
+days past
+days past
+days past
+due
+due
+due
+due
+due
+due
+Not more
+than 120
+Executive and Supervisory Boards
+0.7
+0.0
+€m
+€m
+€m
+€m
+€m
+€m
+€m
+0.0%
+0.0%
+0.5%
+0.9%
+0.0
+5.4%
+100%
+38.9
+7.8
+9.3
+2.7
+13.0
+6.4
+1.9
+80.0
+0.0
+0.0
+89.4%
+Executive and Supervisory Boards
+Financial risks mainly arise in the form of credit risks and to a lesser extent in the form of market price
+risks. They are quantified using the economic capital concept. Detailed information, which is part of
+these consolidated financial statements, can be found under the caption financial risks in the combined
+management report in section risk management. Required economic capital is assessed on a 99.9 per
+cent confidence level for a one-year holding period. It is compared with the Group's liable equity capital
+adjusted for intangible assets so as to test the Group's ability to absorb extreme and unexpected losses.
+Required economic capital (REC) for financial risk is calculated at the end of each month and amounted
+to €664.0 million as at 31 December 2021, whereby €488.0 million stems from credit risk and
+€176.0 million stems from market risk.
+244
+16.1
+1.6
+- 0.3
+- 0.9
+0
+0
+- 0.8
+- 1.0
+-0.3
+- 0.9
+0
+0
+624.2
+738.8
+162.5
+127.0
+54.1
+47.6
+EBITDA margin (%)
+63
+Depreciation, amortisation and impairment losses (€m)
+- 44.1
+EBIT (€m)
+EBITDA (€m)
+thereof result of the equity method measurement of associates
+Result from financial investments
+- 53.9
+6.58
+5.89
+23. Segment reporting
+Deutsche Börse Group divides its business into eight segments: This structure serves as a basis for the
+Group's internal management and financial reporting. Detailed information about the segment structure,
+which is part of these consolidated financial statements, can be found under the heading Business
+operations and Group structure in section Deutsche Börse: Fundamental information about the Group in
+the combined management report. Due to the acquisition of Institutional Shareholder Services (ISS), we
+adapted the segment reporting in the first quarter 2021 and added Institutional Shareholder Services as
+a segment, please see Note 3.
+Segment reporting (part 1)
+360T
+(financial derivatives) EEX (commodities)
+(foreign exchange)
+Net revenue (Єm)
+2021
+995.8
+2020
+1,110.3
+Capital expenditure¹ (€m)
+2021
+341.5
+2021
+2020
+302.2
+107.8
+101.5
+Operating costs (€m)
+- 387.7
+- 373.1
+- 178.7
+174.3
+- 53.7
+2020
+580.1
+48.3
+67
+- 55.3
+683.5
+48
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+Segment reporting (part 2)
+<3
+Xetra (cash equities)
+Clearstream
+(post-trading)
+IFS (investment fund
+services)
+Net revenue (€m)
+2021
+364.0
+Management report
+2020
+2020
+2021
+2020
+391.7
+Deutsche Börse Group | Annual report 2021
+827.2
+382.4
+232.8
+Operating costs (€m)
+- 150.6
+- 158.8
+2021
+5.89
+Executive and Supervisory Boards
+242
+42
+50
+47
+- 33.1
+- 35.6
+- 21.5
+- 20.4
+129.4
+91.4
+32.6
+27.2
+Deutsche Börse Group | Annual report 2021
+46.1
+21.4
+7.6
+8.6
+1,746
+1,661
+1,009
+934
+274
+272
+Employees (as at 31 December)
+1) Excluding investments from business combinations.
+22.8
+- 376.3
+1,079.9
+183,452,436
+948.2
+73.3
+0
+0
+- 0.7
+0
+Repayments
+-602.9
+0
+0
+Other and exchange rate differences
+5.5
+0.7
+0
+Balance as at 31 Dec 2020
+2,637.0
+408.7
+0
+Lease payments (IFRS 16)
+0
+- 62.8
+0
+Acquisition from business combinations
+Disposals
+Additions
+0
+2.9
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+Changes in liabilities arising from financing activities
+<3
+Bonds
+issued
+Leasing
+liabilities
+Commercial
+0
+€m
+paper
+€m
+Balance as at 1 Jan 2020
+2,286.2
+380.1
+0
+Lease payments (IFRS 16)
+0
+- 47.4
+0
+Acquisition from business combinations
+0
+€m
+87.1
+0
+Additions
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+Calculation of earnings per share (basic and diluted)
+Number of shares outstanding at beginning of period
+Number of shares outstanding at end of period
+Weighted average number of shares outstanding
+Number of potentially dilutive ordinary shares
+Weighted average number of shares used to compute diluted earnings per share
+Net profit for the period attributable to Deutsche Börse AG shareholders (€m)
+Earnings per share (basic) (€)
+Management report
+Earnings per share (diluted) (€)
+2021
+2020
+183,521,257
+183,429,035
+183,618,782
+183,521,257
+183,546,106
+183,452,436
+368,326
+0
+183,914,432
+<3
+1,209.7
+6.59
+Executive and Supervisory Boards
+241
+999.1
+46.1
+2,701.0
+Disposals
+0
+- 4.7
+0
+Repayments
+0
+0
+- 1,900.0
+Deutsche Börse Group | Annual report 2021
+Other and exchange rate differences
+12.1
+Balance as at 31 Dec 2021
+3,636.1
+486.7
+801.0
+22. Earnings per share
+Under IAS 33, earnings per share are calculated by dividing the net profit for the period attributable to
+Deutsche Börse AG shareholders (net income) by the weighted average number of shares outstanding.
+In order to determine diluted earnings per share, potentially dilutive ordinary shares that may be
+acquired under the share-based payment programmes are added to the average number of shares.
+In order to determine diluted earnings per share, all subscription rights, for which a cash settlement has
+not been determined are assumed to be settled with equity instruments - regardless of actual accounting
+in accordance with IFRS 2.
+All tranches of the Long-term Sustainability Instrument (LSI) for which a choice between settlement in
+cash or equity instruments exists were settled in the previous year. All current and future tranches may
+only be settled in cash. There are therefore no potentially dilutive ordinary shares from the Long-term
+Sustainability Instrument.
+As part of the acquisition of Institutional Shareholder Services Inc. there are ongoing option rights valid
+until 25 February 2024, which did have a small dilutive effect during the reporting year up to the
+reporting date.
+0
+- 367.3
+835.4
+- 117.5
+Remuneration Report
+Further information
+<3
+4
+-
+Our business model - and that of all our segments – is focused on an internationally operating
+participant base and pricing does not differ depending on the customer's location. From a price, margin
+and risk perspective, this means it does not matter whether sales revenue is generated from German or
+international participants.
+The risks and returns from the activities of the subsidiaries operating within the economic environment
+of the European Monetary Union (EMU) do not differ significantly from each other on the basis of the
+factors to be considered in identifying information on geographical regions under IFRS 8. We have
+therefore identified the following segments: Euro area, other Europe, America and Asia-Pacific.
+Sales revenue is allocated to the individual regions according to the customer's domicile, while
+investments and non-current assets are allocated according to the company's domicile and employees
+according to their location.
+As described above, the analysis of sales is based on the direct customer's billing address. This means,
+for example, that sales to an American investor trading a product with an Asian underlying via a
+European clearing member are classified as European sales.
+Information on geographical regions
+Sales revenue¹
+Investments²
+Non-financial non-
+current assets³, 4
+Number of employees
+2021
+€m
+2020
+€m
+2021
+€m
+2020
+€m
+2021
+€m
+2020
+€m
+2021
+2020
+European Union
+Financial statements and notes | Other disclosures
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+-264.3
+EBIT (€m)
+152.1
+95.8
+18.8
+n/a
+1,749.4 1,605.1
+- 125.9
+7.7
+8.1
+17.3
+Other Europe
+n/a
+195.4
+Employees (as at 31 December)
+611
+585
+2,741
+n/a
+10,200
+7,238
+1) Excluding investments from business combinations.
+The net revenue includes revenue generated through external parties as well as through intercompany
+transactions. The impact of intercompany revenue is eliminated on Group level as such internally
+generated revenue of one segment has an adverse effect on revenue by the same amount on the
+corresponding partner segment. For an overview of intercompany revenue see Note 4. Services between
+segments are offset on the basis of measured amounts or fixed prices.
+243
+206.4
+- 293.7
+America
+472.1
+7,238
+Consolidation of internal net revenue
+67.1
+- 64.7
+0
+0
+0
+0
+0
+0
+Group
+4,218.8
+3,519.3
+206.4
+195.4
+8,845.4
+6,343.0
+10,200
+7,238
+1) Including countries in which more than 10 per cent of sales revenue was generated: UK (2021: €807.1 million, 2020: €732.1 million) and Germany (2021:
+€1,014.7 million, 2020: €910.9 million).
+2) Excluding goodwill and right-of-use assets from leasing.
+3) Including countries in which more than 10 per cent of assets are held: Germany (2021: €3,859.2 million, 2020: €3,648.1 million), Switzerland (2021:
+€1,307.0 million, 2020: €1,210.1 million) and United States (2021: €3,279.2 million, 2020: €1,061.6 million).
+4) These include intangible assets, property, plant and equipment as well as investments in associates and joint ventures.
+10,200
+6,343.0
+8,845.4
+195.4
+289.1
+177.7
+4.2
+24.3
+172.8
+15.4
+Asia-Pacific
+254.3
+183.9
+0.2
+6.5
+0.7
+4,199.1
+1,339.4
+3,279.2 1,061.6
+27.7
+4,008.7
+5,464
+2,358.5 2,047.8
+1,201.0 1,063.2
+5,042
+1,792
+1,449
+1,209
+435
+31.7
+1,734
+312
+Total of all regions
+4,285.9
+3,584.0
+206.4
+1,241.0
+n/a
+Capital expenditure¹ (€m)
+28.3
+Depreciation, amortisation and impairment losses (€m)
+- 15.3
+- 23.7
+- 69.7
+- 72.5
+- 36.9
+- 28.5
+EBIT (€m)
+227.5
+235.0
+389.9
+385.5
+219.0
+86.7
+Capital expenditure¹ (€m)
+- 44.6
+15.3
+72.8
+68.4
+16.4
+27.5
+Employees (as at 31 December)
+774
+49
+67
+55
+55
+Result from financial investments
+29.4
+25.8
+0.5
+- 1.9
+- 0.6
+- 0.1
+thereof result of the equity method measurement of associates
+29.2
+25.4
+0.4
+739
+- 1.7
+- 0.1
+EBITDA (Єm)
+242.8
+258.7
+459.6
+458.0
+255.9
+115.2
+EBITDA margin (%)
+67
+66
+- 0.5
+2,159
+13.5
+886
+24.3
+thereof result of the equity method measurement of associates
+10.5
+-0.2
+0
+n/a
+2,136
+21.5
+EBITDA (Єm)
+180.6
+124.1
+85.2
+63.4
+2,043.1
+1,869.4
+EBITDA margin (%)
+70
+50
+28
+n/a
+58
+58
+Depreciation, amortisation and impairment losses (€m)
+28.5
+n/a
+n/a
+38.6
+-0.2
+911
+Segment reporting (part 3)
+Qontigo (index and
+analytics business)
+ISS (Institutional
+Shareholder Services)
+- 5.1
+Net revenue (€m)
+2021
+258.7
+2020
+2021
+2020
+248.1
+223.9
+Group
+2021
+3,509.5
+n/a
+45.2
+Result from financial investments
+- 1,551.6
+n/a
+- 155.4
+- 1,368.7
+- 123.8
+- 123.3
+Operating costs (€m)
+2020
+3,213.8
+Further information
+Group entities may furthermore invest their own capital and part of customer cash balances in high-
+quality liquid bonds. The bond portfolio consists mostly of variable-rate instruments, which leads to a
+comparably low interest rate risk for the Group.
+Interest rate risk
+Changes in market interest rates may affect Deutsche Börse Group's net profit for the period attributable
+to Deutsche Börse AG shareholders. This risk arises whenever interest terms of financial assets and
+liabilities are different.
+Interest rate sensitive assets include the Group's money market and investment portfolios, while interest
+rate sensitive liabilities mainly consist of short-term debt instruments. Interest rate risk from long-term
+liabilities of Deutsche Börse AG is mitigated through issuance of fixed-coupon bonds.
+In order to finance the acquisition of a majority stake in Institutional Shareholder Services, Deutsche
+Börse AG issued debt securities with a nominal volume of €1,000 million. For further details of the
+outstanding bonds issued by Deutsche Börse Group, see section “Net assets" section in the combined
+management report.
+Cash received as deposits from market participants is invested mainly via short-term reverse repos and
+in the form of overnight deposits at central banks, limiting the risk of a negative impact due to a changed
+interest rate environment. Negative interest rates resulting from reinvestments of these cash deposits are
+passed on to the respective Clearstream (post-trading) customers after applying an additional margin.
+For Eurex Clearing AG, interest rates on cash collateral are in principle calculated based on a predefined
+market benchmark rate per currency after deducting an additional spread per currency. In exceptional
+cases such as market disruption, Eurex Clearing AG reserves the right to calculate interest rates on cash
+collateral based on the realised interest rate.
+<3
+The risk arising from interest-earning assets and interest-bearing liabilities is monitored on each business
+day and limited by using a system which includes mismatch limits in combination with interest rate risk
+limits and stop-loss limits. The interest rate risk limits determine the acceptable maximum loss caused
+by a hypothetical adverse yield curve shift. The stop-loss limits define the fair value of a portfolio
+triggering an ad hoc review and risk-reducing actions.
+Management report
+In 2021, we entered into forward interest rate swap contracts to hedge the interest rate risk in
+connection with the highly probable planned refinancing of a bond maturing in 2022. In this way, the
+cash flow risk arising from potential interest rate changes was hedged. Cash flow hedge accounting was
+applied for this hedge.
+252
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+Remuneration Report
+In line with its risk strategy, we may use financial instruments to hedge highly probable interest rate
+exposures. For this purpose, interest rate swaps, as well as swaptions, might be used. Our Treasury
+policy requires that the critical terms of swaps and swaptions must align with the hedged items.
+Financial statements and notes | Other disclosures
+We operate internationally and are, to a limited extent, exposed to foreign-exchange risk, primarily in
+USD, CHF, GBP and CZK. Exchange rate fluctuations may affect the Group's profit margins and the
+value of assets and liabilities denominated in a currency that is not the functional currency of the
+relevant Group entity. Respective currency risks arise mainly from operating income and expenses
+denominated in a currency other than the functional currency, inter alia from that portion of the
+Clearstream (post-trading) segment's sales revenue and treasury result from banking business that is
+directly or indirectly in USD. The Clearstream (post-trading) segment generated 10 per cent of its
+revenue and treasury result from banking business directly or indirectly in USD (2020: 14 per cent).
+Executive and Supervisory Boards
+<3
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+<3
+Management report
+Credit risk concentrations
+Management of credit risk concentration, including collateral concentration, and so-called large
+exposures, is conducted in compliance with applicable regulatory requirements such as those arising
+from, among others, articles 387-410 of Regulation (EU) 575/2013 (Capital Requirements Regulation,
+CRR), article 47 paragraph 8 of Regulation (EU) 648/2012 (European Market Infrastructure Regulation,
+EMIR) and respectively applicable national requirements (see also section regulatory capital
+requirements and regulatory capital ratios in the section risk management for a description of the
+regulatory capital requirements). Requirements of concentration risks arising from Regulation (EU)
+909/2014 (Central Securities Depository Regulation, CSDR) have been implemented as part of Deutsche
+Börse Group's affiliated CSD authorisation under article 16 CSDR.
+The required economic capital (based on the so-called “Value at Risk” (VaR) with a confidence level of
+99.90 per cent) for credit risk is calculated monthly for each day and amounted to €488.0 million as at
+31 December 2021 (2020: €657.0 million, based on VaR with a confidence level of 99.98 per cent).
+We also apply additional methods in order to detect credit concentration risks. It analyses the impact of a
+default by its two largest counterparties with unsecured exposures and stressed recovery parameters. In
+addition, analyses are carried out for the Group's top 5 and top 10 counterparties, based on the risk-
+weighted exposures of the individual counterparties. All the concentration metrics have dedicated early
+warning thresholds and limits and are part of the quarterly risk reporting to the Executive Board. As in
+the previous year, no material adverse credit concentrations were detected in 2021.
+Market risk
+Market risk arises from changes in interest rates, foreign-exchange rates and other market prices.
+Deutsche Börse Group is generally only affected to a limited extent by market risk. For market price risks,
+the required economic capital (based on the so-called "Value at Risk" (VaR) with a confidence level of
+99.90 per cent) is determined on a monthly basis. As at 31 December 2021 the economic capital for
+market price risks was €176.0 million (2019: €107.0 million, based on VaR with a confidence level of
+99.98 per cent).
+Impairment losses of €0.2 million (2020: nil) were recognised in profit or loss in the financial year
+2021 for strategic investments not included in VaR for market price risks.
+251
+Deutsche Börse Group | Annual report 2021
+Our business model and the resulting business relationships mean that, as a rule, credit risk is
+concentrated on the financial services sector. Potential concentrations of credit risk are limited by
+application of counterparty, group and country credit limits. Collateral and currency concentrations are
+also monitored.
+Measuring and managing foreign-exchange risk is important for reducing our exposure to exchange rate
+movements. The three main types of foreign-exchange risk that we are exposed to are cash flow-,
+translation- and transaction-related foreign-exchange risk. Cash flow risk reflects the risk of fluctuations
+in present value of future operating cash flows from foreign-exchange movements. Translation risk
+comprises effects from the valuation of our assets and liabilities in foreign currencies. Finally, transaction
+risk is closely related to cash flow risk; it may arise through changes in the structure of Deutsche Börse
+Group's asset and liabilities in foreign currencies.
+2021
+€m
+In the reporting year the fixed and variable remuneration of the members of the Executive Board,
+including non-cash benefits granted in the financial year, amounted to €18.2 million (2020: €19.4
+million). During the year under review, expenses of €3.5 million (2020: €6.0 million) were recognised
+in connection with share-based payments to Executive Board members.
+held by central counterparties
+Derivatives and financial instruments
+56,683.3
+- 286.2
+1,477.6
+2,239.0
+259.6
+804.8
+52,188.5
+38,188.8
+0
+0
+0
+0
+0
+38,188.8
+Cash deposits by market participants
+Total
+1.5
+0
+0
+1.5
+0
+through profit or loss
+Current financial liabilities at fair value
+51.0
+1.8
+0
+Financial liabilities and derivatives
+held by central counterparties
+41,684.5 25,955.1¹
+12,970.0¹
+5,876.9¹
+0
+- 1,200.5
+0
+Cash flow hedges
+Cash outflow-derivatives and hedges
+0
+0
+654.1
+1,870.6
+0
+Derivatives held for trading
+0
+0
+0
+0
+Fair value hedges
+0
+403.2
+0
+1,156.0
+Cash flow hedges
+Cash inflow-derivatives and hedges
+0 - 87,613.1¹
+- 1,031.6
+41,684.5 -26,050.1¹ - 12,970.0¹ - 5,876.9¹
+less financial assets and derivatives held
+by central counterparties
+87,518.1¹
+1,031.6
+0
+36.4
+12.8
+thereof lease liabilities
+thereof lease liabilities
+measured at amortised cost
+Non-current financial liabilities
+Non-derivative financial liabilities
+€m
+Carrying
+amount
+ation to
+carrying
+amount
+€m
+€m
+€m
+€m
+€m
+years
+Over 5
+Non-current financial liabilities at fair
+not more
+than 5
+years
+months
+Sight
+€m
+31 Dec 2020
+than 3
+Not more
+Reconcili-
+<3
+1 year but
+More than
+More than 3
+Contractual maturity
+Maturity analysis of financial instruments (2)
+Further information
+months but
+not more
+than 1 year
+- 405.3
+6.8
+2,239.0
+14,630.0
+1.7
+0
+219.2
+409.4
+13,999.7
+Current financial liabilities measured at
+amortised cost
+388.6
+0
+0
+0
+0
+388.6
+38.9
+0
+0
+0
+0
+0
+Trade payables
+3,474.4
+357.9
+- 36.2
+224.4
+169.7
+0
+0
+- 287.9
+1,477.6
+0
+Financial statements and notes | Other disclosures
+Remuneration Report
+0
+0
+Deutsche Börse Group | Annual report 2021
+259
+Key management personnel are persons who directly or indirectly have authority and responsibility for
+planning, directing and controlling the company's activities. The Group only defines the members of the
+Executive Board and Supervisory Board of Deutsche Börse AG who were active in the reporting period as
+key management personnel for the purposes of IAS 24. In the reporting year and the previous year, no
+material transactions took place with key management personnel.
+Business relationships with key management personnel
+-2.2
+-5.0
+1.9
+1.9
+-29.4
+-28.7
+18.6
+17.4
+Total sum of business transactions
+-2.2
+-5.0
+1.9
+1.9
+-29.4
+-28.7
+18.6
+17.4
+Associates
+€m
+2020
+2021
+€m
+€m
+€m
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Other disclosures
+Remuneration Report
+260
+Including part-time staff there were 8,855 full-time equivalents (FTE) on average during the year
+(2020: 6,528). Please also refer to the section “Our employees” in the combined management report.
+6,528
+Of the average number of employees during the year, 29 (2020: 28) were managing directors (not
+including the Executive Board), 484 (2020: 348) were other senior managers and 8,834
+(2020: 6,620) were employees.
+8,855
+7,238
+10,200
+6,996
+9,347
+2020
+2021
+Employees (average annual FTEs)
+Employed at the reporting date
+2020
+Average number of employees during the year
+28. Employees
+(2020: €0.8 million). The total consists of the fixed and variable salary components for those employee
+representatives.
+In financial year 2021 the employee representatives on Deutsche Börse AG's Supervisory Board received
+remuneration (excluding Supervisory Board remuneration) amounting to €1.3 million
+The aggregate remuneration paid to members of the Supervisory Board in the reporting year was
+€2.6 million (2020: €2.5 million).
+Supervisory Board
+There were no changes in the membership of the Executive Board of Deutsche Börse AG in the reporting
+year 2021, therefore no expenses were incurred in 2021 (2020 €0.7 million).
+Termination benefits
+The remuneration paid to former members of the Executive Board or their surviving dependants
+amounted to €6.5 million in 2021 (2020: €8.3 million). The actuarial present value of the pension
+obligations was €79.3 million as at 31 December 2021 (2020: €86.0 million).
+Former members of the Executive Board or their surviving dependants
+The actuarial present value of the pension obligations to Executive Board members was €17.3 million as
+at 31 December 2021 (2020: €18.4 million). Expenses of €2.6 million (2020: €3.2 million) were
+recognised as additions to pension provisions.
+Executive Board
+<3
+Further information
+Employees
+2021
+2020
+€m
+Foreign-exchange rate risk
+We recognise provisions for possible losses only if there is a present obligation arising from a past event
+that is likely to result in an outflow of resources and if the Group can reliably estimate the amount of the
+obligation (see also note 19). Contingent liabilities may result from present obligations and from possible
+obligations arising from events in the past. In order to identify the litigation for which the possibility of a
+loss is more than unlikely, as well as how the possible loss is estimated, Deutsche Börse Group
+considers a large number of factors, including the nature of the claim and the facts on which it is based,
+the jurisdiction and course of the individual proceedings, the experience of Deutsche Börse Group, prior
+settlement talks (to the extent that they have already taken place) as well as expert opinions and
+evaluations of legal advisers. Losses may also arise from legal risks which are not highly probable, so
+that no provisions have been recognised. If the event is not completely improbable, the legal risks may
+have to be recognised as contingent liabilities. As neither the timing of these contingent liabilities nor the
+amount of any payment can be estimated reliably, any quantitative disclosure would not be a useful
+guide to possible future losses. For this reason, no figure is provided for contingent liabilities.
+The companies of Deutsche Börse Group are exposed to litigation. Such litigation may result in
+payments by entities in the Group. If it is more likely than not that an outflow of resources will occur, a
+provision will be recognised based on an estimate of the most probable amount necessary to settle the
+obligation if such amount is reasonably estimable. The management of the entity affected must assess
+whether the possible obligation results from a past event, as well as evaluate the probability of a cash
+outflow and estimate its amount.
+<3
+Legal risks
+25. Financial liabilities and other risks
+Further information
+Financial statements and notes | Other disclosures
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+257
+1) Due to a correction of the previous year's figures, the financial instruments held by central counterparties decreased by in total €89.7 million.
+0
+Detailed information about the legal disputes, which have been classified as contingent liabilities as of
+31 December 2021 and for which consequently no provisions have been recognised, is part of these
+consolidated financial statements and included in the combined management report in the section risk
+management under the heading legal disputes and business practice.
+- 2.1
+- 237.2
+0
+Total
+0
+0
+687.5
+- 1,968.3
+0
+Derivatives held for trading
+0
+0
+0
+0
+- 33.4
+Fair value hedges
+Tax risks
+are included under the caption business risks in the combined management report in the section risk
+management.
+2020
+€m
+€m
+2021
+31 Dec
+31 Dec
+31 Dec
+31 Dec
+Amount of the
+Transactions with related parties
+Outstanding balances:
+liabilities
+Outstanding balances:
+receivables
+transactions: expenses
+transactions: revenue
+Due to its business activities in various countries, Deutsche Börse Group is exposed to tax risks. A
+process has been developed to recognise and evaluate these risks, which are initially recognised based
+on their probability of occurrence. These risks are then measured on the basis of their expected value. A
+tax liability is recognised in the event that it is more probable than not that the risks will occur. We
+continuously review whether the conditions for recognising corresponding tax liabilities are met. These
+tax risks, that are also part of these consolidated financial statements,
+Amount of the
+Business relationships with related parties
+Related parties as defined by IAS 24 are members of the executive bodies of Deutsche Börse AG and
+their close family members, as well as the companies classified as associates of Deutsche Börse AG,
+investors and investees and companies that are controlled or significantly influenced by members of the
+executive bodies.
+27. Related party disclosures
+On 8 December 2021 the Executive and Supervisory Boards issued the latest version of the declaration
+of compliance in accordance with section 161 Aktiengesetz (AktG, the German Stock Corporation Act)
+and made it permanently available to shareholders on the company's website (see also the Corporate
+governance statement).
+26. Corporate governance
+<3
+Further information
+Remuneration Report
+Financial statements and notes | Other disclosures
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+258
+The following table shows transactions entered into within the scope of business relationships with non-
+consolidated companies of Deutsche Börse AG during the 2021 financial year. All transactions took
+place at standard market terms.
+Management report
+value through profit or loss
+Deutsche Börse Group | Annual report 2021
+4.9
+US$
+Working capital
+Axioma Inc.
+1.0
+£
+Settlement
+81.6
+Executive and Supervisory Boards
+€
+Settlement
+22.0
+22.0
+29.1
+€
+European Energy Exchange AG
+0
+200.0
+€
+Settlement
+Clearstream Banking AG
+350.0
+3,200.0
+£
+Settlement²
+3,050.0
+3,450.0
+US$
+Working capital
+Settlement²
+Quantitative Brokers LLC
+US$
+€m
+€m
+€m
+years
+Over 5
+not more
+than 5
+years
+1 year but
+More than
+but not
+more than
+More than
+<3
+Contractual maturity
+Maturity analysis of financial instruments (1)
+Working capital
+Further information
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+255
+As in the previous year, there were no concentrations of liquidity risk in the reporting year.
+In 2021, S&P Global Ratings (S&P) confirmed Deutsche Börse AG's AA credit rating with a stable
+outlook. Deutsche Börse AG's commercial paper programme also had the highest short-term rating of
+A-1+. The AA rating of Clearstream Banking S.A. was confirmed with a stable outlook by the rating
+agencies Fitch and S&P Global Ratings (S&P) in 2021. S&P also rated Clearstream Banking AG as AA in
+November 2021. For further details on the rating of Deutsche Börse Group, see section "Financial
+position" section in the combined management report.
+Clearstream Banking S.A. also has a commercial paper programme with a programme limit of
+€1.0 billion, which is used to provide additional short-term liquidity. As at 31 December 2021 it had
+issued commercial paper with a nominal volume of €750.3 million (2020: €546.4 million).
+A commercial paper programme offers Deutsche Börse AG an opportunity for flexible, short-term
+financing, involving a total facility of €2.5 billion in various currencies. As at 31 December 2021
+Deutsche Börse AG had issued commercial paper with a nominal volume of €801.0 million (2020: nil).
+31 December 2021 (2020: US$3.0 billion). Euroclear Bank S.A./N.V. has also issued a guarantee in
+favour of Clearstream Banking S.A. amounting to US$3.0 billion (2020: US$3.0 billion).
+Clearstream Banking S.A. has a bank guarantee (letter of credit) in favour of Euroclear Bank S.A./N.V.
+issued by an international consortium to secure daily deliveries of securities between Euroclear Bank
+S.A./N.V. and Clearstream Banking S.A. This guarantee amounted to US$3.0 billion as at
+1) €400.0 million of Deutsche Börse AG's working capital credit lines is a sub-credit line of Clearstream Banking S.A.'s €750.0 million working capital credit line.
+2) Including committed foreign exchange swap lines and committed repo lines.
+0
+3.0
+Financial statements and notes | Other disclosures
+Remuneration Report
+1 year
+1,250.0
+€
+<3
+Contractually agreed credit lines
+Further information
+Remuneration Report
+Financial statements and notes | Other disclosures
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+254
+The companies of Deutsche Börse Group have the following credit lines at their disposal, which were not
+utilised as of the balance sheet date.
+For the Group, liquidity risk may arise from potential difficulties in renewing maturing financing, such as
+commercial paper, issued bonds as well as bilateral and syndicated credit facilities. In addition,
+financing required for unexpected events may result in a liquidity risk. Most of the Group's cash
+investments are short-term to ensure that liquidity is available, should such a financing need arise.
+Eurex Clearing AG and Clearstream may invest stable customer balances for a maximum of one year in
+secured money market products, or in high-quality securities with a remaining maturity of less than ten
+years for Clearstream and less than five years for Eurex Clearing, subject to strict monitoring of mismatch
+and interest rate limits. Term investments can be transacted via reverse repurchase agreements against
+highly liquid collateral. For refinancing purposes, Eurex Clearing AG and Clearstream Banking S.A. can
+pledge eligible securities with their respective central banks. Eurex Clearing AG remains almost perfectly
+matched with respect to the durations of customer cash margins received and respective investments.
+Liquidity risk
+No sensitivity analyses were performed, as both interest rate and foreign currency risks are fully hedged.
+As in the previous year, there were no risk concentrations from market prices in the reporting year.
+Company
+Market risk arises also from investments in bonds, investments in funds, futures within the framework of
+contractual trust arrangements (CTAs) and from the Clearstream Pension Fund in Luxembourg. For the
+CTAs, the investment is protected by a pre-defined floor, which reduces the risk of extreme losses for
+Deutsche Börse Group. In addition, there are equity price risks arising from strategic equity investments.
+31 December 2021 there were no significant net foreign-exchange positions (2020: nil).
+For Clearstream, the policy stipulates that intraperiod open net foreign-exchange positions are closed out
+when they exceed €15.0 million. This policy was complied with as in the previous year; as at
+<3
+Further information
+Remuneration Report
+Financial statements and notes | Other disclosures
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+253
+In 2021, Deutsche Börse AG entered into FX derivative contracts to hedge the foreign currency exposure
+associated to transaction risk. Hereby, the cash flow risk arising from the time gap between signing the
+contracts and the actual payment out of the transaction was hedged. Cash flow hedge accounting was
+applied to this hedging. In addition to that, the Group entered into FX derivative contracts to hedge the
+foreign currency exposure associated with intercompany cash pooling and loans.
+To eliminate foreign-exchange risks, we use financial instruments to hedge existing or highly probable
+forecast transactions. The Group may use foreign-exchange forwards, foreign-exchange options as well
+as cross-currency swaps to hedge the exposure to foreign-exchange risk. Under the Group's policy, the
+critical terms of forwards and options must align with the hedged items.
+Currency mismatches are avoided to the maximum extent possible. All types of foreign-exchange risks
+are measured on a regular basis and monitored on a Group as well as single entity level. Limits are
+defined for cash flow and translation risk affecting our profits and losses. Deutsche Börse Group's
+treasury policy defines risk limits which take into account historic foreign-exchange rate fluctuations. Any
+exposure exceeding those limits must be hedged. Foreign-exchange exposures below the defined limits
+may also be hedged. Management of foreign-exchange risks is in principle based on the Group level.
+Hedging may take place on a single entity level if foreign-exchange risk threatens the viability of the
+single entity.
+Other market risks
+3,290.0
+Purpose of credit line
+Amount at
+31 Dec 2021
+Settlement²
+750.0
+750.0
+€
+Working capital¹
+Clearstream Banking S.A.
+300.0
+300.0
+US$
+Settlement²
+200.0
+200.0
+Fr.
+Currency
+Settlement
+900.0
+€
+Settlement
+Eurex Clearing AG
+600.0
+600.0
+€
+Working capital¹
+Deutsche Börse AG
+m
+m
+31 Dec 2020
+Amount at
+900.0
+3 months
+110.0
+than 3
+10.3
+0
+0
+Fair value hedges
+Cash flow hedges
+Cash inflow derivatives and hedges
+- 112,638.1
+- 977.2
+- 8,465.2
+- 7,670.2
+- 61,294.4 - 34,231.1
+by central counterparties
+less financial assets and derivatives held
+112,710.1
+0
+977.2
+8,465.2
+7,670.2
+61,366.4 34,231.1
+held by central counterparties
+Financial liabilities and derivatives
+held by central counterparties
+Derivatives and financial instruments
+98,453.2
+- 246.5
+1,986.5
+1,749.0
+1,388.4
+11.6
+0
+194.0
+0
+0
+Derivatives held for trading
+256
+0
+- 13.4
+- 14.2
+44.3
+71.8
+Total
+0
+- 1,204.4
+- 1,806.4
+- 615.3
+Derivatives held for trading
+0
+78,292.5
+0
+0
+0
+Fair value hedges
+0
+- 207.4
+Not more
+- 10.1
+0
+Cash flow hedges
+Cash outflow-derivatives and hedges
+1,233.1
+1,850.5
+615.1
+0
+0
+- 54.5
+0
+0.1
+1.5
+0
+0
+3,539.9
+423.1
+- 28.4
+- 240.4
+1,986.5
+253.4
+1,747.5
+198.1
+0
+0
+38.9
+7.4
+702.5
+Carrying
+amount
+€m
+Reconcili-
+value through profit or loss
+Non-current financial liabilities at fair
+thereof lease liabilities
+measured at amortised cost
+Non-current financial liabilities
+Non-derivative financial liabilities
+€m
+€m
+31 Dec 2021
+months
+Sight
+0
+ation to
+carrying
+amount
+€m
+1.8
+Trade payables
+0
+660.2
+0
+77,632.3
+79,970.0
+13,605.8
+0
+Cash deposits by market participants
+Total
+0.6
+0
+0.6
+0
+through profit or loss
+Current financial liabilities at fair value
+15,926.4
+63.6
+- 5.4
+0
+0
+52.1
+704.4
+1.5
+0
+Current financial liabilities measured at
+amortised cost
+13,605.7
+686.9
+0
+1,627.8
+0
+6.1
+thereof lease liabilities
+16.9
+1,028.4
+216.9
+63.9
+208.1
+958.7
+41.2
+Profit/loss (in €m)
+7,783.6
+7,258.7
+13.3
+Liabilities (in €m)
+47,938.8
+Assets (in Єm)
+16.2
+4.0
+161.0
+96.6
+Dividend payments (in €m)
+4.0
+47,335.0
+88.5
+- 8.7
+14.7
+Management report
+Financial statements and notes | Other disclosures
+181.6
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+261
+7.7
+33.5
+Other comprehensive income (in €m)
+81.9
+22.0
+156.3
+8.5
+78.6
+Comprehensive income (in €m)
+-66.6
+59.7
+- 32.7
+Cash flows (in €m)
+130.7
+Deutsche Börse AG has successfully placed a corporate hybrind bond in the amount of €500,0 million
+on 16 February 2022. The bond has a term of 26.25 years with a first call date after 6 years and a
+coupon of 2.0 per cent annually until June 2028.
+Equity (in €m)
+European Energy Exchange Group
+Leipzig, Germany
+Material non-controlling interests (1/2)
+32. Disclosures on material non-controlling interests
+Deutsche Börse AG's Executive Board approved the consolidated financial statements for submission to
+the Supervisory Board on 28 February 2022. The Supervisory Board is responsible for examining the
+consolidated financial statements and stating whether it endorses them.
+31. Date of approval for publication
+The hybrid bond will be used to refinance last year's M&A activities.
+30. Events after the end of the reporting period
+The members of the company's decision-making bodies are listed in the chapters "The Executive Board"
+and "The Supervisory Board" of this annual report.
+Qontigo Group
+<3
+Further information
+Remuneration Report
+Financial statements and notes | Other disclosures
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+Hong Kong, Hong Kong
+Remuneration Report
+29. Decision-making bodies
+150.4
+Frankfurt/Main, Germany
+31 Dec 2020
+19.2
+21.0
+10.3
+15.9
+Net profit for the period (in €m)
+21.7
+21.7
+37.2
+31 Dec 2021
+37.2
+21.7
+24.9
+24.9
+Voting rights (%)
+Capital (%)
+Attributable to non-controlling interests:
+31 Dec 2020
+31 Dec 2021
+21.7
+Further information
+(81.20)
+ISS Group
+Rockville, USA
+Christoph Böhm
+Theodor Weimer
+theder weine
+Deutsche Börse AG
+Frankfurt/Main, 2 March 2022
+To the best of our knowledge, and in accordance with the applicable reporting principles, the
+consolidated financial statements give a true and fair view of the assets, liabilities, financial position and
+profit or loss of the Group, and the combined management report includes a fair review of the
+development and performance of the business and the position of the Group, together with a description
+of the principal opportunities and risks associated with the expected development of the Group.
+Thomas Book
+Responsibility statement by the Executive Board
+Further information
+Remuneration Report
+Financial statements and notes | Responsibility statement by the Executive Board
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+E>
+е
+C. CU
+еи
+Heike Eckert
+Report on the Audit of the Consolidated Financial Statements and of the
+Group Management Report
+<3
+To Deutsche Börse Aktiengesellschaft, Frankfurt am Main
+Independent Auditors'
+Report
+Further information
+Remuneration Report
+Financial statements and notes | Independent Auditors' Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+267
+Gregor Pottmeyer
+6. Pot
+Stylusan Leithmer
+Stephan Leithner
+266
+Audit Opinions
+Material non-controlling interests (2/2)
+(18.76)
+HQLAX S.à r.l.
+FundsDLT
+(30.02)
+Frankfurt/Main, Germany
+enermarket GmbH
+(30.02)
+Origin Primary Limited
+Giv'atajim, Israel
+16.20
+Frankfurt/Main, Germany
+Deutsche Börse Commodities GmbH
+40.00
+Frankfurt/Main, Germany
+China Europe International Exchange AG
+EMEX East Med. Energy Exchange Ltd.
+R5FX Ltd
+SEEPEX a.d.
+SPARK Commodities Ltd.
+Singapore, Singapore
+(9.57)
+Belgrade, Serbia
+15.65
+London, United Kingdom
+20.00
+London, United Kingdom
+31.40
+Luxembourg, Luxembourg
+17.91
+Luxembourg, Luxembourg
+Eschborn, Germany
+Berlin, Germany
+ZDB Cloud Exchange GmbH in Liquidation
+Tradegate AG Wertpapierhandelsbank
+19.99
+(37.72)
+We have audited the consolidated financial statements of Deutsche Börse Aktiengesellschaft, Frankfurt
+am Main, and its subsidiaries (the Group), which comprise the consolidated statement of financial
+position as at December 31, 2021, and the consolidated statement of comprehensive income, consoli-
+dated statement of profit or loss, consolidated statement of changes in equity, and consolidated
+statement of cash flows for the financial year from January 1 to December 31, 2021, and notes to the
+consolidated financial statements, including a summary of significant accounting policies. In addition,
+we have audited the group management report of Deutsche Börse Aktiengesellschaft, which is com-
+bined with the Company's management report, – which comprises the content included to comply with
+the German legal requirements as well as the non-financial statement pursuant to § [Article] 289b Abs.
+[paragraph] 1 HGB [Handelsgesetzbuch: German Commercial Code] and § 315b Abs. 1 HGB included
+in section "About this report" of the group management report – for the financial year from January 1
+to December 31, 2021. In accordance with the German legal requirements, we have not audited the
+content of those parts of the group management report listed in the “Other Information" section of our
+auditor's report.
+■ the accompanying consolidated financial statements comply, in all material respects, with the IFRSS
+as adopted by the EU, and the additional requirements of German commercial law pursuant to
+(81.20)
+Matrix-Data Limited
+London, United Kingdom
+(81.20)
+Discovery Data Holdings Inc.
+Discovery Data Inc
+London, United Kingdom
+Eatontown, USA
+Eatontown, USA
+(81.20)
+Institutional Shareholder Services (Australia) Pty. Ltd.
+Sydney, Australia
+(81.20)
+270
+(81.20)
+Intelligent Financial Systems Limited
+(81.20)
+Haar, Germany
+Sydney, Australia
+(81.20)
+Data Management & Integrity Systems Pty
+Ltd.
+Sydney, Australia
+(81.20)
+Financial Standard Pty Ltd.
+Sydney, Australia
+(81.20)
+Asset International Deutschland GmbH
+Haar, Germany
+(81.20)
+FWW Fundservices GmbH
+Haar, Germany
+(81.20)
+FWW Media GmbH
+③ The Company's disclosures on impairment tests of goodwill and other intangible assets are
+contained in note 10 “Intangible assets" to the consolidated financial statements.
+In our opinion, on the basis of the knowledge obtained in the audit,
+Overall, the valuation methods, parameters and assumptions used by the executive directors are in
+line with our expectations and are also within the ranges considered by us to be reasonable.
+The outcome of this valuation is dependent to a large extent on the estimates made by the execu-
+tive directors with respect to the future cash flows from the respective cash-generating units, the
+discount rate used, the rate of growth and other assumptions, and is therefore subject to consider-
+able uncertainty. Against this background and due to the complex nature of the valuation, this
+matter was of particular significance in the context of our audit.
+Key Audit Matters in the Audit of the Consolidated Financial Statements
+We conducted our audit of the consolidated financial statements and of the group management report in
+accordance with § 317 HGB and the EU Audit Regulation (No. 537/2014, referred to subsequently as
+"EU Audit Regulation") in compliance with German Generally Accepted Standards for Financial Statement
+Audits promulgated by the Institut der Wirtschaftsprüfer [Institute of Public Auditors in Germany] (IDW).
+Our responsibilities under those requirements and principles are further described in the "Auditor's
+Responsibilities for the Audit of the Consolidated Financial Statements and of the Group Management
+Report" section of our auditor's report. We are independent of the group entities in accordance with the
+requirements of European law and German commercial and professional law, and we have fulfilled our
+other German professional responsibilities in accordance with these requirements. In addition, in accor-
+dance with Article 10 (2) point (f) of the EU Audit Regulation, we declare that we have not provided
+non-audit services prohibited under Article 5 (1) of the EU Audit Regulation. We believe that the audit
+evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions on the
+consolidated financial statements and on the group management report.
+<3
+Basis for the Audit Opinions
+Further information
+Remuneration Report
+Key audit matters are those matters that, in our professional judgment, were of most significance in our
+audit of the consolidated financial statements for the financial year from January 1 to December 31,
+2021. These matters were addressed in the context of our audit of the consolidated financial statements
+as a whole, and in forming our audit opinion thereon; we do not provide a separate audit opinion on
+these matters.
+Financial statements and notes | Independent Auditors' Report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+268
+Pursuant to § 322 Abs. 3 Satz [sentence] 1 HGB, we declare that our audit has not led to any
+reservations relating to the legal compliance of the consolidated financial statements and of the group
+management report.
+■ the accompanying group management report as a whole provides an appropriate view of the Group's
+position. In all material respects, this group management report is consistent with the consolidated
+financial statements, complies with German legal requirements and appropriately presents the
+opportunities and risks of future development. Our audit opinion on the group management report
+does not cover the content of those parts of the group management report listed in the "Other
+Information" section of our auditor's report.
+§ 315e Abs. 1 HGB and, in compliance with these requirements, give a true and fair view of the
+assets, liabilities, and financial position of the Group as at December 31, 2021, and of its financial
+performance for the financial year from January 1 to December 31, 2021, and
+Management report
+In our view, the matters of most significance in our audit were as follows:
+Institutional Shareholder Services (Hong Kong) Limited
+2 Assessment of certain legal risks
+determine any need for write-downs. The carrying amount of the relevant cash-generating units (for
+the test of the goodwill including their carrying amount) is compared with recoverable amount in
+the context of the impairment test. The recoverable amount is generally calculated on the basis of
+fair value less costs of disposal. The present value of the future cash flows from the respective
+cash-generating unit or the groups of cash-generating units normally serves as the basis of valua-
+tion. Present values are calculated using discounted cash flow models. For this purpose, the
+adopted medium-term business plan of the Group forms the starting point which is extrapolated
+based on assumptions about long-term rates of growth. Expectations relating to future market
+developments and assumptions about the development of macroeconomic factors fair value also
+taken into account. The discount rate used is the weighted average cost of capital for the respective
+cash-generating units. The impairment test determined that no write-downs were necessary.
+<3
+Further information
+Financial statements and notes | Independent Auditors' Report
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+269
+①In the Company's consolidated financial statements goodwill and other intangible assets amounting
+in total to EUR 7,509.6 million (97% of total consolidated assets) are reported under the "Intangi-
+ble assets" balance sheet item. Other intangible assets relate in particular to stock exchange
+licenses, brand names and customer relationships. Goodwill and other intangible assets are tested
+for impairment by the Company once a year and/or when there are indications of impairment to
+① Recoverability of goodwill and other intangible assets
+Hereinafter we present the key audit matters:
+③ Reference to further information
+Audit approach and findings
+Matter and issue
+Our presentation of these key audit matters has been structured in each case as follows:
+As part of our audit, we initially assessed the methodology used for the purposes of performing the
+impairment test. After matching the future cash flows used for the calculation against the adopted
+medium-term business plan of the Group for the respective groups of cash-generating units, we
+analyzed in particular the material planning assumptions, compared the plans against analyst
+expectations and performed plan-actual and plan-plan analyses in order to assess the appropriate-
+ness of these plans. In addition, we assessed the appropriate consideration of the costs of Group
+functions and the appropriateness of the growth assumptions after the forecast period and of the
+assumed weighted average cost of capital. The Company's valuation was additionally verified by
+comparing the implied multiples with market multiples. In order to reflect the uncertainty inherent
+in the projections, we evaluated the sensitivity analyses performed by the Company and carried out
+our own sensitivity analyses for those cash-generating units with low headroom (carrying amount
+compared with the recoverable amount). Taking into account the information available, we deter-
+mined that the carrying amounts of the cash-generating units (including the allocated carrying
+amounts for goodwill) were adequately covered by the discounted future cash flows.
+Frankfurt/Main, Germany
+Brain Trade Gesellschaft für Börsensysteme mbH
+48.30
+(81.20)
+Stockholm, Sweden
+(81.20)
+Stockholm, Sweden
+(81.20)
+London, United Kingdom
+Institutional Shareholder Services UK Limited
+(81.20)
+(81.20)
+Singapore, Singapore
+(81.20)
+(81.20)
+(81.20)
+(81.20)
+Rockville, USA
+London, United Kingdom
+(81.20)
+Securities Class Action Services, LLC
+Axioma (UK) Ltd.
+(78.32)
+Hong Kong, Hong Kong
+Axioma (HK) Ltd.
+(78.32)
+Geneva, Switzerland
+(78.32)
+New York, USA
+Axioma (CH) GmbH
+Axioma Inc.
+78.32
+Frankfurt/Main, Germany
+Qontigo GmbH
+(81.20)
+Rockville, USA
+%
+Axioma Argentina S.A.U.
+direct/(indirect)
+Manila, Philippines
+(81.20)
+Zurich, Switzerland
+(81.20)
+Paris, France
+Institutional Shareholder Services France S.A.S
+Institutional Shareholder Services Switzerland AG
+(81.20)
+264
+Brussels, Belgium
+(81.20)
+Oakville, Canada
+ACRe Data Inc.
+(81.20)
+Toronto, Canada
+Institutional Shareholder Services Canada Inc.
+Institutional Shareholder Services Europe S.A.
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Mumbai, India
+Tokyo, Japan
+Munich, Germany
+Domicile
+Nordic Investor Services AB
+ISS-Ethix AB
+ISS Europe Limited
+ISS Corporate Solutions, Inc.
+Institutional Shareholder Services (Singapore) Private
+Limited
+Institutional Shareholder Services Philippines Inc.
+Institutional Shareholder Services Germany AG
+Institutional Shareholder Services India Private Limited
+Institutional Shareholder Services K.K.
+Company
+Consolidated subsidiaries (part 3)
+<3
+Further information
+Financial statements and notes | Other disclosures
+Remuneration Report
+Equity interest as at 31 Dec 2021
+Axioma Asia Pte Ltd.
+London, United Kingdom
+(78.32)
+Singapore, Singapore
+(100.00)
+Kuala Lumpur, Malaysia
+(100.00)
+Dubai, United Arab Emirates (UAE)
+(100.00)
+(100.00)
+New York, USA
+Frankfurt/Main, Germany
+(63.97)
+Berlin, Germany
+63.97¹
+Berlin, Germany
+(78.32)
+100.00
+(100.00)
+(100.00)
+(100.00)
+Frankfurt/Main, Germany
+360X AG
+%
+Equity interest as at 31 Dec 2021
+direct/(indirect)
+<3
+Domicile
+Company
+Associates
+Further information
+Remuneration Report
+Financial statements and notes | Other disclosures
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+265
+London, United Kingdom
+(78.32)
+Zug, Switzerland
+(78.32)
+360 Trading Networks Inc.
+360 Treasury Systems AG
+Börse Berlin AG
+Tradegate Exchange GmbH
+INDEX PROXXY Ltd.
+Stoxx Ltd.
+Qontigo Index GmbH
+Axioma S.A.S.U.
+Axioma Ltd.
+Axioma Japan G.K.
+Axioma Deutschland GmbH
+(78.32)
+Singapore, Singapore
+(78.32)
+Buenos Aires, Argentina
+360 Trading Networks Limited
+Rainmaker Information Pty Limited
+360 Trading Networks Sdn Bhd
+360TGTX Inc.
+Frankfurt/Main, Germany
+(78.32)
+Paris, France
+(78.32)
+Sydney, Australia
+(78.32)
+Tokyo, Japan
+(78.32)
+Frankfurt/Main, Germany
+1) Of which 59.98 per cent direct and 3.99 per cent indirect equity interest.
+Mumbai, India
+Frankfurt/Main, Germany
+New York, USA
+ThreeSixty Trading Networks (India) Pte. Ltd.
+Finbird GmbH
+360T Asia Pacific Pte. Ltd.
+(81.20)
+49.90
+(81.20)
+Company
+Börse Frankfurt Zertifikate AG
+Clearstream Fund Centre AG
+Clearstream Fund Centre (Hong Kong) Limited
+Clearstream Holding AG
+Clearstream Banking AG
+Consolidated subsidiaries (part 1)
+Domicile
+Equity interest as at 31 Dec 2021
+direct/(indirect)
+%
+100.00
+100.00
+(100.00)
+100.00
+(100.00)
+Clearstream Banking S.A.
+Frankfurt/Main, Germany
+Zurich, Switzerland
+Hong Kong, Hong Kong
+Frankfurt/Main, Germany
+Frankfurt/Main, Germany
+Luxembourg, Luxembourg
+31 December 2021 included in the consolidated financial statements are presented in the following
+tables. There were no joint ventures as of the reporting date.
+Deutsche Börse AG's equity interests in subsidiaries, associates and joint ventures as at
+<3
+19.31
+18.6
+-0.11
+0
+19.31
+18.6
+1) Disclosures are based on preliminary and unaudited figures which may be adjusted subsequently.
+262
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+34. List of shareholdings
+Clearstream Australia Limited
+89.5
+Clearstream Australia Nominees Pty Ltd. (dormant)
+Clearstream Fund Centre SA
+LuxCSD S.A.
+Clearstream Nominees Limited
+Luxembourg, Luxembourg
+(100.00)
+Luxembourg, Luxembourg
+(100.00)
+Clearstream International S.A.
+London, United Kingdom
+Clearstream Operations Prague s.r.o.
+Prague, Czech Republic
+(100.00)
+Clearstream Services S.A.
+REGIS-TR UK Ltd. (dormant)
+Luxembourg, Luxembourg
+(100.00)
+(100.00)
+Cork, Ireland
+Clearstream Global Securities Services Limited
+Clearstream London Ltd. (dormant)
+(100.00)
+Sydney, Australia
+(100.00)
+Sydney, Australia
+(100.00)
+Tokyo, Japan
+(100.00)
+Luxembourg, Luxembourg
+(100.00)
+London, United Kingdom
+(100.00)
+REGIS-TR S.A.
+Luxembourg, Luxembourg
+(50.00)
+Clearstream Banking Japan, Ltd.
+(100.00)
+88.9¹
+Other income
+3.1
+n/a
+0
+n/a
+Equity (in €m)
+345.8
+Net profit for the period (in €m)
+n/a
+n/a
+Dividend payments (in €m)
+0
+n/a
+n/a
+Assets (in €m)
+51.3
+n/a
+33.3
+n/a
+<3
+Crypto Finance Group
+Zug, Switzerland
+31 Dec 2021
+31 Dec 2020
+31 Dec 2021
+31 Dec 2020
+Attributable to non-controlling interests:
+Capital (%)
+Voting rights (%)
+18.8
+n/a
+33.3
+n/a
+18.8
+Liabilities (in €m)
+Comprehensive income
+Profit/loss (in €m)
+Melbourne, Australia
+16.5
+n/a
+0.1
+n/a
+- 87.4
+n/a
+n/a
+42.3
+31 Dec 2021
+31 Dec 2020
+€m
+€m
+Book value of non-material associates
+Profit after tax
+n/a
+0
+n/a
+0
+Cash flows (in €m)
+33. Disclosures on associates
+Non-material associates
+2,435.8
+n/a
+166.8
+n/a
+596.5
+n/a
+12.7
+n/a
+16.5
+n/a
+0.1
+n/a
+Other comprehensive income (in €m)
+London, United Kingdom
+Comprehensive income (in €m)
+Crypto Finance AG
+Nodal Exchange Holdings, LLC
+Nodal Exchange, LLC
+Nodal Clear, LLC
+EEX CEGH Gas Exchange Services GmbH
+EPEX SPOT SE
+EPEX Netherlands B.V.
+KB Tech Ltd.
+EPEX SPOT Schweiz AG
+ISS HoldCo Inc.
+Sydney, Australia
+(75.05)
+Leipzig, Germany
+(75.05)
+Leipzig, Germany
+Power Exchange Central Europe a.s.
+Grexel Systems oy
+European Commodity Clearing Luxembourg S.à r.l.
+European Commodity Clearing AG
+Financial statements and notes | Other disclosures
+Remuneration Report
+Further information
+<3
+Consolidated subsidiaries (part 2)
+Company
+European Energy Exchange AG
+Domicile
+Equity interest as at 31 Dec
+2021 direct/(indirect)
+%
+EEX Asia Pte. Limited
+Leipzig, Germany
+Singapore, Singapore
+75.05
+(75.05)
+EEX Australia Pty Ltd
+EEX Link GmbH
+(75.05)
+Luxembourg, Luxembourg
+(75.05)
+Helsinki, Finland
+Rockville, USA
+81.20
+Institutional Shareholder Services Inc.
+Rockville, USA
+(81.20)
+Asset International, Inc.
+Rockville, USA
+(81.20)
+Asset International Financial Information UK Holdings
+Ltd.
+London, United Kingdom
+(81.20)
+Al Financial Information UK Ltd.
+Asset International Australia Pty Ltd.
+London, United Kingdom
+(50.00)
+(50.03)
+Management report
+Prague, Czech Republic
+Bern, Switzerland
+(75.05)
+Tunbridge Wells, United Kingdom
+(75.05)
+Tysons Corner, USA
+(75.05)
+Tysons Corner, USA
+(75.05)
+Tysons Corner, USA
+(75.05)
+Vienna, Austria
+(38.27)
+Paris, France
+(38.27)
+Amsterdam, Netherlands
+(38.27)
+(38.27)
+Executive and Supervisory Boards
+① Recoverability of goodwill and other intangible assets
+263
+Chicago, USA
+100.00
+New York, USA
+(100.00)
+Bryant Sands Partners, LLC
+Delaware, USA
+100.00
+(100.00)
+Quantitative Brokers LLC
+Delaware, USA
+(100.00)
+New York, USA
+(72.60)
+Quantitative Brokers UK Limited
+Bryant Sands Partners II, LLC
+Singapore, Singapore
+100.00
+Frankfurt/Main, Germany
+Zug, Switzerland
+Deutsche Börse Group | Annual report 2021
+66.67¹)
+Crypto Finance (Brokerage) AG
+Zug, Switzerland
+(66.67)
+Crypto Finance (Infrastructure Services) AG
+Zug, Switzerland
+(66.67)
+Crypto Finance (Asset Management) AG
+Deutsche Boerse Market Data + Services Singapore Pte. Ltd.
+Deutsche Boerse Systems Inc.
+Centana Growth Partners, LLC
+Zug, Switzerland
+(66.67)
+Quantitative Brokers Australia Pty Ltd
+Hounslow, United Kingdom
+DB1 Ventures GmbH
+Sydney, Australia
+Eurex Clearing AG
+Frankfurt/Main, Germany
+(100.00)
+Eurex Repo GmbH
+Eurex Securities Transactions Services GmbH
+Eurex Global Derivatives AG
+Frankfurt/Main, Germany
+(100.00)
+(100.00)
+Zug, Switzerland
+100.00
+Eurex Services GmbH
+(72.60)
+100.00
+Frankfurt/Main, Germany
+100.00
+Frankfurt/Main, Germany
+Frankfurt/Main, Germany
+Prague, Czech Republic
+Quantitative Brokers Singapore Pte Ltd.
+100.00
+(72.60)
+U.S. Exchange, L.L.C. (dormant)
+Quantitative Brokers Software India Private Limited
+Deutsche Börse Services s.r.o.
+Eurex Frankfurt AG
+Singapore, Singapore
+Deutsche Börse Photography Foundation gGmbH
+Chennai, India
+(72.24)
+Wilmington, USA
+100.00
+(100.00)
+(72.60)
+Frankfurt/Main, Germany
+<3
+We have performed assurance work in accordance with § 317 Abs. 3a HGB to obtain reasonable
+assurance as to whether the rendering of the consolidated financial statements and the group manage-
+ment report (hereinafter the “ESEF documents") contained in the electronic file "deutschebrseag-2021-
+12-31-de.zip" and prepared for publication purposes complies in all material respects with the require-
+ments of § 328 Abs. 1 HGB for the electronic reporting format ("ESEF format"). In accordance with
+German legal requirements, this assurance work extends only to the conversion of the information
+contained in the consolidated financial statements and the group management report into the ESEF
+274
+Deutsche Börse Group | Annual report 2021
+Management report
+Financial statements and notes | Independent Auditors' Report
+Remuneration Report
+Further information
+format and therefore relates neither to the information contained within these renderings nor to any
+other information contained in the electronic file identified above.
+Executive and Supervisory Boards
+Assurance Opinion
+■ Perform audit procedures on the prospective information presented by the executive directors in the
+group management report. On the basis of sufficient appropriate audit evidence we evaluate, in
+particular, the significant assumptions used by the executive directors as a basis for the prospective
+information, and evaluate the proper derivation of the prospective information from these assump-
+tions. We do not express a separate audit opinion on the prospective information and on the
+assumptions used as a basis. There is a substantial unavoidable risk that future events will differ
+materially from the prospective information.
+Other Legal and Regulatory Requirements
+From the matters communicated with those charged with governance, we determine those matters that
+were of most significance in the audit of the consolidated financial statements of the current period and
+are therefore the key audit matters. We describe these matters in our auditor's report unless law or
+regulation precludes public disclosure about the matter.
+We also provide those charged with governance with a statement that we have complied with the
+relevant independence requirements, and communicate with them all relationships and other matters
+that may reasonably be thought to bear on our independence, and where applicable, the related
+safeguards.
+We communicate with those charged with governance regarding, among other matters, the planned
+scope and timing of the audit and significant audit findings, including any significant deficiencies in
+internal control that we identify during our audit.
+■ Evaluate the consistency of the group management report with the consolidated financial statements,
+its conformity with German law, and the view of the Group's position it provides.
+▪ Obtain sufficient appropriate audit evidence regarding the financial information of the entities or busi-
+ness activities within the Group to express audit opinions on the consolidated financial statements
+and on the group management report. We are responsible for the direction, supervision and perfor-
+mance of the group audit. We remain solely responsible for our audit opinions.
+■ Evaluate the overall presentation, structure and content of the consolidated financial statements,
+including the disclosures, and whether the consolidated financial statements present the underlying
+transactions and events in a manner that the consolidated financial statements give a true and fair
+view of the assets, liabilities, financial position and financial performance of the Group in compliance
+with IFRSS as adopted by the EU and the additional requirements of German commercial law
+pursuant to § 315e Abs. 1 HGB.
+<3
+Further information
+In our opinion, the rendering of the consolidated financial statements and the group management
+report contained in the electronic file identified above and prepared for publication purposes complies
+in all material respects with the requirements of § 328 Abs. 1 HGB for the electronic reporting format.
+Beyond this assurance opinion and our audit opinion on the accompanying consolidated financial
+statements and the accompanying group management report for the financial year from January 1 to
+December 31, 2021 contained in the "Report on the Audit of the Consolidated Financial Statements
+and on the Group Management Report" above, we do not express any assurance opinion on the
+information contained within these renderings or on the other information contained in the electronic
+file identified above.
+Financial statements and notes | Independent Auditors' Report
+Remuneration Report
+Report on the Assurance on the Electronic Rendering of the Consolidated Financial Statements
+and the Group Management Report Prepared for Publication Purposes in Accordance with
+§ 317 Abs. 3a HGB
+Basis for the Assurance Opinion
+■ Evaluate the technical validity of the ESEF documents, i.e., whether the electronic file containing the
+ESEF documents meets the requirements of the Delegated Regulation (EU) 2019/815 in the version
+in force at the date of the consolidated financial statements on the technical specification for this
+electronic file.
+Responsibilities of the Executive Directors and the Supervisory Board for the ESEF Documents
+The executive directors of the Company are responsible for the preparation of the ESEF documents
+including the electronic renderings of the consolidated financial statements and the group management
+report in accordance with § 328 Abs. 1 Satz 4 Nr. [number] 1 HGB and for the tagging of the consoli-
+dated financial statements in accordance with § 328 Abs. 1 Satz 4 Nr. 2 HGB.
+Management report
+Frankfurt am Main, March 2, 2022
+The German Public Auditor responsible for the engagement is Dr. Michael Rönnberg.
+German Public Auditor Responsible for the Engagement
+Our auditor's report must always be read together with the audited consolidated financial statements
+and the audited group management report as well as the assured ESEF documents. The consolidated
+financial statements and the group management report converted to the ESEF format - including the
+versions to be published in the Federal Gazette - are merely electronic renderings of the audited
+consolidated financial statements and the audited group management report and do not take their
+place. In particular, the “Report on the Assurance on the Electronic Rendering of the Consolidated
+Financial Statements and the Group Management Report Prepared for Publication Purposes in Accor-
+dance with § 317 Abs. 3a HGB" and our assurance opinion contained therein are to be used solely
+together with the assured ESEF documents made available in electronic form.
+Reference to an other matter- use of the Auditor's Report
+We declare that the audit opinions expressed in this auditor's report are consistent with the additional
+report to the audit committee pursuant to Article 11 of the EU Audit Regulation (long-form audit
+report).
+We were elected as group auditor by the annual general meeting on May 19, 2021. We were engaged
+by the supervisory board on April 8, 2021. We have been the group auditor of the Deutsche Börse
+Aktiengesellschaft, Frankfurt am Main, without interruption since the financial year 2021.
+Further Information pursuant to Article 10 of the EU Audit Regulation
+■ Evaluate whether the tagging of the ESEF documents with Inline XBRL technology (iXBRL) in
+accordance with the requirements of Articles 4 and 6 of the Delegated Regulation (EU) 2019/815,
+in the version in force at the date of the consolidated financial statements, enables an appropriate
+and complete machine-readable XBRL copy of the XHTML rendering.
+■ Evaluate whether the ESEF documents provide an XHTML rendering with content equivalent to the
+audited consolidated financial statements and to the audited group management report.
+■ Obtain an understanding of internal control relevant to the assurance work on the ESEF documents
+in order to design assurance procedures that are appropriate in the circumstances, but not for the
+purpose of expressing an assurance opinion on the effectiveness of these controls.
+<3
+Further information
+Remuneration Report
+Financial statements and notes | Independent Auditors' Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+275
+■ Identify and assess the risks of material non-compliance with the requirements of § 328 Abs. 1
+HGB, whether due to fraud or error, design and perform assurance procedures responsive to those
+risks, and obtain assurance evidence that is sufficient and appropriate to provide a basis for our
+assurance opinion.
+Our objective is to obtain reasonable assurance about whether the ESEF documents are free from
+material non-compliance with the requirements of § 328 Abs. 1 HGB, whether due to fraud or error.
+We exercise professional judgment and maintain professional skepticism throughout the assurance
+work. We also:
+Group Auditor's Responsibilities for the Assurance Work on the ESEF Documents
+The supervisory board is responsible for overseeing the process for preparing the ESEF documents as
+part of the financial reporting process.
+In addition, the executive directors of the Company are responsible for such internal control as they
+have considered necessary to enable the preparation of ESEF documents that are free from material
+non-compliance with the requirements of § 328 Abs. 1 HGB for the electronic reporting format,
+whether due to fraud or error.
+We conducted our assurance work on the rendering of the consolidated financial statements and the
+group management report contained in the electronic file identified above in accordance with § 317
+Abs. 3a HGB and the IDW Assurance Standard: Assurance Work on the Electronic Rendering, of
+Financial Statements and Management Reports, Prepared for Publication Purposes in Accordance with
+§ 317 Abs. 3a HGB (IDW ASS 410 (10.2021)) and the International Standard on Assurance Engage-
+ments 3000 (Revised). Our responsibility in accordance therewith is further described in the "Group
+Auditor's Responsibilities for the Assurance Work on the ESEF Documents" section. Our audit firm
+applies the IDW Standard on Quality Management 1: Requirements for Quality Management in the
+Audit Firm (IDW QS 1).
+Executive and Supervisory Boards
+Financial statements and notes | Independent Auditors' Report
+273
+<3
+The other information comprises further
+Further information
+Remuneration Report
+PricewaterhouseCoopers GmbH
+Wirtschaftsprüfungsgesellschaft
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+271
+■ the information on CO2 emissions classified as unaudited.
+in the "Corporate governance statement" section of the group management report.
+■ the remuneration report pursuant to § 162 AktG [Aktiengesetz: German Stock Corporation Act],
+for which the supervisory board is also responsible
+■ the statement on corporate governance pursuant to § 289f HGB and § 315d HGB included
+Other Information
+③ The Company's disclosures relating to material legal risks are contained in note 24 "Financial
+obligations and other risks" to the consolidated financial statements as well as in the risk report in
+the Group management report.
+② As part of our audit, we examined the underlying documents to the above-mentioned legal disputes
+and proceedings and analyzed the legal assessment of Deutsche Börse Group. With the knowledge
+that uncertainty results in an increased risk of accounting misstatements and that the executive
+directors' decisions have a direct effect on consolidated net profit, we assessed the executive
+directors' estimates with the assistance of our own specialists. Furthermore, we also held regular
+meetings with the Company's legal department in order to receive updates on current develop-
+ments and understand the reasons for the corresponding estimates of the outcomes of the proceed-
+ings. The development of material legal risks, including executive directors' assessments as to their
+potential outcomes, was provided to us by the legal departments in writing. Furthermore, we
+obtained external legal confirmations and assessed legal opinions prepared by external attorneys as
+at the balance sheet date. The executive directors' estimates regarding the aforementioned matters
+and their presentation in the consolidated financial statements are sufficiently substantiated and
+documented.
+Companies of the Deutsche Börse Group are exposed to certain legal risks. These specific legal
+risks include legal disputes involving Clearstream Banking S.A. in connection with the Iranian
+Central Bank in which Clearstream Banking S.A. sees itself exposed to surrender and compensa-
+tion claims from the Iranian Central Bank amounting to USD 4.9 billion (plus interest) and claims
+from additional group of claimants, an action by the insolvency administrator for the assets of Air
+Berlin PLC i.I. against Clearstream Banking AG demanding payment of approximately EUR 498
+million and an investigation relating to securities transactions by market participants beyond the
+dividend date (cum/ex transactions). The determination of whether or not a provision should be
+recognized to cover the risks, and if so, in what amount, is subject to a high degree of uncertainty.
+Deutsche Börse Group recognizes provisions if a current obligation arises from a past event which
+is likely to result in an outflow of funds and can be reliably estimated. No provisions are recognized
+in the consolidated financial statements as at December 31, 2021 for the aforementioned legal
+risks, as the executive directors do not believe an outflow of funds to be likely. In our view, due to
+their legal complexity, the aforementioned legal risks are of particular significance to our audit
+based on the significant uncertainty as to their further development and potential effects on the
+assets, liabilities, financial position and financial performance.
+<3
+2 Assessment of certain legal risks
+Further information
+Financial statements and notes | Independent Auditors' Report
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+The executive directors are responsible for the other information. The other information comprises
+the following non-audited parts of the group management report:
+Deutsche Börse Group | Annual report 2021
+■ all remaining parts of the annual report - excluding cross-references to external information - with
+the exception of the audited consolidated financial statements, the audited group management report
+and our auditor's report
+In connection with our audit, our responsibility is to read the other information mentioned above and,
+in so doing, to consider whether the other information
+■ Conclude on the appropriateness of the executive directors' use of the going concern basis of
+accounting and, based on the audit evidence obtained, whether a material uncertainty exists related
+to events or conditions that may cast significant doubt on the Group's ability to continue as a going
+concern. If we conclude that a material uncertainty exists, we are required to draw attention in the
+auditor's report to the related disclosures in the consolidated financial statements and in the group
+management report or, if such disclosures are inadequate, to modify our respective audit opinions.
+Our conclusions are based on the audit evidence obtained up to the date of our auditor's report.
+However, future events or conditions may cause the Group to cease to be able to continue as a
+going concern.
+■ Evaluate the appropriateness of accounting policies used by the executive directors and the reason-
+ableness of estimates made by the executive directors and related disclosures.
+■ Obtain an understanding of internal control relevant to the audit of the consolidated financial
+statements and of arrangements and measures (systems) relevant to the audit of the group manage-
+ment report in order to design audit procedures that are appropriate in the circumstances, but not for
+the purpose of expressing an audit opinion on the effectiveness of these systems.
+Identify and assess the risks of material misstatement of the consolidated financial statements and
+of the group management report, whether due to fraud or error, design and per-form audit proce-
+dures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to
+provide a basis for our audit opinions. The risk of not detecting a material misstatement resulting
+from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery,
+intentional omissions, misrepresentations, or the override of internal controls.
+■
+We exercise professional judgment and maintain professional skepticism throughout the audit. We also:
+Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in
+accordance with § 317 HGB and the EU Audit Regulation and in compliance with German Generally
+Accepted Standards for Financial Statement Audits promulgated by the Institut der Wirtschaftsprüfer
+(IDW) will always detect a material misstatement. Misstatements can arise from fraud or error and are
+considered material if, individually or in the aggregate, they could reasonably be expected to influence
+the economic decisions of users taken on the basis of these consolidated financial statements and this
+group management report.
+Our objectives are to obtain reasonable assurance about whether the consolidated financial statements
+as a whole are free from material misstatement, whether due to fraud or error, and whether the group
+management report as a whole provides an appropriate view of the Group's position and, in all material
+respects, is consistent with the consolidated financial statements and the knowledge obtained in the
+audit, complies with the German legal requirements and appropriately presents the opportunities and
+risks of future development, as well as to issue an auditor's report that includes our audit opinions on
+the consolidated financial statements and on the group management report.
+Auditor's Responsibilities for the Audit of the Consolidated Financial Statements and of the
+Group Management Report
+<3
+Further information
+Our audit opinions on the consolidated financial statements and on the group management report do
+not cover the other information, and consequently we do not express an audit opinion or any other
+form of assurance conclusion thereon.
+Remuneration Report
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+272
+The supervisory board is responsible for overseeing the Group's financial reporting process for the
+preparation of the consolidated financial statements and of the group management report.
+Furthermore, the executive directors are responsible for the preparation of the group management
+report that, as a whole, provides an appropriate view of the Group's position and is, in all material
+respects, consistent with the consolidated financial statements, complies with German legal require-
+ments, and appropriately presents the opportunities and risks of future development. In addition,
+the executive directors are responsible for such arrangements and measures (systems) as they have
+considered necessary to enable the preparation of a group management report that is in accordance
+with the applicable German legal requirements, and to be able to provide sufficient appropriate
+evidence for the assertions in the group management report.
+In preparing the consolidated financial statements, the executive directors are responsible for assessing
+the Group's ability to continue as a going concern. They also have the responsibility for disclosing, as
+applicable, matters related to going concern. In addition, they are responsible for financial reporting
+based on the going concern basis of accounting unless there is an intention to liquidate the Group or
+to cease operations, or there is no realistic alternative but to do so.
+error.
+The executive directors are responsible for the preparation of the consolidated financial statements
+that comply, in all material respects, with IFRSS as adopted by the EU and the additional requirements
+of German commercial law pursuant to § 315e Abs. 1 HGB and that the consolidated financial
+statements, in compliance with these requirements, give a true and fair view of the assets, liabilities,
+financial position, and financial performance of the Group. In addition the executive directors are
+responsible for such internal control as they have determined necessary to enable the preparation of
+consolidated financial statements that are free from material misstatement, whether due to fraud or
+Responsibilities of the Executive Directors and the Supervisory Board for the Consolidated
+Financial Statements and the Group Management Report
+■ is materially inconsistent with the consolidated financial statements, with the group management
+report disclosures audited in terms of content or with our knowledge obtained in the audit, or
+■ otherwise appears to be materially misstated.
+Financial statements and notes | Independent Auditors' Report
+sgd. Marc Billeb
+Wirtschaftsprüfer
+2020
+sgd. Dr. Michael Rönnberg
+Wirtschaftsprüfer
+Environmental, social, governance targets
+1) ESG targets
+Performance
+Bonus
+■ Ordinary Board members: EUR 6,000,000
+▪ CEO: EUR 12,000,000
+■ Differentiation between CEO and ordinary Board
+members
+■ Build-up period: Four years
+■ Amount: 200% (CEO) / 100% (ordinary Board
+members) of gross base salary
+■ Performance clawback
+in one tranche with requirement to fully invest in
+shares
+■ Payout: Payout following five-year performance period
+■ Performance period: Five years
+■Cap: 400% of target amount
+■ 25% ESG targets
+■ 25% EPS³ growth rate
+■ 50% Relative TSR2
+■ Performance criteria:
+four-year blocking period
+■ Payout: 50% in cash, 50% for restricted stock with
+■ Cap: 200% of target amount
+■ 1/3 Individual targets (incl. ESG targets')
+(market consensus & absolute growth)
+■ 1/3 EBITDA
+2) TSR Total shareholder return
+3) EPS
+Earnings per share
+■ Performance criteria:
+280
+Deutsche Börse Group achieved its growth targets in 2021, despite the ongoing challenges of the
+COVID-19 pandemic and strong cyclical headwinds.
+The Supervisory Board believes it is vitally important to have a clear link between Executive Board
+members' remuneration and their performance ("pay for performance"). A large proportion of Executive
+Board remuneration therefore consists of performance-based remuneration components. For this reason
+and because strategically relevant indicators are used as performance criteria, the amount of Executive
+Board remuneration is closely linked to the performance of Deutsche Börse Group.
+Performance and target achievement in 2021
+■ All Executive Board members: EUR 9,500,000
+Maximum
+remuneration
+■ No differentiation between Executive Board members.
+■ Build-up period: Three years
+■ Amount: 300% (CEO) / 200% (ordinary Board
+members) of gross base salary
+Share
+ownership
+guidelines
+■ Compliance clawback and malus clause
+(market consensus & absolute growth)
+Malus/
+clawback
+■ Payout: Payout following five-year performance period
+■ Performance period: Five years
+Performance
+Shares
+■ Cap: No payout cap
+■ 50% Growth of adjusted net income
+■ 50% Relative TSR2
+■ Performance criteria:
+■ Payout: 50% in cash, 50% equity deferral with
+three-year holding period
+■ Cap: 233.33% of target amount
+■ Performance multiplier (0.8-1.2)
+■ 2/3 Growth of adjusted net income
+■1/3 Individual targets
+in three tranches with requirement to fully invest in
+shares
+■ 1/3 Net revenue
+■ Performance criteria:
+in financial year 2020
+Financial statements and notes
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+278
+The remuneration report for 2021 will be presented to the Annual General Meeting 2022 for approval by
+consultative vote pursuant to section 120a (4) AktG.
+Deutsche Börse AG believes that transparency, and understandable and comprehensible reporting, are
+key principles for the broad acceptance by all stakeholders of Executive Board and Supervisory Board
+remuneration. When preparing the new remuneration report, Deutsche Börse AG therefore followed
+national and international best practice, particularly, in order to meet the expectations of the capital
+market in terms of high transparency and comprehensibility. The remuneration report of Deutsche Börse
+AG significantly exceeds the new legal requirements.
+Gesetz zur Umsetzung der zweiten Aktionärsrechterichtlinie (Act to Transpose the Second Shareholder
+Rights Directive, ARUG II) which took effect on 1 January 2020 required the remuneration report for
+2021 to be prepared for the first time on the basis of the new legal requirements of section 162 AktG.
+The remuneration report for 2020 already complied with most of these requirements. The changes in
+the legal framework meant that for the first time the remuneration report for 2021 was prepared jointly
+by the Executive Board and Supervisory Board.
+Changes in the legal framework for remuneration reports
+This review of the 2021 financial year explains the context in which the remuneration decisions were
+taken and enables their comprehensive perception.
+II Review of the 2021 financial year
+Above and beyond the requirements of section 162 (3) AktG, the remuneration report was reviewed by
+PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft both in a formal as well as material
+audit. The remuneration report and the attached memorandum on the review of the remuneration report
+can be found on the Deutsche Börse AG website under https://www.deutsche-boerse.com/dbg-
+en/investor-relations/corporate-governance/remuneration.
+Remuneration Report | Remuneration Report
+The remuneration report describes the principles and the structure of the remuneration of the Executive
+Board and Supervisory Board of Deutsche Börse AG and reports on the remuneration awarded and due
+to members of the Executive and Supervisory Boards in 2021. The report was prepared by the Executive
+Board and Supervisory Board in accordance with the requirements of section 162 Aktiengesetz (Stock
+Corporation Act, AktG) and follows the recommendations and suggestions of the German Corporate
+Governance Code (GCGC) as amended on 16 December 2019. It also takes into account the current
+version of the guidelines of the Working Group for sustainable Management Board remuneration
+systems, which is made up of the Supervisory Board Chairs of listed companies in Germany, as well as
+representatives of institutional investors, academics and corporate governance experts.
+<3
+Remuneration Report
+Remuneration Report | Remuneration Report
+Further information
+Financial statements and notes
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+325 Auditor's Report
+278 Remuneration Report
+Remuneration Report
+276
+(German Public Auditor)
+I Introduction
+(German Public Auditor)
+Further information
+Approval of the new remuneration system by the Annual General Meeting 2021
+financial year 2021
+Components
+Previous remuneration system
+Current remuneration system since
+<3
+Comparison of current and previous remuneration system
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+<3
+279
+The revision was preceded by a review of the previous remuneration system by the Supervisory Board in
+terms of its strategic direction and necessary alignment with the current Deutsche Börse Group growth
+strategy "Compass 2023". With the advice of the Nomination Committee, the Supervisory Board carried
+out a wide-ranging revision and enhancement of the remuneration system, bringing it into line with
+Deutsche Börse Group's clear focus on profitable organic and inorganic growth. In particular, the new
+remuneration system reflects the greater importance of acquisitions and equity holdings. In the course of
+the revision, the Supervisory Board also took into account feedback from investors as part of the Say on
+Pay 2020 and the corresponding recommendations of some proxy advisors.
+The new remuneration system applies to all members of the Executive Board as of 1 January 2021.
+94.97%
++29.52 pp.
+65.45%
+P100%
+0%
+2021
+Say on Pay Approval
+16 December 2020 and approved at the Annual General Meeting 2021 by a large majority of 94.97 per
+cent. The approval rate increased by 29.52 percentage points compared with the vote on the previous
+remuneration system at the Annual General Meeting 2020.
+The new remuneration system for the Executive Board was adopted by the Supervisory Board on
+The following table shows the main changes to the new remuneration system for the Executive Board
+compared with the previous remuneration system, which only applied in the 2020 financial year:
+■ Compliance clawback and malus clause
+Deutsche Börse Group | Annual report 2021
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+18.7
+514.8
+2,747.1
+100.0
+2,729.4
+Total target remuneration
+18.4
+502.1
+Pension expense
+516.7
+0
+100.0
+516.7
+Performance Shares
+258.3
+0
+516.7
+Performance Shares
+Tranche 2020-2024
+258.3
+516.7
+516.7
+516.7
+(Restricted Stock)
+Tranche 2021-2025
+345.0
+2,570.8
+13.4
+218.3
+€ thous.
+%
+€ thous.
+%
+€ thous.
+720.0
+26.0
+720.0
+%
+€ thous.
+2020
+2021
+2020
+2021
+(CFO)
+Gregor Pottmeyer
+Base salary
+(responsible for Pre- & Post-Trading)
+Stephan Leithner
+Target remuneration (part 3)
+100.0
+1,330.7
+100.0
+16.4
+Performance Bonus
+38.8
+516.6
+40.2
+Further information
+<3
+The target of at least 5 per cent secular growth in net revenue was reached in 2021. Net revenue rose
+overall by 9 per cent. In addition to the increase in net revenue, EBITDA rose by 9 per cent and EPS by
+12 per cent.
+The M&A targets set as part of "Compass 2023" were even slightly exceeded, despite the challenging
+conditions resulting from the COVID-19 pandemic. The majority stake of 81 per cent in Institutional
+Shareholder Services, Inc. (ISS) acquired in 2021 made a major contribution to reaching this target.
+This acquisition enables Deutsche Börse Group to position itself as a leading global market infrastructure
+provider in the ongoing transformation of capital markets towards more sustainable investing. As a
+result, Deutsche Börse Group is already the world's third-largest provider of ESG information. Together
+with the acquisition of Axioma completed before 2021, the purchase of a majority stake in ISS in 2021
+significantly strengthened Deutsche Börse Group's position in the fast-growing data and analytics
+business. At the same time, the data and research business strengthens the entire value chain. With the
+full takeover of Clearstream Fund Center AG from UBS, the Investment Fund Services business was
+significantly expanded and strengthened. Due to the majority stake in European Energy Exchange AG
+(EEX), with its products and services relating to energy trading and energy-related markets such as
+carbon emission rights, Deutsche Börse Group is also well positioned in this promising market. Deutsche
+Börse Group substantially strengthened its strategic position in key growth markets overall, and again
+improved its line-up for further organic growth. Investments in new asset classes such as digital assets
+and crypto currencies, as well as increased capital expenditure on new technologies, further
+strengthened the foundation for Deutsche Börse Group's future competitiveness. Finally, Deutsche Börse
+Group continued to manage its investment portfolio very actively, both in terms of divestments and with
+further minority investments in the context of the Group's corporate venture capital activities.
+The successful implementation of the corporate strategy "Compass 2023" again improved a number of
+key financial indicators, which are also used as performance criteria for the performance-based
+components of the Executive Board remuneration.
+Development in 2021
+Net revenue (in €m)
+EBITDA (in €m)
+Earnings per Share (in €)
++9%
++9%
++12%
+3,509.5
+3,213.8
+2,043.1
+6.59
+1,869.4
+5.89
+2020
+2021
+2020
+2021
+2020
+Remuneration Report | Remuneration Report
+%
+Financial statements and notes
+Executive and Supervisory Boards
+1,033.4
+37.6
+1,033.4
+37.9
+1,033.4
+remuneration
+Multi-year variable
+258.3
+516.7
+516.7
+516.7
+(cash component)
+Performance Bonus
+19.4
+258.3
+20.1
+516.7
+18.8
+516.7
+18.9
+516.7
+remuneration
+One-year variable
+Management report
+2021
+25.8
+0.8
+2.
+A maximum remuneration figure also existed before the remuneration system for 2021 to cap the annual
+payouts from remuneration components. It was set at €9,500,000 for each active Executive Board
+member and was always complied with.
+It will only be possible to report on compliance with maximum remuneration for 2021 after the payout
+for the tranche of Performance Shares granted in 2021. To the extent that the payout from Performance
+Shares would result in the maximum remuneration being exceeded, the payout would be reduced
+accordingly to ensure compliance with the maximum remuneration.
+The Supervisory Board has defined a maximum remuneration for Executive Board members in
+accordance with section 87a (1) sentence 2 no. 1 AktG, which limits the maximum payouts of
+compensation promised in one financial year. In the remuneration system for 2021 the maximum
+remuneration for the Chief Executive Officer is €12,000,000 and for the ordinary Executive Board
+members €6,000,000. The maximum remuneration includes all payouts of non-performance-based
+remuneration (base salary, fringe benefits, pension and risk protection) and performance-based
+remuneration components (Performance Bonus, Performance Shares), whereby the pension and risk
+protection are based on the service cost.
+Compliance with maximum remuneration
+1.4
+<3
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+Overview of the remuneration system for Executive Board members
+Management report
+100.0
+2,752.5
+11.5
+317.3
+11.7
+100.0
+319.8
+2,755.6
+13.5
+100.0
+378.3
+2,795.6
+100.0
+2,768.7
+286
+In structuring the remuneration, the Supervisory Board strives to ensure that the overall framework for
+remuneration within the Executive Board is as uniform as possible. The remuneration system for
+Executive Board members consists of non-performance-based and performance-based components.
+The non-performance-based remuneration components consist of base salary, contractual fringe benefits
+and provisions for retirement and risk protection. The performance-based component consists of the
+Performance Bonus and the Performance Shares.
+In addition, the company's share ownership guidelines require Executive Board members to invest a
+substantial amount in Deutsche Börse AG shares during their term of office.
+<3
+benefits
+Contractual fringe
+Pension and risk
+coverage
+approx. 25%
+Shares
+Performance
+approx. 45%
+50% in
+cash
+Performance
+Bonus
+Base salary
+approx. 30%
+(70% of target direct remuneration)
+High variable proportion
+Pay-for-performance
+Structure
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+287
+Base salary accounts for around 30 per cent of the target direct remuneration. The Performance Bonus,
+which is paid out after the respective financial year, accounts for approx. 22.5 per cent of the target
+direct remuneration. The Performance Bonus, which is available to the Executive Board members after
+further four financial years (performance-based restricted stock) also accounts for approx. 22.5 per cent.
+Performance Shares account for approx. 25 per cent of the target direct remuneration.
+To ensure the pay for performance orientation of Executive Board remuneration, around 70 per cent of
+the target direct remuneration (base salary, target amount of Performance Bonus and target amount of
+Performance Shares) consists of performance-based remuneration components. Furthermore, around 70
+per cent of this performance-based remuneration has a multi-year assessment basis and is also share-
+based. This ensures that the remuneration structure is aligned with the company's sustainable long-term
+development. It also ensures that the performance-based remuneration to reward the achievement of
+long-term targets is higher than that for short-term targets and that the interests of the Executive Board
+are aligned with those of shareholders.
+Total target remuneration
+12.5
+346.4
+Pension expense
+560.0
+560.0
+(cash component)
+Performance Bonus
+20.3
+560.0
+20.3
+560.0
+20.0
+20.2
+560.0
+remuneration
+One-year variable
+Fringe benefits
+1.3
+35.2
+1.3
+26.2
+720.0
+26.1
+720.0
+35.8
+0.6
+17.3
+560.0
+22.3
+560.0
+remuneration
+0
+560.0
+0
+560.0
+Performance Shares
+Tranche 2021-2025
+560.0
+0
+560.0
+0
+Performance Shares
+Tranche 2020-2024
+560.0
+560.0
+560.0
+560.0
+Performance Bonus
+(Restricted Stock)
+40.7
+1,120.0
+40.6
+1,120.0
+40.1
+1,120.0
+40.5
+1,120.0
+Multi-year variable
+Financial years
+281
+Executive and Supervisory Boards
+38.8
+1,120.0
+40.3
+1,120.0
+39.4
+Performance Bonus
+(Restricted Stock)
+Performance Shares
+Tranche 2020-2024
+1,100.0
+1,100.0
+560.0
+2,400.0
+560.0
+1,300.0
+0
+560.0
+Performance Shares
+Tranche 2021-2025
+1,300.0
+0
+560.0
+0
+Pension expense
+Total target remuneration
+0
+41.1
+2,400.0
+remuneration
+61.4
+1.0
+28.5
+1.0
+55.3
+1.9
+One-year variable
+remuneration
+1,100.0
+18.8
+1,100.0
+17.8
+560.0
+20.1
+560.0
+19.7
+Performance Bonus
+(cash component)
+1,100.0
+1,100.0
+560.0
+560.0
+Multi-year variable
+782.4
+5,842.9
+13.4
+100.0
+1,126.8
+6,188.2
+%
+2021
+€ thous.
+2020
+%
+€ thous.
+%
+650.0
+23.8
+650.0
+23.7
+650.0
+25.3
+325.0
+24.4
+27.2
+1.0
+32.2
+1.2
+25.7
+1.0
+12.5
+1.0
+Fringe benefits
+€ thous.
+1.0
+%
+2020
+18.2
+351.8
+12.7
+386.7
+100.0
+2,780.3
+100.0
+2,842.0
+13.6
+100.0
+285
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+Target remuneration (part 2)
+Base salary
+Thomas Book
+(responsible for Trading & Clearing)
+<3
+Heike Eckert
+(responsible for HR & Compliance,
+Director of Labour Relations; since 1 July 2020)
+2021
+€ thous.
+Deutsche Börse Group | Annual report 2021
+60.5
+720.0
+282
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+Composition of the Executive Board and Supervisory Board
+There were no changes among the members of the Executive Board in 2021. The Supervisory Board
+voted on 8 December 2021 to renew the period of office of Gregor Pottmeyer for three years as of
+1 October 2022.
+in the section "Overall target achievement and payouts from the PSP Tranche 2017".
+The Annual General Meeting 2021 elected Chong Lee Tan to the Supervisory Board by a majority of
+97.56
+per cent. He succeeded Amy Yok Tak Yip, who was no longer a candidate.
+After an interruption due to the COVID-19 pandemic, the employee representatives on the Supervisory
+Board were elected on 15 and 16 November 2021. The following employee representatives were
+elected: Markus Beck, Anja Greenwood, Susann Just-Marx, Achim Karle, Peter Sack and Daniel
+Vollstedt, with Nadine Absenger and Katrin Behrens as trade union representatives.
+III Executive Board remuneration in 2021
+1. Principles of Executive Board remuneration
+Executive Board remuneration serves as an important steering element for the strategic direction of
+Deutsche Börse Group and makes a key contribution to advancing and implementing the corporate
+strategy, as well as to the sustainable long-term development of Deutsche Börse AG. Choosing suitable
+performance criteria for performance-based remuneration sets incentives to manage the company
+sustainably and successfully over the long term and to drive the realisation of its strategic objectives.
+In order to support a strong equity culture and further align the interests of the Executive Board and
+shareholders, most of the performance-based remuneration components are share-based.
+Executive Board remuneration is based on the principle that Executive Board members should receive
+appropriate remuneration in line with their performance, functions and responsibilities. By setting
+ambitious performance criteria, the Supervisory Board follows a strict pay-for-performance approach.
+The long-term structure of the remuneration system, as expressed in the largely multi-year assessment
+basis for the performance-based remuneration components, also avoids creating incentives for taking
+unreasonable risks.
+The following overview shows the main guidelines applied by the Supervisory Board for the Executive
+Board remuneration:
+283
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Oliver Greie was a member of the Supervisory Board temporarily, as an employee representative from
+19 May 2021. As a trade union representative he succeeded Gerd Tausendfreund, who stepped down
+from the Board when he retired from work.
+A detailed description of the performance criteria, target achievement and resulting payouts can be found
+250%
+Maximum
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+In view of this successful growth, a proposal will be made at the Annual General Meeting 2022 to
+increase the dividend again to €3.20 for the 2021 financial year. The successful performance in 2021,
+which also included achieving ambitious targets for further increases in net revenue and EBITDA, was
+also reflected in the average target achievement of 140.88 per cent for the Performance Bonus. Net
+revenue and EBITDA are the performance criteria for the Performance Bonus, in addition to individual
+targets.
+The following chart shows the average overall target achievement of the Executive Board members in the
+Performance Bonus for 2021:
+Overall target achievement Performance Bonus 2021
+Minimum
+0%
+Target
+100%
+Ø Actual: 140.88%
+Maximum
+200%
+A detailed description of the performance criteria, target achievement and resulting payouts can be found
+in the chapter "Performance Bonus".
+The tranche of the Performance Share Plan (PSP) granted in 2017 (PSP Tranche 2017) ended at the
+close of the 2021 financial year. Overall target achievement in the PSP Tranche 2017 of 188.82 per
+cent reflects Deutsche Börse Group's strong growth over the five-year performance period. Targets were
+exceeded for both the criterion “Adjusted Net Income Growth" and the criterion "Total Shareholder Return
+(TSR) Performance". The maximum target achievement for relative TSR not only reflects the strong
+absolute performance of the Deutsche Börse share on the capital market, but also its above-average
+relative performance compared with the relevant peer group. Overall target achievement of the Executive
+Board members for the PSP Tranche 2017 is as follows:
+Overall target achievement PSP Tranche 2017
+Minimum
+0%
+Target
+100%
+Actual: 188.82%
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+Applicable guidelines
+<3
+In their service contract, each Executive Board member is promised a target remuneration in line with
+common market levels, which depends largely on their relevant knowledge and experience for the role. It
+is also based on the target remuneration for the other Executive Board members. Target remuneration for
+the Executive Board members was not changed in 2021. Differences in total target remuneration result
+from the volatility of fringe benefits and the service cost for pension purposes.
+Target remuneration (part 1)
+Base salary
+Fringe benefits
+Theodor Weimer
+(CEO)
+Christoph Böhm
+(CIO/COO)
+2021
+2020
+2021
+2020
+€ thous.
+%
+€ thous.
+%
+€ thous.
+%
+€ thous.
+%
+1,500.0
+25.7
+1,500.0
+24.2
+720.0
+25.9
+Target remuneration
+25.4
+1.3
+The results of the review are taken into account by the Supervisory Board when setting the target
+remuneration for the Executive Board members, which also ensures that the Executive Board
+remuneration is appropriate.
+Applicable guidelines
+Clear alignment with the corporate strategy "Compass 2023"
+Conformity with the requirements of the German Stock Corporation Act (AktG) and the recommendations and
+suggestions of the German Corporate Governance Code (GCGC) as well as orientation towards the Guidelines
+for sustainable Management Board remuneration systems
+✓
+Ensuring the appropriateness of remuneration
+✓
+Long-term orientation and strong capital market focus
+Performance Bonus and Performance Shares are completely performance-based and can entirely lapse
+Strengthening responsible action by using ESG targets
+1.1 Process for determining, implementing and reviewing the remuneration system
+The Supervisory Board, being advised by its Nomination Committee, determines the remuneration
+system for the members of the Executive Board. The remuneration system adopted by the Supervisory
+Board is presented to the Annual General Meeting for approval. The Supervisory Board reviews the
+remuneration system regularly with the support of its Nomination Committee. After any significant
+changes, but not less than every four years, the Supervisory Board again presents the remuneration
+system to the Annual General Meeting for approval.
+1.2
+Appropriateness of Executive Board remuneration
+The remuneration of Executive Board members is determined by the Supervisory Board on the basis of
+the remuneration system, whereby the Nomination Committee prepares the Supervisory Board's
+decision. The Supervisory Board ensures that remuneration is appropriate to the corresponding Executive
+Board member's tasks and performance, as well as to the company's financial situation, and that it does
+not exceed common market pay levels without special justification. For this purpose, the Supervisory
+Board conducts a regular horizontal and vertical peer group comparison, generally every other year.
+To do so, the Supervisory Board may engage external experts who are independent of the Executive
+Board and the Company. The horizontal comparison is based on relevant national and international peer
+groups. The Supervisory Board selects the peer groups based on the criteria country, size and industry
+sector as stipulated in AktG. Based on the country criterion and given their comparable size, DAX-listed
+companies are included as a suitable peer group for the purpose of the horizontal comparison. In order
+to reflect the industry sector criterion, European financial institutions were used as customers and
+competitors of Deutsche Börse Group, as well as international stock exchange operators as additional
+peer groups.
+In order to assess whether the remuneration is in line with usual levels within the Company (vertical
+comparison), the Supervisory Board - in accordance with the recommendations of the GCGC - also
+takes into account the ratio of Executive Board remuneration to the remuneration of senior managers and
+the workforce as a whole, and how the various salary grades have developed over time. In this context,
+senior managers mean the two management levels below the Executive Board. The Supervisory Board
+considers the remuneration ratio in respect of both the employees of Deutsche Börse AG and the
+employees of Deutsche Börse Group as a whole.
+284
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+The last review of appropriateness took place in the 2021 financial year. The Supervisory Board was
+supported by an independent external advisor and the Executive Board remuneration was found to be
+appropriate.
+1
+560.0
+3
+48.0
+500.0
+500.0
+Christoph Böhm
+2,026.2
+2,729.7
+1,126.8
+€ thous.
+€ thous.
+€ thous.
+€ thous.
+782.4
+50.0
+50.0
+1,200.0
+1,200.0
+Theodor Weimer
+2020
+2021
+2020
+2021
+2020
+%
+2021
+%
+€ thous.
+€ thous.
+Executive Board member
+48.0
+2020
+351.8
+856.0
+2
+290
+4,610.9
+976.2
+378.3
+1,273.0
+317.3 4,630.7
+319.8
+48.0
+48.0
+500.0
+500.0
+Gregor Pottmeyer
+346.4
+48.0
+48.0
+500.0
+500.0
+208.2
+512.8
+218.3
+345.0
+40.0
+40.0
+500.0
+500.0
+Heike Eckert
+386.7 1,157.1
+2021
+Stephan Leithner
+Service cost
+Remuneration Report | Remuneration Report
+Financial statements and notes
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+288
+In the 2021 financial year, there was also directors & officers (D&O) insurance for Executive Board
+members.
+Executive Board members were not granted any other fringe benefits in the 2021 financial year apart
+from those mentioned.
+Executive Board members receive contractually agreed fringe benefits. These include i.a. an appropriate
+company car for business and personal use. They also receive taxable contributions towards private
+pensions. In addition, the company takes out appropriate insurance coverage for them. This included
+accident insurance in the 2021 financial year. Another fringe benefit in the 2021 financial year was the
+use of carpool vehicles or vehicles with drivers.
+3.1.2 Fringe benefits
+The members of the Executive Board receive a fixed base salary, which is paid in twelve equal monthly
+instalments. When setting the amount of base salary the Supervisory Board is guided by the relevant
+knowledge and experience of the Executive Board members for their respective role.
+3.1.1 Base salary
+Non-performance-based remuneration components
+Application of remuneration components in the 2021 financial year in detail
+3.1
+3.
+Long-term cus
+focus
+Build-up period of four years after appointment - requirement to hold shares until end
+of term of office - 200% (CEO) / 100% (ordinary Board members) of gross base salary
+Share ownership
+guidelines (SOG)
+Five-year performance period
+blocking period of four years
+50% performance-based restricted stock -
+5
+Present value of
+pension commitments
+4
+Further information
+3.1.3
+Approx. 70% of performance-based
+remuneration is long-term and share-based
+<3
+Contribution
+percentage
+Pension and risk coverage
+Pensionable income
+Retirement benefits (defined contribution pension system)
+The pensionable income and the present value of the pension commitments as at 31 December 2021
+are shown in the following tables in consolidated form for each Executive Board member.
+In the event that an Executive Board member becomes permanently incapable of working, the defined
+benefit pension agreements for Executive Board members provide for a transitional payment. The
+amount of this payment corresponds to the target amount of performance-based remuneration
+(Performance Bonus and Performance Shares) in the year in which the event triggering the benefits
+occurs. It is paid out in two tranches in the two following years. If an Executive Board member dies,
+their spouse receives 60 per cent of the transitional payment.
+IAS 19
+A key component of the pension commitments relates to the Executive Board members' benefits in the
+case of permanent occupational disability or death. If an Executive Board member has a permanent
+occupational disability, the Company has the right to put that Executive Board member into retirement. A
+permanent occupational disability arises if the Executive Board member is incapable of working for more
+than six months and it is not expected that they will be fit to return to work within another six months. In
+this case, Executive Board members with defined benefit pensions receive an amount calculated by
+applying the achieved replacement rate to the respective pensionable income. Executive Board members
+with defined contribution pensions receive the plan assets already accrued when the pension benefits
+fall due, plus a supplement. The supplement corresponds to the full annual pension contribution that
+would have been due in the year of departure multiplied by the number of years between the date on
+which the pension benefits fall due and the Executive Board member's sixtieth birthday. If an Executive
+Board member dies, their surviving spouse receives 60 per cent and each eligible child 10 per cent (for
+full orphans: 25 per cent) of the amount presented above, however up to a maximum of 100 per cent of
+the pension contribution.
+c. Benefits in the case of permanent occupational disability or death
+<3
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+d. Transitional payments
+Executive and Supervisory Boards
+Management report
+As another non-performance-based component of the remuneration system the Executive Board
+members are entitled to a pension as well as invalidity and life insurance.
+a. Defined contribution pension system
+The members of the Executive Board are generally entitled to receive retirement benefits upon reaching
+the age of 60, provided that they are no longer in the service of Deutsche Börse AG at that time - for
+Thomas Book, this applies on reaching the age of 63. The Supervisory Board reviews and determines
+the pensionable income that is used as the basis for retirement benefits. Executive Board members
+normally receive a defined contribution pension. An exception applies to Executive Board members with
+existing entitlements from previous positions within Deutsche Börse Group. In this case, they may
+receive a defined benefit pension instead. This exception only applies to Thomas Book.
+Under the defined contribution pension scheme, the Company makes an annual capital contribution to
+the scheme for each calendar year that a member serves on the Executive Board. This pension
+contribution is calculated by applying an individual contribution rate to their pensionable income. The
+Supervisory Board determines and regularly reviews the pensionable income. The capital contributions
+calculated in this manner bear interest at 3 per cent p.a. The benefit is generally paid out in the form of
+a monthly pension. However, the Executive Board member may choose for payment to be made in the
+form of a one-off lump sum or as five instalments. The entitlements vest in accordance with the
+provisions of Betriebsrentengesetz (German Company Pensions Act).
+b. Defined benefit pension system (legacy provisions)
+The rules of the defined contribution pension scheme apply to Theodor Weimer, Christoph Böhm, Heike
+Eckert, Stephan Leithner and Gregor Pottmeyer.
+Members of the Executive Board are entitled to an early pension if the Company does not extend their
+service agreements, unless the reasons for doing so are attributable to the Executive Board member or
+would justify terminating the agreement without observance of a notice period. As in the case of a
+retirement pension, the amount of the early pension is calculated by applying the replacement rate to the
+respective pensionable income. Executive Board members with a defined contribution pension are not
+eligible for an early pension.
+289
+Deutsche Börse Group | Annual report 2021
+Under the defined benefit pension scheme, eligible beneficiaries who have reached the contractually
+agreed age receive pensions calculated as a defined proportion of their individual pensionable income
+(replacement rate). The requirement is that the respective Executive Board member was in office for at
+least three years and was reappointed at least once. As is the case under the defined contribution
+scheme, the Supervisory Board determines and regularly reviews the pensionable income. The
+replacement rate depends on the length of Executive Board service and number of reappointments, and
+amounts to a maximum of 50 per cent. The payment terms and the rules governing vesting correspond
+to those of the defined contribution scheme.
+Cooperation agreements and networks for
+the joint development of common standards
+and solutions Business model
+Social environment
+Partnerships
+According to IIRC terminology, we essentially need four capitals (input factors) to implement our
+business model. We deploy these capitals within a binding regulatory framework: intellectual capital,
+human capital, financial capital and partnerships. They enable us to create short, medium and long-
+term value with our business model. Our result can be allocated to the following four outcome-
+dimensions:
+28
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our strategy and steering parameters
+<3
+Remuneration Report
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Deutsche Börse: Fundamental information about the Group
+25
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+Financial statements and notes
+Economic position
+customer focus
+Outcome
+dimensions
+Our purpose is "We at Deutsche Börse create trust in the markets of today and tomorrow". Trust is
+essential for functioning markets and sustainable economies. We provide fair and transparent, reliable
+and stable infrastructures that ensure safe and efficient markets around the globe. By providing market
+infrastructure, we foster growth and thus contribute to the prosperity of future generations. This takes
+place using a combination of several input factors of our value creation, which we describe below using
+the IIRC framework.
+Our value creation process
+45
+External requirements (regulations, rating agencies, etc.)
+Intellectual capital
+Secure, reliable and innovative products
+that are competitive and cover the entire
+financial-market value chain
+Human capital
+More than 10,000 employees with diverse
+backgrounds, united by a strong team and
+Financial capital
+Fast-growing company with continuous
+organic growth and strategic M&A focus
+Customers and markets
+Employees
+Business model
+Input
+factors
+DEUTSCHE BÖRSE
+GROUP
+The Executive Board is responsible for the management of the company, whereby the Chief Executive
+Officer (CEO) coordinates the activities of the Executive Board members. In the 2021 financial year, the
+Executive Board of Deutsche Börse AG comprised six members. The remuneration system and the
+remuneration paid to individual members is explained in more detail in the "Remuneration report".
+The EEX Group offers its participants a market platform for energy and commodities products in more
+than 30 countries around the world. Its product portfolio comprises contracts on power, gas and
+emission rights, as well as freight and agricultural products.
+The Annual General Meeting rules on the appropriation of distributable profit, appoints the shareholder
+representatives on the Supervisory Board and discharges the Executive Board and the Supervisory Board
+of liability. In addition, it rules on equity issuance and other matters governed by Aktiengesetz (AktG,
+German Stock Corporation Act).
+Our subsidiary 360T is the leading global provider of web-based trading technology, which enables our
+customers to trade over-the-counter (OTC) financial instruments, particularly foreign exchange and short-
+term money market products, as well as foreign exchange and interest rate derivatives.
+Foreign exchange trading
+Commodities
+The Eurex futures exchange is one of the world's largest markets for trading financial derivatives. It offers
+a wide range of international benchmark products such as interest derivatives (e.g. Euro-Bund Futures)
+and equity derivatives (e.g. EURO STOXX 50Ⓡ Index Futures).
+Financial derivatives
+Trading & clearing
+E>
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Deutsche Börse: Fundamental information about the Group
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+23
+Via our Institutional Shareholder Services subsidiary (ISS) we offer independent ESG and governance
+research, proxy voting solutions, ratings and data, as well as market information and editorial content for
+institutional investors and companies – worldwide. The segment ISS was introduced in 2021 and
+showed its first full reporting period in the second quarter.
+<3
+ESG business
+Securities trading
+We operate the Frankfurt Stock Exchange (FWBⓇ). With its XetraⓇ trading system it operates the global
+reference market for German equities and is the number one in Europe for exchange-traded funds (ETF).
+Post-trading
+Post-trading (settlement, custody, collateral and liquidity management)
+The governing bodies of Deutsche Börse AG, which is a German stock corporation, are the Annual
+General Meeting, the Supervisory Board and the Executive Board, each of which has its own areas of
+responsibility.
+Management
+E>
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Deutsche Börse: Fundamental information about the Group
+Executive and Supervisory Boards
+The Supervisory Board appoints, supervises and advises the members of the Executive Board, and is
+directly involved in decisions of fundamental importance to the Group. Additionally, it approves the
+consolidated financial statements prepared by the Executive Board. Members of the Supervisory Board
+are appointed for a period of three years, although the Annual General Meeting may determine a shorter
+term of office when electing members. Members of the Supervisory Board must be appointed in
+accordance with the provisions of the Mitbestimmungsgesetz (German Co-Determination Act). Deutsche
+Börse's Supervisory Board comprises eight shareholder representatives and eight employee
+representatives in order to meet the growing demands placed upon Supervisory Board members in
+connection with the company's growth and that of the Group as a whole, particularly with regard to the
+diversity and internationalisation of Supervisory Board work. Further details are provided in the
+"Corporate governance statement".
+Deutsche Börse Group | Annual report 2021
+24
+You can find a complete list of our trademark rights on our homepage.
+Deutsche Börse Group's full group of consolidated entities is set out in Note 34 to the consolidated
+financial statements.
+To reduce the complexity of financial reporting and emphasise the Group's growth areas more clearly, we
+are adjusting our segment reporting in accordance with the internal corporate management as of the first
+quarter of 2022. The eight existing segments will then be condensed to four: Data & Analytics (including
+the Qontigo and ISS segments), Trading & Clearing (Eurex, EEX, 360T and Xetra segments), Fund
+Services (IFS segment) and Securities Services (Clearstream segment).
+For further details, please refer to the segment reporting in the results of operations.
+Clearstream offers services for investment funds based on the security of the assets and the efficiency of
+distribution. The VestimaⓇ fund processing platform provides access to all fund types, from investment
+funds to ETF and hedge funds. Clearstream also offers services to support fund distribution for asset
+managers and fund distribution companies.
+Investment fund services (IFS)
+Clearstream operates the central securities depository in Germany and Luxembourg and one international
+securities depository. We offer global securities financing and collateral management for secured money
+market transactions, repo transactions and securities lending.
+224
+5. How we add value
+Group Security
+Remuneration Report
+Pre & Post-Trading
+S. Leithner
+Clearstream -
+Strategy &
+Governance
+Findings Program
+Management
+Clearstream -
+Global RM,
+Sales & Services
+Group Regulatory
+Strategy
+Treasury
+The range of Axioma products consists of investment management solutions, including market-leading
+portfolio and risk analysis software, corporate risk management across asset classes, portfolio
+construction, performance attribution and regulatory reporting.
+Clearing
+Human Resources -
+Global HR Business
+Partner
+Group Audit
+Group Risk
+Management
+IT Governance &
+Location Prague
+Cash Market
+Group Legal
+Group Organisational
+Services
+Corporate IT
+Market Data &
+Services
+Derivatives Markets
+Trading
+cations & Marketing
+Clearing & Risk IT
+Investor Relations
+Our organisation is divided into six Executive Board areas as follows:
+Executive Board areas
+E>
+CEO
+T. Weimer
+Group Strategy/
+Mergers &
+Acquisitions/Chief of
+Staff/ESG Strategy
+Group Communi-
+Group Tax
+CFO
+Financial Account-
+ing & Controlling
+CIO/COO
+C. Böhm
+Trading & Clearing
+T. Book
+HR & Compliance
+H. Eckert
+Derivatives, Cash &
+Energy Trading IT
+Business Analytics &
+Stategy
+Group Compliance
+G. Pottmeyer
+Group Chief
+Technology Officer
+FX/360T
+Post Trade IT
+Remuneration Report
+Further information
+4. ESG: Commitment and opportunity for Deutsche Börse
+Sustainability is more than an obligation for our own business model; for us it also represents an
+important guiding principle for shaping capital markets. In this sense, we view sustainability from two
+perspectives: on the one hand, we establish sustainability as a priority for our internal processes. On the
+other hand, as a provider of market infrastructure, we offer our customers solutions that enable them to
+make their own businesses more sustainable. This duality is also expressed in our sustainability strategy,
+which we updated in 2021 following a wide-ranging stakeholder survey. Our sustainability strategy
+reflects the topic of sustainability both in our Group strategy and across our business areas. It can be
+summarised in four ambitions.
+1. Lead by example. By integrating four ESG targets (employee satisfaction, ESG net revenue¹, carbon
+neutrality and ESG ratings) into our Executive Board remuneration we assume our corporate
+responsibility in a holistic way. Our integrated report as well as the fact that our report is almost²
+completely audited with reasonable assurance underlines our ambition to lead by example.
+2. Increase transparency. Our exchanges and reporting standards (Prime Standard and guidelines)
+create market clarity and provide orientation for private and institutional investors. For further
+information see our chapter "Transparent markets".
+3. Provide solutions. With our products we enable our customers in the financial and real economy to
+carry out their green transformation economically and efficiently. We earned around seven per cent
+of our net revenue with ESG products in 2021.¹ For further information see chapter "Definition of
+our ESG net revenue".
+4.
+Management report | ESG: Commitment and opportunity for Deutsche Börse
+Financial statements and notes
+Measure impact. We systematically review all our sustainability activities for effectiveness. To
+underline their importance for the Group as a whole, sustainability indicators became part of our
+steering parameters with effect from financial year 2021. In the following chapter "How we add
+value" we elaborate on our value creation process.
+At the Supervisory Board level it is mainly the newly formed Strategy and Sustainability Committee that
+deals with ESG, advising the Executive Board on matters of strategic importance. These include
+sustainable corporate governance and our ESG business activities.
+¹ESG net revenue according to the internal definition of Deutsche Börse Group - see "Definition of our ESG net revenue".
+2Only exception are the CO₂-figures. These are unaudited.
+27
+27
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | How we add value
+Financial statements and notes
+As of 2021 our Executive Board is informed frequently of relevant market and sales performance with
+regard to ESG and determines the strategic course on this basis. It is mainly monitored and managed by
+our CEO and CFO, as well as via the segments: As part of the CEO division the Group ESG Strategy team
+is responsible for the ESG activities within the Group and the reporting. It executes our climate strategy,
+conducts market trend analysis and works closely with the business areas in implementing their product
+strategies. The Group Sustainability Board oversees the implementation of our ESG strategy. The Board
+convenes four times a year and in 2021 its members comprised one representative from each of the
+Executive Board divisions, plus the Head of Group ESG Strategy and one Executive Board member
+(2021: CFO). The individual business areas are responsible for the concrete implementation of the ESG
+business strategy. In addition to the individual product areas, our risk management function is also
+involved with ESG topics.
+Further information
+Executive and Supervisory Boards
+26
+European Energy
+Exchange (EEX)
+Clearstream -
+Investor Services &
+Financing
+Human Resources
+Strategy & Initiatives
+Clearstream -
+Issuer Services &
+New Digital Markets
+Human Resources
+Global Services
+Clearstream -
+Investment Funds
+Services
+Clearstream
+Global Operations
+Deutsche Börse Group | Annual report 2021
+Regulatory Strategy &
+Compliance
+Quantitative Brokers
+ISS
+IT Strategy/
+Chief of Staff
+Crypto Finance
+IT Infrastructure &
+Operations
+Qontigo
+46
+Information Security
+Compliance Program
+Analytics business
+While preparing the report, we followed the recommendations of the International Integrated Reporting
+Council (IIRC) for portraying our value creation process (see chart "Value creation process"). Currently, a
+highly dynamic environment for company reporting exists due to regulatory developments in the field of
+non-financial reporting and due to a closer cooperation and coordination between the key standard-
+setters, Global Reporting Initiative (GRI), Sustainability Accounting Standard Board (SASB), Task Force
+on Climate-Related Financial Disclosures (TCFD) and IIRC. We will therefore continue to develop our
+reporting over the next few years.
+Index business
+Chapter of integrated
+report
+ΚΡΙ
+Our customers and
+markets
+Target
+2021
+System availability (customer facing IT)*
+Overview of chapters and KPI
+>99.5%
+Our employees
+Employee satisfaction*
+Women in leadership positions¹.*
+>71.5%
+>20%
+75%
+99.9%
+We have translated our targets into key performance indicators (KPI), which we assign to our four value
+creation categories:
+<3
+Further information
+Employees: As an employer we take wide-ranging measures to use the full potential of our human
+capital. Furthermore, we strengthen our employee satisfaction and loyalty. All this helps to build an
+employer brand that illustrates what makes us unique and why talents should decide to work for us.
+Economic situation: As a fast-growing company we create financial value, substance and returns on
+which our investors, employees, customers and society can build on.
+Social environment: Our value creation reaches far beyond what impacts us directly as a company - for
+example including our own carbon emissions, human rights issues in the supply chain or our
+involvement in financial market initiatives.
+This stylised value creation process forms the basis for the other chapters in this combined management
+report and for our management and steering parameters using various KPI, which we describe in the
+next chapter.
+6. Our strategy and steering parameters
+We secure our good market position and continued viability by means of our medium-term growth
+strategy Compass 2023, which defines the strategic direction and targets for the years ahead. Among
+the most important secular growth drivers are the trend from over-the-counter (OTC) to on-exchange
+trading, the higher demand for ESG services, the increasing importance of the buy-side, passive
+investments and the digitisation of the financial sector. Inorganic growth will also play an important role.
+We are aiming for overall growth in net revenue of 10 per cent p.a. on average until 2023. Secular
+initiatives and M&A are each intended to contribute growth of around 5 per cent. Furthermore, earnings
+before interest, tax, depreciation and amortisation (EBITDA) as well as the earnings per share before
+purchase price allocations (Cash EPS) are planned to grow by around 10 per cent p.a. on average.
+We have made significant progress with the implementation of this strategy in the course of last year.
+Significant milestones and further information can be found on our homepage.
+In a continuous process, we review our organic growth initiatives, which we rely on particularly for
+expansion in secular growth markets and asset classes. As far as external growth opportunities are
+concerned, the focus is on strengthening existing high-growth areas, and on exploring new asset classes
+and services. Key initiatives and growth drivers are described in the "Report on opportunities".
+Additionally, also the remuneration system for the Executive Board and executive staff has created a
+number of incentives for growth in the individual business divisions. The “Remuneration report" provides
+a detailed description of all targets. In 2021, we also integrated ESG targets into the remuneration
+system for the Executive Board for the first time - such as climate neutrality of Deutsche Börse Group,
+good ESG ratings, employee satisfaction and growth in net revenue from ESG products.
+29
+29
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our strategy and steering parameters
+Financial statements and notes
+Remuneration Report
+21%
+Customers and markets: Our products and services contribute to increase transparency for market
+participants and to enable them to price in and integrate market developments, changes and
+transformations. In this way we enable better-informed decisions.
+Economic situation
+9% CAGR
+>10%
+210%
+incl. ISS acquisition
+Net zero by 2025
+(-100% vs. 2019)
+-66%
+vs. 2019
+1) Group-wide target in senior management.
+2019-2023
+2) ESG net revenue according to the internal definition of Deutsche Börse Group - see "Definition of our ESG net revenue".
+3) Unaudited figure.
+Steering parameters for our customers and markets
+As a provider of market infrastructure we maintain impartial, transparent and secure marketplaces. In
+this context we use our systems availability as a key performance indicator. A value of more than 99.5
+per cent is the target for our systems availability (customer facing IT) (for further information see "Our
+customers and markets").
+Steering parameters for our employees
+We use two key performance indicators for measuring employee-related factors: The first indicator is
+used to measure employee satisfaction on an annual basis and to take action based on the results. The
+second indicator is used to calculate the percentage of women in leadership positions on an annual
+basis. In terms of employee satisfaction we have defined a result of more than 71.5 per cent approval in
+the annual employee survey as the target. For the proportion of women in leadership positions the goal
+was set to reach over 20 per cent in senior management. On 31 December 2021 the proportion of
+women in senior management was 21 per cent. For 2022, we have made a voluntary commitment that
+exceeds the requirements of section 76 (4) AktG. We want to have a percentage of women in leadership
+positions of 22 per cent in senior management and of 30 per cent in lower management (see "Our
+employees").
+30
+30
+* Our most significant financial and non-financial key performance indicators.
+2019-2021
+in 2021
+11% CAGR
+€2,043.1 million
+Net revenue*
+EBITDA*
+Cash EPS
+ESG net revenue²,*
+Our social environment
+CO2 emissions per workspace³
+2019-2023
+€3.5 billion
+in 2021
+10% CAGR
+2019-2023
+€2.0 billion
+in 2021
+10% CAGR
+2019-2021
+€3,509.5 million
+in 2021
+10% CAGR
+2019-2021
+10% CAGR
+Via our Qontigo subsidiary we offer an innovative range of index and analytics products with global
+coverage, including STOXX® and DAX®.
+Further information
+Management report | About this report
+-
+-
+are subject to PwC's audit.
+Integrated reporting on non-financial topics
+For the 2021 reporting year, we have integrated our combined management report and our combined
+non-financial statement in one report for the first time. This enables our most important stakeholders
+such as clients, employees and shareholders to gain a holistic view of our corporate performance. This
+includes social and ecological topics as well as economic ones.
+Organisational structure
+Contents, structure and materiality
+The information about our net assets, financial position and result of operations is based on the
+requirements of International Financial Reporting Standards (IFRS), and if applicable, German
+Commercial Code (HGB) and German Financial Reporting Standards (DRS). The combined non-financial
+statement for Deutsche Börse Group and the parent company Deutsche Börse AG is integrated into the
+combined management report; it meets the requirements of sections 289b-e and 315b-c HGB and
+Regulation (EU) 2020/852 of the European Parliament and of the Council of 18 June 2020 on the
+establishment of a framework to facilitate sustainable investment and amending Regulation (EU)
+2019/2088 (in the following EU-Taxonomy regulation). In terms of the materiality analysis, description
+of management approaches and selected KPI it follows the GRI standards ("Core" option). A detailed
+overview of all GRI indicators (GRI index) is available on our homepage. Further detailed information
+that is referenced in this report does not form part of the combined management report itself. Provided
+no explicit statements are made for the parent company, qualitative information within the meaning of
+the combined management report applies to Deutsche Börse Group and the parent company Deutsche
+Börse AG. In some cases, quantitative details concerning the parent entity are disclosed separately.
+21
+21
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Reference to chapter in our integrated report
+Financial statements and notes
+This combined management report covers both Deutsche Börse Group and Deutsche Börse AG and
+includes the combined non-financial statement. It follows the requirements of Handelsgesetzbuch (HGB,
+German Commercial Code) and Deutscher Rechnungslegungs Standard Nr. 20 (DRS 20, German
+Accounting Standard No. 20). The contents of the combined non-financial statement with the
+exception of our carbon footprint, which are marked as unaudited
+Remuneration Report
+<3
+In the course of our materiality analysis, we continuously determine and evaluate the expectations and
+requirements of relevant internal and external stakeholders. To this effect, we surveyed several internal
+and external stakeholders in 2021. This process is aimed at identifying the issues required to
+understand the Group's business performance, operating results, the situation of the company and the
+impact of its activities on non-financial aspects. This enables us to identify opportunities and risks in our
+core business activities at an early stage and define concrete action areas on this basis.
+The combined non-financial statement describes the targets, activities, applied due diligence processes,
+involvement of top management and other stakeholders, and the results of our concepts. The reporting
+on our key topics follows our value creation process, which is explained in the chapter "How we add
+value". For a schematic representation of the contents in line with the TCFD recommendations we refer
+to our TCFD index on our homepage. All the topics identified in our materiality analysis are therefore
+relevant for the further structuring of this report. For an overview of the parts of the non-financial
+declaration (NFD), please refer to the table “Disclosures on the non-financial declaration pursuant to
+Section 289b-e or 315b-c HGB".
+We present the material topics and the related steering parameters in the sections "How we add value"
+and "Our strategy and control parameters". This year the aspects "Environmental matters" and "Respect
+for human rights" were identified as material for the first time. This was due partly to the results of our
+stakeholder survey and the inclusion of ESG criteria for Executive Board remuneration, as well as
+regulatory developments (e.g. Supply Chain Act in Germany). Regardless of this, the environment
+remains a highly relevant topic for the structuring of specific products and services. Activities in this area
+are described in more detail in the section "Our markets and customers".
+Disclosures on the non-financial declaration pursuant to Section 289b-e or 315b-c HGB
+Required disclosure pursuant § 289b-e or 315b-c HGB
+Business model
+Involvement of top management
+Risks
+Annual and consolidated financial statements
+Environmental matters
+Employee matters
+Social matters
+Respect of human rights
+Further information
+<3
+2. About this report
+Further information
+Pre-trading
+Our business takes place in eight segments, which are organised as Pre-trading, Trading & clearing and
+Post-trading. This structure is used for the internal Group controlling and forms the basis for our financial
+reporting.
+As one of the largest providers of market infrastructure worldwide, we offer our clients a broad range of
+products and services. These cover the entire financial market transaction process chain: from the ESG
+business, indices and analytical solutions (pre-trading), trading and clearing services and price and
+reference data based on them (trading & clearing), and the settlement of transactions right through to the
+custody of securities and funds, as well as services for liquidity and collateral management (post-
+trading). We also develop and operate the IT systems that support all these processes. In addition to
+securities, our platforms are used to trade foreign exchange, commodities and derivatives.
+Deutsche Börse AG was established in 1992 and is a global company based in Frankfurt/Main,
+Germany. It is the parent company of Deutsche Börse Group. Altogether, we have over 10,000
+employees from 109 nations working at 69 sites.
+Business operations and Group structure
+3. Deutsche Börse: Fundamental information about the Group
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Deutsche Börse: Fundamental information about the Group
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+22
+Our customers and markets
+Combating corruption and bribery
+Compliance - including measures against corruption and bribery
+Capital Markets Academy
+Remuneration Report
+Financial statements and notes
+Management report | About this report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Deutsche Börse: Fundamental information about the Group
+Human rights matters
+Our strategy and steering parameters
+(+ description in the respective chapters)
+Risk management
+None
+Climate strategy and reporting
+Our employees
+Our Stakeholder Engagement
+ESG: Commitment and opportunity for Deutsche Börse
+Product matters (as additional aspect)
+Management report
+3,285.6
+Determination of actual value Net revenue
+This represents a target achievement of 106.62 per cent in the market expectation component of net
+revenue.
+Target achievement Net revenue
+Target value €m
+Actual value €m
+Deviation %
+Target achievement %
+Target achievement curve Net revenue
+Target achievement (%)
+200
+€m
+0
+3,509.5
+-223.9
+2,774.4
+(85%)
+0.66
+106.62
+3,264 3,285.6
+(target)
+3,590.4
+(110%)
+Net revenues (€m)
+Target achievement for the growth component of net revenue
+The growth component establishes a link between the focus on absolute growth, on the one hand, and
+investor expectations, on the other. This incentivises both internal and external growth expectations in
+order to sharpen the focus on strategic growth. The indicator net revenue as reported is used for the
+growth component, which includes any M&A effects.
+295
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Net revenue 2021
+Actual value
+"As reported"
+Adjustments
+3,264.0
+3,285.6
+106.62
+100
+1/3
+<3
+Profitability
+Growth
+Performance criteria/aspect
+component
+Remuneration
+<3
+Strategic alignment
+Remuneration Report | Remuneration Report
+Further information
+Financial statements and notes
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+291
+The performance criteria and other important aspects of the performance-based remuneration
+components address the core pillars of the corporate strategy "Compass 2023". The following chart
+illustrates the close link between the corporate strategy and the performance criteria and key aspects of
+the performance-based remuneration.
+In accordance with recommendation G.8 GCGC, targets and reference parameters set by the Supervisory
+Board for performance-based remuneration components for each upcoming financial year may not be
+changed retrospectively.
+Performance-based remuneration components account for the majority of the Executive Board members'
+remuneration. Performance-based remuneration comprises a Performance Bonus and Performance
+Shares. The performance-based remuneration components are mostly assessed on a multi-year basis to
+ensure the sustainable long-term development of Deutsche Börse AG. They are also mostly share-based,
+which aligns the interests of the Executive Board and the shareholders. Performance-based remuneration
+is largely calculated on the basis of long-term performance by measuring various performance criteria
+over five years (Performance Shares and performance-based restricted stock: one-year performance
+period plus four-year blocking period). The cash portion of the Performance Bonus (annual payout) is
+the only short-term element of the performance-based remuneration. The performance criteria include
+both financial and non-financial targets. In order to systematically pursue the idea of pay for
+performance, the performance criteria are ambitiously set. In order to take a holistic approach to the
+company's success, different performance criteria are used for the Performance Bonus and Performance
+Shares.
+Sustainability
+Performance-based remuneration components
+Performance
+Bonus
+EBITDA
+✓
+Shareholder
+interests
+✓
+ESG targets
+EPS
+Relative TSR
+Five-year performance period
+Performance Shares
+Performance
+Shares
+Restricted Stock
+Individual targets (incl. ESG targets)
+✓
+Growth component
+Market expectation component
+✓
+Net revenue
+As the core principle of Executive Board remuneration at Deutsche Börse AG, the focus is always on pay
+for performance. The following overview illustrates this for an ordinary Executive Board member using
+three performance scenarios to highlight the connection between target achievement and amount of
+direct remuneration:
+3.2
+6,969.3
+2020
+2021
+Present value of
+pension commitments
+IAS 19
+Service cost
+Replacement rate
+Pensionable income
+<3
+Retirement benefits (defined benefit pension system)
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Financial statements and notes
+2021
+7,354.1
+2020
+2020
+€ thous.
+2020
+2021
+€ thous.
+€ thous.
+514.8
+502.1
+50.0
+50.0
+500.0
+500.0
+€ thous.
+%
+%
+€ thous.
+€ thous.
+Executive Board member
+Thomas Book
+2021
+292
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+50%
+<3
+Individual targets
+(including ESG targets)
+(Market expectation & absolute growth year on year)
+EBITDA
+(Market expectation & absolute growth year on year)
+Net revenue
+Overall target achievement (0-200%)
+1/3
++
++
+1/3
+Target
+amount
+Performance Bonus
+Remuneration Report | Remuneration Report
+Further information
+50%
+Financial statements and notes
+Cash
+4-year-
+blocking
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+294
+The target value determines the lower limit, which is 85 per cent of the target value and so €2,774.4
+million for the 2021 financial year. The upper limit is 110 per cent of the target value and so €3,590.4
+million.
+To calculate target achievement for the market expectation component of net revenue, a target value is
+set by the Supervisory Board before the financial year begins. The target value set by the Supervisory
+Board is based on capital market consensus. In this way the Supervisory Board ensures that the target is
+in line with investors' expectations for the upcoming financial year. For the 2021 financial year, the
+Supervisory Board set a target value of €3,264.0 million.
+Target achievement for the market expectation component of net revenue
+The target achievement for the market expectation component and the target achievement for the growth
+component are added to calculate the target achievement for the net revenue performance criterion.
+The basis is net revenue as reported in the consolidated financial statements. This consists of revenue
+plus net interest income from banking business and other operating income, less volume-related costs.
+Using net revenue as a performance criterion for the Performance Bonus is intended to incentivise the
+desired growth in net revenue. This serves as the basis for all the other activities carried out by Deutsche
+Börse AG and for its long-term, sustainable success.
+Net revenue
+Overall target achievement for the Performance Bonus is measured using the performance criteria net
+revenue, EBITDA and individual targets. Target achievement of 0 per cent to 200 per cent is possible for
+each performance criterion.
+b. Performance criteria for the Performance Bonus
+period
+Restricted
+Stock
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+293
+100% target achievement
+Minimum target achievement
+16%
+31%
+23%
+26%
+23%
+23%
+26%
+32%
+<3
+100%
+Pay for Performance
+Remuneration Report | Remuneration Report
+Further information
+Financial statements and notes
+Maximum target achievement
+Base salary
+Performance Bonus (Cash component)
+Performance Bonus (Restricted Stock)
+A Performance Bonus with a certain target amount is agreed with each Executive Board member every
+year, with target achievement being measured over the course of a financial year. In total, an overall
+target achievement ranging from 0 per cent to 200 per cent is possible. This means that a complete loss
+of the Performance Bonus is also possible.
+The Performance Bonus is intended to set an incentive for the realisation of operational objectives which
+are materially important to the long-term development of Deutsche Börse AG. For this reason, the
+performance criteria include net revenue and EBITDA, financial indicators which are vital for the
+successful execution of the "Compass 2023" growth strategy and create incentives for profitable growth.
+Individual targets make it possible to differentiate performance according to the operational and strategic
+responsibilities of the individual Executive Board members. At the same time, the individual targets allow
+to guide the Executive Board as a whole, particularly in terms of achieving core strategic targets which
+are essential for the implementation of the corporate strategy.
+The Performance Bonus comprises, in equal parts, a cash portion and a share-based portion
+(performance-based restricted stock). The target achievement and the resulting cash payout as well as
+the amount to be invested in shares (performance-based restricted stock) are measured based on three
+equally weighted performance criteria: net revenue, EBITDA and individual targets.
+a. Principles of the Performance Bonus
+3.2.1 Performance Bonus
+Performance Bonus (Cash component): 200% target achievement
+Performance Bonus (Restricted Stock): 200% target achievement
+Performance Shares: 250% target achievement
+Performance Bonus (Cash component): 100% target achievement
+Performance Bonus (Restricted Stock): 100% target achievement
+Performance Shares: 100% target achievement
+To calculate target achievement in the market expectation component, the net revenue as reported,
+which amounted to €3,509.5 million in 2021, is adjusted for M&A transactions not included in the
+target setting. This ensures that the target achievement is measured by reference to the target set. Net
+revenue for the measurement of target achievement was reduced by €-223.9 million in the 2021
+financial year to reflect the takeover of ISS, which was not included in the target set. On this basis the
+actual value was €3,285.6 million.
+Performance Bonus (Cash component): 0% target achievement
+Performance Bonus (Restricted Stock): 0% target achievement
+Performance Shares: 0% target achievement
+target achievement
+Maximum
+100% target achievement
+target achievement
+Minimum
+Scenario
+■Performance Shares
+Details
+Remuneration Report | Remuneration Report
+300
+<3
+1,100.0
+Restricted
+Stock
+1,100.0
+Individual
+Restricted
+Net revenue
+EBITDA
+targets
+Total
+134.22
+170.92
+145.0
+150.05
+Cash
+1,650.6
+Stock
+1,650.6
+Christoph Böhm
+560.0
+Theodor Weimer
+560.0
+Cash
+component
+Payout amount in €thous.
+The performance of all ordinary Executive Board members was measured in terms of their contribution
+to effective collaboration across all divisions to promote innovation, agility and overall corporate results.
+Collective targets for the Executive Board included managing business activities with regard to
+regulations applicable to the entire Group, and to ongoing legal proceedings. In particular, the Executive
+Board had to manage business activities so as to comply with the wide-ranging and diverse regulatory
+and legal requirements and to make improvements where necessary. A quantitative assessment of this
+performance by the Supervisory Board was also required.
+The Nomination Committee and the Supervisory Board both discussed the individual targets in detail. A
+decision on the target achievement was taken on the basis of a detailed presentation and assessment of
+the Executive Board's collective and individual performances.
+299
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+c. Overall target achievement for the Performance Bonus 2021, payable in 2022
+Half the amount of the Performance Bonus resulting from the overall target achievement is paid out in
+cash and half is invested in restricted stock in the amount of the net payout. The cash payout is made at
+the latest with the regular salary payment for the calendar month following the approval of the
+consolidated financial statements. The performance-based restricted stock increases the long-term
+incentive effect of the Performance Bonus and aligns the interests of the Executive Board even more
+closely with those of shareholders. Restricted stock is subject to a four-year blocking period in line with
+recommendation G.10 GCGC. The Executive Board member can only dispose of the stock freely after
+this four-year period.
+The following table shows the target achievement and payout amounts for each Executive Board
+member:
+Overview of Performance Bonus 2021
+Target amount € thous.
+Target achievement %
+Executive Board
+member
+Heike Eckert was set the individual target for the 2021 financial year of ensuring an effective
+compliance function in line with a quantitative assessment by the Supervisory Board and effective HR
+work. An additional target for her was to refine and implement the HR strategy of Deutsche Börse Group.
+134.22
+100.0
+Stephan Leithner
+560.0
+560.0
+134.22
+170.92
+130.0
+812.3
+812.3
+Gregor Pottmeyer
+560.0
+560.0
+134.22
+170.92
+110.0
+138.38
+774.9
+774.9
+715.0
+170.92
+715.0
+110.0
+135.05
+756.3
+756.3
+Thomas Book
+516.7
+516.7
+134.22
+170.92
+110.0
+138.38
+715.0
+715.0
+Heike Eckert
+516.7
+516.7
+134.22
+170.92
+138.38
+3.2.2 Performance Shares
+The performance of Thomas Book and Stephan Leithner was measured, in particular, by reference to
+their business results. These were assessed in terms of the achievement of predefined financial targets.
+For Christoph Böhm, CIO and COO, the Supervisory Board set the target of an effective IT organisation
+as determined by a quantitative assessment, and the elaboration of a new IT strategy in line with the
+corporate strategy "Compass 2023".
+1,898.0
+1,979.7
+4.3
+143.05
+0
+1,613.3
+1,898.02
+1,979.7
+(85%)
+(target)
+2,087.8
+(110%)
+EBITDA (€m)
+297
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+1,979.7
+Further information
+100
+200
+Further information
+Further information
+<3
+To calculate the target achievement for the market expectation component, EBITDA as reported, which
+was €2,043.1 million in the 2021 financial year, is adjusted firstly for the financial effects of any non-
+budgeted M&A transactions in the year of the legally binding agreement on the respective M&A
+transaction, and secondly for any material extraordinary non-recurring effects that were not or not fully
+budgeted for, and which were not caused by the current Executive Board. EBITDA for the measurement
+of target achievement was reduced by €–63.4 million in the 2021 financial year to reflect the takeover
+of ISS, which was not included in the target set. On this basis, the actual value was €1,979.7 million.
+Determination of actual value EBITDA
+"As reported"
+Adjustments
+Actual value
+EBITDA 2021
+€m
+2,043.1
+-63.4
+This represents a target achievement of 143.05 per cent in the market expectation component of
+EBITDA.
+Target achievement EBITDA
+Target value €m
+Actual value €m
+Deviation %
+Target achievement %
+Target achievement curve EBITDA
+Target achievement (%)
+143.05
+Gregor Pottmeyer as CFO was tasked with ensuring an effective and efficient CFO organisation in line
+with a quantitative assessment by the Supervisory Board.
+<3
+As in the net revenue criterion, the growth component of EBITDA ensures that the focus on absolute
+growth is maintained, in addition to the target based on investor expectations. To measure the target
+achievement for the growth component of EBITDA, the actual percentage change in EBITDA compared
+with the previous year's EBITDA is multiplied by three.
+170.92
+Individual targets
+The individual targets are set by the Supervisory Board for each Executive Board member for the
+upcoming financial year (or for the remainder of the year if the member is appointed in the course of the
+year). Individual targets may be defined for multiple or all Executive Board members together. When
+setting individual targets, the Supervisory Board ensures that they are demanding and quantifiable. To
+ensure this is the case, concrete figures or expectations are defined for the target achievement. To avoid
+any dilution of the incentive effect, each Executive Board member has no more than four targets per
+financial year.
+The targets are derived from the corporate strategy and include its implementation. Strategic projects and
+initiatives can be used, as can operating measures that serve directly or indirectly for the implementation
+of the corporate strategy.
+Individual targets should contribute to an implementation of the corporate strategy as well as the long-
+term, sustainable development of Deutsche Börse AG. Targets can be based on both financial and non-
+financial indicators. ESG targets are also potential individual targets. By defining financial and non-
+financial targets and measuring their achievement, the Supervisory Board ensures that the
+implementation of the corporate strategy is advanced and pursued sustainably, and that a holistic
+approach is taken to the success of Deutsche Börse Group.
+Four individual targets were defined for all Executive Board members at the start of the 2021 financial
+year.
+298
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+In accordance with the Deutsche Börse AG corporate strategy "Compass 2023", which also provides for
+a higher proportion of inorganic growth, the initiation and implementation of M&A, including post-
+merger integration, was agreed as a target for the CEO Theodor Weimer, for the CFO Gregor Pottmeyer
+and for the Executive Board members Thomas Book and Stephan Leithner. For Thomas Book and
+Stephan Leithner the target was limited to their respective divisions Trading & Clearing and Pre- and
+Post-Trading.
+Other individual targets for the CEO Theodor Weimer, which were defined according to a quantitative
+assessment, were the acceptance and quality of implementation of “Compass 2023", and the reputation
+of Deutsche Börse Group.
+The ordinary Executive Board members were set the following specific targets for their area of
+responsibility.
+27.88
+Target achievement for the growth component of EBITDA
+9.29
+2,043.1
+To determine the growth component of EBITDA, EBITDA as reported may only be adjusted for any
+material extraordinary non-recurring effects that were not or not fully budgeted for, and which were not
+caused by the current Executive Board.
+Whereas EBITDA in the 2020 financial year was €1,869.4 million, the figure in the 2021 financial year
+was €2,043.1 million, which is an increase of 9.29 per cent. This means the target achievement for the
+2021 financial year in the growth component of EBITDA was 27.88 per cent.
+Adding the target achievement for the market expectation and growth components gives a total target
+achievement for EBITDA of 170.92 per cent in the 2021 financial year.
+Target achievement EBITDA 2021
+EBITDA
+Growth component
+Market expectation
+component
+Target achievement
+EBITDA 2021
+%
+€m
+EBITDA 2020
+€m
+Change
+%
+Target
+achievement
+%
+Total target
+achievement
+EBITDA
+%
+143.05
+1,869.4
+Executive Board members were granted the Performance Share Plan (PSP) Tranche 2021 at the
+beginning of the 2021 financial year. The performance period for the PSP Tranche 2017 also ended at
+the close of the 2021 financial year. Other PSP tranches have also been granted in recent years, for
+which the performance periods are still ongoing.
+145.05
+Management report
+Total target
+achievement
+Net revenue
+%
+%
+3,509.5
+3,213.8
+9.20
+27.60
+To measure the target achievement for the growth component of net revenue, the actual percentage
+change in net revenue compared with the previous year's net revenue is multiplied by three.
+134.22
+EBITDA
+The basis is EBITDA as reported in the consolidated financial statements. This stands for earnings before
+interest, tax, depreciation, amortisation and impairment losses. One of the main pillars of the corporate
+strategy, alongside absolute growth, is the profitability of this growth. To reflect this strategic relevance,
+EBITDA has been established as a key indicator for the purpose of managing Deutsche Börse AG and
+implementing the corporate strategy, and thus serves as a performance criterion for the Performance
+Bonus.
+The target achievement for the market expectation component and the target achievement for the growth
+component are added to calculate the target achievement for the EBITDA criterion.
+Target achievement for the market expectation component of EBITDA
+To calculate target achievement for the market expectation component of EBITDA, a target value is set by
+the Supervisory Board before the financial year begins. The target value is determined by multiplying the
+EBITDA margin in the previous year by the target value for the performance criterion net revenue for the
+upcoming financial year, as described above. For the 2021 financial year, the Supervisory Board set a
+target value of €1,898.0 million.
+Remuneration Report | Remuneration Report
+Financial statements and notes
+The target determines the lower limit, which is 85 per cent of the target value and so €1,613.3 million
+for the 2021 financial year. The upper limit is 110 per cent of the target value and so €2,087.8 million
+for the 2021 financial year.
+Target
+achievement
+Change
+%
+Net revenue
+2020
+€m
+Net revenue
+2021
+€m
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Whereas net revenue in the 2020 financial year was €3,213.8 million, the figure in the 2021 financial
+year was €3,509.5 million, which is an increase of 9.20 per cent. This means the target achievement
+for the 2021 financial year in the growth component of net revenue was 27.60 per cent.
+Adding the target achievement for the market expectation and growth components gives a total target
+achievement for net revenue of 134.22 per cent in 2021.
+Target achievement Net revenue 2021
+296
+Market expectation
+component
+Target achievement
+%
+106.62
+Growth component
+Net revenue
+obligation
+to acquire
+||
+period
+performance
+five-year
+Shares over
+of virtual
+Performance
+Development
+☑
+Payout in
+cash with
+Employee satisfaction
+Overall, a target achievement of 142.64 per cent was determined for the performance criteria “Adjusted
+Net Income Growth" for the PSP Tranche 2017.
+Employee
+satisfaction
+External perspective
+Financial year
+Target achievement %
+PSP Tranche 2021
+Target achievement ESG targets
+The following table provides an overview of target achievements in the respective categories of ESG
+targets:
+The average target achievement in 2021 for the ESG targets was 174.82 per cent.
+Target achievement for the ESG targets
+<3
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Expansion of ESG
+ESG targets
+2021
+140.38
+The increase of 8.16 per cent represents a target achievement of 103.96 per cent for the 2021 financial
+year.
+In the 2021 financial year, the adjusted net income of Deutsche Börse AG rose from €1,204.3 million in
+the previous year to €1,302.6 million, an increase of 8.16 per cent. It differs from unadjusted net
+income (€1,209.7 million) by non-recurring effects due to organisational restructuring and M&A
+activities. It was also corrected for the costs of litigation.
+Adjusted Net Income Growth is the growth in the adjusted net income attributable to the shareholders of
+Deutsche Börse AG for the corresponding financial year. The Supervisory Board determines the target
+achievement degree for adjusted net income growth at the end of each financial year during the five-year
+performance period, which is then locked in. The target achievement degree at the end of the
+performance period in question is the average of the annual target achievement degrees for each of the
+five years. Target achievement degrees may range between O per cent and 250 per cent.
+Adjusted Net Income Growth
+The close of the 2021 financial year marked the end of the five-year performance period for the PSP
+Tranche 2017. The PSP Tranche 2017 was based on the remuneration system adopted by the
+Supervisory Board with effect from 1 January 2016 and approved by the Annual General Meeting with a
+majority of 84.19 per cent on 11 May 2016 (remuneration system 2016). Target achievement for the
+PSP Tranche 2017 was measured on the basis of the equally weighted performance criteria “Adjusted
+Net Income Growth" and "TSR Performance".
+c. Overall target achievement and payout from the PSP Tranche 2017
+Determination of target achievement after close of financial year 2022
+Determination of target achievement after close of financial year 2023
+Determination of target achievement after close of financial year 2024
+Determination of target achievement after close of financial year 2025
+2024
+2025
+2023
+2022
+174.82
+120.00
+Average
+CO2 neutrality
+business
+250.00
+188.89
+25%
+EPS
+Relative TSR
+The relevant share price at grant for the PSP Tranche 2021, which was granted at the beginning of the
+2021 financial year and ends at the close of the 2025 financial year, was €138.22. The individual
+target amounts, the share price at grant, the number of virtual Performance Shares granted and the
+potential maximum number of Performance Shares at the end of the performance period are shown for
+the individual Executive Board members below:
+Grant of the PSP Tranche 2021
+Number of
+Target amount
+Share price at grant
+Executive Board member
+Theodor Weimer
+The PSP provides each Executive Board member with a number of so-called Performance Shares at the
+beginning of every financial year. The number of these initial (virtual) Performance Shares is determined
+by dividing the amount of the individual target remuneration in euros by the average XetraⓇ closing
+price of Deutsche Börse shares in the calendar month preceding the start of the performance period.
+€ thous.
+1,300.0
+138.22
+Performance Shares
+granted
+9,406
+Maximum number of
+Performance Shares possible
+(250% target achievement)
+23,515
+Christoph Böhm
+560.0
+138.22
+4,052
+€
+10,130
+The Performance Share Plan supports the realisation of the growth-oriented corporate strategy, on the
+one hand, through the selection of financial performance criteria. On the other hand, the inclusion of
+ESG targets in the PSP emphasises a focus on Deutsche Börse AG's sustainable development. At the
+same time, the five-year performance period encourages a focus, in particular, on the long-term
+development of Deutsche Börse AG.
+Performance period started
+in financial year 2021
+2017
+2018
+2019
+2020
+2021
+2022
+2023
+a. General principles of the PSP Tranche 2021
+2024
+PSP tranche 2017-2021 (5 years)
+PSP tranche 2018-2022 (5 years)
+PSP tranche 2019-2023 (5 years)
+PSP tranche 2020-2024 (5 years)
+PSP tranche 2021-2025 (5 years)
+Performance period ended
+in financial year 2021
+2025
+Thomas Book
+516.7
+138.22
+Remuneration Report | Remuneration Report
+Further information
+<3
+Target achievement regarding the final number of Performance Shares is determined after the end of a
+five-year performance period. Overall target achievement for the Performance Shares is measured using
+the performance criteria relative total shareholder return (TSR), earnings per share (EPS) and ESG
+targets. The financial performance criteria each allow for a target achievement of 0 per cent to 250 per
+cent, whereas the ESG targets allow for a target achievement of O per cent to 217.5 per cent. Target
+achievement for the criteria relative TSR and EPS is measured at the end of the five-year performance
+period. Target achievement for the ESG targets is determined and locked in at the end of every financial
+year, however. Final target achievement for the ESG targets is measured at the end of the five-year
+performance period using the average target achievement over the financial years.
+The final number of virtual Performance Shares is determined by the overall target achievement for the
+performance criteria over the five-year performance period, multiplied by the number of Performance
+Shares initially granted. The final number of Performance Shares determined in this manner is multiplied
+by the average XetraⓇ closing price for Deutsche Börse shares in the calendar month preceding the end
+of the performance period, plus the dividends paid during the performance period. This represents the
+total shareholder return of the Deutsche Börse share over the five-year performance period. The result of
+the multiplication is the payout amount to acquire real shares. The payout amount from the Performance
+Shares is capped at 400 per cent of the target amount. It is due no later than with the regular salary
+payment for the calendar month following the approval of the consolidated financial statements after the
+end of the respective performance period.
+The Executive Board members are obliged to invest the entire amount of the payout after tax in shares of
+Deutsche Börse AG.
+Performance Shares
+Financial statements and notes
+Target
+☑
+50%
++
+25%
++
+Performance period of five years
+Overall target achievement (0-242%)
+amount
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+301
+3,739
+9,348
+Heike Eckert
+516.7
+138.22
+3,739
+9,348
+Stephan Leithner
+560.0
+138.22
+4,052
+10,130
+Gregor Pottmeyer
+560.0
+138.22
+4,052
+10,130
+309
+CO, neutrality
+No reduction of CO,
+emissions per work-
+place (-20% target
+achievement)
+emissions per
+workplace (+20%
+target achievement)
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+b. Performance criteria for the PSP Tranche 2021
+Relative total shareholder return
+The total shareholder return (TSR) of the Deutsche Börse share compared with the companies in the
+sector-specific index STOXX® Europe 600 Financials over the five-year performance period provides an
+external performance criterion that is aligned with the capital market. The relative TSR emphasises the
+alignment of interests between Executive Board and shareholders and also integrates a relative
+performance metric into the remuneration system. This creates a strong incentive to outperform the
+relevant peer group over the long term.
+Management report
+The possible target achievement for the final number of Performance Shares from this 50 per cent-
+weighted performance criterion ranges from O per cent to 250 per cent. By defining an ambitious target
+achievement curve, which starts payout only after the median has been exceeded, the Supervisory
+Board emphasises the pay-for-performance approach to Executive Board remuneration also with regards
+to the total shareholder return.
+Target achievement curve relative TSR
+Target achievement (%)
+250
+100
+50
+0
+50.
+The detailed target achievement curve for relative TSR is as follows:
+60.
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+target amount
+Current Tranches Performance Shares
+6.25%
+5-year target with annual lock-in
+6.25%
+6.25%
+6.25%
+Logic
+302
+Weighting
+Growth in net revenue
+from ESG products
+Good results in
+employee survey
+Good results in three
+leading independent
+ESG ratings
+Target
+CO₂ neutrality
+shares
+Cap:
+400% of
+Achieve and maintain
+CO₂ neutrality
+90.
+Relative TSR against index (Percentile rank)
+The target achievement for the performance criterion relative TSR is disclosed at the end of the
+performance period for the respective PSP tranche.
+To measure target achievement, the reported EPS is adjusted for any amortisation of intangible assets,
+purchase price allocations (PPA) and transaction costs in the case of large M&A transactions valued at
+more than €1 billion. The PPA correction reflects the business model of Deutsche Börse AG and
+potential M&A targets, since these typically only have minor tangible assets. Adjusting for transaction
+costs means the Executive Board is not penalised by completing larger M&A transactions, which is in
+line with the growth strategy by means of both organic and inorganic growth.
+304
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+EPS CAGR over five years (%)
+Further information
+The target achievement for the performance criterion EPS and any adjustments are disclosed at the end
+of the performance period for the respective PSP tranche.
+ESG targets
+ESG targets are the third performance criteria for the Performance Shares and are intended to further
+encourage the sustainable development of Deutsche Börse Group. This underlines Deutsche Börse AG's
+focus on a holistic approach to its corporate responsibility and ensures its sustainable success as a
+company.
+The ESG targets are defined on the basis of a catalogue of criteria with four categories: "External
+perspective”, “Employee satisfaction”, “Expansion of ESG business” and “CO2 neutrality”. They reflect the
+different ESG aspects and cover them holistically.
+Overview ESG targets
+Category
+External view
+<3
+18.75
+7.5
+0
+303
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+Earnings per share (EPS)
+Earnings per share (EPS) is used as an internal financial performance criterion. The basis for the
+criterion is EPS as reported in the consolidated financial statements. Alongside net revenue and EBITDA,
+EPS is the third key indicator for measuring the successful implementation of the growth strategy.
+Implementing EPS as a performance criterion for the Performance Shares incentivises long-term
+profitable growth in this remuneration component too, and reflects Deutsche Börse AG's focus on
+growth. Including EPS as a performance criterion for the Performance Shares also ensures that only
+M&A that are successful in the long term are rewarded as any unsuccessful investments would have a
+negative impact on EPS.
+The performance of EPS is measured by its compound annual growth rate (CAGR) over the five-year
+performance period.
+The possible target achievement for the final number of Performance Shares from this 25 per cent-
+weighted performance criterion ranges from O per cent to 250 per cent. The target defined by the
+Supervisory Board is an EPS CAGR of 7.5 per cent p.a. over the performance period. The cap was set at
+18.75 per cent p.a. and the floor at O per cent p.a.
+The detailed target achievement curve for EPS is as follows:
+Target achievement curve EPS
+Target achievement (%)
+250
+100
+0
+The targets in these four categories are clearly measurable and subject to specific target achievement
+curves. To measure total target achievement for the ESG targets, the first step is to calculate the target
+achievement in the four categories “External perspective", "Employee satisfaction”, “Expansion of ESG
+business" and "CO2 neutrality” at the end of each financial year. These figures are then added on a
+weighted basis and formally confirmed. At the end of the five-year performance period, the second step
+is to measure total target achievement for the ESG targets by calculating the average of the annual target
+achievements for ESG targets over the entire performance period. The possible total target achievement
+for the final number of Performance Shares from this 25 per cent-weighted performance criterion ranges
+from O per cent to 217.5 per cent. The annual target achievement for the ESG targets and the
+achievement in the individual categories of ESG targets are disclosed at the end of each financial year.
+305
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+308
+Growth of ESG net revenue p.a. (%)
+25
+10
+0
+100
+250
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Target achievement (%)
+The detailed target achievement curve for the category "Expansion of ESG business" is as follows:
+The possible target achievement for the final number of Performance Shares from this 6.25 per cent-
+weighted performance criterion ranges from O per cent to 250 per cent. The Supervisory Board has
+defined a target value for growth in ESG net revenue of 10 per cent p.a., and set upper and lower limits.
+The cap was set at 25 per cent p.a. and the floor at O per cent p.a.
+A key part of Deutsche Börse AG's growth strategy is to expand its ESG business and continue to grow in
+this area. The third ESG target is therefore growth in net revenue from ESG products and ESG services
+(detailed comments on ESG products and services can be found in the section "Definition of our ESG net
+revenue" of the combined management report).
+<3
+Expansion of ESG business
+Further information
+Remuneration Report | Remuneration Report
+Target achievement curve Growth of ESG net revenue
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Reduction of CO₂
+CO2-neutral
+Not CO2-neutral
+о
+80
+100
+120
+200
+Target achievement (%)
+Target achievement curve CO2 neutrality
+The detailed target achievement curve for the category "CO₂ neutrality" is as follows:
+As a further incentive to achieve CO2 neutrality, the target achievement is also subject to a sub-condition:
+that CO2 emissions have to be reduced. If CO2 emissions are reduced, the target achievement in the
+category "CO2 neutrality" is increased by 20 per cent. If this is not the case the target achievement is
+reduced by 20 per cent. Since energy use in buildings accounts for a large share, CO2 neutrality is
+calculated per workplace.
+The possible target achievement for the final number of Performance Shares from this 6.25 per cent-
+weighted performance criterion ranges from O per cent to 120 per cent. If CO2 neutrality is achieved, the
+target achievement is 100 per cent. If it is missed, the target achievement is O per cent.
+Another important ESG target is to achieve and maintain CO2 neutrality for Deutsche Börse Group.
+CO2 neutrality
+<3
+Further information
+Financial statements and notes
+Expansion of
+ESG business
+Management report
+307
+99.
+90.
+75.
+0
+100
+250
+Target achievement (%)
+Average percentile in ESG ratings
+Target achievement curve ESG ratings
+The possible target achievement for the final number of Performance Shares from this 6.25 per cent-
+weighted performance criterion ranges from O per cent to 250 per cent. The Supervisory Board has
+chosen the 90th percentile as the target value and defined an upper and lower limit. The upper limit is
+the 99th percentile and the lower limit the 75th percentile.
+In the "External perspective" category the aim is to achieve good results in three leading independent
+ESG ratings. Target achievement is based on the average ranking (percentile) in three leading
+independent ESG ratings determined beforehand by the Supervisory Board. For the PSP Tranche 2021,
+the Supervisory Board has chosen the ESG ratings from S&P, Sustainalytics and MSCI.
+External perspective
+<3
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+The detailed target achievement curve for the category "External perspective" is as follows:
+306
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Basis: employee survey (%)
+84.5
+71.5
+55.5
+0
+100
+250
+Target achievement (%)
+Target achievement curve Employee survey
+The detailed target achievement curve for the category "Employee satisfaction” is as follows:
+The possible target achievement for the final number of Performance Shares from this 6.25 per cent-
+weighted performance criterion ranges from O per cent to 250 per cent. The Supervisory Board has
+defined a target value in the annual employee survey of 71.5 per cent approval, and set upper and
+lower limits. The cap is set at 84.5 per cent approval and the floor at 55.5 per cent approval.
+A sustainable HR policy is also part of Deutsche Börse AG's sustainability strategy. This particularly
+includes a high level of employee satisfaction. To emphasise this, good results in the annual employee
+survey are integrated as an additional ESG target. The survey is carried out by an independent external
+provider.
+Employee satisfaction
+<3
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+The following overview shows the consolidated PSP tranches in the 2021 financial year:
+310
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+Management report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+The following overviews show the individual target achievements over the performance period and the
+target achievement curve:
+<3
+678.5
+715.0
+299.8
+Performance Shares
+Tranche 2016-2020
+0
+0
+Performance Shares
+0
+0
+715.0
+Total remuneration
+(section 162 AktG)
+Pension expense
+2,107.2
+502.1
+100.0
+Tranche 2017-2021
+(Restricted Stock)
+299.8
+32.0
+32.0
+Performance Bonus
+(cash component)
+715.0
+678.5
+715.0
+299.8
+Performance Bonus
+Multi-year variable
+715.0
+33.9
+678.5
+33.3
+715.0
+34.0
+2,039.2
+514.8
+remuneration
+100.0
+100.0
+100.0
+Base salary
+2021
+2020
+2021
+2020
+€ thous.
+%
+€ thous.
+%
+€ thous.
+%
+€ thous.
+%
+720.0
+30.4
+Gregor Pottmeyer
+(CFO)
+(responsible for Pre- & Post-Trading)
+Stephan Leithner
+Remuneration awarded and due pursuant to section 162 AktG (part 3)
+937.1
+299.8
+218.3
+Total remuneration (incl.
+pension expense)
+2,609.3
+2,554.0
+2,105.7
+345.0
+2,450.7
+317
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+1,155.4
+34.0
+33.9
+33.3
+Performance Shares
+Tranche 2017-2021
+0
+0
+Total remuneration
+(section 162 AktG)
+Pension expense
+4,861.7
+782.4
+100.0
+4,801.0
+1,126.8
+100.0
+2,261.1
+100.0
+351.8
+2,037.7
+386.7
+100.0
+0
+0
+0
+Performance Shares
+Tranche 2016-2020
+Multi-year variable
+remuneration
+1,650.6
+34.0
+1,619.8
+33.7
+756.3
+5,644.1
+33.4
+31.0
+Performance Bonus
+(Restricted Stock)
+1,650.6
+1,619.8
+756.3
+631.2
+631.2
+715.0
+5,927.8
+2,424.4
+27.2
+1.3
+32.2
+1.5
+25.7
+1.2
+€ thous.
+325.0
+12.5
+%
+34.7
+1.3
+One-year variable
+remuneration
+715.0
+720.0
+678.5
+30.8
+650.0
+31.9
+650.0
+Remuneration awarded and due pursuant to section 162 AktG (part 2)
+Thomas Book
+(responsible for Trading & Clearing)
+Heike Eckert
+(responsible for HR & Compliance,
+Director of Labour Relations; since 1 July 2020)
+2021
+2020
+2021
+2020
+2,612.9
+€ thous.
+€ thous.
+%
+€ thous.
+%
+Base salary
+Fringe benefits
+650.0
+30.9
+%
+32.6
+16.0
+16.0
+5,063.0
+701.4
+75.03
+9,348
+188.82
+17,651
+141.35
+2,731.5
+Hauke Stars
+Jeffrey Tessler
+516.7
+75.03
+6,887
+188.82
+13,004
+141.35
+32,717
+188.82
+17,327
+€ thous.
+at grant
+€
+Shares
+granted
+Overall
+target
+achievement
+Final
+number of
+Performance
+Closing
+price
+141.35
+Payout
+amount
+Shares
+€¹)
+€ thous.
+Carsten Kengeter
+Andreas Preuss
+1,300.0
+75.03
+%
+Share price Performance
+2,012.4
+75.03
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+IV Supervisory Board remuneration in 2021
+1
+Remuneration system for the Supervisory Board
+The remuneration system for the Supervisory Board of Deutsche Börse AG was adopted at the Annual
+General Meeting 2020 by a majority of 99.25 per cent and took effect on 1 May 2020.
+The remuneration system for the Supervisory Board consists of a fixed remuneration plus an attendance
+fee. This is in line with the recommendation G.18 sentence 1 GCGC as amended on 16 December
+2019. The structure of Supervisory Board remuneration, providing for fixed remuneration only,
+strengthens the Board's independence and provides for a counterbalance to the structure of Executive
+Board remuneration, which is mainly variable and aligned with Deutsche Börse Group's growth strategy.
+Supervisory Board remuneration therefore contributes to the implementation of the business strategy,
+and thus promotes Deutsche Börse Group's long-term development.
+The members of the Supervisory Board receive fixed annual remuneration of €85 thousand (€70
+thousand until 30 April 2020). In accordance with recommendation G.17 GCGC as amended on 16
+December 2019, remuneration is increased for the Chair of the Supervisory Board and the Deputy Chair,
+as well as for chairs and members of committees. Remuneration of the Chair is €220 thousand (€170
+thousand until 30 April 2020). Remuneration of the Deputy Chair is €125 thousand (€105 thousand
+until 30 April 2020). Members of Supervisory Board committees receive additional fixed annual
+remuneration of €30 thousand for each committee position they hold. The remuneration for members of
+the Audit Committee is €35 thousand. Remuneration of committee chairs is €40 thousand and for the
+Chair of the Audit Committee €75 thousand (€60 thousand until 30 April 2020). If a Supervisory Board
+member sits on more than one Supervisory Board committee, only work on two of the committees is
+remunerated. Remuneration is then paid for work on the two committees with the highest remuneration.
+Supervisory Board members who only hold office for part of the financial year receive one-twelfth of the
+fixed annual remuneration and, if applicable, of the remuneration payable for their membership of
+committees, for each month or part-month in which they are members. The remuneration for any
+financial year is due and payable as a one-off payment after the Annual General Meeting that accepts
+the consolidated financial statements for the relevant financial year or decides on their approval.
+Members of the Supervisory Board or a Supervisory Board committee receive an attendance fee of €1
+thousand for each Board or committee meeting that they attend in person, either as a member or as a
+guest. Where two or more meetings are held on the same day or on consecutive days, the attendance
+fee is only paid once.
+After preparation by the Nomination Committee, the Supervisory Board examines on a regular basis
+whether its members' remuneration is appropriate, given their tasks and the situation of the company.
+For this purpose, the Supervisory Board conducts a horizontal market comparison, and may seek the
+advice of an independent external expert. However, given the particular nature of the Supervisory
+Board's work, the review of Supervisory Board remuneration does not generally include a vertical
+comparison with the remuneration of employees of Deutsche Börse AG or Deutsche Börse Group.
+Depending on the result of the comparative analysis and the Supervisory Board's assessment of this
+result, the Supervisory Board may, jointly with the Executive Board, submit a proposal to the Annual
+General Meeting for adjustments to Supervisory Board remuneration. Whether it does or not, the Annual
+General Meeting votes not less than every four years on the Supervisory Board remuneration, including
+the underlying remuneration system, in accordance with section 113 (3) AktG. A resolution may also be
+passed confirming the current remuneration.
+320
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+319
+An additional €2,335.7 thousand was paid in pension payments in the 2021 financial year to eleven
+former Executive Board members who departed from the Executive Board before 2012.
+In addition, further former Executive Board members received the following pension payments in 2021.
+Frank Gerstenschläger, Executive Board member until 31 March 2013, received €211.8 thousand in
+pension payments. Michael Kuhn, Executive Board member until 31 December 2012, received
+€3,465.0 thousand in pension payments. The remuneration of these Executive Board members
+therefore consists entirely of non-performance-based remuneration components.
+7,420
+188.82
+14,011
+141.35
+2,168.2
+1) Plus dividends paid per share of €13.40 during the performance period
+318
+556.7
+Deutsche Börse Group | Annual report 2021
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+In addition, Mr Preuss received pension payments in the amount of € 437.8 thousand. Thus, 13.8 per
+cent of the remuneration awarded and due to him consists of non-performance-based remuneration
+components and 86.2 per cent of performance-based remuneration components.
+All other former Executive Board members listed above were not awarded and due any remuneration in
+2021 apart from the PSP Tranche 2017. Their remuneration therefore consists entirely of performance-
+based remuneration.
+Executive and Supervisory Boards
+Target
+amount
+Former Executive Board
+members
+Number of
+16.3
+Performance Bonus
+(cash component)
+812.3
+735.4
+774.9
+735.4
+Multi-year variable
+remuneration
+812.3
+34.3
+735.4
+33.3
+2,955.9
+65.9
+735.4
+17.3
+774.9
+33.3
+720.0
+631.2
+22.3
+1.0
+17.3
+0.8
+35.8
+3,010.1
+0.8
+0.8
+Fringe benefits
+One-year variable
+remuneration
+812.3
+34.3
+735.4
+35.2
+66.9
+Performance Bonus
+(Restricted Stock)
+4,500.7
+100.0
+317.3
+Total remuneration (incl.
+pension expense)
+2,713.3
+2,586.4
+100.0
+4,806.4
+1) Payout is made in three equal instalments in the financial years 2021, 2022 and 2023.
+2) Payout is made in three equal instalments in the financial years 2022, 2023 and 2024.
+8.2
+Remuneration awarded and due to former Executive Board members
+The close of the 2021 financial year marked the end of the performance period for the PSP Tranche
+2017. For former Executive Board members, the PSP Tranche 2017 is paid out as a lump sum in the
+year following the performance period.
+The following table provides an overview of the main elements of the PSP Tranche 2017:
+PSP Tranche 2017
+4,818.0
+720.0
+4,486.6
+319.8
+2,208.1
+378.3
+812.3
+735.4
+774.9
+735.4
+Performance Shares
+Tranche 2016-2020
+0
+☐
+100.0
+0
+Performance Shares
+Tranche 2017-2021
+2,181.0²)
+Total remuneration
+(section 162 AktG)
+Pension expense
+2,366.9
+346.4
+100.0
+2,274.7¹)
+756.3
+Further information on the performance criteria and the target achievement for the PSP Tranche 2017
+can be found in the section “Overall target achievement and payout from the PSP Tranche 2017".
+1,650.6
+14,094
+141.35
+2,181.0
+1) Plus dividends paid per share of €13.40 during the performance period
+The PSP Tranche 2017 is paid out in three equal instalments from 2022 to 2024. The after-tax amount
+of the payout must be invested in Deutsche Börse AG shares. Shares are purchased according to the
+automated procedure described in point 4.
+312
+188.82%
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+4. Share Ownership Guidelines
+Share ownership guidelines apply to all Executive Board members, which require the Executive Board
+members to invest a substantial amount in Deutsche Börse AG shares during their term of office.
+The share ownership guidelines constitute a key element for aligning the interests of the Executive Board
+even more closely with those of shareholders. They also align Executive Board remuneration more
+closely with the strategic objective of Deutsche Börse AG's long-term success. The remuneration system
+obliges the CEO to hold 200 per cent and ordinary Executive Board members 100 per cent of their
+annual gross base salary in Deutsche Börse AG shares. Notwithstanding this rule, an earlier contractual
+agreement obliges the current CEO to hold 300 per cent and the ordinary Executive Board members 200
+per cent of their annual gross base salary in Deutsche Börse AG shares.
+Management report
+Shares from the Performance Bonus and shares from the payout of Performance Shares are also taken
+into account for the share ownership guidelines, in addition to shares held privately.
+€ thous.
+Closing
+price¹
+€
+The following table provides an overview of the main elements of the PSP Tranche 2017:
+PSP Tranche 2017
+Executive Board members
+in office at 31 December
+€ thous.
+Target Share price
+amount
+at grant
+€
+Payout
+amount
+Gregor Pottmeyer
+75.03
+Number of
+Performance
+Shares
+granted
+7,464
+Overall
+target
+achievement
+Final
+number of
+Performance
+%
+Shares
+560.0
+The required shareholdings have to be acquired within a period of four years.
+The purchase of shares under the Performance Bonus Plan and the Performance Share Plan and
+purchases from private funds is carried out for Executive Board members by a service provider
+determined by Deutsche Börse AG and engaged by the Executive Board member, which invests the
+respective amounts in Deutsche Börse AG shares for the Executive Board member independently,
+without any influence from the Executive Board member or the company. Shares are purchased during
+the first four trading days in June of each year that are consecutive calendar days.
+Share Ownership Guidelines
+215%
+200%
+Gregor Pottmeyer
+Required
+Status quo
+426%
+Dr. Stephan Leithner
+313
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+Deutsche Börse Group | Annual report 2021
+200%
+67%
+200% (to be fulfilled by December 31, 2023)
+Dr. Theodor Weimer
+Dr. Christoph Böhm
+Dr. Thomas Book
+Heike Eckert
+0%
+100%
+200%
+300%
+400%
+500%
+200%
+200%
+200%
+217%
+300%
+384%
+Based on the target achievements in both performance criteria, the overall target achievement in the PSP
+Tranche 2017 is 188.82 per cent.
+Relative TSR against index (Percentile rank)
+235.0
+79th
+<3
+Net income growth
+Target
+achievement
+%
+%
+100
+9.38
+17.00
+250.0
+10.26
+139.40
+8.93
+108.58
+111.25
+115
+133
+250
+1,619.8
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+Target achievement Net income
+Financial year
+2017
+2018
+2019
+2020
+2021
+Ø Target achievement
+Target achievement curve Net income.
+Target achievement (%)
+8.16
+The shares held by Gregor Pottmeyer and Theodor Weimer were valued at 31 December 2018 and
+31 December 2020, respectively. The share ownership guidelines were met as at these dates. The
+shares held by Christoph Böhm, Thomas Book and Stephan Leithner were valued as of 31 December
+2021. In these cases, the share ownership guidelines were also met. All Executive Board members,
+apart from Heike Eckert, whose build-up period ends at 31 December 2023, are therefore compliant
+with the share ownership guidelines.
+103.96
+-10
+Target achievement in %
+Target achievement curve relative TSR
+Target achievement (%)
+250
+235
+175
+Actual percentile
+150
+50
+0
+50th
+60th
+<3
+70th 75th 79th 80th
+100
+Target achievement relative TSR
+Remuneration Report | Remuneration Report
+Further information
+Financial statements and notes
+-5
+0
++5
++7.5 +10
++15
++20
+Adjusted net income growth (%)
+TSR Performance
+The relative total shareholder return (TSR) performance for Deutsche Börse shares is derived from
+Deutsche Börse AG's ranking relative to the companies included in the STOXX® Europe 600 Financials
+index. The ranking is measured on the basis of the TSR performance, which is calculated by comparing
+the TSR at the beginning and end of the performance period. Possible target achievement ranges from 0
+per cent to 250 per cent.
+Overall, a target achievement of 235.0 per cent was determined for the performance criteria "TSR
+Performance" for the PSP Tranche 2017.
+The following overviews show the target achievement for TSR performance and the target achievement
+curve:
+311
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+142.64
+Share Ownership Guidelines
+Total remuneration (incl.
+pension expense)
+Status quo
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+Remuneration awarded and due pursuant to section 162 AktG (part 1)
+Base salary
+Fringe benefits
+Management report
+Theodor Weimer
+<3
+Christoph Böhm
+(CIO/COO)
+2021
+2020
+2021
+2020
+(CEO)
+€ thous.
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+In addition, the table shows the service cost for retirement benefit provision for the 2021 financial year
+according to IAS 19 as part of the Executive Board remuneration.
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+8. Information on the amount of Executive Board remuneration in 2021
+316
+8.1 Remuneration awarded and due to current Executive Board members
+The remuneration shown for the 2021 financial year consists of:
+Base salary paid in the 2021 financial year
+Fringe benefits received in the 2021 financial year
+Performance Bonus determined for the 2021 financial year (cash portion), which will be paid
+out in the 2022 financial year
+Performance Bonus determined for the 2021 financial year (restricted stock), which will be
+paid out and invested in the 2022 financial year
+The following tables show the remuneration awarded and due to the individual Executive Board
+members, including the relative share of the individual remuneration components pursuant to section
+162 AktG. Remuneration awarded and due comprises all remuneration components for which
+performance has already been measured, for which all conditions precedent and subsequent are met or
+no longer apply, and which are vested at the close of the financial year. It is irrelevant whether the
+payout has already been made in the 2021 financial year or occurs at the beginning of the 2022
+financial year. So for the one-year variable remuneration, for example, the Performance Bonus (cash
+portion) for the 2021 financial year is shown, although the payout takes place at the beginning of the
+2022 financial year.
+%
+€ thous.
+%
+2.7
+One-year variable
+remuneration
+1,650.6
+34.0
+1,619.8
+55.3
+33.7
+33.4
+631.2
+31.0
+Performance Bonus
+Required
+(cash component)
+756.3
+1.3
+28.5
+1.3
+€ thous.
+%
+€ thous.
+%
+1,500.0
+30.8
+1,500.0
+31.3
+720.0
+31.9
+720.0
+35.3
+60.5
+1.2
+61.4
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+Tranche of Performance Shares granted in 2017 and ended at the close of 2021, which will be
+paid out in three equal parts in 2022, 2023 and 2024
+Executive Board members did not receive any benefits from third parties for their work on the Executive
+Board in the 2021 financial year.
+315
+Heike Eckert
+200
+1,300.0
+1,408.9
+217
+200
+31 December 2021
+31 December 2021
+1,300.0
+433.3
+67
+31 December 2023
+Stephan Leithner
+Gregor Pottmeyer
+200
+1,440.0
+1,440.0
+200
+Percentage of
+Amount
+Executive Board member
+base salary
+€ thous.
+Amount
+€ thous.
+Percentage of
+base salary
+End of build-up
+period
+Theodor Weimer
+300
+4,500.0
+5,759.6
+384
+31 December 2020
+Christoph Böhm
+200
+1,440.0
+Thomas Book
+215
+Remuneration Report | Remuneration Report
+Further information
+6.
+Information on severance payments
+Early termination without good cause
+<3
+4
+Financial statements and notes
+In the event that an Executive Board member's contract of service is terminated early for a reason other
+than good cause, any payments made to the Executive Board member may not exceed the remuneration
+for the residual term of their contract of service, and may also not exceed the value of two total annual
+remuneration payments (severance cap). The payment is calculated on the basis of the total
+remuneration for the past financial year and, where appropriate, the expected total remuneration for the
+current financial year.
+6.2 Early termination for good cause
+If the service contract is terminated early for a good cause for which the Executive Board member is
+responsible or if an Executive Board member steps down before the end of the performance period
+without good cause or without a corresponding agreement, any claims to the Performance Bonus and all
+Performance Shares are forfeited.
+6.3 Post-contractual non-competition clause
+1,547.6
+A post-contractual non-competition clause applies to members of the Executive Board. This means that
+the Executive Board members are contractually prohibited from acting for a competing company, or from
+undertaking competing activities, for one year following the end of their service. Compensation of 75 per
+cent of the base salary and 75 per cent of the most recent Performance Bonus is payable during the
+non-compete period. Pension benefits and any severance payments are offset against the compensation.
+In addition, 50 per cent of other earnings are deducted if these - together with the compensation -
+exceed the Executive Board member's most recent remuneration. The company may waive the post-
+contractual non-compete clause before the Executive Board member's contract of service ends.
+7. Information on third-party benefits
+The payouts for the Performance Bonus and the Performance Shares take place on the dates and
+conditions originally agreed upon. Payouts are not made any earlier. In accordance with the
+recommendation of the GCGC, an exception applies in cases in which the service contract ends early
+because of permanent incapacity or any other illness or the death of the Executive Board member. In
+these cases, the target amount of Performance Bonus and Performance Shares is paid out immediately.
+Management report
+6.1
+314
+31 December 2021
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+1,440.0
+3,067.1
+426
+31 December 2018
+5.
+Recovery (clawback) and reduction (malus) of performance-based remuneration
+200
+In cases of serious misconduct by an Executive Board member the Supervisory Board may reduce their
+performance-based remuneration components (Performance Bonus and Performance Shares) partially or
+fully (compliance malus).
+If performance-based remuneration components have already been paid out the Supervisory Board can
+in these cases also partially or fully recover the amounts paid (compliance clawback).
+If performance-based remuneration components are determined or paid out on the basis of incorrect
+data, e.g. incorrect consolidated financial statements, the Supervisory Board can correct the figure or
+recover the remuneration components already paid out (performance clawback).
+Any such clawback is limited to the calendar year during which the reason has occurred. The
+Supervisory Board is entitled to assert a clawback claim even after an Executive Board member has left
+the company, for a period of up to two years following termination of the service contract. Any claims for
+damages remain unaffected by any clawback of performance-based remuneration.
+There was no cause to apply the malus or clawback rules in the 2021 financial year, so the Supervisory
+Board did not reduce or recover any performance-based remuneration.
+Under certain circumstances the Supervisory Board may reduce performance-based remuneration
+components that have not yet been paid (malus) or may claw back performance-based remuneration
+components previously paid out (clawback).
+54.5
+85.0
+Michael Rüdiger
+79.0
+0.0
+4.0
+0.0
+0.0
+37.5
+0.0
+37.5
+0.0
+0.0
+56.7
+0.0
+65.0
+1.0
+43.3
+4.9
+Joachim Nagel
+0.0
+24.8
+5.0
+0.0
+41.7
+70.3
+Peter Sack4
+105.0
+156.0
+5.0
+3.8
+6.0
+14.2
+185.0
+85.0
+5.0
+77.9
+Nikolaas Kruijssen
+Cornelis Johannes
+147.0
+153.4
+7.0
+55.3
+5.2
+60.0
+39.4
+60.4
+80.0
+55.4
+0.0
+8.0
+80.0
+55.0
+39.0
+2.1
+4.0
+100.0
+54.1
+105.0
+80.0
+43.8
+85.0
+Barbara Lambert
+147.0
+140.9
+7.0
+5.7
+8.0
+60.0
+194.0
+20.2
+116.0
+Carsten Schäfer
+20.0 25.1
+0.0
+71.1
+56.7
+Chong Lee Tan⁹
+195.3
+0.0
+188.2
+7.4
+14.0
+65.0
+31.7
+59.6
+118.3
+12.0
+3.0
+3.8
+0.0
+14.2
+Daniel Vollstedt
+Achim Karle
+49.9
+6.0
+4.0
+2.0
+30.0
+12.5 25.1
+80.0
+70.9
+35.4
+Gerd Tausendfreund¹º
+0.0
+79.7
+60.9
+114.6
+Deputy Chairwoman)
+Jutta Stuhlfauth (former
+80.0
+57.4
+85.0
+Charles G. T. Stonehill
+144.0
+133.9
+4.0
+0.7
+1.0
+60.0
+41.1
+55.0
+80.0
+58.2
+77.9
+60.0
+0.0
+40.6
+3.0
+113.0
+119.5
+3.0
+1.7
+2.0
+30.0
+27.2
+32.5
+80.0
+71.1
+85.0
+Clara-Christina Streit
+132.0
+2.0 148.0
+2.0
+50.0
+144.0
+156.0
+4.0
+5.0
+0.0
+0.0
+33.4
+0.0
+0.0
+0.0
+70.8
+0.0
+Chairman)²
+Joachim Faber (former
+259.0
+312.0
+9.0
+0.0
+109.2
+Nadine Absenger
+85.0
+80.0
+53.4
+88.3
+(Deputy Chairman)'
+Markus Beck
+120.0
+119.6
+5.0
+0.0
+0.0
+35.0
+28.9
+34.6
+80.0
+71.1
+3.9
+12.0
+80.0
+25.6
+2020
+2021
+Total remuneration
+Attendance fee
+Committee remuneration
+Fixed annual remuneration
+Remuneration awarded and due to the Supervisory Board pursuant to section 162 AktG
+Remuneration awarded and due to Supervisory Board members is as follows:
+2 Remuneration of Supervisory Board members
+<3
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+2021
+62.1
+€ thous.
+€ thous.
+80.0
+170.0
+70.5
+220.0
+Martin Jetter (Chairman)¹
+€ thous.
+2020
+2021
+€ thous.
+% € thous.
+€ thous.
+2020
+2021
+2020
+€ thous.
+%
+€ thous.
+%
+37.5
+65.0
+15.0
+49.6
+Oliver Greie5
+0.0
+19.2
+0.0
+0.0
+0.0
+0.0
+26.0
+5.0
+0.0
+74.0
+14.2
+Anja Greenwood4)
+82.0
+66.1
+165.0
+0.0
+27.2
+0.7
+1.0
+60.0
+41.2
+60.4
+80.0
+58.1
+85.0
+Susann Just-Marx
+0.0
+75.0
+0.0
+6.7
+5.0
+0.0
+20.4
+146.4
+2.0
+5.0
+16.7
+0.0
+0.0
+0.0
+0.0
+15.0
+2.5
+0.0
+85.0
+14.2
+Katrin Behrens
+70.3
+165.4
+11.0
+9.10
+0.0
+3.0
+Karl-Heinz Flöther
+66.9
+37.5
+45.5
+75.0
+42.5
+51.5
+85.0
+Andreas Gottschling
+127.0 136.3
+5.0
+1.6
+2.0
+51.3
+31.5
+40.0
+80.0
+85.0
+0.0
+Publication half-yearly financial report 2022
+5.0
+113.0
+5.8
+Chong Lee Tan (since 19 May 2021)
+79.7
+0.0
+Daniel Vollstedt (since 17 November 2021)
+119.5
+20.2
+Average
+164.2
+154.7
+6.1
+Employees
+Entire workforce
+0.0
+Clara-Christina Streit
+12.1
+132.0
+2,208.1
+2,366.9
+124.7
+937.1
+2,105.7
+3.3
+2,039.2
+2,107.2
+11.0
+2,037.7
+2,261.1
+20.2
+0.0
+Charles G. T. Stonehill
+148.0
+Development of earnings
+Net revenue of Deutsche Börse Group in €m
+EBITDA of Deutsche Börse Group in €m
+Cash EPS of Deutsche Börse Group
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Remuneration Report
+Further information
+<3
+The presentation of average employee remuneration and its development refers to all members of the
+joint operation Frankfurt. The joint operation Frankfurt consists of Deutsche Börse AG and the following
+entities: Eurex Frankfurt AG, Eurex Clearing AG, Eurex Repo GmbH, Eurex Securities Transactions
+Services GmbH, Clearstream Holding AG, Clearstream Banking AG and Regulatory Services GmbH. As
+for Executive Board and Supervisory Board remuneration, the average remuneration for the entire
+workforce is total remuneration (including any bonuses and other fringe benefits).
+VI Look ahead to 2022 from a remuneration perspective
+The remuneration system for the Executive Board of Deutsche Börse AG was approved by a large
+majority of shareholders at the Annual General Meeting 2021 and no changes are currently planned. On
+the contrary, the Supervisory Board of Deutsche Börse AG sees this vote as a clear recommendation to
+maintain the current remuneration unchanged and to apply it again in the 2022 financial year. This
+applies particularly to the underlying performance criteria and the target achievement curves.
+If shareholders have any criticism based on the application of the remuneration system, it will be noted
+by the Supervisory Board and discussed in the course of its work in the 2022 financial year. In
+accordance with the legal requirements of section 162 (1) sentence 2 no. 6 AktG, the remuneration
+report for 2022 will also include comments on how the vote on the remuneration report at the Annual
+General Meeting 2021 was taken into account.
+Regardless of this, the current intention is to present a remuneration system for the Supervisory Board
+with minor adjustments for approval at the Annual General Meeting 2022. It is only the conditions for
+payment of the attendance fee that are intended to be changed. To reflect the greater use of electronic
+communications technology to hold meetings of the Supervisory Board and its committees, the
+attendance fee should also be paid for virtual attendance at meetings. This change also reflects
+Deutsche Börse AG's increasingly sustainable and resource-efficient business practices. The fee should
+also be paid for each day of meetings and not as previously for each block of meetings.
+324
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Deutsche Börse Group | Annual report 2021
+7.2
+323
+2) Payout of the Performance Shares Tranche 2016 is made in three equal instalments in the financial years 2021, 2022 and 2023.
+3) Average value on a full-time equivalent basis.
+Net income of Deutsche Börse AG pursuant to HGB in €m
+112.2
+112.7
+-0.4
+3,509.5
+2,043.1
+6.98
+3,213.8
+9.2
+1,869.4
+9.3
+6.07
+15.0
+943.3
+1,161.9
+-18.8
+1) Payout of the Performance Shares Tranche 2017 is made in three equal instalments in the financial years 2022, 2023 and 2024.
+4) Average value takes into account only full-year committee members.
+Remuneration Report | Auditors' Report
+4,486.6¹
+-0.3
+4.9
+Michael Rüdiger (since 19 May 2020)
+156.0
+105.0
+48.6
+136.3
+185.0
+127.0
+0.0
+16.7
+Katrin Behrens (since 17 November 2021)
+-0.3
+120.0
+119.6
+Karl-Heinz Flöther
+194.0
+Barbara Lambert
+4.4
+-6.8
+Andreas Gottschling (since 1 July 2020)
+165.0
+82.0
+101.2
+Anja Greenwood (since 17 November 2021)
+19.2
+0.0
+Susann Just-Marx
+146.4
+144.0
+1.7
+Achim Karle
+153.4
+147.0
+Nadine Absenger
+6.0
+156.0
+165.4
+Michael Kuhn (until 31 December 2012)
+Andreas Preuss (until 31 October 2018)
+Hauke Stars (until 30 June 2020)
+-53.1
+10,788.5
+5,063.0
+Carsten Kengeter (until 31 December 2017)
+0
+211.8
+211.8
+Frank Gerstenschläger (until 31 March 2013)
+Former Executive Board members
+Average³
+Gregor Pottmeyer
+0.9
+3,004.3
+3,031.5
+3,465.0
+4,500.72
+3,460.3
+3,169.3
+Markus Beck (Deputy Chairman since 8 December 2021)
+20.5
+259.0
+312.0
+Martin Jetter (Chairman since 19 May 2020)
+Current Supervisory Board members
+Jeffrey Tessler (until 30 June 2018)
+-4.1
+2,260.9
+2,168.2
+-33.4
+3,021.0
+2,012.4
+-3.6
+3,286.6
+0.1
+Peter Sack (since 17 November 2021)
+Further information
+<3
+Executive Board members
+Comparative presentation
+Remuneration Report | Remuneration Report
+Further information
+Financial statements and notes
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Theodor Weimer
+322
+Comparison of changes in the remuneration of Executive Board members, Supervisory Board
+members and the remaining workforce, as well as in company earnings
+V
+<3
+Further information
+Remuneration Report | Remuneration Report
+Financial statements and notes
+In accordance with section 162 (1) sentence 2 no. 2 AktG the following table shows changes in the
+remuneration of Executive Board members, Supervisory Board members and the remaining workforce,
+as well as in company earnings.
+Christoph Böhm
+Thomas Book
+Heike Eckert (since 1 July 2020)
+Annual General Meeting
+26 July 2022
+19 October 2022
+Publication quarterly statement Q3/2022
+Deutsche Börse AG
+1.3
+4,801.0
+4,861.7
+%
+Change
+2020
+€ thous.
+€ thous.
+2021
+<3
+Stephan Leithner
+Management report
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+321
+10) Member of the Supervisory Board until 19 May 2021.
+0.0
+0.0
+60.0
+41.4
+25.0
+80.0
+35.4 58.6
+Amy Yip 10
+0.0
+20.2
+0.0
+4.9
+1.0
+0.0
+24.8
+0.0
+18 May 2022
+60.4
+Total 1,577.6 60.4 1,455.8
+9) Member of the Supervisory Board since 19 May 2021.
+8) Deputy Chairwoman of the Supervisory Board until 17 November 2021.
+7) Member of the Supervisory Board until 30 June 2020.
+6) Member of the Supervisory Board until 17 November 2021.
+5) Member of the Supervisory Board from 19 May 2021 until 17 November 2021.
+4) Member of the Supervisory Board since 17 November 2021.
+3) Deputy Chairman of the Supervisory Board since 8 December 2021.
+2) Chairman of the Supervisory Board until 19 May 2020.
+1) Chairman of the Supervisory Board since 19 May 2020.
+96.0 2,610.6 2,509.8
+3.6
+93.0
+958.0
+36.0
+940.0
+140.0
+Auditor's Report
+Publication quarterly statement Q1/2022
+Financial calendar 2022
+Restriction on use
+We issue this auditor's report on the basis of the engagement agreed with Deutsche Börse Aktienge-
+sellschaft. The audit has been performed only for purposes of the company and the auditor's report
+is solely intended to inform the company as to the results of the audit. Our responsibility for the
+audit and for our auditor's report is only towards the company in accordance with this engagement.
+The auditor's report is not intended for any third parties to base any (financial) decisions thereon. We
+do not assume any responsibility, duty of care or liability towards third parties; no third parties are
+included in the scope of protection of the underlying engagement. § 334 BGB [Bürgerliches Gesetz-
+buch: German Civil Code], according to which objections arising from a contract may also be raised
+against third parties, is not waived.
+Frankfurt am Main, March 4, 2022
+PricewaterhouseCoopers GmbH
+Wirtschaftsprüfungsgesellschaft
+sgd. Marc Billeb
+Wirtschaftsprüfer
+(German Public Auditor)
+The audit of the content of the remuneration report described in this auditor's report includes the
+formal audit of the remuneration report required by § 162 Abs. [paragraph] 3 AktG, including the
+issuance of a report on this audit. As we express an unqualified audit opinion on the content of the
+remuneration report, this audit opinion includes that the information required by § 162 Abs. 1 and
+2 AktG has been disclosed in all material respects in the remuneration report.
+sgd. Dr. Michael Rönnberg
+Wirtschaftsprüfer
+326
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report
+(German Public Auditor)
+Reference to an Other Matter - Formal Audit of the Remuneration Report
+according to § 162 AktG
+In our opinion, based on the findings of our audit, the remuneration report for the financial year from
+from January 1, to December 31, 2021, including the related disclosures, complies in all material
+respects with the accounting provisions of § 162 AktG.
+Audit Opinion
+To Deutsche Börse Aktiengesellschaft, Frankfurt am Main
+We have audited the remuneration report of Deutsche Börse Aktiengesellschaft, Frankfurt am Main, for
+the financial year from from January 1, to December 31, 2021 including the related disclosures, which
+was prepared to comply with § [Article] 162 AktG [Aktiengesetz: German Stock Corporation Act].
+Responsibilities of the Executive Directors and the Supervisory Board
+The executive directors and the supervisory board of Deutsche Börse Aktiengesellschaft are responsi-
+ble for the preparation of the remuneration report, including the related disclosures, that complies with
+the requirements of § 162 AktG. The executive directors and the supervisory board are also responsi-
+ble for such internal control as they determine is necessary to enable the preparation of a remuneration
+report, including the related disclosures, that is free from material misstatement, whether due to fraud
+Auditor's Responsibilities
+Our responsibility is to express an opinion on this remuneration report, including the related disclo-
+sures, based on our audit. We conducted our audit in accordance with German generally accepted
+standards for the audit of financial statements promulgated by the Institut der Wirtschaftsprüfer
+(Institute of Public Auditors in Germany) (IDW). Those standards require that we comply with ethical
+requirements and plan and perform the audit to obtain reasonable assurance about whether the
+remuneration report, including the related disclosures, is free from material misstatement.
+An audit involves performing procedures to obtain audit evidence about the amounts including the
+related disclosures stated in the remuneration report. The procedures selected depend on the auditor's
+judgment. This includes the assessment of the risks of material misstatement of the remuneration
+report including the related disclosures, whether due to fraud or error. In making those risk assess-
+ments, the auditor considers internal control relevant to the preparation of the remuneration report
+including the related disclosures. The objective of this is to plan and perform audit procedures that are
+appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness
+of the company's internal control. An audit also includes evaluating the appropriateness of accounting
+policies used and the reasonableness of accounting estimates made by the executive directors and
+the supervisory board, as well as evaluating the overall presentation of remuneration report including
+the related disclosures.
+We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
+for our audit opinion.
+325
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report
+Financial statements and notes
+Remuneration Report | Auditors' Report
+Further information
+<3
+Further information | Acknowledgement | Contact | Registered trademarks
+<3
+Acknowledgement
+Published by
+corporate.report@deutsche-boerse.com
+Phone +49 (0) 69-2 11-1 79 80
+Publication date
+11 March 2022
+The German version of this report is legally binding.
+The company cannot be held responsible for any
+misunder-standing or misinterpretation arising from
+this translation.
+=
+Reproduction in total or in part - only with the
+written permission of the publisher
+We would like to thank all colleagues and service
+providers who participated in the compilation of this
+report for their friendly support.
+Registered trademarks
+www.deutsche-boerse.com/dbg-en/meta/trademarks
+Publications service
+The annual report 2021 is both available in German
+and English.
+The annual report 2021 of Deutsche Börse Group is
+available as pdf on the internet:
+www.deutsche-boerse.com/annual report
+327
+Financial Accounting & Controlling
+E-Mail
+25 April 2022
+Phone +49-(0) 69-2 11-1 24 67
+www.deutsche-boerse.com/sustainability
+E-Mail
+Deutsche Börse AG
+60485 Frankfurt/Main
+Germany
+www.deutsche-boerse.com
+Concept and layout
+Deutsche Börse AG, Frankfurt/Main
+Kirchhoff Consult AG, Hamburg
+Photographs
+onformative GmbH
+Contact
+Investor Relations
+E-Mail ir@deutsche-boerse.com
+Phone
++49-(0) 69-2 11-1 16 70
+www.deutsche-boerse.com/ir_e
+Group ESG Strategy
+group-sustainability@deutsche-boerse.com
+or error.
+www.deutsche-boerse.com
+60485 Frankfurt am Main
+Attract
+36
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our customers and markets
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Product quality and customer satisfaction
+Our Group growth strategy Compass 2023 (see "Our strategy and steering parameters") is intended to
+make us more agile, ambitious and effective, and to sharpen our focus on the customer. By improving
+our organisation, we aim to better address changing client needs and gradually realise unused potential
+by means of a Group-wide approach to marketing, sales, innovation and product development.
+Internally, we ensure product quality and customer satisfaction by means of functioning internal control
+processes (see "Risk management”) and functioning IT security (see “Stable and secure markets”).
+We carry our regular customer surveys for external quality assurance. One example is Clearstream's
+client services survey. This survey aims to identify customer needs and prioritise and address
+enhancement requests to further improve products and services. The results of this survey are taken up
+by the Clearstream Management Committee, where concrete actions are taken to address customer
+needs. In 2020 the surveys at EEX, Eurex, 360T and Clearstream were harmonised; they now also
+include a standardised Net Promoter Score (NPS). The companies ask their customers how willing they
+would be to recommend the service provider – with the aim of informing the Executive Board of the
+respective group company and employees about the results shortly after the survey is completed.
+37
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our employees
+Financial statements and notes
+Remuneration Report
+Further information
+8. Our employees
+<3
+The commitment and skills of our employees are a vital cornerstone for Deutsche Börse Group. Together
+with our corporate values of performance, reliability, integrity, openness and responsibility they define
+our corporate culture and form the basis of our commercial success. For this reason we have an active
+People strategy, promote diversity and inclusion, and systematically measure how attractive we are as an
+employer.
+People strategy
+Working in its four strategic dimensions (Attract, Develop, Engage, Lead), our HR strategy aims to attract
+talents, to develop them, to enable them to engage effectively and to continue their personal and
+professional development. These four dimensions form the foundation for three long-term projects. With
+these projects we aim to create a flexible and sustainable working environment that offers our employees
+optimal working conditions.
+In connection with the adoption of national policies for implementing the EU Directive on Corporate
+Sustainability Reporting in effect since 2017, we took the opportunities offered by various meetings and
+forums with representatives from politics, business and society to position our ESG Best Practice Guide
+as a manual for companies affected by the legislation. The guide compiles internationally accepted
+reporting methods, including examples of best practice, and its seven recommendations provide a
+structured guide on how to deal intelligently and above all, efficiently, with the subject of sustainability in
+capital market communications. It is therefore particularly suitable for small and medium-sized
+enterprises and for reporting beginners.
+ESG Best Practice Guide
+Our activities and proposals to promote the transparency of capital markets aim to speed up penalty
+proceedings, increase fines for infringements and to provide investors with transparent information about
+the issuers concerned and the steps and sanctions that have been taken against them.
+Furthermore, on 1 July 2021 a legal basis was also created by legislation that enables the management
+of FWB to make public on the exchange website decisions on measures and sanctions against issuers
+and others pursuant to section 22 (2) sentence 1 and 2 and section 42 (2) sentence 1 Börsengesetz
+(BörsG, German Exchange Act). Eight announcements about sanctions imposed on issuers were
+published on the exchange website up to 31 December 2021.
+Remuneration Report
+Further information
+Transparent markets
+<3
+On our markets prices, volumes and expectations become evident via supply and demand. Our goal is to
+increase the transparency of our market participants from an issuer perspective while remaining a
+neutral provider of market infrastructure.
+To this end, we are pursuing the following measures:
+Provide binding and non-binding transparency requirements
+Incentives for companies to publish ESG information
+For further information on our ESG products we refer to our homepage.
+Mandatory transparency requirements
+Section 42 (1) Börsengesetz (BörsG, German Exchange Act) authorises exchanges to impose additional
+admission requirements and further notification duties upon equity issuers, for parts of the regulated
+market. Frankfurter Wertpapierbörse (FWBⓇ, the Frankfurt Stock Exchange) used this authorisation in its
+Exchange Rules (section IV, sub-section 2) to create the “Prime Standard" in 2003. One feature of the
+Prime Standard is the special post-admission obligations, which are monitored by FWB, with any
+breaches penalised by the exchange's Sanctions Committee.
+Dimensions of our People Strategy
+Over and above statutory requirements under the Wertpapierhandelsgesetz (WpHG, German Securities
+Trading Act), Prime Standard issuers must submit their financial reports (annual and half-yearly reports),
+as well as their quarterly statements for the first and third quarter, to FWB, in German and/or English
+and within set deadlines. Annual financial reports for reporting periods beginning on or after 1 January
+2020 also have to be sent to FWB in the European Single Electronic Format (ESEF). Moreover, Prime
+Standard issuers must submit their calendars of material corporate events to FWB, hold an analysts'
+conference at least once a year and publish any inside information in English as well as German. All
+submissions to FWB must be carried out via the Exchange Reporting System (ERS®). This electronic
+interface allows for efficient sorting and display of data, helping to spot any impending failure to meet a
+deadline. This allows FWB to support issuers to fulfil their transparency duties in the best possible
+manner by sending out e-mail reminders prior to each deadline. The FWB continues to rely on the
+recommendations for action already developed in 2020 to address difficulties that occur in relation to
+the impact of the COVID-19 pandemic on the issuer and have an impact on meeting deadlines for the
+publication of financial reports.
+35
+55
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our customers and markets
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Deutsche Börse Group also considers that it has an obligation to strengthen trust in the capital markets.
+We have therefore decided to subject our regulations to an in-depth review and revision process
+involving the various regulators. In this context, for instance, it was explicitly stipulated in the FWB
+Exchange Rules that an issuer may not have applied for or be in insolvency proceedings when its shares
+or certificates representing its shares are admitted to the Prime Standard. An issuer whose shares or
+certificate representing its shares are admitted to the Prime Standard is therefore obliged to notify the
+management of FWB without undue delay if any application is made to open insolvency proceedings for
+its assets or any insolvency proceedings are opened. FWB management was also explicitly authorised to
+revoke the admission to the Prime Standard of shares or certificates representing shares of an issuer
+whose assets are subject to an application for insolvency proceedings or the insolvency proceedings
+themselves.
+FWB continues to use the recommendations developed in 2020 in the event of difficulties affecting
+issuers in connection with the impact of the COVID-19 pandemic on compliance with the deadlines for
+the publication of financial reporting. All reports and data submitted to FWB are subsequently available
+at www.boerse-frankfurt.de/en, the exchange's website, under the respective issuer's name. Information
+is thus accessible to interested investors in a compact, easy-to-find manner, creating a particular level of
+market transparency within the Prime Standard segment. Submission via ERS allows for monitoring
+fulfilment of transparency requirements - seamlessly and without delay.
+68)
+Because we want you to
+have great new colleagues.
+Develop
+Because we care
+about your growth.
+Remuneration Report
+Further information
+Results of our annual "People Survey 2021"
+Strategic Alignment & Organisational Framework
+11%
+Unfavorable
+19%
+Neutral
+<
+Team Effectiveness & Collaboration
+Financial statements and notes
+9%
+70%
+Favorable
+11%
+Neutral
+80%
+Favorable
+Promotion of diversity and inclusion
+Deutsche Börse Group operates around the world. At our 69 locations around the world we have over
+10,000 employees from the most diverse cultural backgrounds. Our diversity is not only apparent in the
+origins of our employees, however, but also in the breadth of professional expertise and the many other
+differences that make up each individual personality in our team.
+We are convinced that this diversity is decisive for our global success. We see the wealth of individual
+characteristics and strengths as the key to fulfilling our corporate purpose. For this reason we strive to
+create an inclusive working environment in which everyone feels welcome and where they feel
+comfortable about contributing their ideas.
+We are a signatory of the “Diversity Charter" and acknowledge our corporate social responsibility as
+expressed in the Code of Conduct that applies throughout the Group. A public Diversity & Inclusion
+statement in which we express our appreciation of all present and future employees and a Diversity &
+Inclusion policy constitute further elements of our diverse and inclusive working environment.
+We do not tolerate any discrimination, whether on the grounds of age, gender, physical or health
+disability, sexual orientation and identity, ethnic origin or belief and irrespective of whether behaviour
+among employees is concerned or the placing of orders with third parties. We have therefore
+implemented processes designed to ensure equal treatment in the selection of personnel and enable the
+Group to take prompt action whenever discrimination is suspected. No cases of discrimination requiring
+further action were reported to our whistleblower system in 2021.
+40
+Unfavorable
+Financial statements and notes
+Management report | Our employees
+39
+Engage
+Because you matter
+to us.
+Lead
+Because all of us can
+be role models.
+Trust@Work: we create the
+future of your working world.
+MissionGrow!: we encourage
+your development.
+DigitizeHR: we make your
+processes easier.
+Trust@Work is intended to create the conditions for effective collaboration in a world of hybrid work
+across team boundaries and projects. In this context we are working to develop a flexible working
+environment, which will transform our offices into a space for collaboration, creativity and innovation.
+This process is backed up by DigitizeHR, a project to fully digitise our operating HR processes.
+MissionGrow! is our project for optimising development opportunities for our employees. We continue to
+bank on transparency, equal opportunities and a culture of continuous feedback.
+In order to create the right framework to implement the strategic objectives of our projects, we have
+reorganised the HR department. A business partner team as well as a strategic concept and project team
+have been added. We have also set up a global HR services team that is being expanded continuously.
+38
+38
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Financial statements and notes
+Remuneration Report
+Further information
+Employer attractiveness
+<3
+We can only achieve lasting success if we attract top talents to Deutsche Börse Group and ensure they
+are enthusiastic about working for us over the long term. In this spirit, we have redefined our employer
+brand and defined our employer value proposition in the formula “Share value”. It conveys the message
+that with us new talents become part of an international team that drives positive change and is
+characterised by curiosity and an open mind. We welcome people from all different origins, age groups
+and personal backgrounds, and want to give them the opportunity to grow with us. We achieve this with
+a series of apprenticeships and training programmes. Internal courses - on cloud computing, agile
+development methods and digitalisation, for example - are the logical continuation of these
+apprenticeships and are supplemented by mentoring programmes and personality-based courses, on
+communication, assuming responsibility and becoming a team player, for instance.
+We expanded our existing range of specific training courses for our managers in 2021. These
+programmes aim to support them in their role as providers of feedback and in personnel development.
+Since 2021 we have also given managers the opportunity to take part in a 360 degree feedback. This
+format enables managers to receive specific feedback on their strengths and areas for development from
+employees, peers and their own managers.
+Further information about participation by employees and managers in training and development
+measures can be found in the table "Key data on Deutsche Börse Group's workforce as at
+31 December 2021".
+In our annual staff survey, the People Survey, which also deals with subjects such as understanding
+strategy and teamwork, we got good marks for our attractiveness as an employer (85 per cent approval).
+The largely positive feedback we have received here underlines how we stand for a working environment
+which makes it easy for staff to reconcile their career and their private life, with flexible models for
+working hours, allowances for child care, part-time degree courses and part-time work. For this purpose,
+we survey the average value of the two topics Strategic Alignment & Organisational Framework and
+Team Effectiveness & Collaboration annually. Our goal is to achieve a value of more than 71.5 per cent.
+In 2021, we achieved a value of 75 per cent.
+The following graph "Results of our annual People Survey 2021" shows what employees think about the
+subjects of understanding strategy and teamwork.
+Management report | Our employees
+Management report | Our customers and markets
+Deutsche Börse Group launched a segment for green bonds - bonds issued to raise capital for projects
+with climate and environmental benefits - on the Frankfurt Stock Exchange in November 2018. This
+segment currently comprises 315 bonds that meet international standards such as the Green Bond
+Principles of the International Capital Market Association. They include the use of issue proceeds, the
+project selection process, management and ongoing reporting. The new segment caters to the demand
+for sustainable financing, which is rising all over the world. Investors who care not only about the
+economic, but also the ecological return of their investments can find bonds with the right strategy at
+www.boerse-frankfurt.de > Bonds > Green Bonds. The bonds included in Deutsche Börse's segment
+are admitted for trading at various European stock exchanges, including the Frankfurt Stock Exchange.
+Deutsche Börse Group | Annual report 2021
+2020
+Total assets under management in ETFs based on Qontigo indices
+Assets under management in ETFs based on Qontigo ESG indices
+€bn
+117.9
+100.4
+€m
+1,383.6
+399.3
+Number of calculated indices
+Number
+Executive and Supervisory Boards
+11,161
+thereof ESG
+Number
+2,051
+1,605
+Listed companies
+thereof in Prime Standard
+Total issue proceeds for bonds
+Issue proceeds for green bonds
+Number
+490
+13,000
+Selected information about our markets
+As a provider of market infrastructure we consider that it is our fundamental responsibility to support the
+stability and economic success of capital markets. We fulfil this responsibility in part by keeping our
+systems available and secure, and meet the expectations of our clients, who trust us to provide stable
+secure trading platforms. Furthermore, we ensure that markets are transparent by means of our data and
+analytics services, along with our listing rules and guidelines. In this area, we make a distinction
+between mandatory requirements and non-binding guidelines for issuers. This chapter reports on these
+aspects and refers to individual ESG products where appropriate.
+<3
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our strategy and steering parameters
+Financial statements and notes
+Remuneration Report
+Further information
+Steering parameters for our economic situation
+<3
+The most important key performance indicators for the management of our economic situation are net
+revenue and EBITDA, since these are vital for the successful execution of our growth strategy and set
+incentives for profitable growth. The basis is net revenue in the consolidated financial statements. This
+consists of sales revenue plus the treasury result from banking and similar business as well as other
+operating income, less volume-related costs. The strategic focus on growth means that net revenue is
+very important for our Group. One of the most important pillars of the corporate strategy, in addition to
+absolute growth, is the profitability of this growth. To indicate this strategic relevance, EBITDA is one of
+the core metrics for controlling our Group and implementing the corporate strategy. EBITDA stands for
+earnings before interest, tax, depreciation and amortisation and as such reflects our profitability. It is a
+common indicator for measuring profitability. Another key financial control criterion is earnings per share
+before purchase price allocations (Cash EPS), since all profit and loss effects are reflected in this
+indicator and it can therefore be used to measure the successful implementation of the growth strategy.
+ESG net revenue³ is the indicator for the ESG business in the context of our growth strategy. The aim is
+to keep expanding the ESG business and continue our growth in this area. Therefore, we are aiming for
+annual growth of 10 per cent in our net revenue from ESG products. (see chapter "Our economic
+situation").
+Steering parameters for our social environment
+Our objective is to become climate-neutral on a net basis by 2025. All our efforts will be reviewed by the
+Science Based Target initiative (SBTI) by the end of 2023. We ensure the climate-neutrality of our Group
+by avoiding at least 70 per cent of our CO2 emissions per workspace by 2022 and compensate for the
+remaining emissions by means of emissions reduction projects (see chapter “Our social environment”).
+Outside-in steering parameters: Ratings
+We also include the results of our credit and ESG rating agencies as additional steering parameters. This
+outside-in view serves as an external evaluation of our actions as well as our results and plans.
+Therefore, the outside-in view is an important steering function for us.
+In terms of credit ratings, we aim at Group level for a net debt/EBITDA ratio not exceeding 1.75 and free
+funds from operations (FFO) relative to net debt greater than or equal to 50 per cent, in order to achieve
+the “minimum financial risk profile" consistent with the current AA rating in accordance with S&P Global
+Ratings methodology. In addition, an interest coverage ratio of at least 14 is targeted for Deutsche Börse
+Group using this methodology. For further information see credit ratings.
+In terms of ESG ratings, our aim is to achieve a place in the 90th percentile in three leading
+independent ESG ratings (S&P, Sustainalytics, MSCI). In addition to the actual ESG rating, we therefore
+monitor the development of our ESG ratings very closely, in order to systematically identify and realise
+potential for improvements over the years. For further information see our stakeholder engagement.
+3 ESG net revenue according to the internal definition of Deutsche Börse Group - see "Definition of our ESG net revenue".
+31
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our customers and markets
+Financial statements and notes
+Remuneration Report
+Further information
+7. Our customers and markets
+498
+Number
+2021
+316
+System stability and availability
+The availability of our client-focused trading systems is an important indicator of the overall quality that
+we achieve when developing and operating our systems. Deutsche Börse AG operates its trading
+systems for the cash and derivatives markets as redundant server installations, distributed across two
+geographically separated, secure data centres. Should a trading system fail, it would be operated from
+the second data centre. Together with clients, Deutsche Börse successfully simulated this scenario in
+2021 - as well as the impact of local disruptions - within the scope of the FIA Test (the annual
+disaster recovery exercise conducted by the Futures Industry Association). As of the reporting year, this
+kind of disaster recovery test is carried out after every larger software release. Other disruptions, such
+as workstation malfunctions or personnel failures, were also tested. The COVID-19 pandemic has also
+meant that the emergency workstations have been permanently in use since March 2020.
+Our multiple testing of software, its verified roll-out and the seamless monitoring of servers, network
+and applications has brought availability back up to 99.9 per cent. For 2022, we plan additional steps
+to even further increase our fault tolerance.
+Information security
+Our approach to avoiding attacks on IT systems and their data is based on a model with three lines of
+defence. The first line of defence is located in the IT organisation and the business units, the second is
+in the risk management function. This division of responsibility enables effective control mechanisms
+and avoids conflicts of interest when managing information security. The internal audit function is the
+third line of defence and independently monitors the two forward lines (see “Risk management").
+In the course of their mandates and responsibilities, the managers responsible for the first and second
+lines of defence report to the relevant Executive Board members and governing bodies, such as the
+Group Risk Committee (at least quarterly). At least once a year both lines of defence report to the entire
+Executive Board and to the Risk and Technology Committee of the Supervisory Board.
+In order to maintain the integrity of our Group's data, and in order to mitigate and control the risks, we
+are continuously implementing measures to increase information security. They include regular threat
+analysis, for example, and the systematic testing of our applications for vulnerabilities. The aim is
+proactively to make procedures, applications and technologies against cybercrime and other potential
+attacks more robust by adapting them to the current threats and regulatory requirements. The foundation
+for this is a set of policies and processes together with specific control measures based on the
+international information security standard ISO/IEC 27001.
+33
+333
+Executive and Supervisory Boards
+<3
+Management report | Our customers and markets
+Remuneration Report
+Further information
+<3
+The information security function checks that the requirements with regard to information security and
+information security risk management are adhered to; it also monitors the systemic integration of and
+compliance with security policies in the context of product and application development. The Group
+operates a situation centre (Computer Emergency Response Team, CERT), which detects and assesses
+threats from cybercrime at an early stage, and coordinates risk mitigation measures in cooperation with
+the business units. Across the Group we also operate a programme to sensitise our employees to the
+responsible handling of information, raise their awareness of information security aspects and report
+security incidents promptly to the CERT. All in all, our security approach includes overall measures in
+accordance with ISO/IEC 27001 covering both the development phase and the operational phase.
+Furthermore, we are a full member of national associations (Cyber Security Sharing and Analytics,
+CSSA), trade associations (World Federation of Exchanges) and international networks (Financial
+Services Information Sharing and Analysis Center, FS-ISAC) which contribute significantly towards a
+forward-looking stance vis-à-vis cyber threats, and the development of strategies to fend off such threats.
+For a description of the risks we refer to "Information technology risks".
+Data protection/protection of personal data
+Deutsche Börse Group has exposure to a plethora of sensitive information during the course of its business
+activities. We again took steps to comply with data protection legislation in 2021, particularly in terms of
+appropriate and transparent processing of personal data, and continuously developed our processes. The
+Executive Board has appointed a data protection officer and established the Group data protection function,
+which helps to ensure compliance with the data protection framework, itself based on the EU General Data
+Protection Regulation. To this end, the data protection function informs and advises the individual legal entities
+on the minimum standards for data protection. The data protection function also serves as a contact for data
+protection authorities, and supports the business units in their assessments of the data protection risks. It
+supports a stronger culture of data protection at Deutsche Börse Group by raising awareness and providing
+training on data protection in the context of the Group's business activities and ongoing legal developments.
+The data protection function's monitoring framework is incorporated into the structure of our compliance
+safeguards and controls, as a second line of defence on data protection. The data protection officer informs the
+Executive Board annually and as needed on the status of data protection within the company and the measures
+to expand the data protection framework.
+34
+Financial statements and notes
+Further information
+Deutsche Börse Group | Annual report 2021
+System availability (customer facing IT)
+Remuneration Report
+€bn
+48,138
+41,128
+€m
+225
+257
+%
+99.9
+99.9
+Our market infrastructure
+313
+Management report | Our customers and markets
+Our products enable market participants to make better-informed decisions and to price in, and put a
+price on, ESG-characteristics. We describe our products and the financial results that we achieve with
+these products in the segment reporting in “Results of operations".
+For further information on our (ESG) products we refer to our homepage.
+Stable and secure markets
+In order to be a reliable partner for our customers, we attach great importance to system stability and
+availability, information security and data protection. We therefore test the security of our systems
+continuously and update them regularly in close coordination with the governing bodies and the
+Executive Board.
+32
+32
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+As an international exchange operator and innovative provider of market infrastructure, we cover the
+finance sector's entire value chain with our products, services and technologies. Our business units offer
+the entire range of index and ESG data, analytics and research solutions, trading and clearing of
+investment instruments, settlement and custody of securities and other financial instruments, securities
+and collateral management, and investment fund services.
+Financial statements and notes
+225
+373
+126
+156
+30-39 years
+683
+266
+323
+Under 30 years
+572
+40
+43
+101
+219
+194
+56
+53
+91
+78
+Average age
+44
+40
+87
+111
+201
+1,079
+245
+44
+Employees (Headcount)¹
+Female
+664
+2,037
+1,371
+673
+425
+701
+400
+50 years and older
+143
+371
+587
+282
+217
+103
+36
+10
+40-49 years
+275
+151
+541
+317
+146
+42
+203
+35
+52
+5-15 years (%)
+32
+33
+33
+35
+26
+28
+48
+48
+Over 15 years (%)
+26
+23
+23
+21
+42
+39
+1
+1
+Staff turnover
+Joiners
+Leavers
+Male
+51
+33
+32
+44
+Employee classification
+Full-time employees
+1,023
+459
+1,894
+895
+638
+281
+685
+280
+Part-time employees
+37
+56
+143
+476
+35
+144
+16
+120
+Length of service
+Under 5 years (%)
+42
+44
+44
+205
+Female
+46
+Female
+4
+248.1
+258.7
+Net revenue
+%
+€m
+€m
+Change
+2020
+2021
+Key indicators Qontigo (index and analytics business) segment
+2,043.1
+~2.0
+3,509.5
+~3.5
+2021
+€m
+€bn
+Forecast 2021
+Financial year
+Qontigo (index and analytics business) segment
+EBITDA
+Net revenue
+Comparison forecast 2021 with financial year 2021
+ETF licences
+As a result of the M&A growth mentioned above, particularly the acquisition of a majority stake in ISS,
+the ratio of net debt to EBITDA exceeded the target limit of 1.75 at year-end, with a figure of 2.0. As
+expected, the Group's cash flow from operating activities was clearly positive. Planned investments in
+intangible assets and property, plant and equipment of €200 million finally amounted to
+€206.4 million. Based on the dividend proposal to the Annual General Meeting of €3.20 per share, the
+dividend ratio of 49 per cent will be in the middle of the planned range of 40 to 60 per cent.
+Exchange licences
+41.3
+Deutsche Börse Group | Annual report 2021
+48
+The financial year 2021 saw growing economic optimism combined with expansive fiscal policies to
+alleviate the implications of the COVID-19 pandemic, leading to record highs in both STOXX and DAX
+indices. Accordingly, average assets under management in ETF based on STOXX and DAX indices rose
+significantly and contributed positively to net revenues. Revenues from exchange licences, however,
+decreased slightly in the reporting period because of their dependency on trading volumes in STOXX and
+DAX index derivatives on Eurex. These had been extraordinarily high in 2020 and fell in 2021 due to an
+environment of low market volatility. Other licences revenue benefitted from growth in the business with
+buy-side clients and structured products issuers.
+In the Qontigo (index and analytics business) segment, we report on the development of our subsidiary,
+Qontigo, which was formed through the merger of the index business STOXX and DAX with Axioma in
+September 2019. In the index business, Qontigo offers issuers an extensive range of indices, thus
+providing these issuers with a wealth of opportunities to create financial instruments for even the most
+diverse investment strategies. While the ETF licence revenues depend on the volume invested in
+exchange-traded index funds (ETFs) on STOXX® and DAX® indices, the exchange licence revenues are
+derived mainly from the volume traded in index derivatives on STOXX and DAX indices on Eurex. Licence
+fees from structured products are shown as part of other licence fees. In Analytics, Qontigo offers its
+clients risk analytics and portfolio-management software. With regard to ESG, Qontigo contributes by
+licensing sustainable index solutions.
+107
+124.1
+-0
+-123.8
+-123.3
+180.6
+4
+73.1
+75.9
+EBITDA
+Operating costs
+Analytics
+2
+105.6
+107.6
+-2
+34.7
+33.9
+19
+34.7
+Other licences
+<3
+Further information
+Deutsche Börse Group | Annual report 2021
+Australia 156
+Asia 1,569
+109
+Nationalities
+As at 31 December 2021 Deutsche Börse Group employed a total of 10,200 staff (women: 4,124;
+men: 6,068; other: 8; 31 December 2020: 7,238), drawn from 109 nationalities at 69 locations
+worldwide. The average number of employees in the reporting period was 9,347 (2020: 6,996). At
+Group level, this corresponds to an increase of around 34 per cent compared with the previous year.
+Our fluctuation rate was 12.7 per cent (31 December 2020: 6.3 per cent). At the end of the year under
+review, the average length of service for the company was 7.3 years (2020: 8 years).
+42
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our employees
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+The number of Deutsche Börse AG's employees rose by 50 during the year under review to 1,743 as at
+31 December 2021 (comprising 664 women and 1,079 men; 31 December 2020: 1,693). The
+average number of employees at Deutsche Börse AG in the 2021 financial year was 1,715 (2020:
+1,605). On 31 December 2021, employees of Deutsche Börse AG worked at six locations.
+For more details, please refer to the table entitled “Key data on Deutsche Börse Group's workforce as at
+31 December 2021".
+Key data on Deutsche Börse Group's workforce as at 31 December 2021 (part 1)
+Deutsche Börse AG
+All locations
+Deutsche Börse Group
+Germany
+Luxembourg
+Czech Republic
+Male
+Female
+Male
+<3
+Locations worldwide
+69
+10,200
+Employees
+Executive and Supervisory Boards
+Management report | Our employees
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Furthermore, we deliberately decided against the centralised management of our diversity and inclusion
+programmes. Instead, we established a Group-wide Diversity & Inclusion Council last year. The members
+of the council represent our global workforce and our different minorities; they inform and advise the
+Executive Board on initiatives and act as trusted third parties and personal contacts for the employees.
+The council strives to ensure that our everyday workspace continues to be a place where everyone feels
+appreciated and gets the opportunities they deserve.
+Ensuring equality of opportunities for men and women has long been part of our corporate social
+responsibility, because we do not want to do without the knowledge and competences of female
+managers and the performance potential of diversified teams. In this spirit, one of our particular
+aspirations is to increase the proportion of women at the management level. Our various programmes for
+promoting talent, and so also for qualifying women for management positions, contribute to the long-
+term advancement of women. Other measures include focussed succession planning, as well as internal
+and external mentoring and training programmes. Exchanges among female colleagues are encouraged
+by an internal women's network. In addition, our Capital Markets Academy offers special training
+courses for women on financial planning, investment and retirement saving, among other things.
+For details regarding targets for female quotas, please refer to the section entitled "Corporate governance
+statement - target figures for the proportion of female executives beneath the Executive Board" and the
+"Comparison with the forecast for 2021".
+The results of our staff survey on diversity and inclusion confirm that our employees feel that they are
+welcome here with us (92 per cent positive) and that they are treated fairly and respectfully by their
+managers (95 per cent positive), regardless of their ethnic origins, their gender or their cultural
+background. This positive feedback confirms us in our intention to keep expanding our programme for
+diversity and inclusion, in the spirit of creating a fully inclusive working environment.
+41
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our employees
+Financial statements and notes
+Male
+Remuneration Report
+Staff developments
+Deutsche Börse Group: Our Workforce
+Central and
+Latin America 39
+North America 1,170
+Main Hub in Europe
+Country with DBG employees
+EMEA 7,266
+Germany 3,408
+Czech Republic 1,101
+Luxembourg 1,098
+Ireland 520
+Other countries 1,139
+888
+Further information
+67
+Part-time employees
+159
+20
+121
+67
+487
+377
+1,882
+33
+25
+133
+69
+270
+Remuneration Report
+1,184
+Training
+Training days per employee (FTEs)
+3.2
+3.4
+0.1
+0.2
+1.0
+1.3
+2.0
+1) Due to missing information (e.g. gender or age), headcounts of subcategories do not always add up to the total.
+44
+Leavers
+Joiners
+Staff turnover
+Under 5 years (%)
+65
+38
+52
+51
+66
+67
+51
+5-15 years (%)
+26
+43
+44
+37
+28
+28
+33
+Over 15 years (%)
+10
+19
+11
+16
+5
+5
+16
+33
+Length of service
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Financial statements and notes
+4ESG net revenue according to the internal definition of Deutsche Börse Group - see "Definition of our ESG net revenue".
+46
+46
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our economic situation
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Depreciation, amortisation and impairment losses, which are reported separately from the operating
+costs, came to €293.7 million in the reporting period (2020: €264.3 million). The change stems
+mainly from purchase price allocations for business combinations. A compensating factor was the
+decision to bring the amortisation period into line with the useful life of the assets (see Note 3).
+The financial result improved to €-40.1 million (2020: €-76.9 million) and benefited from the positive
+impact of adjusting the expected interest rate for potential tax back-payments. The previous year's
+financial result also included costs in connection with the issue of a hybrid bond.
+The Group's tax ratio of 26 per cent was on par with the previous year.
+Overall, the net profit for the period attributable to Deutsche Börse Group shareholders was
+€1,209.7 million (2020: €1,079.9 million), a year-on-year increase of 12 per cent. Undiluted earnings
+per share were €6.59 (2020: €5.89) for an average of 183.5 million shares. Earnings per share before
+purchase price allocations (Cash EPS) were €6.98 (2020: €6.07).
+Net profit for the period attributable to non-controlling interests amounted to €55.2 million (2020:
+€45.2 million) and comprised mainly earnings attributable to non-controlling shareholders of EEX
+Group, ISS HoldCo Inc. and Qontigo GmbH.
+Development of profitability
+Deutsche Börse Group's return on shareholders' equity expresses the ratio of net income after taxes to
+average equity available to the Group during 2021. In the reporting year, it was at 18.2 per cent (2020:
+18.1 per cent).
+Comparison of results of operations with the forecast for 2021
+On the basis of our diversified business model and the resulting growth opportunities we predicted an
+increase in net revenue to some €3.5 billion for financial year 2021, whereby the growth rate for secular
+net revenue should be at least 5 per cent. We expected additional net revenue contributions from the
+acquisitions of Clearstream Fund Centre and ISS. By contrast, we believed that declines in cyclical net
+revenue were likely in view of interest rate developments and changes in market volatility. At the time
+the forecast was made the further development of worrying coronavirus variants and their
+macroeconomic effects were not foreseeable. Despite this, we reported an increase of 9 per cent in net
+revenue to €3,509.5 million, with secular net revenue growth of 6 per cent. This means we met our
+forecast.
+Furthermore, we predicted an increase in earnings before interest, tax, depreciation and amortisation
+(EBITDA) to around €2.0 billion. Strict management of operating costs in line with earnings growth and
+positive valuation effects in net income from financial investments led to EBITDA growth of 9 per cent to
+€2,043.1 million. This also corresponds to the forecast.
+47
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+This boosted earnings before interest, tax, depreciation and amortisation (EBITDA) year-on-year by 9 per
+cent to €2,043.1 per cent (2020: €1,869.4 million).
+Result from financial investments increased to €85.2 million (2020: €24.3 million). Various minority
+investments contributed to this positive performance. The investment in Clarity Al, Inc. accounted for
+valuation effects of some €45 million.
+Operating costs came to €1,551.6 million (2020: €1,368.7 million), an increase of 13 per cent on the
+previous year. The increase is due entirely to M&A-related growth, especially the acquisition of ISS. Staff
+costs went up to €1,002.1 million (2020: €822.9 million), other operating expenses of €549.5 million
+(2020: €545.8 million) were on par with the previous year.
+The ISS and EEX segments accounted for 93 per cent of ESG net revenue at Group level in 2021. This
+mainly consists of net revenue from governance solutions, corporate solutions and ESG in the ISS
+segment, and trading in renewable energy products in the EEX segment. In aggregate, ESG net revenue
+accounted for 7 percent of total net revenue for Deutsche Börse Group.
+Remuneration Report
+Further information
+9. Our economic situation
+<3
+The third dimension of our integrated report is the economic situation. It is the result of developments by
+our customers and markets, and the commitment of our employees. In the following section we therefore
+look at the macroeconomic and sector-specific environment, the course of business, our earnings, the
+development of profitability and other financial performance indicators.
+Macroeconomic and sector-specific environment
+Secular growth factors are a core element of our strategy. We can plan them, manage them and adjust
+them to external circumstances. Our business performance is also influenced by macroeconomic and
+sector-specific factors that are beyond our control, however. Looking at the reporting year, these related
+mainly to the course of the COVID-19 pandemic and the accompanying measures to limit the spread of
+infections, together with their economic impact. The following aspects are particularly noteworthy:
+Uncertainty among participants on financial and capital markets concerning the progression of the
+pandemic and a resulting reluctance regarding investment decisions.
+■ Monetary policy measures by central banks to offset the economic effects of the pandemic.
+Higher new borrowing by many states to alleviate the consequences of the pandemic.
+■Low volatility as measured by the VSTOXX index, given the large amounts of liquidity being provided.
+■ An increase of inflation in the USA and Europe and consequently an increase in interest rate
+expectations.
+Regulatory projects and the resulting stricter requirements for capital market participants.
+In its January estimate (2022) the International Monetary Fund (IMF) predicted global economic growth
+of 5.9 per cent for 2021. Growth of 5.2 per cent is expected for the euro area and of 2.7 per cent for
+Germany.
+Management report | Our economic situation
+Business developments
+45
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our economic situation
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+In the second half-year, the emergence of the Delta variant of the coronavirus again caused uncertainty
+concerning the economic consequences for the markets. High inflation rates on both sides of the Atlantic
+were also a surprise and caused inflation expectations on financial markets to be revised upwards. This
+was accompanied by the assessment of market participants that the central banks would change the
+direction of their monetary policy faster than previously thought. Nominal interest rates rose accordingly
+around the world, especially short-term rates. Over the full year, the low-interest rate environment still
+had a negative effect on net interest income from banking business in the Clearstream segment,
+however.
+Results of operations
+Our financial year 2021 was marked by a persistent phase of low market volatility and subdued market
+activity as a result. This reduced net revenue, especially in the trading segments Eurex and Xetra. Net
+interest income from banking business in the Clearstream segment also declined as a result of US
+interest rate changes and was only partly offset by growth in securities settlement and custody. This
+reduced the Group's cyclical net revenue by some 4 per cent. The effect was offset by strong secular
+growth and the impact of M&A. The Group's secular net revenue went up by 6 per cent. The fastest
+secular growth was reported by the IFS segment. This is due partly to solid growth in fund settlement
+and fund custody and partly to the strong performance of the fund distribution business. Following the
+purchase of the remaining 49 per cent of the shares in Clearstream Fund Centre from UBS, the IFS
+segment also profited from a positive non-recurring valuation effect of some €40 million, which is also
+included in net revenue. Uncertainty among market participants concerning further developments on
+power and gas markets drove trading in power and gas products, especially in the second half of 2021,
+leading to a new record for net revenue in the EEX segment. Net revenue therefore increased year-on-
+year by 9 per cent in 2021 to €3,509.5 million (2020: €3,213.8 million).
+2021 was again dominated by the course of the COVID-19 pandemic. The economic optimism that
+began in the first half of 2021 was partly the result of a positive reporting season, and so companies'
+higher earnings expectations, and partly due to the success of vaccination campaigns around the world.
+These conditions helped to settle the nerves of many market participants. The main global indices
+approached record highs as a result, whereas market volatility moved sideways at a low level on an
+almost constant plane. Market activity, the need to hedge portfolios and therefore trading volumes in
+various asset classes, declined as a result. This particularly affected the trading-based segments, which
+also had to suffer comparisons with the high figures from the same period the previous year.
+204
+1,069
+31
+Remuneration Report
+Further information
+<3
+Key data on Deutsche Börse Group's workforce as at 31 December 2021 (part 2)
+Deutsche Börse Group
+Ireland
+USA
+Other locations
+Total
+(part 1
+Male
+Female
+Male
+Female
+Male
+Female
+and 2)
+Employees (Headcount)¹
+257
+263
+749
+376
+1,651
+1,289
+Financial statements and notes
+Management report | Our employees
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+43
+52
+41
+112
+82
+57
+28
+104
+73
+57
+42
+58
+10,200
+44
+Training days per
+employee (FTEs)
+2.1
+2.8
+2.1
+2.6
+2.3
+3.1
+3.1
+4.5
+1) Due to missing information (e.g. gender or age), headcounts of subcategories do not always add up to the total.
+Training
+53
+50 years and older
+13
+2,162
+Average age
+36
+36
+37
+37
+34
+31
+38
+Employee classification
+Full-time employees
+255
+228
+745
+366
+1,620
+1,236
+9,131
+Executive and Supervisory Boards
+2
+35
+4
+10
+571
+517
+86
+135
+161
+85
+182
+70
+1,765
+40-49 years
+80
+92
+165
+82
+337
+19
+184
+30-39 years
+64
+91
+223
+94
+528
+385
+3,521
+Under 30 years
+94
+67
+2,477
+Management report | Our economic situation
+Financial statements and notes
+Remuneration Report
+-155.4
+n/a
+n/a
+63.4
+n/a
+n/a
+The segment ISS (Institutional Shareholder Services) was introduced in 2021 and showed its first full
+reporting period in the second quarter. Here we report on the development of our majority owned
+subsidiary Institutional Shareholder Services, Inc., which is a US-based leading provider of corporate
+governance and responsible investment solutions, market intelligence, fund services, and events and
+editorial content for institutional investors and corporations, globally. ISS operates at-arm's-length and
+we have adopted principles protecting the independence and integrity of ISS' research offerings. The
+transaction was closed on 25 February 2021, therefore the financial figures include some transactional
+effects. The net revenue summarised under ESG includes the Corporate Solutions, ESG Analytics and
+Governance Solutions businesses. With this ISS was the largest contributor regarding ESG net revenue
+within our Group in 2021. The Non-ESG net revenue contains the business areas Market Intelligence,
+Media as well as among others the entities FWW (fund data), Liquid Metrix and SCAS (Securities Class
+Action Services).
+5ESG net revenue according to the internal definition of Deutsche Börse Group - see "Definition of our ESG net revenue".
+49
+49
+n/a
+Deutsche Börse Group | Annual report 2021
+Management report | Our economic situation
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+In the 2021 financial year, the Corporate Solutions business showed strong growth due to increased
+demand from companies seeking to comply with market standards. As a leading provider, ISS supports
+clients in terms of designing and managing their corporate governance, executive compensation,
+sustainability and cyber risk programmes. ESG Analytics is the fastest growing area within ISS and as
+such contributed very positively to net revenue in 2021. This business enables institutional investors to
+develop and integrate responsible investment strategies, engage on responsible investment issues, and
+monitor portfolio company practices and performance through screening solutions, cyber risk
+assessments, and the proprietary financial measure, economic value added. Governance Solutions,
+which encompasses ISS' well-established services, offering institutional clients solutions to apply their
+corporate governance views, identify environmental, social and governance risk, and manage their
+complete proxy voting needs on a global basis, also performed well in the reporting period.
+The ISS Market Intelligence business included in the Non-ESG reporting line showed a stable
+development. This service provides critical data, insight, and workflow solutions to global asset
+managers, insurance companies and distributors, steering strategy and data driven decision making
+across a wide range of financial products. To position ISS as a market leader in this space ISS completed
+two acquisitions in 2021. The first was Rainmaker Information on 1 September 2021, a leading
+platform delivering data, research, events, and media solutions to the Australian financial services
+market. The second acquisition, Discovery Data, closed on 9 December 2021. The company is a market
+leading supplier of mission critical financial intermediary data for the financial services industry, serving
+the sales, distribution and recruitment departments of U.S. asset managers and insurers.
+50
+Financial statements and notes
+Management report | Our economic situation
+Executive and Supervisory Boards
+n/a
+50
+n/a
+65.7
+Further information
+The former equity method measurement of Clarity Al, Inc. had a positive valuation effect of some
+€45 million for the full year on the result from financial investments.
+ISS (Institutional Shareholder Services) segment
+Key indicators ISS (Institutional Shareholder Services) segment
+Net revenue
+ESG
+Non-ESG
+Operating costs
+EBITDA
+1) Fully consolidated as at 25 February 2021, see Note 2.
+In the analytics business, net revenues increased moderately despite restrictions imposed to contain the
+COVID-19 pandemic continuing to slow down sales activity through reduced travel, remote working, and
+decreased client propensity to implement IT projects. Additionally, exchange rates had an unfavourable
+impact due to the depreciation of the USD relative to the EUR compared to 2020. Net revenue in this
+area is partly recognised upfront on the day of transaction, independently of the contract's cash flow
+profile, leading to positive and negative deviations of recognised revenue from the run-rate associated
+with the existing customer portfolio.
+2020
+n/a
+2021¹
+158.2
+n/a
+n/a
+<3
+%
+€m
+€m
+223.9
+Change
+360T (foreign exchange) segment
+Key indicators 360T (foreign exchange) segment
+Net revenue
+Trading
+Other
+Operating costs
+EBITDA
+<3
+2021
+2020
+Change
+€m
+%
+107.8
+101.5
+84.3
+81.9
+3
+23.5
+19.6
+Further information
+20
+€m
+6
+<3
+Financial statements and notes
+-53.7
+6
+ESG net revenue according to the internal definition of Deutsche Börse Group - see "Definition of our ESG net revenue".
+7 The part of the EEX ESG net revenue originating in power markets is based on the assumption that the proportion of renewable energies in physical power markets is by
+analogy related to the respective net revenue.
+52
+42
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our economic situation
+Remuneration Report
+Financial statements and notes
+Further information
+As for many other business units, COVID-19 meant that EEX was faced with exceptionally high
+comparative figures from 2020 at the beginning of 2021, particularly in the power derivatives market.
+Over the course of the year, particularly from September onwards, the power and gas market saw strong
+price increases, at times with record prices. This originated in the tense situation on the gas market due
+to low storage levels, a global economic recovery with higher gas consumption, and global price
+competition for natural gas as the Asian economy picked up even faster. The resulting high volatility led
+to an increase in trading activity and hedging requirements, which in turn led to higher trading volumes
+in power and particularly gas products on the EEX.
+Positive performance on the Nordic markets (market entry in 2020) and intraday markets meant the
+trading volume in the power spot market was slightly higher than the previous year. The gains were
+partly offset by reduced day-ahead volumes, particularly in Germany and the UK. Overall, the power
+spot market reported a slight decrease in net revenue, due to lower volumes in the French capacity
+auctions and incentive programmes, particularly in the day-ahead markets.
+Trading volume in the power derivatives market saw a slight increase in financial year 2021. The decline
+in European volumes resulting from initially hesitant trading activity was partly recouped by high trading
+volumes from September onwards. The same applied particularly to the US power derivatives market,
+which had a positive effect on EEX net revenue with a sharp increase of 28 per cent in trading volumes.
+Gains in market share and a stronger competitive position in Europe, Japan and the US underline the
+continuous expansion of power derivatives trading. The Japanese market is particularly noteworthy,
+since within twelve months EEX has established itself here as the market leader for trading in power
+derivatives, with an 87 per cent share of the exchange market in 2021.
+European gas markets reached new highs in terms of volumes in October and December 2021, growing
+year-on-year by a total of 28 per cent for the reasons described above. Higher trading volumes were
+recorded on almost all gas spot and derivatives markets, but particularly in Germany and the
+Netherlands. Volume growth was particularly strong on the US gas markets too. Altogether, EEX
+continued to build on its position as the leading gas spot exchange in Europe, achieving a significant
+increase in net revenue from the gas market.
+53
+53
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our economic situation
+Remuneration Report
+-53.9
+1) Includes Crypto Finance since 15 December 2021.
+54.1
+2020
+Change
+€m
+€m
+%
+364.0
+391.7
+-7
+188.6
+2021
+203.3
+21.2
+18.9
+12
+108.7
+125.7
+- 14
+45.5
+43.8
+4
+-7
+<3
+In the EEX (commodities) segment we report on trading activities on EEX Group's platforms in Europe,
+Asia and North America. The EEX Group operates marketplaces and clearing houses for energy and
+commodity products, connecting more than 800 participants around the world. The product portfolio
+comprises contracts on energy, environmental, freight and agricultural products. EEX Group's most
+important revenue drivers are the power spot and derivatives markets, and the gas markets. Activities
+also focus on developing sustainable commodity markets. EEX pursued various initiatives in this area in
+2021, which made it the second-largest contributor to the Group's ESG net revenue. This includes
+products such as power derivatives, emissions trading and origin certificates.'
+EBITDA
+47.6
+14
+In the 360T (foreign exchange) segment, we report on our foreign exchange trading business, which
+takes place on the platforms provided by 360T's subsidiaries 360 Treasury Systems AG and 360TGTX
+Inc. Net revenue in the 360T segment is driven mainly by the trading activities of institutional investors,
+banks and internationally active companies, and the provision of liquidity by so-called liquidity providers.
+During the year under review, the segment generated 78 per cent of its revenue from foreign exchange
+trading and 22 per cent from the provision of other services.
+Although the segment was still faced with exceptionally high comparative figures from the previous year
+in the first quarter, growth in the second quarter more than made up for this. This trend continued in the
+second half-year, enabling the 360T Group to report constant double-digit growth rates in average daily
+trading volumes from September onward. At the same time, volatility in the FX spot market declined in
+the reporting period, which had a particularly negative impact on trading volumes in the 360TGTX spot
+business. Trading activity was up year-on-year by around 7 per cent on average and net revenue
+increased by almost the same margin.
+Ongoing customer growth across all segments and regions and the corresponding increase in newly
+connected customers and additional trading volumes (e.g., stronger trading in forward and swap
+products) on the 360T platforms, accompanied by a positive performance in the marketing of market
+data and FX trading technology and infrastructure, all helped to offset the negative cyclical effects. This
+shows that the secular growth drivers of the 360T Group are intact and confirms its further growth
+potential.
+The Eurex FX market again showed solid growth, with an increase of 19 per cent in average daily
+trading volumes. More activity by existing customers played a role here, as did new customer wins, now
+increasingly also from the US and Asia. Two successful product initiatives also contributed to the positive
+development: the introduction of Scandinavian currency pairs, and the introduction of a partnership
+product with the Korea Exchange KRX for FX futures (USD/KRW FX future).
+54
+54
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our economic situation
+Financial statements and notes
+Remuneration Report
+Further information
+Xetra (cash equities) segment
+Key indicators Xetra (cash equities) segment
+Net revenue
+Trading and clearing
+Listing
+Xetra Data
+Other
+Operating costs
+-0
+28
+Power spot
+162.5
+389.9
+540.5
+-28
+225.7
+200.1
+13
+49.5
+48.4
+2
+- 10
+57.1
+4
+68.0
+85.4
+- 20
+63.0
+59.8
+5
+142.6
+121.2
+54.9
+1,110.3
+995.8
+%
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our economic situation
+Financial statements and notes
+Remuneration Report
+Further information
+Eurex (financial derivatives) segment
+Key indicators Eurex (financial derivatives) segment
+Net revenue
+Equity index derivatives
+Interest rate derivatives
+Equity derivatives
+OTC clearing
+Margin fees
+Eurex data
+Other
+Operative Expenses
+EBITDA
+<3
+2021
+€m
+2020
+Change
+€m
+18
+127.0
+- 387.7
+624.2
+4
+Other
+Operating costs
+EBITDA
+341.5
+€m
+302.2
+%
+13
+71.1
+72.1
+- 1
+118.4
+Gas
+115.8
+54.9
+43.0
+28
+97.1
+71.3
+36
+- 178.7
+- 174.3
+3
+2
+Power derivatives
+- 150.6
+242.8
+Net revenue
+738.8
+- 16
+In the Eurex (financial derivatives) segment we report on the financial derivatives trading and clearing
+business at Eurex Exchange. The clearing volume of OTC interest rate swaps, one of our secular growth
+factors, is reported as a separate item within the segment. Reporting for Eurex Data covers the marketing
+of licences for Eurex-specific real-time trading and market signals and the provision of historical data and
+analytics. The segment offers a wide range of sustainable investment products in the form of ESG equity
+index derivatives and ESG interest rate derivatives traded on the Eurex platform, as well as financing
+products with an ESG connection on Eurex Repo (e.g. green bond general collateral baskets). The
+performance of the Eurex segment largely depends on the trading activities of institutional investors, and
+proprietary trading by professional market participants.
+Derivative trading in 2021 was primarily defined by a sharp fall in market volatility, particularly
+compared with the previous year, which was exceptionally volatile due to COVID-19. In an environment
+of better-than-expected economic signals, negative influences only had temporary effects on share
+prices, so there was less need for hedging with financial derivatives and trading volumes declined
+accordingly. This was particularly apparent in trading with equity index derivatives. In interest rate
+derivatives, by contrast, the higher inflation expectations in the US and Europe and the associated fear of
+higher long-term interest rates resulted in greater market activity and a corresponding rise in trading
+volumes. Net revenue from equity derivatives trading was slightly up on the previous year, whereby a
+higher traded volume was partly offset by a different product mix.
+51
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our economic situation
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+Lower market volatility also meant that the collateral required for trading financial derivatives at Eurex
+Clearing declined.
+The increase in other net revenue is due mainly to the acquisition of Quantitative Brokers.
+Growth in clearing of OTC derivatives continued in financial year 2021. Although the equivalence period
+for UK clearing houses was extended again, the average outstanding notional volume was again higher
+than the previous year. Eurex Clearing's market share in global euro-denominated OTC interest rate
+derivatives rose accordingly to around 20 per cent (2020: 17.5 per cent). By refining the incentive
+programmes for transferring interest rate derivatives portfolios to Eurex Clearing, customers continue to
+receive focused support when migrating their positions to the EU-27.
+EEX (commodities) segment
+Key indicators EEX (commodities) segment
+2021
+2020
+Change
+€m
+- 373.1
+- 158.8
+2020
+258.7
+The remaining 49 per cent stake of Clearstream Fund Centre, which was founded in the fourth quarter
+of 2020 by combining UBS' fund distribution platform with our corresponding business, was acquired
+earlier than planned on 1 June 2021. This makes us the sole shareholder in the Zurich-based fund
+distribution platform, generating a positive valuation effect of around €40 million reported under "Other"
+net revenue. Clearstream Fund Centre's services which are reported separately in the business line
+"Fund distribution" developed very positively for the reasons already mentioned above, including secular
+growth from winning new clients. The business is considered to be one of the leading market providers
+in the world and centre of competence for global fund distribution services within our Group with around
+€400 billion assets under distribution at the end of the reporting period, giving global fund distributors
+access to contracts covering more than 76,000 funds. Usually resource-intensive distribution support
+services such as fee management and research as well as the administration of fund data and
+documentation can be streamlined in an efficient way by using Clearstream Fund Centre's services.
+Approximately 600 global asset managers benefit from Clearstream's global client network which brings
+additional scope and efficiency in the distribution of investment funds.
+Disclosures in accordance with Article 8 EU Taxonomy Regulation
+Article 8 of EU Taxonomy Regulation requires companies with a reporting obligation under Section 289b
+HGB (German Civil Code) to disclose to what extent their economic activities qualify as environmentally
+sustainable under the EU Taxonomy Regulation. The delegated act supplementing the EU Taxonomy
+Regulation (EU) 2021/2139 established the technical screening criteria for this assessment, which
+currently concentrate exclusively on economic activities which contribute substantially to climate change
+mitigation or climate change adaptation. According to the delegated act, companies must report on the
+proportion of their eligible and non-eligible turnover and on their capital and operating expenditure for
+financial year 2021.
+As a company obliged to prepare non-financial reporting we report for the 2021 financial year at Group
+level on our turnover, operating and capital expenditure covered by the EU Taxonomy Regulation.
+For 2021 we have not identified any economic activity covered by the delegated act. Furthermore, we
+did not identify any material capital or operating expenditure that fall within the scope of the delegated
+act in financial year 2021.
+The following table shows the proportion of eligible and non-eligible turnover, capital and operating
+expenditure:
+EU taxonomy
+Category
+Net revenue
+<3
+Operating expenditures
+Eligible
+0.00%
+Non-eligible
+100%
+0.00%
+100%
+0.00%
+58
+59
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Capital expenditures
+Management report | Our economic situation
+Further information
+Financial statements and notes
+439
+Other
+101.6
+59.0
+72
+Operating costs
+EBITDA
+- 125.9
+- 117.5
+7
+Remuneration Report
+255.9
+122
+In the IFS (investment fund services) segment, we report the order routing and settlement activity and
+custody volumes of mutual, exchange-traded, and alternative funds processed by Clearstream. Clients
+can settle and manage their entire fund portfolio via Clearstream's VestimaⓇ fund processing platform.
+The Fund Distribution unit covers the fund platform business of Clearstream Fund Centre, a merger of
+the existing Clearstream Fund Desk with the in 2021 fully acquired UBS Fondcenter AG business. IFS'
+ESG product suite consists of custody and settlement services for processed ETFs where investors see
+sustainability features. Net revenue in the IFS segment is largely a function of the value of assets under
+custody and the number of orders and transactions processed.
+The financial year 2021 saw continuously high activity on the fund retail market, especially in Germany,
+and accordingly high demand for investor services, even when taking into account the extraordinary
+volumes beginning of 2020 related to COVID-19. Combined with organic product development in the
+IFS segment, including the extension of market network coverage, this led to steadily increasing volumes
+and revenues across all line items confirming the continuing growth trend in investment fund services.
+The assets under custody grew significantly also related to higher market index levels.
+57
+57
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our economic situation
+115.2
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+We consider operating and capital expenditures to be eligible if the output stems from an eligible
+economic activity. We have identified and analysed the following economic activities in the delegated act
+that could fundamentally give rise to eligible operating or investment expenses:
+Infrastructure for personal mobility, cycle logistics
+Renovation of existing buildings
+Installation, maintenance and repair of charging stations for electric vehicles in buildings (and
+in parking spaces belonging to buildings)
+Installation, maintenance and repair of instruments and devices for measuring, regulation and
+controlling energy performance of buildings
+Installation, maintenance and repair of technologies for renewable energy technologies
+Data processing, hosting and related activities
+As mentioned, we did not identify any eligible operating or investment expenses under the Taxonomy
+Regulation for the past financial year.
+Definition of our ESG net revenue
+Further information
+The EU Taxonomy does not apply directly to our business model and is therefore not suitable as a
+reference framework for classifying our products and services in terms of sustainability. We therefore
+devised our own definition of ESG net revenue in the course of a strategic dialogue. Since the beginning
+of the year, we have been explicitly measuring our ESG net revenue according to this definition, which
+we describe in more detail below.
+This relationship exists if our products can increase the general transparency of information in terms of
+the three ESG dimensions - not only for investors, founders, asset managers and market participants,
+but also for external observers:
+■
+■
+Environmental: This particularly comprises compliance with climate targets, regulatory requirements
+and environmental standards and/or credible commitments.
+Social: This particularly includes compliance with labour law in all regions and operations, equal
+opportunities for all employees and minimum standards for suppliers.
+Corporate governance: This particularly includes minimum standards for the transparency of internal
+processes and control mechanisms.
+Each operating segment in Deutsche Börse Group can increase its information transparency in these
+three dimensions by including ESG aspects in its product portfolio – be it by integrating ESG ratings,
+data and/or analysis, or by reporting data on trading volumes for securities, derivatives, renewable
+energies and/or commodities. Our product portfolio can increase information transparency specifically by
+providing generally accepted indicators as market signals.
+60
+60
+The products and services of our respective segments generate economic value in different areas of the
+financial sector and the real economy and are often not comparable. From a Group perspective, this
+requires a wide-ranging definition of ESG net revenue, which then has to be broken down into more
+detail at the segment level. From the Group perspective, net revenue is deemed to be ESG net revenue if
+the products concerned are related to the transformation of the real and/or financial economy in terms of
+environmental, social and governance aspects.
+Remuneration Report
+Financial statements and notes
+Management report | Our economic situation
+<3
+Basis for determining the quotas
+The quotas were determined in accordance with the requirements of Annex I to Article 8 of the delegated
+act. The determination of the taxonomy-eligible quotas is based on the following principles:
+Turnover
+The proportion of eligible economic activities was determined by dividing the turnover from eligible
+economic activities (numerator) by total turnover (denominator). The numerator is based on turnover as
+defined in IAS 1.82(a) and presented in the consolidated income statement. For further details we refer
+to our consolidated financial statements (see Note 4, Net revenue table "Composition of net revenue
+(Part 1-4)" column "net revenue 2021").
+We have reviewed the application of the EU Taxonomy Regulation to our business model on the basis of
+the economic activities listed in the delegated act. Our business model is largely based on the following
+activities:
+Integrating various financial market services such as ratings, index and analytics services,
+trading, clearing, settlement, custody, market data services, and liquidity and collateral
+management
+Offering these services for various asset classes
+Developing and operating proprietary electronic systems for all processes along the value chain,
+in order to provide neutral marketplaces
+The above pillars of our business model are not explicitly listed in the economic activities and provisions
+of the delegated act. We therefore limited our analysis to the following economic activities:
+8.1 Data processing, hosting and related activities
+8.2 Data-driven solutions for GHG emissions reductions
+As mentioned, we did not identify any eligible turnover under the Taxonomy Regulation for the past
+financial year.
+Operating and capital expenditure
+We calculated the proportion of qualifying operating expenses by comparing our operating expenses (see
+Note 6, table "Composition of other operating expenses", line IT costs and line premises expenses) with
+the economic activities in Annex I, which contribute substantially to climate change mitigation or climate
+change adaptation.
+We calculated the proportion of eligible investment expending in the same way. Investment expenses are
+all additions to intangible and tangible assets (see Note 10, table "Intangible assets" column "Other
+intangible assets" and Note 11, table “Property, plant and equipment (incl. Right-of-use assets)" in the
+lines "Additions") without depreciation and amortisation, without remeasurement and changes to fair
+value. Goodwill is also not included in the calculation of taxonomy-eligible capital expenditure as it is not
+an intangible asset according to IAS 38.
+59
+59
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+14.4
+- 5
+77.6
+72.0
+Change
+%
+Net revenue
+Custody
+Settlement
+Net interest income from banking business
+Collateral management
+835.4
+827.2
+1
+€m
+445.2
+7
+120.2
+114.8
+5
+50.0
+100.5
+- 50
+80.9
+76.9
+417.5
+5
+€m
+Key indicators Clearstream (post-trading) segment
+- 6
+In the Xetra segment (cash equities), we bring together our cash market trading venues (Xetra®, the
+Frankfurt Stock Exchange, and Tradegate). Besides trading and clearing services income, the segment
+generates revenue from the ongoing listing of companies' securities and exchange admissions, the
+marketing of trading data, connecting clients to trading venues, and from services provided to partner
+exchanges. The activities of the recently acquired Crypto Finance AG are also reported in the Xetra
+segment as of December 2021. The acquisition of a majority stake in this provider of trading, custody,
+and investment services for digital assets has enabled us to tap into a new asset class. Xetra contributes
+to ESG net revenue by offering products related to trading in green bonds and ESG ETFs.
+Cash equities trading was influenced in 2021 by economic signals that were more positive than
+expected, with negative factors only having a temporary impact on share prices. This manifested itself in
+an environment of low market volatility, as measured by the VSTOXX index, and correspondingly reduced
+trading activity, although shares and ETPs (exchange-traded products) did scale record heights at times.
+Order book volumes on the segment's exchanges fell in consequence by 5 per cent compared with the
+extraordinarily strong figures from the previous year, which were due to the high volatility caused by the
+coronavirus pandemic. Trading and clearing revenue sank accordingly, resulting in an overall decrease of
+net revenue in the Xetra segment. Low market volatility was accompanied by increasing competition in
+cash equities trading with pan-European exchanges, so Xetra's market share as the reference market for
+trading in DAX shares fell to 69 per cent, the same level as 2018 (-4 percentage points compared to
+2020).
+A total of 23 initial public offerings (IPOs) took place in the financial year (2020: nine). The total issue
+volume came to around €10 billion (2020: €1.2 billion). Secular growth in the listing business from the
+large number of entries onto the regulated market was able to compensate partly for the segment's
+decline in net revenue.
+The sale of Regulatory Services GmbH - our regulatory reporting hub
+-
+to MarketAxess Holdings Inc. in
+November 2020 resulted in delayed income of around €16 million, which was attributed to Xetra data.
+8 ESG net revenue according to the internal definition of Deutsche Börse Group - see "Definition of ESG net revenue".
+2021
+55
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our economic situation
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+The business of Tradegate AG Wertpapierhandelsbank remained strong in 2021 thanks to the high
+ongoing level of activity from private investors, and its equity method measurement had a positive
+impact of some €28 million on the result from financial investments.
+Clearstream (post-trading) segment
+59
+Third party services
+Other
+23.8
+Other net revenue in the Clearstream segment benefited from an exceptional effect related to the claim of
+a reimbursement of legal costs of around €17 million.
+IFS (investment fund services) segment
+Key indicators IFS (investment fund services) segment
+2021
+2020
+Change
+€m
+€m
+%
+Average outstanding volumes in collateral management and securities lending grew slightly in the
+reporting year, thus leading to also slightly increased net revenues in this area.
+Net revenue
+Settlement
+Fund distribution
+382.4
+232.8
+64
+113.0
+87.4
+29
+90.2
+Custody
+Central banks' monetary policy measures related to the COVID-19 pandemic, especially in the US,
+resulted in reference rate levels around zero or even below. The cash handling fee of 30 basis points on
+US-dollar denominated deposits which had been introduced in 2020 could only partly offset this. The
+net interest income from banking business fell accordingly as anticipated.
+<3
+Further information
+23.8
+0
+115.3
+93.7
+23
+Operating costs
+EBITDA
+- 376.3
+459.6
+- 367.3
+2
+458.0
+0
+Our settlement and custody activities are reported under the Clearstream (post-trading) segment. In
+providing the post-trade infrastructure for Eurobonds and other markets, Clearstream is responsible for
+the issuance, settlement, management and custody of securities from 59 domestic markets worldwide,
+plus the international market. Net revenue in this segment is driven mainly by the volume and value of
+securities under custody, which determine the deposit fees. The settlement business depends primarily
+on the number of settlement transactions processed by Clearstream via stock exchanges as well as over
+the counter (OTC). This segment also contains net interest income from banking business. Clearstream's
+contribution to ESG stems from proxy voting instruction and distribution services offered as part of
+investor services supporting customers to comply with regulatory, governance and market standard
+requirements as well as stakeholder expectations.
+The financial year 2021 saw continuously high issuance activity on the bond market especially by the
+public sector. The result was a higher average value of assets under custody in the central securities
+depository (CSD) and international central securities depository (ICSD), surpassing the €13 trillion mark
+in June 2021 for the first time. Higher trading volumes especially in the ICSD led to a higher number of
+settlement transactions with a new record volume of 8.3 million transactions in March. Both
+developments had a positive impact on custody and settlement net revenues. Clearstream acquired the
+remaining shares in LuxCSD S.A., the Luxembourg central securities depository, in December 2021. For
+Clearstream, the full acquisition of LuxCSD represents a natural and complementary addition to its
+portfolio and completes the offering for issuers to use Clearstream as a global issuer hub.
+56
+99
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our economic situation
+Financial statements and notes
+Remuneration Report
+25
+100%
+impairment losses)
+The financial year 2021 was again dominated by the course of the pandemic and the resulting effects
+on the world economy. Low market volatility and so less activity by market participants led to tangible
+cyclical headwinds in the trading segments. On the other hand, busy trading on gas and power markets
+and in the market for investment fund services resulted in significantly positive secular growth.
+Additional net revenue from M&A growth, particularly ISS, also supported the Group's growth. Secular
+growth of 6 per cent was therefore able to more than make up for the cyclical contraction of -4 per cent.
+Net revenue growth from M&A activities came to 7 per cent and contributed to net revenue growth at
+Group level of 9 per cent as expected by the Executive Board, taking the total to €3,509.5 million.
+Thereby the Group's ESG related net revenue increased by 210 per cent, in particular due to the
+acquisition of ISS. Higher costs were due entirely to the Group's M&A growth. Earnings before interest,
+tax, depreciation and amortisation (EBITDA) also rose year-on-year by 9 per cent to €2,043.1 million
+and were in line with the Executive Board's expectations. Net profit for the period attributable to
+Deutsche Börse AG shareholders went up by 12 per cent to €1,209.7 million.
+78,542.0
+1,029.6
+thereof other cash and bank balances
+thereof restricted bank balances
+80,704.5¹
+103,195.7
+thereof financial instruments held by central counterparties
+138,107.4¹
+202,457.0
+Current assets
+6,908.5¹
+9,442.4
+thereof financial instruments held by central counterparties
+111.4
+227.1
+thereof equity investments measured at FVOCI
+997.5
+1,634.7
+thereof financial assets measured at amortised cost
+8,059.8
+11,460.4
+1,255.4
+1,913.6
+3,957.6
+5,596.0
+5,723.2
+38,420.1
+1,467.3
+EQUITY AND LIABILITIES
+Equity
+thereof financial liabilities measured at amortised cost
+80,609.5¹
+103,267.7
+thereof financial instruments held by central counterparties
+135,116.6¹
+201,554.0
+thereof current liabilities
+216.7
+338.5
+thereof deferred tax liabilities
+3,474.4
+3,037.3
+8,162.9
+thereof financial liabilities measured at amortised cost
+9,442.4
+thereof financial instruments held by central counterparties
+11,005.2¹
+13,623.0
+thereof non-current liabilities
+146,121.81
+215,177.0
+Liabilities
+6,556.1
+7,742.4
+152,677.9¹
+222,919.3
+6,908.5¹
+16,618.7
+14,570.5¹
+152,677.9¹
+F1+
+AA
+A-1+
+AA
+Short-term
+Long-term
+S&P Global Ratings
+Clearstream Banking AG
+S&P Global Ratings
+Fitch Ratings
+Clearstream Banking S.A.
+S&P Global Ratings
+Deutsche Börse AG
+Credit ratings
+Credit ratings
+At the Annual General Meeting we will be proposing to pay a dividend of €3.20 per no-par value share
+for the financial year 2021 (2020: €3.00). This dividend is equivalent to a distribution ratio of 49 per
+cent of net profit for the period attributable to our shareholders. Given 183.6 million no-par shares
+bearing dividend rights, this would result in a total dividend payment of €587.6 million (2020:
+€550.6 million). The number of shares with dividend rights is produced by deducting 6.4 million
+treasury shares from our ordinary share capital of 190.0 million shares.
+We generally aim to distribute dividends equivalent to between 40 and 60 per cent of net profit for the
+period attributable to Deutsche Börse AG shareholders. Within this range, we manage the actual payout
+ratio mainly in relation to our business performance and based on continuity considerations. In addition,
+we plan to invest the remaining available funds primarily in our complementary external development.
+Should the Group not be able to invest these funds, additional distributions, particularly in the form of
+share buy-backs, would be another possible use for them.
+Dividends and share buy-backs
+S&P Global Ratings bases the calculation of key performance indicators on the corresponding weighted
+average of the reported or expected results of the previous, the current and the following reporting
+period. To ensure the transparency of the key performance indicators, we report them based on the
+current reporting period.
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Our economic situation
+Executive and Supervisory Boards
+AA
+A-1+
+AA
+A-1+
+222,919.3
+thereof financial assets
+thereof other intangible assets
+thereof goodwill
+thereof intangible assets
+Non-current assets
+ASSETS
+€m
+31 Dec 2020
+31 Dec 2021
+€m
+Consolidated balance sheet (extract)
+Material changes to net assets are described below; the full consolidated balance sheet is shown in the
+consolidated financial statements.
+20,462.4
+Net assets
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Our economic situation
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+69
+65
+On 18 January 2022, S&P Global Ratings affirmed the AA credit ratings of Deutsche Börse AG,
+Clearstream Banking AG and Clearstream Banking S.A. Deutsche Börse AG's rating reflects the
+assumption that the Group will continue its growth strategy. Clearstream Banking S.A.'s rating reflects its
+strong risk management, minimal debt levels and strong position on the international capital markets -
+especially through its international custody and transaction business.
+On 5 July 2021, Fitch Ratings affirmed the AA credit rating of Clearstream Banking S.A. with a stable
+outlook. The rating reflects Clearstream Banking's leading position in the post-trade business, its diligent
+liquidity management, as well as its impeccable capitalisation.
+Our credit quality is reviewed regularly by S&P Global Ratings, while Clearstream Banking S.A. is rated
+by Fitch Ratings and S&P Global Ratings, and Clearstream Banking AG by S&P Global Ratings.
+As at 31 December 2021 we were one of only two DAX-listed companies with an AA rating from S&P
+Global Ratings.
+Deutsche Börse Group | Annual report 2021
+15,018.6
+78,292.5
+1.1
+Free funds from operations (FFO) / net debt
+Net debt / EBITDA
+Rating key figures
+147.10
+27.0
+139.25
+27.7
+24.0
+140.15
+104.95
+21.5
+96.80
+17.2
+€bn
+€
+Average market capitalisation
+Year-end closing price
+Deutsche Börse shares
+494
+8,855
+6,528
+- 1,368.7
+- 1,264.5
+- 1,340.2
+- 1,131.6
+€m
+Operating costs (excluding depreciation, amortisation and
+142.7
+196.6
+1.1
+1.0
+1.0
+2.0
+- 1,551.6
+70
+70
+We also seek the exchange with experts from politics, supervisory authorities, civil society and academia
+by participating in expert events, expert groups and associations. We advocate for effective regulation
+that supports the objective of efficient, transparent and stable financial markets while safeguarding our
+corporate interest.
+The Group Regulatory Strategy department, which reports to the CEO, is responsible for holistically
+positioning Deutsche Börse Group with regard to political and regulatory developments at the national,
+European and international level. It monitors, analyses and deals with regulatory revenue risks and
+opportunities. Based on our specific knowledge as a financial market infrastructure provider, we share
+our expertise about the evolution of the regulatory framework. Thus, we make a permanent contribution
+to strengthening financial market infrastructure and capital markets as a vital tool for achieving society's
+overarching objectives. We take part in consultations on political and regulatory initiatives, for example,
+and submit comments and papers to explain the implications of certain regulatory proposals for
+Deutsche Börse Group, our clients, the financial markets and society as a whole. Our white papers and
+studies also contribute to an improved understanding of specific aspects of financial market regulation.
+We regularly review the statutory requirements and the demands of rating agencies and (voluntary)
+market standards and initiatives. We seek dialogue with our internal and external stakeholders
+continuously and systematically and so determine the focus areas of our work – by means of investor
+days, employee and client surveys, dialogue with rating agencies and society as a whole, our
+involvement in various initiatives and our regular materiality analysis, in which we interview our
+stakeholders with respect to our company and the impact we have on society and the economy.
+-
+Our stakeholder engagement
+We describe the fourth and last category of our value creation in the section our social environment. We
+consider ourselves to be an established part of society and wish to make a positive contribution here too.
+In this heterogeneous field, our commitments go well beyond those topics that concern us directly as a
+company, such as our own carbon footprint or human rights in the supply chain. As a result our value
+added is very broad. We play an active part in financial market initiatives and offer training courses -
+some free of charge - to increase understanding of our market role and of our products and services. As
+a member of the UN Global Compact (UNGC) and the Sustainable Stock Exchanges initiative (SSE),
+Deutsche Börse Group has committed itself to implementing the 17 Sustainable Development Goals
+(SDGs) of the "2030 Agenda for Sustainable Development" set by the UN.
+<3
+10. Our social environment
+Further information
+247,7
+Remuneration Report
+Management report | Our social environment
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+69
+3) The ratios for the years 2017-2020 have been adjusted. The dividend payout ratio is determined using reported net profit.
+4) Amount based on the proposal to the Annual General Meeting 2022.
+2) Proposal to the Annual General Meeting 2022.
+1) Bonds that will mature in the following year are reported under other current liabilities.
+38
+76
+79
+69
+59
+%
+Financial statements and notes
+thereof cash deposits by market participants
+204.5
+€m
+Financial statements and notes
+Management report | Our economic situation
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+210
+67
+Market participants linked to the Group's clearing houses partly provide collateral in the form of cash
+deposits, which are subject to daily adjustments. The cash deposits are generally invested on a secured
+basis overnight by the central counterparties and reported in the balance sheet under "restricted bank
+balances". The total value of cash deposits at the reporting dates relevant for the reporting period
+(31 March, 30 June, 30 September and 31 December) varied between €32.9 billion and €78.3 billion
+(2020: between €38.2 billion and €62.2 billion).
+The "financial instruments of the central counterparties" item relates to the function performed by Eurex
+Clearing AG, European Commodity Clearing AG as well as Nodal Clear, LLC. Since they act as the
+central counterparties for Deutsche Börse Group's various markets, their financial instruments are carried
+in the balance sheet at their fair value. The financial instruments of the central counterparties are
+described in detail in the section “Risk management" of the Combined management report and in
+Notes 12 and 24 to the consolidated financial statements.
+Technical closing-date items
+Working capital comprises current assets less current liabilities, excluding technical closing-date items.
+Current assets, excluding technical closing-date items, amounted to €1,387.7 million (2020:
+€875.6 million). As Deutsche Börse Group collects fees for most of its services on a monthly basis, the
+trade receivables of €969.4 million included in current assets as at 31 December 2021 were relatively
+low compared with net revenue (31 December 2020: €616.6 million). The increase in trade receivables
+was particularly due to open items as of the reporting date from the high market volatility of the spot
+markets within EEX Group, which were offset by an increase in trade payables at the same time. The
+current liabilities of the Group, excluding technical closing-date items, amounted to €1,214.8 million
+(2020: €959.4 million, excluding technical closing-date items). For this reason, the Group had a
+working capital of €173.0 million at year-end (2020: negative working capital of €83.8 million).
+Deutsche Börse Group invested a total of €206.4 million in the reporting year (2020: €195.4 million)
+in intangible assets and property plant and equipment (capital expenditure, CAPEX). The Group's largest
+investments were in the Clearstream and Eurex segments.
+Group equity rose by 18 per cent compared with the previous year. This was due mainly to the net profit
+for the reporting year 2021, less the dividend payment for the previous financial year 2020.
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Our economic situation
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+66
+99
+The significant increase in total assets was particularly due to the volatility of restricted bank balances
+and financial instruments of the central counterparties at the reporting date.
+Deutsche Börse Group's total assets increased year-on-year by 46 per cent. The increase in intangible
+assets resulted primarily from the acquisitions of Institutional Shareholder Services and Crypto Finance.
+This particularly resulted in significantly higher goodwill and other intangible assets.
+1) Prior year adjusted.
+38,188.8
+Remuneration Report
+Further information
+Overall assessment of the economic position by the Executive Board
+<3
+thereof treasury result from banking and similar
+business
+3,509.5
+3,213.8
+2,936.0
+2,779.7
+2,462.3
+€m
+Net revenue
+Consolidated income statement
+2021
+2020
+2019
+132.6
+2018
+<3
+Deutsche Börse Group: five-year overview
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Our economic situation
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+68
+99
+⁹ ESG net revenue according to the internal definition of Deutsche Börse Group - see "Definition of our ESG net revenue".
+As in all recent years, we are again offering shareholders a higher dividend for financial year 2021. The
+proposed dividend is €3.20 (2020: €3.00), a year-on-year increase of 7 per cent.
+Based on this, the Executive Board considers that Deutsche Börse Group's financial position remained
+very solid during the reporting period. The Group generated high operating cash flows as in previous
+years. Net debt in relation to EBITDA of 2.0 was slightly higher than the target limit of 1.75 as a result
+of M&A activities mainly driven by the ISS acquisition.
+2017
+64
+Working capital
+We intend not to allow tangible equity (equity less intangible assets) of Clearstream Banking S.A. to fall
+below €1,100 million. Clearstream Banking S.A. exceeded this during the year under review, with a
+figure of €1,468 million.
+■ ESG Analytics comprises solutions that enable investors to develop and integrate responsible investment policies and
+practices, to advocate responsible investment topics, and monitor portfolio companies by means of screening and analytics.
+■ Governance Solutions consists of objective governance research and recommendations, end-to-end solutions for proxy advisers
+and reporting, as well as an outsourced proxy voting service, which includes the transmission of voting instructions.
+Corporate Solutions offers web-based tools for governance and sustainability analyses, ESG data, ratings, valuations and
+reports that support corporate customers to design and manage their corporate governance, remuneration and sustainability
+programmes.
+ESG net revenue comprises Corporate Solutions, ESG Analytics and Governance Solutions from ISS, without Liquid Metrix and
+SCAS (securities class action services).
+The corresponding ESG net revenue comprises all revenue from licensing sustainable index solutions. Licence revenue from
+such products can either be observed directly (e.g. in the case of ETF licences) or it is allocated, if it is sold as part of a
+package. Revenue from sustainable analytics solutions will be added as soon as these products are available and actively
+marketed.
+EEX
+Eurex
+ISS
+Qontigo
+ESG net revenue by segment
+The following activities fall within our ESG reference framework for each segment:
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Our economic situation
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+5,835
+5,397
+5,183
+Employees (average annual FTEs)
+51
+53
+61
+52
+%
+ESG net revenue at Eurex comes from trading on the platform in ESG equities index and fixed-income index derivatives (based
+on licences from various index providers).
+ESG net revenue at Eurex Repo comes from trading on the platform in ESG-related collateral-based financial products, which
+include green bond general collateral baskets (sovereign and non-sovereign bonds).
+EEX defines ESG net revenue as revenue related to sustainable commodity markets (environmental markets, both compliance
+and voluntary). They include contracts for green power, emissions certificates and the related services for registers and
+certificates of origin. In future they may also relate to natural gas, freight or agricultural products.
+360T
+1.523.0
+1,181.4
+Cash flows from operating activities (excluding CCP positions)
+€m
+€m
+2020
+2021
+Consolidated Cash flow statement (condensed)
+<3
+Cash flow
+Financial position
+Further information
+Dividend payout ratio³
+Remuneration Report
+Management report | Our economic situation
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+4
+61
+19
+IFS defines ESG net revenue as revenue related to Vestima's custody and settlement services for funds classified as ESG funds.
+Vestima acts as a central point of contact and offers a standardised process for all fund transactions, which increases our
+customers' operating efficiency.
+Clearstream defines ESG net revenue as revenue in connection with voting instructions and distribution services offered in the
+context of investor services. These products support compliance with regulatory, governance or market standards and make it
+easier for shareholders to exercise their governance rights as active investors.
+ESG net revenue relates to trade in green bonds and ESG ETF (best-in-class approach, exclusion method, investment by topic),
+but also to courses on ESG topics like the Master Class SDG Strategy (planned for 2022) (E), seminars to boost women's
+financial competence (S) or an examination to qualify as a Supervisory Board member (G).
+IFS
+Clearstream
+Xetra
+360T does not report any ESG net revenue.
+Financial statements and notes
+Cash flows from operating activities
+3.202
+2.70
+€
+Earnings per share (basic)
+shareholders
+1,209.7
+1,079.9
+1,003.9
+824.3
+874.3
+€m
+Net profit for the period attributable to Deutsche Börse AG
+- 293.7
+- 264.3
+- 226.2
+- 210.5
+- 159.9
+€m
+Depreciation, amortisation and impairment losses
+2,043.1
+1,869.4
+1,678.2
+1,443.7
+1,528.5
+€m
+Earnings before interest, tax, depreciation and amortisation
+(EBITDA)
+49
+4.68
+4.46
+5.47
+5.89
+2.45
+€
+Dividend per share
+Performance indicators
+3,037.3
+2,637.1
+20,462.4
+7,742.4
+6,556.1
+15,642.0 11,706.9 14,570.5
+4,963.4 6,110.6
+2,283.2 2,286.2
+10,883.7
+4,959.4
+1,688.4
+€m
+Non-current interest-bearing liabilities¹
+2.90
+€m
+€m
+Non-current assets
+Consolidated balance sheet
+908.9
+1,412.0
+926.1
+1,298.2
+1,056.2
+€m
+Cash flows from operating activities
+Consolidated cash flow statement
+6.59
+Equity
+908.9
+3.00
+Cash flows from investing activities
+<3
+Remuneration Report
+Financial statements and notes
+Management report | Our economic situation
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+83
+63
+We are committed to achieving the minimum financial risk profile that is consistent with an AA rating in
+accordance with S&P Global Ratings methodology. Furthermore, we endeavour to maintain the strong AA
+credit ratings of our subsidiaries Clearstream Banking S.A. and Clearstream Banking AG, in order to
+ensure the long-term success of the Clearstream securities settlement and custody segment. The
+activities of our Eurex Clearing AG subsidiary also require strong credit quality.
+The Group's clients generally expect us to maintain conservative interest coverage and leverage ratios,
+and hence to achieve a good credit rating.
+Capital management
+Frankfurt
+In the course of our capital management we aim for the following relevant ratios:
+Frankfurt
+Luxembourg/
+Frankfurt
+Luxembourg/
+June 2027/ June
+2047
+Call date
+7 years/final
+maturity in
+27 years
+€600 m DE000A289N78
+Fixed-rate bearer bond
+(hybrid bond)
+0.125%
+February 2031
+10 years
+DE000A3H2465
+€500 m
+Fixed-rate bearer bond
+Luxembourg/
+Frankfurt
+Luxembourg/
+Frankfurt
+Luxembourg/
+Frankfurt
+Luxembourg/
+1.125%
+1.250%
+(until call
+date)
+March 2028
+■ Net debt to EBITDA ratio: no more than 1.75
+■ Interest cover ratio: at least 14
+The acquisitions in 2021, particularly the acquisition of a majority interest in ISS and the purchase of
+the remaining shares in Clearstream Fund Centre, resulted in the ratio of FFO to net debt being below
+target and the ratio of net debt to EBITDA being higher.
+1,412.0
+1,468
+≥ 1,100
+€m
+46
+≥ 14
+38
+≥ 50
+%
+2.0
+≤ 1.75
+■ Free funds from operations (FFO) to net debt: equal to or greater than 50 per cent
+2021
+Tangible equity of Clearstream Banking S.A. (as at the reporting date)
+Interest coverage ratio
+Free funds from operations (FFO) / net debt
+Net debt / EBITDA
+Relevant key performance indicators
+The following table “Relevant key performance indicators" illustrates our calculation methodology and
+shows the values for the reporting year.
+■ Interest expenses for rating purposes are calculated on the basis of interest expenses for financing, less
+interest expenses of Group entities which are also financial institutions. These are among others
+Clearstream Banking S.A., Clearstream Banking AG and Eurex Clearing AG. Interest expenses which
+are not related to our financing are not included in the calculation of interest expenses. Only 50 per
+cent of the hybrid bond is counted towards interest expenses. Interest expenses for rating purposes in
+2021 came to €42 million.
+■ The Group's net debt for rating purposes is reconciled by first deducting 50 per cent of the hybrid
+bond, as well as the surplus cash as at the reporting date, from gross debt (i.e. from interest-bearing
+liabilities). Liabilities from operating leases and unfunded pension obligations are then added. Net debt
+for rating purposes in 2021 was €3,873 million.
+■ FFO for rating purposes is calculated by deducting interest and tax expenses from EBITDA. FFO for
+rating purposes in 2021 was €1,452 million.
+■ To determine EBITDA for rating purposes, reported EBITDA is adjusted by the result from financial
+investments, as well as by unfunded pension obligations. EBITDA for rating purposes in 2021 was
+€1,970 million.
+We follow the methodology of S&P Global Ratings closely when calculating these ratios.
+Tangible equity (for Clearstream Banking S.A.): total of at least €1,100 million
+Target figures
+10 years
+Further information
+Cash flow for 2021, which is the sum of all inflows and outflows of cash from operating, investing and
+financing activities, came to €-460.5 million (2020: €370.0 million) and was mainly the result of M&A
+activity.
+For further details of cash flow, see the "Consolidated cash flow statement” and Note 21 to the
+consolidated financial statements.
+<3
+Further information
+Financial statements and notes
+Management report | Our economic situation
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+29
+62
+The positive cash flow from operating activities, sufficient credit lines and flexible management and
+planning system mean that we are still adequately supplied with liquidity for 2022.
+Cash flow from financing activities was €798.7 million (2020: cash outflow of €254.2 million) and
+consists mainly of the dividend distributed for financial year 2020 of €550.6 million (2020: dividend for
+financial year 2019 of €531.9 million), the issue of two bonds for €1.0 billion to acquire ISS and the
+issue of commercial paper, which generated net cash proceeds of €0.8 billion. The purchase of the
+remaining 48.8% of the shares in Clearstream Fund Centre also resulted in a cash outflow of
+€356.0 million.
+Cash flow from investing activities came to €2,168.0 million in 2021 (2020: €787.7 million) and were
+determined largely by the acquisitions of ISS, Data Discovery and Crypto Finance, which resulted in a
+cash outflow of €1,843.0 million. Capital expenditure on intangible assets and property, plant and
+equipment of €206.4 million (2020: €195.4 million) was similar to the previous year.
+Liquidity management
+Cash flow from operating activities was €1,181.4 million (2020: €1,523.0 million) before changes in
+CCP positions on the reporting date and was made up primarily of net income for the period of
+€1,264.9 million (2020: €1,125.1 million) and cash outflows from changes in working capital.
+1,467.3
+1,029.6
+Other cash and bank balances as at 31 December
+2,506.7
+2,040.0
+Cash and cash equivalents at 31 December
+-254.2
+798.7
+DE000A2LQJ75
+Cash flows from financing activities
+-787.7
+-2,168.0
+Cash and cash equivalents at Deutsche Börse Group, i.e. its liquidity, comprise cash and bank balances
+- to the extent that these do not result from reinvesting current liabilities from cash deposits by market
+participants as well as receivables and liabilities from banking business with an original maturity of
+three months or less. Change in other cash and bank balances was affected by cash used for
+acquisitions, as well as cash outflows from operating activities.
+We mainly cover our operational liquidity needs by means of internal financing, i.e. by retaining
+earnings. Our aim is to hold sufficient liquidity to be able to meet all our payment obligations as they fall
+due. We have an intra-Group cash pool to aggregate our surplus cash as far as regulatory and legal
+provisions allow. We invest cash in principle on a short-term basis, in order to ensure rapid availability,
+and these investments are largely secured by liquid bonds from prime-rated issuers. Moreover, we have
+access to external sources of financing, such as bilateral and syndicated credit lines, as well as a
+commercial paper programme (see Note 24 to the consolidated financial statements for details of
+financial risk management). In recent years, we have leveraged our access to the capital markets to
+issue corporate bonds in order to meet our structural financing needs.
+Remuneration Report
+10 years
+0.000%
+February 2026
+5 years
+DE000A3H2457
+€500 m
+Fixed-rate bearer bond
+1.625%
+October 2025
+€600 m
+€500 m DE000A1684V3
+Fixed-rate bearer bond
+(p.a.)
+2.375%
+Fixed-rate bearer bond
+October 2022
+€600 m DE000A1RE1W1
+Fixed-rate bearer bond
+Listing
+Maturity
+Term to
+ISIN
+Issue volume
+Type
+Coupon
+Debt instruments issued by Deutsche Börse AG (outstanding as at 31 December 2021)
+10 years
+■ Straight-through processing
+or severity of effect
+Reduces frequency of events
+■ Compliance
+■ Legal
+■ Physical security
+measures
+■Information security
+■Internal control system
+■ Other
+Risk mitigation
+■ Business continuity
+→ Loss
+Group-wide
+→ Event
+Root cause
+Internal and external losses
+Risk types
+Risk scenarios
+Risk analysis
+Implied risks
+Risk management approach/risk appetite
+Business strategy
+Interlocking business strategy and risk management approach
+Risk monitoring
+Further information
+Remuneration Report
+→ Effect
+Existing risks
+Further information
+Aggregated risk measurement
+Financial statements and notes
+Supervisory Board of Deutsche Börse AG
+Monitors the effectiveness of the risk management system
+Evaluates the risk management approach and system
+Risk management - organisational structure and reporting lines
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+75
+Deutsche Börse AG's Executive Board determines the Group-wide risk management approach and risk
+appetite and allocates the latter to the company's individual business segments and business units,
+respectively. It ensures that the Group's risk appetite is and remains compatible with its short- and long-
+term strategy, business and capital planning, risk-bearing capacity and remuneration systems.
+The Supervisory Board of Deutsche Börse AG assesses and monitors the effectiveness of the risk
+management system and its continuing development. The Supervisory Board has delegated the
+evaluation to its Audit Committee. In addition, the Risk Committee examines the risk management
+approach and risk appetite on an annual basis.
+Our risk management approach applies to the entire Deutsche Börse Group. Risk management
+functions, processes and responsibilities are binding for all our employees and organisational units. To
+ensure that all employees are risk-aware, risk management is firmly anchored in the Group's
+organisational structure and workflows. Regular mandatory training sessions are also held, which were
+developed in a project to strengthen the risk culture of all employees. The Executive Board is responsible
+for risk management overall, whereas within the subsidiaries it is the responsibility of the management.
+The boards and committees given below receive regular information on the risk situation.
+Implementation in the Group's organisational structure and workflow
+■ Deutsche Börse Venture Network®
+■ DB1 Ventures
+Long-term developments
+Risk acceptance
+■Changes to business
+and/or business strategy
+Risk avoidance
+■ Other
+■ Insurance
+Risk transfer
+↓ Risk mitigation
+■ Risk metrics
+■ Stress tests
+■ Risk map
+Emerging risks
+Management report | Risk management
+Increase in absolute result with market position still strong
+Deutsche Börse Group | Annual report 2021
+Human rights matters
+For further sustainability performance indicators we refer to our GRI index on our homepage.
+In addition, we have published a TCFD index, which follows the recommendations of the Task Force on
+Climate-related Financial Disclosures (TCFD). Information on how we deal with climate risks and
+opportunities is presented in the TCFD index on our homepage.
+projects, such as reforestation. We intend to validate our path to climate neutrality with the Sciene Based
+Targets initiative (SBTI).
+The third stage from 2025 is to offset the remaining annual emissions by means of real external
+The second step is to expand these measures in order to reduce emissions by at least a further 20
+percentage points by 2023. Currently, we assume that we will achieve this target in 2022 (see “Report
+on expected developments").
+The first step is to reduce the CO2 emissions per workspace by more than 50 per cent compared with
+2019. This will take place by means of direct measures to avoid CO2 emissions. They include switching
+the energy supplies of office buildings to renewable energies and expanding local infrastructure for
+electric vehicles.
+We intend to proceed as follows:
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Our social environment
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+71
+We announced our new climate strategy at the Annual General Meeting in May 2021. Our objective is to
+become climate-neutral by 2025, i.e. we will reduce our CO2 emissions per workspace by at least 70
+per cent by 2022 (base year: 2019). The remaining emissions will be offset by external emissions
+reduction projects.
+Climate strategy and reporting
+When our revolving credit facility (RCF) was renewed in 2019 the pricing was tied to our ESG ratings
+from Sustainalytics. Originally on 28 March 2017, the credit facility was concluded with a banking
+consortium by us and our subsidiary Clearstream Banking S.A. amounting up to €750 million.
+AAA rating unchanged since 2016
+AAA
+AAA
+MSCI
+70
+76
+Audit Committee of the Supervisory Board
+Evaluates the effectiveness of the risk management system
+Sustainalytics
+We improved in all ESG dimensions
+We are aware of our corporate responsibility and are committed to the principles of sustainability. We
+aspire to lead by example, by assuming our corporate responsibility in a holistic way and reporting on
+how we do so. Our management approach for a Group-wide commitment to sustainability therefore
+includes respect for human rights both in the supply chain and within the company. To ensure that this
+is the case, our human rights declaration applies to all the activities of Deutsche Börse Group and its
+consolidated entities, including our relations with employees, suppliers and clients. In addition, we have
+introduced a code of conduct for suppliers and service providers, which comprises a comprehensive
+catalogue of environmental, social and governance criteria (ESG). Suppliers responsible for 99.3 per
+cent of our purchasing volume have currently signed an agreement based on the Code of Conduct. It is
+standard practice for new suppliers to sign the Deutsche Börse Group's Code of Conduct or (in
+exceptional cases) to make a voluntary commitment of their own.
+Capital Markets Academy
+Our Capital Markets Academy offers training courses on everything to do with capital markets. They
+include specialist seminars, certified courses, system training programmes and examinations for traders.
+In addition, Frankfurt Stock Exchange regularly hosts free webinars on current topics for private investors
+and uses video tutorials to present contents in a structured, simple and understandable way. With this
+free service our aim is to simplify access to complex aspects of capital markets and contribute to the
+economic education of society.
+72
+74
+Internal risk management is based on the Group-wide detection and management of risk, which is
+focused on its risk appetite, see the chart "Interlocking business strategy and risk management
+approach". Deutsche Börse AG's Executive Board has overall responsibility, and defines the framework
+for risk management throughout the Group. Under these Group-wide risk management requirements,
+each business segment and each of our regulated subsidiaries is responsible for managing its own risk.
+"Higher risks are only accepted for an adequate return." We have set ourselves the goal of ensuring that
+risk and return should be reasonably balanced, both for specific business areas in general and for
+individual regions, products and customers.
+3. Appropriate risk/return ratio
+"Risk management supports the business units to implement the business strategy within the defined
+risk appetite." As such, risks are identified, clearly communicated and the compliance with the risk
+appetite monitored. This principle includes risk from organic growth, M&A activities and the use of
+transformational technology. The aim is make well-founded strategic decisions within the boundaries of
+the defined risk appetite.
+2. Supporting the business strategy
+1. Risk limitation – protecting the company against liquidation and ensuring its continuing operation
+"Capital exhaustion should not occur more than once in 1,000 years." This means that one goal is to
+ensure a minimum probability of 99.9 per cent that the total capital available to cover risks will not be
+lost within the next twelve months. This approach reflects an economic perspective of risk assessment at
+Deutsche Börse Group. In other words, this principle establishes how much risk we can bear and at the
+same time what our risk appetite is. Guaranteeing business continuity also means that the regulatory
+capital requirements have to be met for the banks and securities firms in the Group, which constitutes a
+normative approach to risk assessment.
+-
+We align our risk management approach with our business model and our corporate strategy. As
+Deutsche Börse Group we provide the infrastructure for reliable and secure capital markets, assist
+constructively in their regulation and strive to play a leading role in all our business areas. Our risk
+management approach is based on three principles:
+Risk management approach and risk controlling
+The second core component of our risk management approach is the three lines of defence (3LoD),
+which are established at Deutsche Börse AG and our regulated Group companies (banks and securities
+companies). This model defines a clear division of functions and responsibilities between the operating
+business units (first line of defence), risk management (second line of defence) and internal audit (third
+line of defence). The main aspects of 3LoD are described in detail in the section “Centrally coordinated
+risk management - a five-stage process".
+<3
+Further information
+Executive and Supervisory Boards
+Remuneration Report
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+73
+In addition, other Group entities hold different licences to provide regulated activities in the financial
+services sector. As such, these entities are subject to comprehensive statutory requirements, inter alia on
+risk management (for further information on the regulated entities, please refer to the section on
+"Regulatory capital requirements and regulatory capital ratios"). In addition to the above statutory
+requirements, there are the Minimum Requirements for Risk Management (MaRisk) issued by the
+German Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht,
+BaFin), and circular 12/552 issued by the Financial Supervisory Authority of Luxembourg (Commission
+de Surveillance du Secteur Financier, CSSF). In this context, significant parts of the risk management for
+a number of our Group's companies are defined in the context of the second pillar of the Basel III
+regime. Moreover, Clearstream and Eurex Clearing AG have wide-ranging recovery and resolution plans
+to comply with the EU Banking Recovery and Resolution Directive (BRRD).
+Our banks follow international standards and comply with the minimum capital requirements set by
+regulation (Capital Requirements Regulation, CRR). In addition, they rely on the internal processes to
+judge the adequacy of capital and liquidity (Internal Capital Adequacy Assessment Process, ICAAP and
+Internal Liquidity Adequacy Assessment Process, ILAAP), which comprise internal stress tests and
+constitute a core component of the risk management approach. Clearstream Banking AG and
+Clearstream Banking S.A. are also subject to the Central Securities Depositories Regulation (CSDR).
+Clearstream companies are also subject to the Minimum Requirements for Own Funds and Eligible
+Liabilities (MREL) as of 2022. Eurex Clearing AG and European Commodity Clearing AG are authorised
+as central counterparties (CCPs) and are subject to the requirements of the European Market
+Infrastructure Regulation (EMIR).
+Risk management for Deutsche Börse AG and risk reporting to the Executive Board for Deutsche Börse
+Group as a whole is centralised with the Chief Risk Officer (CRO). Deutsche Börse AG's risk
+management adheres to the same standards that apply to our subsidiaries that are regulated as banks.
+This includes regular reporting to the Executive Board on a number of metrics, which cover operational
+risks (e.g. system availabilities and litigations), financial risks, business risks and other special risks. The
+Executive Board has defined what is known as a risk appetite for all these areas, which is monitored by
+means of the monthly reporting. The Group's capital and liquidity position is also part of the extensive
+reporting to the Executive Board. This ensures that the effectiveness of capital and liquidity planning is
+reviewed continuously. The following sections look in more detail at the aspects mentioned above. In
+view of their economic importance, we particularly discuss the largest regulated banks in our Group,
+namely Clearstream Banking S.A. and Clearstream Banking AG (hereafter Clearstream, including
+Clearstream Holding AG) and Eurex Clearing AG.
+<3
+11. Risk management
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Risk management
+Financial statements and notes
+Risk Committee of the Supervisory Board
+Remuneration Report
+Executive Board of Deutsche Börse AG
+79
+Risk metrics are used to quantify the exposure to the most important internal risks against set limits.
+They are complementary to the VaR approach and serve to monitor other factors as well as non-
+quantifiable risks. Any under- or overshoot of these limits serves as an early warning signal, which is
+reported to the Executive Board on a monthly basis. Furthermore, any such breach immediately triggers
+the necessary analysis and risk mitigation processes.
+4. Risk metrics
+Stress tests are carried out in order to simulate separately and in aggregate extreme but plausible events
+for all material types of risk. They simulate the occurrence of extreme losses or the accumulation of large
+losses within a single year. Both hypothetical and historical scenarios are used and calculated for the
+banks and securities firms in the Group. Inverse stress tests are also carried out. They calculate which
+loss scenarios or liquidity squeezes would have to materialise for risk-bearing capacity to be exceeded
+from a capital or liquidity perspective. Additional adverse scenarios are simulated for the normative
+perspective of banks and securities firms. The recovery plans for the banks also include other recovery
+stress tests.
+3. Stress tests
+As already explained in the 2021 half-year financial report, we reduced the defined confidence level for
+determining the required economic capital from 99.98 percent to 99.9 percent as of 1 January 2021
+while keeping the considered time window constant. This adjustment allows better comparability and
+thus better risk management, since the capital requirements are now subject to a uniform confidence
+assumption in the economic and normative perspective.
+The two institutions have adopted different approaches regarding operational risk: Clearstream uses the
+considerably more complex advanced measurement approach (AMA) in all business units. This means
+that it meets the regulatory capital requirements for operational risk set out in the EU's Capital
+Requirements Regulation (CRR). According to the method - which has been approved and is regularly
+audited by BaFin - the required capital is allocated to the regulated entities. In contrast, Eurex
+Clearing AG employs the basic indicator approach in order to calculate regulatory capital requirements
+(for details, see section "Regulatory capital requirements and regulatory capital ratios").
+↑
+Business risks
+<
+Project and ESG risks
+↑
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+■ Legal disputes and business practice
+■ Market risk (incl. pension risk)
+■ Credit risk
+Financial risks
+■ Damage to physical assets
+■ Service deficiency
+Unavailability of systems
+Operational risks
+Risk profile of Deutsche Börse Group
+Deutsche Börse Group's risk profile
+Further information
+Remuneration Report
+Monitors the risk management system and its continuing
+improvement in light of the risk management approach
+■ Liquidity risk
+Management report | Risk management
+Financial statements and notes
+Remuneration Report
+Further information
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Our social environment
+Financial statements and notes
+67
+Further information
+<3
+The initiatives we support do not necessarily have to have a financial or capital market background but
+should rather address issues that Deutsche Börse Group considers to be highly important. For instance,
+the Green and Sustainable Finance Cluster Germany is a sustainability initiative for Germany as a
+financial centre. The cluster aims to drive sustainable development and the related transformation
+process in the finance industry. The Sustainable Stock Exchanges (SSE) initiative mentioned above is a
+peer-to-peer learning platform that enables to research how stock exchanges can work with investors,
+regulatory authorities and companies to increase their ESG performance and promote sustainable
+investments. Our engagement in other forums is more broadly based. One typical example is ecosense,
+the sustainable development forum of German business, a collaboration of global companies and
+organisations based in Germany. Here the focus is on the fundamental integration of sustainability topics
+into business activities.
+Another important element of our stakeholder engagement is the dialogue with rating agencies. There
+are many ESG ratings of independent organisations to evaluate companies in terms of how they deal
+with economic, ecological and social opportunities and risks. We use this external validation of our own
+ESG endeavours to continuously improve and sharpen our ESG profile. Insights from the ESG rating
+process were also factored into our materiality analysis.
+The following rating agencies, projects and indices measure the sustainability performance of Deutsche
+Börse AG every year and play a particular role for us:
+ESG ratings
+Valuation
+Rating agency
+2021
+2020
+Comment
+S&P
+80
+Another key component of our ICS is the principle of segregation of duties: tasks and authorities are
+clearly assigned and separated from each other in organisational terms. Incompatible tasks - such as
+modifying master data on the one hand and issuing payment instructions on the other - are strictly
+segregated at a functional level. An independent control unit grants individual employees access rights to
+the accounting system and continuously monitors these permissions using a so-called incompatibility
+matrix. Transactions are initially recorded in the general ledger or the appropriate sub ledgers on the
+basis of the chart of accounts and the account allocation guidelines.
+Moreover, we continuously monitor and analyse changes in the accounting environment and adjust our
+processes accordingly. This applies in particular to national and international accounting standards.
+In order to assure uniform and consistent accounting, FA&C provides regularly updated accounting
+manuals and guidelines and instructions for the material accounting processes - as part of the
+preparation of the annual and consolidated financial statements of Deutsche Börse AG. All employees in
+the FA&C area, as well as in decentralised units, have access to these documents and the accounting
+and account assignment guidelines, allowing them to see for themselves the scope of managerial
+discretion and accounting options Deutsche Börse Group exercises.
+The purpose of the accounting-related ICS is to ensure correct accounting practices. The central
+Financial Accounting and Controlling (FA&C) division, together with decentralised units acting on the
+requirements set out by FA&C, are responsible for preparing the accounts at Deutsche Börse AG and its
+consolidated subsidiaries. Group Tax is responsible for determining tax items for accounting purposes.
+The relevant department heads are responsible for the related processes, including effective security and
+control measures. The aim is to ensure that risks relating to the accounting process are identified early
+on, so that remedial action can be taken in good time.
+Deutsche Börse has a Group-wide internal control system (ICS) that defines the minimum requirements
+for all entities in the Group. The ICS comprises rules for managing our activities as well as guidelines
+defining how compliance with these rules is monitored. Monitoring takes place by means of both
+process-integrated measures (such as organisational safeguards and controls) as well as process-
+independent measures. It should be emphasised that the monitoring covers both the financial and non-
+financial effects of risks, especially on the process level. All business divisions are responsible for
+ensuring that Group-wide ICS requirements are met in their respective areas of responsibility.
+Structure of the internal control system
+Our risk management approach also contains a sustainable long-term component by considering risks
+over a twelve-month horizon, in addition to the current risk exposure. For this purpose, we have
+developed so-called risk maps tailored specifically for expected or upcoming regulatory requirements and
+IT and information security risks. In addition, other operational, business and financial risks are also
+assessed beyond a twelve-month period. Risk maps classify risks by their probability of occurring and by
+their financial impact, should they materialise. A review process of Environment Social Governance
+(ESG) aspects is also carried out as part of the Group Risk Committee.
+Emerging risks
+<3
+Management report | Risk management
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Financial statements and notes
+Our banks Clearstream and Eurex Clearing AG also calculate their capital requirements for various risk
+types (see the chart “Deutsche Börse Group's risk profile") in line with the Pillar I requirements of Basel
+III. In addition, Eurex Clearing AG met the EMIR capital requirements, while Clearstream Banking AG
+has to comply with CSDR capital requirements as authorisation as a CSD was granted by BaFin and the
+CSSF in 2020 and 2021 respectively. Clearstream and Eurex Clearing AG use the standard approach for
+analysing and evaluating credit and market risk.
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+76
+Our regulated subsidiaries act in the same way, always ensuring that they meet the requirements of the
+Group. In particular, they adhere to the risk appetite framework allocated to them by Deutsche Börse
+Group. The relevant supervisory boards and their committees are involved in the process, as are the
+executive boards and the corresponding risk management functions. Clearstream and Eurex Clearing AG
+implement the risk management approach with specific features drawn up for their own businesses.
+They therefore also use metrics and reporting formats adapted to the overarching Group structure. In
+general, the management of the respective subsidiary is responsible for its risk management approach
+and risk appetite; compliance is monitored by the respective supervisory board.
+The Chief Risk Officer leads the development of proposals for the risk management approach, risk
+appetite, approaches and methods for risk monitoring and control, capital allocation and the necessary
+processes. Risks are continuously analysed, evaluated and reported quantitatively and qualitatively. The
+reports are submitted regularly to the GRC, once a month or as needed to the Executive Board, once a
+quarter to the Risk Committee of the Supervisory Board and once a year to the Supervisory Board.
+Likewise, the CRO reports to the Audit Committee on the effectiveness of the risk management system
+on an annual basis. This system ensures that the responsible bodies can regularly check whether the
+defined risk limits are being adhered to consistently.
+The Group Risk Committee (GRC) reviews the risk position of the Group regularly and involves the
+Executive Board in all important matters. The GRC is an internal Group committee, chaired by the Chief
+Financial Officer.
+The Executive Board of Deutsche Börse AG also determines what parameters are used to assess risks,
+how risk capital is allocated and what procedures apply. It ensures that the requirements for the risk
+management approach and the risk appetite are met.
+Business segments
+Identify, notify and control
+78
+Identify, notify and control
+Chief Risk Officers/Risk management functions
+Manage risks in day-to-day operations and report to their
+own committees and the Group
+<---
+Assess and monitor risks, report to Executive Board and
+Supervisory Board
+Chief Risk Officer/Group Risk Management
+Responsible for the risk management of their institution
+Executive boards
+Monitor the effectiveness of the risk management systems
+and evaluate the risk management approach
+Supervisory boards
+Clearstream and Eurex Clearing AG
+Financial institutions
+Group Risk Committee (the Group's internal risk committee)
+Continuously monitors the overall risk profile
+Decides on risk management approach and appetite
+Business segments
+<3
+Centrally coordinated risk management - a five-stage process
+The five-stage risk management system
+2. Normative perspective and other regulatory capital requirements
+The risk management function regularly calculates the ratio of REC to risk-bearing capacity as a
+management metric and so provides an answer to a repetitive but vital risk management question: how
+much risk can we afford and what is our current risk exposure? The ratio of REC to risk-bearing capacity
+was always below the set limit in the reporting year, i.e. we ensured that our risk-bearing potential was
+adequate and we were at no time exposed to insolvency risk.
+The economic perspective measures risk positions arising from regular operations solely on the basis of
+qualitative and quantitative criteria, regardless of the requirements of individual accounting or regulatory
+models. This perspective defines the minimum amount of required economic capital (REC). Principle 1
+of our risk management approach stipulates that we should not exhaust our risk-bearing capacity in
+more than 0.1 per cent of all years. REC calculated in this manner also complies with the requirements
+of the second pillar of Basel III for our subsidiaries Clearstream and Eurex Clearing AG. At Group level
+we determine our risk-bearing capacity on the basis of reported equity in accordance with International
+Financial Reporting Standards (IFRSs). Clearstream and Eurex Clearing AG determine their risk-bearing
+capacity on the basis of their regulatory capital (for details, see section "Regulatory capital requirements
+and regulatory capital ratios").
+1. Economic perspective: What risk can the capital cover?
+We measure and monitor operational, financial and commercial risks on a continuous basis using a
+range of instruments. We adopt an economic perspective to quantify and aggregate risks. A normative
+perspective is adopted for the credit institutions that are in focus below - such as Clearstream and Eurex
+Clearing AG in particular - and the financial services institutions in the Group. The value at risk (VaR)
+model is the main tool for quantification. The purpose of the VaR model is to determine the amount of
+capital given a confidence interval defined ex ante – required to cover very unlikely but possible losses
+incurred within twelve months. Moreover, we carry out stress tests in order to simulate extreme, yet
+plausible, events and their impact upon the Group's risk-bearing capacity. Another approach to risk
+monitoring, which serves as an early warning system for quantified and non-quantifiable in-house risks,
+is complementary risk metrics. These risk metrics are based on IT and security risks, potential losses,
+credit, liquidity and business risks.
+<3
+Existing risks
+Further information
+Remuneration Report
+Management report | Risk management
+Financial statements and notes
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Our risk management is implemented in a five-stage process. All potential losses should be identified,
+recorded centrally and measured, quantitatively whenever possible. Measures for managing them are to
+be recommended as necessary and their implementation ensured (see chart “Five-stage risk
+management process"). The first stage identifies the risks and the possible causes of losses or
+operational malfunctions. In the second stage, the business areas (first line of defence) regularly - or
+immediately, in urgent cases - report the risks that they have identified and quantified. The report goes
+to the risk management function (part of the second line of defence), which evaluates the potential
+threat in a third stage. In the fourth stage the business units manage the risks by avoiding, mitigating or
+transferring them, or by actively accepting them. The fifth and final stage involves monitoring different
+risk metrics and, where necessary, informing the responsible Executive Board members and committees
+of significant risks, their assessment and possible emergency measures. In addition to its regular
+monthly and quarterly reports, the CRO division compiles ad hoc reports for members of the Executive
+and Supervisory Boards. The risk management functions at Clearstream and Eurex Clearing AG submit
+reports to the respective executive boards and supervisory boards. The internal audit function (third line
+of defence) is an independent function and monitors both the business units and the risk management
+functions.
+We use quantitative and qualitative approaches and methods for risk monitoring, with the objective of
+providing as complete a picture as possible of our risk situation at all times. To this end, the Group
+continuously reviews internal events with regard to their risk properties, while also considering regional
+as well as global developments. We are thus able to recognise and analyse existing risks; at the same
+time, it is able to swiftly and adequately respond to emerging risks, as well as to changes in the market
+or in the business environment.
+77
+5. Monitor and report
+Responsibility
+Executive Board
+Risk management approach and appetite
+Approaches and methods for risk monitoring
+Risk profile monitoring and management
+Group Risk Management
+Group Risk Committee
+Business areas
+1. Identify
+2. Notify
+3. Assess
+4. Control
+Risk management process
+73
+Further litigations and proceedings
+Litigations
+<3
+Starting on 16 July 2010, the insolvency administrators of Fairfield Sentry Ltd. and Fairfield Sigma Ltd.,
+two funds domiciled on the British Virgin Islands, filed complaints in the U.S. Bankruptcy Court for the
+Southern District of New York, asserting claims against more than 300 financial institutions for
+restitution of amounts paid to investors in the funds for redemption of units prior to December 2008. On
+14 January 2011, the funds' insolvency administrators filed litigation against Clearstream Banking S.A.
+for the restitution of USD 13.5 million in payments made for redemption of fund units, which the funds
+made to investors via the settlement system of Clearstream Banking S.A. The proceedings, which were
+suspended for several years, are ongoing.
+Financial statements and notes
+Remuneration Report
+A buyer of an MBB Clean Energy AG (MBB) bond, which is held in custody by Clearstream Banking AG
+and was listed on the Frankfurt Stock Exchange, filed a lawsuit at a Dutch court concerning claims for
+damages in the amount of € 33 million against Clearstream Banking AG, Deutsche Börse AG and other
+parties. The lawsuit was dismissed at first instance in October 2020; the plaintiff filed an appeal against
+the judgment.
+Executive and Supervisory Boards
+Management report | Risk management
+Financial statements and notes
+Remuneration Report
+Further information
+<3
+■„Levin“ plaintiffs group: On 26 December 2018, plaintiffs filed a complaint in the U.S. against
+Clearstream Banking S.A. and other parties. Besides the request for turnover of certain assets that
+Clearstream Banking S.A. holds as a custodian in Luxembourg, the complaint also asserts direct
+damage claims against Clearstream Banking S.A. and other defendants in the amount of up to approx.
+USD 29 million (plus punitive damages and interest).
+■,,Heiser" plaintiffs group: On 4 December 2019, plaintiffs from a previous case filed a new complaint in
+the U.S. against Clearstream Banking S.A. targeting turnover of certain assets that Clearstream Banking
+S.A. holds as a custodian in Luxembourg.
+■,,Ofisi❝ plaintiffs group: On 26 August 2020, plaintiffs filed a complaint in the U.S. against Clearstream
+Banking S.A. and other parties. Besides the request for turnover of certain assets that Clearstream
+Banking S.A. holds as a custodian in Luxembourg, the complaint also asserts direct damage claims
+against Clearstream Banking S.A. and other defendants in the amount of up to approx. USD 8.7 billion
+(plus punitive damages and interest).
+▪On 24 November 2020, plaintiffs from the abovementioned Havlish case also sued Clearstream
+Banking S.A. and other parties in Luxembourg. The complaint, among others, asserts direct damage
+claims against Clearstream Banking S.A. and other defendants in the amount of up to approx.
+USD 5.5 billion (plus interest).
+In connection with assets concerning Bank Markazi, Bank Markazi on 17 January 2018 filed a
+complaint in Luxembourg court naming Clearstream Banking S.A. and Banca UBAE S.p.A. as
+defendants. The complaint primarily seeks the restitution of assets totaling approximately USD 4.9
+billion (plus interest), which the complaint alleges are held on accounts of Banca UBAE S.p.A. and Bank
+Markazi with Clearstream Banking S.A. Alternatively, Bank Markazi seeks damages in the same amount.
+In another proceeding, on 30 April 2021, a Luxembourg first instance court at the request of Bank
+Markazi issued a declaratory judgment in connection with, amongst others, the abovementioned
+Peterson II proceeding pending in the U.S. The first instance decision of 30 April 2021 subjects the
+transfer of assets attributed to Bank Markazi based on a U.S. decision to the requirement of prior judicial
+recognition in Luxembourg, violation of which is punishable by a fine of €10 million. Clearstream has
+filed an appeal against the decision.
+On 15 June 2018, Banca UBAE S.p.A. filed a complaint against Clearstream Banking S.A. in
+Luxembourg court. This complaint is a recourse action related to the above-mentioned complaint filed by
+Bank Markazi against Clearstream Banking S.A. and Banca UBAE S.p.A. and asks that Banca UBAE
+S.p.A. be indemnified and held harmless by Clearstream Banking S.A. in the event that Banca UBAE
+S.p.A. loses the legal dispute brought by Bank Markazi and is ordered by the court to pay damages to
+Bank Markazi.
+Independent of whether Clearstream Banking S.A. should be required to turn over assets attributed to
+Bank Markazi in the U.S., the executive board does not think that claims for damages raised against
+Clearstream Banking S.A. in Luxembourg or in the U.S. will be successful. Based on this as of 31
+December 2021 and unchanged from the previous year, no provisions were made in connection with
+the aforementioned matters.
+85
+95
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Risk management
+Further information
+On 23 July 2021, Clearstream Banking AG was served with a lawsuit that Air Berlin PLC i.L. had
+announced by way of an ad hoc announcement on 25 June 2021. The insolvency administrator in
+connection with the assets of Air Berlin PLC i.L. claims the payment of approximately € 497.8 million
+from Clearstream Banking AG as personally liable partner of Air Berlin PLC i.L. due to Brexit and seeks
+declaratory relief that Clearstream Banking AG is liable for all debts which have not already been
+approved to the insolvency table.
+90
+The Executive Board does not expect that Group companies can be successfully held liable for these
+matters either and a material change of the risk situation of the Group currently is not discernible for the
+Executive Board.
+Deutsche Börse Group | Annual report 2021
+Emergency and crisis management process
+Business continuity management
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+87
+It is essential for the Group that we provide our products and services as reliably as possible. We have to
+maintain our business operations and safeguard against emergencies and crises. If our core processes
+and resources are not available, this represents not only a substantial risk for the entire Group but also
+even a potential systemic risk for the financial markets in general. As a result, we have set up a system
+of emergency and crisis plans covering the entire Group (business continuity management, BCM). This
+covers all processes designed to ensure continuity of operations in the event of a crisis and significantly
+reduces unavailability risk. Measures include precautions relating to all important resources (systems,
+workstations, employees, suppliers), including the redundant design of essential IT systems and the
+technical infrastructure, as well as emergency measures designed to mitigate the unavailability of
+employees or workspaces in core functions. This includes unavailability due to pandemic based events,
+like the coronavirus outbreak in 2020. This situation is being handled in accordance with the Group's
+Incident and Crisis Management Process. Activities are centrally coordinated to ensure the continuity of
+the Group's critical operations as well as employees' health and safety. Examples of such emergency and
+contingency measures are listed in the following chart “Business continuity management" chart.
+Emergency and contingency plans
+On 24 January 2022, Clearstream Banking AG was served with a complaint naming Clearstream
+Banking AG and two other parties as jointly and severally liable defendants. The lawsuit seeks damages
+of approximately € 216 million (plus interest) and declaratory relief that the defendants are liable for
+future damages. The claims pursued in the lawsuit are related to instructions to transfer securities that
+were not executed due to, among others, official measures.
+We take specific measures to reduce operational risks. Among them are emergency and contingency
+plans, measures to ensure information security and the physical safety of employees and buildings as
+well as compliance rules and procedures. In addition, we have insurance policies that partly cover the
+potential financial consequences of operational incidents.
+In September 2017, Clearstream Banking AG and Clearstream Banking S.A. were made aware that the
+Public Prosecutor's Office in Cologne had initiated proceedings for tax evasion against an employee of
+Clearstream Banking AG for his alleged involvement in the settlement of transactions of market
+participants over the dividend date (cum/ex transactions). On 22 January 2018, the Public Prosecutor's
+Office in Cologne addressed to Clearstream Banking AG a notification of hearing Clearstream Banking AG
+and Clearstream Banking S.A. as potential secondary participants (Nebenbeteiligte). Starting on 27
+August 2019, together with other supporting authorities, the Public Prosecutor's Office in Cologne
+conducted searches of the offices of Clearstream Banking AG, Clearstream Banking S.A., as well as other
+Deutsche Börse Group companies and sites. In the course of these measures, Deutsche Börse Group
+entities were made aware that the Public Prosecutor's Office in Cologne has extended the group of
+accused persons (Beschuldigte) to include current and former employees of Deutsche Börse Group
+companies as well as executive board members of subsidiaries of Deutsche Börse AG. In 2020,
+Deutsche Börse became aware of a further extension of the group of accused persons among current
+and former employees of Deutsche Börse AG's subsidiaries. Due to the still early stage of the
+proceedings, it is still not possible to predict timing, scope or consequences of a potential decision. The
+companies concerned are cooperating with the competent authorities. They do not expect that they could
+be successfully held liable.
+<3
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+98
+86
+On 2 April 2014, Clearstream Banking S.A. was informed that the United States Attorney for the
+Southern District of New York has opened a grand jury investigation against Clearstream Banking S.A.
+due to Clearstream Banking S.A.'s conduct with respect to Iran and other countries subject to U.S.
+sanction laws. Clearstream Banking S.A. is cooperating with the US attorney.
+Proceedings
+Measures to mitigate operational risk
+84
+■ Cyber crime
+On the basis of a binding and enforceable U.S. judgment in 2013, assets in an amount of approx.
+USD 1.9 billion were already turned over to a plaintiffs group in a U.S. proceeding (“Peterson I") to
+which also Bank Markazi was a party. Currently, the following proceedings that were initiated by the
+mentioned plaintiffs groups and that primarily target assets attributed to Bank Markazi are ongoing:
+■,,Peterson II" plaintiffs group: On 30 December 2013, plaintiffs filed a complaint in the U.S. against
+Clearstream Banking S.A. and other parties seeking turnover of certain assets that Clearstream Banking
+S.A. holds as a custodian in Luxembourg and that are attributed to Bank Markazi. Parts of the case
+since then reached the U.S. Supreme Court. After remand the case now is before the district court
+again where the plaintiffs lastly have filed a motion for summary decision on their asserted turnover
+claim. Alternatively, the plaintiffs have requested a preliminary court decision ordering the transfer to
+the U.S. of the relevant assets.
+■ Remote access to systems
+for numerous employees
+Employees
+■ Option to move essential
+operational processes to
+other sites if staff at one site
+are not able to work
+■ Additional precautions to
+ensure that operations
+remain active in the event
+of a pandemic
+Suppliers
+■Contracts and agreed plans
+of action for suppliers and
+service providers to specify
+emergency procedures
+■ Careful and continuous
+check of suppliers'
+emergency preparations
+■ Utilisation of multiple
+suppliers
+Preparations for emergencies and crises
+Our Group has introduced and tested a management process for emergencies and crises that enables us
+to respond quickly and in a coordinated manner. This is intended to minimise the effects on business
+processes and on the market and to enable a quick return to regular operations. All business segments
+have appointed emergency managers to act as central contacts and take responsibility during
+emergencies and crises. The emergency managers inform the Executive Board or raise the alarm with
+them in the case of severe incidents. In the event of a crisis, the Executive Board member responsible for
+the affected business area acts as the crisis manager or delegates this role.
+Our emergency and contingency plans are tested regularly by rehearsing critical situations as realistically
+as possible. Such tests are generally carried out unannounced. The test results are evaluated based on
+the following criteria:
+■ Functionally effective: the measures must be technically successful.
+■ Practicable: the employees must be familiar with the emergency procedure and be able to execute it.
+■ Timely: emergency measures must ensure that operations restart within the intended time period,
+namely the recovery time objective (RTO).
+Information technology risks
+As mentioned in the section on information security, attacks on IT systems and their data, particularly by
+cybercriminals, constitute operational risks for the Group. For us, as for other financial services providers
+and the industry as a whole, there is a pervasive and ever-increasing set of threats. Unauthorised
+access, change and loss of information, as well as non-availability of information and services, may all
+arise as a result of such attacks (such as phishing, denial-of-service and ransomware attacks). There
+was no successful attack on the Group's core systems in 2021.
+88
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+at all times
+Fully equipped emergency
+workspaces, ready for use
+for all essential functions
+"
+Required economic capital for
+Deutsche Börse Group by risk type
+German universal banks by risk type
+Required economic capital for
+Our risk profile is fundamentally different from that of other financial services providers. We differentiate
+between the three types of risk: operational risk, financial risk and business risk. Project risks also exist
+but we do not specifically quantify them as their impact is already reflected in the three risk types. In
+contrast to the risks of traditional financial services providers, the majority of our risks are of an
+operational nature (see the charts below: "Required economic capital for German universal banks by risk
+type" and "Required economic capital for Deutsche Börse Group by risk type”).
+Risk profile
+The following section describes the types of risk that we generally have to manage and presents the risks
+it actually faces. It also explains the measures that we use to attempt to prevent incidents, and to
+minimise their financial effects.
+Risk description
+The processes, systems and controls described above aim to provide reasonable assurance that our
+accounting system complies with the applicable principles and laws. In addition, Compliance and
+Internal Audit act as a further line of defence, performing risk-based, process-independent controls on
+whether the ICS is appropriate and effective. The Executive Board and the Audit Committee established
+by the Supervisory Board receive regular reports on the effectiveness of the ICS with respect to the
+financial reporting process.
+Management report | Risk management
+Financial statements and notes
+Significant subsidiaries of Deutsche Börse Group maintain and consolidate their general ledgers in the
+same system. Accounting data from other companies is uploaded for inclusion in the consolidated
+financial statements. Receivables, liabilities, expenses and income for individual transactions are
+recorded in separate accounts under the name of the counterparty concerned. Any consolidation
+differences are reviewed centrally and sent to the accounting departments of the companies concerned
+for clarification.
+Remuneration Report
+Management report | Risk management
+Financial statements and notes
+Executive and Supervisory Boards
+Deutsche Börse Group | Annual report 2021
+■Trading, clearing and
+settlement systems designed
+to be available at all times
+■Duplication of all data
+centres to contain failure
+of an entire location
+Workstations
+■ Emergency arrangements
+Further information
+13%
+Remuneration Report
+Physical security
+■ Participation in default fund
+■ Outstanding liabilities
+Market risk
+■ For securities
+■ For pension provisions
+■In case of balance-sheet currency
+mismatches
+Liquidity risk
+■ Customer default
+■ Payment obligations
+■ Repayment of customer deposits
+Credit risk
+Credit risk and counterparty default risks describe the danger that one of our counterparties might not
+meet its contractual obligations, or not meet them in full. Measurement criteria include the credit rating
+of the counterparty, the degree to which the credit line has been utilised, the collateral deposited and
+concentration risk. Although Clearstream and Eurex Clearing AG often have short-term exposures against
+counterparties totalling several billion euros overall, these are generally secured by collateral deposited
+by the market participants. However, Clearstream may have short-term unsecured exposures with
+correspondence banks in the course of clearing securities transactions.
+Clearstream grants loans to its clients in order to make the securities settlement more efficient. This type
+of credit business is, however, fundamentally different from the classic lending business. On the one
+hand, credit is extended solely for less than a day, and it is generally collateralised and granted to clients
+with a high credit rating on the other. Furthermore, the credit lines granted can be revoked at any time.
+Furthermore, Clearstream Banking S.A. is exposed to credit risk arising from its strategic securities
+lending transactions (ASLplus). Only selected banks act as borrowers. All lending transactions are fully
+backed with collateral. Only selected bonds with a high credit rating are permitted for use as collateral.
+Under its terms and conditions, Eurex Clearing AG only enters into transactions with its clearing
+members. Clearing mainly relates to defined securities, rights and derivatives that are traded on specific
+stock exchanges. Eurex Clearing AG also offers this service for over-the-counter (OTC) products such as
+interest rate swaps and forward rate agreements. As a central counterparty, it intervenes between the
+parties to a transaction. By offsetting reciprocal claims and requiring clearing members to post collateral,
+Eurex Clearing AG mitigates the credit risk exposure.
+To date, no default by one of our clients with a secured credit line has resulted in a financial loss for us.
+We therefore consider the risk of client default resulting in material losses for us to be low. Moreover, we
+regularly evaluate the reliability of the recovery plans at our subsidiaries Clearstream and Eurex Clearing
+AG in various scenarios (including counterparty defaults), and for the resulting credit risk.
+90
+■In securities lending
+■ For collateralised and uncollateralised
+cash investments
+■ For collateralised and uncollateralised
+customer credits
+Credit risk
+<3
+We place great importance on physical security issues due to the constantly changing global security
+risks and threats. Corporate Security has developed an integral security concept to protect the company,
+its employees and values from internal and external attacks and threats - in a proactive as well as
+reactive manner. Analysts continuously assess the security situation at our locations and are in close
+contact with authorities (Federal Criminal Police Office - BKA, Federal Office for the Protection of the
+Constitution BfV, etc.), security services providers, and security departments of other companies.
+Multi-level security processes and controls ensure physical safety at our locations. Physical access to
+buildings and values is monitored permanently; it is based on the access principle of “least privilege"
+(need-to-have basis). Penetration tests and other tests are carried out on a regular basis to verify the
+efficiency and effectiveness (as well as the quality) of the security processes at our locations.
+-
+In an increasingly competitive global market environment, access to know-how and confidential
+company information can be a major financial advantage to outsiders or competitors. We apply state-of-
+the-art technology to prevent our knowledge from being obtained illegally, e.g. through wiretapping.
+Furthermore, Corporate Security is tasked with providing support to our employees while they are
+travelling or on foreign assignment, i.e. protecting them from risks in the areas of crime, civil unrest,
+terrorism and natural disasters. In this context we have established a worldwide travel security
+programme, which guarantees a risk assessment before, during and after travelling, supported by a
+travel-tracking system and a central 24/7 emergency telephone number.
+Insurance contracts
+Operational risks that we cannot or do not wish to bear ourselves are transferred to insurance
+companies, if this is possible at a reasonable price. All insurance contracts are reviewed individually and
+regularly to identify potential for optimisation.
+Financial risk
+Further information
+We divide our financial risk into credit, market and liquidity risk (see the "Financial risk at Deutsche
+Börse Group" chart below). At Group level, these risks account for about 36 per cent of the REC (this
+information only includes credit and market risk; liquidity risk is not quantified as part of the REC; see
+Note 24 to the consolidated financial statements). They occur principally at our banking subsidiaries.
+The presentation therefore focuses on our subsidiaries in "Trading & Clearing" (Eurex Clearing AG) and
+"Post-Trading" (Clearstream). By incorporating the Crypto Finance group, our current business has been
+enriched with a brokerage business, having its own risk structure. However, as this business type is
+characterised by a trading book that is widely hedged against market price moves, the general risk
+profile of the group is not significantly impacted.
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+Management report | Risk management
+Financial statements and notes
+Remuneration Report
+Further information
+Financial risk
+Financial risk at Deutsche Börse Group
+<
+89
+Operational risks
+11%
+Business
+Further information
+Remuneration Report
+Financial statements and notes
+Management report | Risk management
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+82
+82
+■ External fraud
+■Internal fraud
+■Legal violations
+↑
+■ Breach of sanctions
+provisions
+■ Contract risks
+■ Employment practice
+■ Theft of customer cash
+■ Tax risks
+■ Losses from ongoing legal
+conflicts
+Unavailability of systems
+<3
+Operational resources such as the T7Ⓡ trading system are essential for our service offering. They should
+never fail in order to ensure that market participants can trade securities or derivatives at any time and
+without delay. We therefore measure the availability of these systems as an important risk indicator. In
+line with our risk management approach, the business areas are responsible for monitoring the
+indicators.
+The longer the downtime for one of these systems, the larger the potential loss. An outage could be
+caused by software or hardware issues; in unlikely cases, the availability of the systems could be
+affected by acts of cyber-crime or terrorist attack. In the past, only limited failures have occurred with the
+T7 system. In practice, there has never been a system failure lasting longer than one day. We have taken
+a number of measures to further minimise the risk of failure lasting an entire day or longer, e.g. the
+redundancy of the network infrastructure. However, malfunctions in the IT infrastructure can never be
+ruled out completely. In such cases, short-term countermeasures are initiated to address the incidents.
+Litigation Involving Clearstream Banking S.A. in connection with the Central Bank of Iran
+Clearstream Banking S.A. is involved in different legal proceedings in Luxembourg and the U.S. in
+connection with the Iranian central bank, Bank Markazi. On the one hand of this, different plaintiffs
+groups each of which have obtained U.S. judgments against Iran and/or Bank Markazi - are seeking
+turnover of assets that Clearstream Banking S.A. is holding as custodian and that are attributed to Bank
+Markazi. Several of the plaintiffs groups also raise direct claims for damages against Clearstream
+Banking S.A. On the other hand, Bank Markazi is suing, among others, Clearstream Banking S.A. in
+Luxembourg in connection with assets that currently or in the past were held by Clearstream Banking
+S.A. as custodian.
+-
+Losses can also result from ongoing legal proceedings. These can occur if Deutsche Börse Group
+breaches laws or other requirements, enters into inadequate contractual agreements or fails to monitor
+and observe case law to a sufficient degree. Legal risk also includes losses due to fraud and labour law
+issues. This could entail, for example, losses resulting from insufficient anti-money laundering controls
+or breaches of competition law or of banking secrecy. Such operational risks can also arise if government
+sanctions are not observed, e.g. in case of conflicting laws of different jurisdictions, or in the event of
+breaches of other governmental or overarching regulations. The claims asserted against Deutsche Börse
+Group in the legal disputes presented below were not translated into the actual reporting currency Euro.
+<3
+Legal disputes and business practice
+Further information
+Remuneration Report
+Financial statements and notes
+Legal disputes and business
+practice
+Management report | Risk management
+33
+83
+Natural disasters, accidents, terrorism or sabotage are other operational risks that could, for example,
+cause the destruction of or severe damage to a data centre. Business Continuity Management aims at
+averting significant financial damage (see the chart “Business Continuity Management”).
+Damage to physical assets
+Other sources of errors may lie with suppliers or defective products. Then there are errors that may result
+in the loss of client assets and invoicing errors. We register all complaints and formal objections as a key
+indicator of deficient processing risk.
+Risks can also arise if a service provided to a customer is inadequate and this leads to complaints or
+legal disputes. One example would be errors in the settlement of securities transactions due to defective
+products and processes or mistakes in manual entries. A second example is handling errors in the
+collateral liquidation process in the event of the default of a large clearing customer. Such errors have
+not occurred to date in the rare case of a failure. The related processes are tested at least annually.
+Service deficiency
+Since availability risk is the biggest operational risk for the Group it is the subject of regular testing. This
+simulates the impact of a failure of our own systems or those of suppliers.
+Deutsche Börse Group | Annual report 2021
+Executive and Supervisory Boards
+■ Terror
+■ Weather catastrophes
+■ Force majeure
+Operational risk
+The three risk types applicable to us are described in detail below, in the order of their importance.
+We use the utilisation of risk-bearing capacity from an economic perspective as an internal management
+indicator for the whole Group (see the section "Approaches and methods for risk monitoring" for an
+explanation of these terms). In addition to the financial and operational risk already mentioned, business
+risk is also identified and assessed. This relates in particular to potential threats to revenue such as price
+pressure or loss in market share as well as cost risks. The economic perspective reveals that financial
+risk (including pension risks as part of market risk) accounts for 36 per cent of all Group risks. Business
+risks do not have to be backed up anymore with equity as at the reporting date. This is due to internal
+modifications made to the model in the reporting year to determine these business risks. As a side effect
+of this model adjustment, the reported relative share of financial risks is now also increasing compared
+to the previous year. Details on this will be provided further on. The third type of risk is much more
+important for us: operational risks account for 64 per cent or nearly two thirds of the REC. The
+additional capital requirements of our subsidiaries are described in the section "Regulatory capital
+requirements and regulatory capital ratios".
+<3
+Operational risk greater than financial and business risk
+Further information
+Remuneration Report
+Financial statements and notes
+For us, operational risks comprise the unavailability of systems, service deficiency, damage to physical
+assets as well as legal disputes and business practices (see the chart below: "Operational risk at
+Deutsche Börse Group"). Human resources risks are quantified just like other operational risks.
+Operational risks are measured using scenarios. The share of operational risk of the REC was 64 per
+cent as at 31 December 2021.
+Management report | Risk management
+Deutsche Börse Group | Annual report 2021
+81
+Operational risks
+64%
+36%
+Financial
+risks
+Financial risks
+76%
+risks
+Executive and Supervisory Boards
+■,,Havlish" plaintiffs group: On 14 October 2016, plaintiffs filed a complaint in the U.S. against
+Clearstream Banking S.A. and other parties. Besides the request for turnover of certain assets that
+Clearstream Banking S.A. holds as a custodian in Luxembourg, the complaint also asserted direct
+damage claims against Clearstream Banking S.A. and other defendants in the amount of up to approx.
+USD 6.6 billion (plus punitive damages and interest). On 12 October 2020, an amended complaint
+was filed in this case, which added further plaintiffs and which in turn asserted additional damages of
+approx. USD 3.3 billion (plus punitive damages and interest) against Clearstream Banking S.A. and the
+other defendants.
+Operational risk at Deutsche Börse Group
+Events
+↑
+■ Damages to or destruction
+of data centres
+■ Damages to or destruction
+of buildings
+Damage to physical assets
+■Flawed data supply
+■Flawed internal processes
+■ Human errors
+↑
+Operational risk
+■ Deficiency of trading-
+related services
+■Loss of customer cash
+■Inadequate information
+security
+■IT hardware flaws
+■ Software flaws
+Possible root causes
+■ Settlement
+■ Clearing
+■ Trading
+Unavailability of systems
+Service deficiency
+Systems