Deutsche Bank's CEO has made a call for greater transparency and off-balance sheet disclosure to curb the loss of investor confidence in complex finance.

Josef Ackerman told an audience at the London School of Economics that the banking industry's operations and regulatory system needed to be reviewed.

He said that banks had to make complex structured products – such as mortgage securities – more transparent so as to reduce investors' dependency on the ratings of credit agencies, the FT reported.

'Improved transparency is decisive, including disclosure of off-balance-sheet exposures, such as structured investment vehicles,' said Ackermann.

The bank is believed to be circulating Ackermann's private speech to key clients and regulators, as it marks efforts made by senior individuals behind the scenes to manage the credit squeeze and the most high-profile call for reform.

Further reading:

Deutsche Bank CEO calls for greater investment bank transparency