GERMANY - Deutsche Bank has appointed Klaus Kaldemorgen to succeed Axel Benkner as head of its retail fund arm DWS and as such, the de-facto number-two in the bank's global asset management business.

Kaldemorgen's appointment is effective from December 1.

Deutsche said they beyond heading DWS, Kaldemorgen would continue as global head of equities both for DWS and Deutsche Asset Management, Deutsche's institutional fund arm. He also manages two funds, namely DWS Vermögensbildungsfonds I and DWS Akkumula.

Kaldemorgen began his career at DWS in Frankfurt in 1982. In early 2003, he was appointed to DWS' board as head of equities. As DWS' chief executive, he will report Kevin Parker, board member at Deutsche who heads its global asset management business.

"Klaus Kaldemorgen has played a key role at DWS since 1982 and has an outstanding reputation as an investor. For the future, I can't think of anyone better to steer DWS in Germany," commented Parker.

Kaldemorgen 's appointment comes just a week after Benkner, during a meeting of DWS' supervisory board, asked to be relieved of his duties as CEO. Benkner will, however, remain part of DWS' management.

Prior to the meeting, German press reports had speculated that Benkner was resigning as DWS CEO owing to differences over future strategy between himself and Parker. According to the reports, Benkner insisted on more independence from Deutsche than Parker was willing to allow.

However, DWS in Frankfurt said Benkner was stepping down to "have more time for his private life, whether family and hobbies".

DWS is Germany's biggest asset manager, running €119.4bn in assets. Globally, DWS has €233bn under management. DeAM, meanwhile, has €518bn in assets under management worldwide.