Deutsche Bank is expected to start this year's European investment bank reporting season with a decision to disband DB Advisors, its internal hedge fund.

Prime brokers said the bank is about to lose a 15-strong team of proprietary traders running an equity market neutral fund, who are leaving to set up their own hedge fund firm. Sources close to the team said it expects to raise $500m (€380m) from clients of Deutsche Asset Management, but will not be investing capital for Deutsche Bank. The team was one of six at DB Advisors, of which four have left.