DGAP-News: DWS Group GmbH & Co. KGaA / Key word(s): Quarter Results/Half Year Results 
Q2 2021: DWS with Sustained Business Momentum and Record High Net Flows 
2021-07-28 / 07:00 
The issuer is solely responsible for the content of this announcement. 
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  . Net flows of EUR 19.7bn in Q2 resulting in EUR 20.7bn in the first half of 2021 (ex Cash EUR 14.2bn in Q2 2021, EUR 
    9.7bn in Q1 2021) 
  . Adjusted costs decreased by 2% to EUR 379m in Q2 (Q1 2021: EUR 385m); EUR 764m in H1 2021, up 8% y-o-y mainly due 
    to higher deferred compensation relating to DWS' share price development since Q2 2020 
  . Adjusted Cost-Income Ratio (CIR) at strong level of 60.6% in Q2 (Q1 2021: 60.7) and 60.6% in H1 2021 (H1 2020: 
    65.8%) 
  . Adjusted profit before tax practically stable at EUR 247m in Q2 (Q1 2021: EUR 249m); EUR 496m in H1 2021, up 35% 
    y-o-y 
  . Total revenues at virtually unchanged level of EUR 625m in Q2 (Q1 2021: EUR 634m), in H1 2021 EUR 1,259m, up 17% 
    y-o-y 
  . AuM further up by EUR 39bn to EUR 859bn in Q2 (Q1 2021: EUR 820bn) 
Business Development 
DWS sustained its strong business momentum in the second quarter of 2021 a year after refining its organizational 
structure and consolidating its Executive Board into globally aligned and integrated business and infrastructure 
divisions. With Active, Passive and Alternative Investments contributing significantly and all regions - Americas, EMEA 
and APAC - with positive net new assets, we attracted record high net inflows of EUR 19.7 billion in the quarter and 
EUR 20.7 billion in the first half of the year. The first six months of the year have also been marked by affirmative 
execution of the growth plan for Phase 2 of our corporate journey, with targeted growth coming from ESG products and 
solutions, which contributed almost two-fifths of net new assets in the first half of the year, from Passive (EUR 
15.3 billion) and from high-margin strategies (EUR 5.8 billion). Adjusted profit before tax surged in the first half 
year by 35 percent year-on-year and in the second quarter reached basically the same high level as the prior quarter. 
Assets under Management also increased by EUR 39 billion to a new record of EUR 859 billion. Revenues were up in the 
first six months of 2021 by 17 percent year-on-year and at a virtually unchanged level in the second quarter compared 
to the first. Our adjusted cost base declined by 2 percent quarter-on-quarter in the second quarter of 2021, and our 
adjusted Cost-Income Ratio of 60.6 percent remains at a very low level outperforming our expectation due to strong 
markets. 
Total revenues decreased quarter-on-quarter slightly by 1 percent to EUR 625 million in Q2 2021 (Q1 2021: EUR 634 
million; Q2 2020: EUR 551 million), mainly driven by an unfavourable change in the fair value of guarantees and lower 
performance fees while management fees rose by 7 percent, primarily as a result of higher average Assets under 
Management during the quarter. In the first half of 2021, total revenues increased year-on-year by 17 percent to EUR 
1,259 million (H1 2020: EUR 1,074 million). This was mainly driven by higher average Assets under Management during the 
first six months of the year, positive developments of market values, a higher contribution from our stake in Harvest 
and increased performance fees. 
Adjusted profit before tax decreased quarter-on-quarter slightly by 1 percent to EUR 247 million in the second quarter 
(Q1 2021: EUR 249 million; Q2 2020: EUR 189 million). After tax, DWS posted a 2 percent higher net income of EUR 
172 million for the second quarter 2021 (Q1 2021: EUR 169 million; Q2 2020: EUR 122 million). Adjusted profit before 
tax for the first half of 2021 improved strongly by 35 percent year-on-year to EUR 496 million (H1 2020: EUR 368 
million). Net income surged in the first half year of 2021 year-on-year by 40 percent to EUR 340 million (H1 2020: EUR 
243 million). 
Assets under Management (AuM) further rose by EUR 39 billion to EUR 859 billion in the second quarter of 2021 (Q1 2021: 
EUR 820 billion; Q2 2020: EUR 745 billion). This was mainly driven by strong net inflows and positive market 
developments, while exchange rate movements had a negative impact on the AuM. 
We recorded positive net flows of EUR 19.7 billion in the second quarter of 2021, achieving total net inflows of EUR 
20.7 billion in the first six months of 2021. This corresponds to a net flow rate of 5.3 percent compared with 1.6 
percent over the same period in 2020. In the second quarter, Passive remained a key driver of quarterly inflows (EUR 
7.9 billion), further supported by Active (ex Cash) (EUR 4.5 billion), Alternatives (EUR 1.8 billion) and Cash products 
(EUR 5.4 billion). Excluding Cash, net inflows improved from an already high level to EUR 14.2 billion 
quarter-on-quarter. ESG dedicated funds attracted net flows of EUR 4 billion in Q2. 
Active Asset Management ex Cash again increased its net flows substantially to EUR 4.5 billion in the second quarter 
(Q1 2021: EUR 1.2 billion). All sub-asset classes except Active Equity (minus EUR 0.3 billion), which, however, 
experienced high demand for ESG products, contributed to this increase. Multi Asset attracted net inflows of EUR 2.0 
billion with strong demand from institutional investors and inflows into flagship fund DWS Concept Kaldemorgen. In 
addition, Active Fixed Income was able to generate net new assets of EUR 1.7 billion driven by great demand from 
institutional investors. Moreover, Active SQI recorded net inflows of EUR 1.1 billion. Cash products saw net inflows of 
EUR 5.4 billion. 
Passive Asset Management was able to increase net new assets from the already high level reached in Q1 to EUR 7.9 
billion in the second quarter (Q1 2021: EUR 7.4 billion). The very strong flow momentum was driven by net flows into 
ETPs (exchange-traded funds and commodities) and was supported by positive net inflows from institutional mandates. We 
are gaining market share in Europe in the second quarter as well as in the first half of the year as we are growing 
faster than the ETP market overall. For the first half of the year, we ranked second in European ETP net flows with a 
flow market share of 13 percent (source: ETFGI). 
Alternatives generated higher net flows of EUR 1.8 billion in the second quarter (Q1 2021: EUR 1.0 billion) driven by 
Liquid Alternatives with net new assets of EUR 1.2 billion. Illiquid Alternatives added another EUR 0.6 billion with 
inflows mainly into Infrastructure funds supported by demand for Real Estate funds. 
Adjusted costs, which also exclude transformation charges of EUR 7 million, decreased quarter-on-quarter by 2 percent 
to EUR 379 million in Q2 2021 (Q1 2021:  EUR 385 million; Q2 2020: EUR 362 million). This decline was due to 7 percent 
lower compensation and benefits costs. In the first half of the year, adjusted costs rose by 8 percent year-on-year to 
EUR 764 million (H1 2020: EUR 707 million), mainly driven by higher compensation and benefits costs primarily due to 
higher deferred compensation relating to DWS' share price increase since end of Q2 2020. 
The adjusted Cost-Income Ratio (CIR) decreased slightly by 0.1 percentage points to 60.6 percent in the second quarter 
2021 (Q1 2021: 60.7 percent; Q2 2020: 65.7 percent), remaining at a very low level. The adjusted CIR improved 
year-on-year by 5.1 percentage points to 60.6 percent in the first half of the year (H1 2020: 65.8 percent). 
Growth Initiatives and Strategic Progress 
DWS advanced forward in transformation and on its growth path in the second quarter. Intensifying our collaboration 
with strategic partners, we launched an innovative fund for pension funds in cooperation with Tikehau Capital. This 
offers defined contribution pension plans diversified, stable and long-term returns from collateralized investments 
such as infrastructure and real estate loans or direct loans. Capitalizing on strong institutional demand for 
infrastructure assets, we achieved a final close of the total EUR 3 billion for our third Pan European Infrastructure 
Fund (PEIF III), exceeding our EUR 2.5 billion target. This is the third fund in the successful flagship PEIF series. 
In addition, we successfully launched a new ESG Infrastructure Debt Fund targeting institutional investors in response 
to growing demand for such solutions. Continually improving our business structure, we have continued our 
organizational changes across divisions and regions in order to strengthen our distribution power, efficiency and 
expertise as a firm. Besides, we wanted to act responsibly as a corporate citizen: Given the severe coronavirus 
situation in India, we have donated a further EUR 250,000 to the humanitarian aid organization Give India. They help 
people who have contracted COVID-19, for example, by providing urgently needed items such as oxygen cylinders and 
ventilators for hospitals. 
In the second quarter, we also campaigned for climate positive action and received external recognition for our efforts 
in this regard. DWS is one of 6 global firms that advise and help drive forward the global Net Zero Asset Managers 
Initiative (NZAMI), reflecting our firm's growing external reputation as a leading expert in ESG and sustainable 
investing. The objective of the Advisory Group is to serve as both champions spearheading this initiative as well as 
provide recommendations to the more than 70 participating global asset managers. As part of a project to meet NZAMI 
targets, we also sent an engagement letter to more than 220 companies across different sectors, urging them to become 
net-zero by 2050 or sooner. 
Outlook 
For the full year 2021, revenues are expected to be higher than in 2020, driven by high net inflows and the current 
market environment. We expect the adjusted Cost-Income Ratio to remain in the low 60s (percent), assuming benign 
markets. Net flows are on track to reach more than 4 percent in 2021, driven by our targeted growth areas ESG, Passive

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July 28, 2021 01:00 ET (05:00 GMT)