Nomura aims to nearly double profit over 7 years with focus on wealth management



TOKYO, May 14 (Reuters) – Nomura Holdings, Japan’s biggest brokerage and investment bank, said on Tuesday it aims to nearly double its pre-tax profit over seven years as it pushes deeper into wealth management.

Like many other financial firms, Nomura has been trying to bolster wealth management, which accounted for roughly half of its pretax income in the past financial year. The business is seen as more stable than trading which is closely tied to the ups and downs of markets.

It told an investor relations event that is targeting pre-tax profit of more than 500 billion yen ($3.2 billion) by the 2030/31 financial year, around 1.8 times what it had in the year ended in March.

In Japan, Nomura is the dominant wealth manager with a strong client base among high-net wealth individuals and is targeting further expansion among business owners, startup managers, and doctors.

But it has had less success abroad, remaining outside the top 25 in the latest ranking of Asia wealth businesses by Asia Private Banker.

Nomura has built out a dedicated team to tap into Asian markets, hiring more than 70 private bankers in the three years to October 2023. It has also said it wants to become one of the top 15 wealth managers in Asia over the long term and sees India and the Middle East as promising markets for growth.

For its more capital-intensive wholesale business, which includes investment banking and trading, Nomura is hoping to generate organic growth rather than bring in capital from other parts of the group, Group CEO Kentaro Okuda said.

This is intended to incentivise the wholesale unit to pursue higher return on equity (ROE) business lines, Nomura’s head of wholesale, Christopher Willcox, added.

Across the group, Nomura had ROE of 5.1% in the last business year. But Okuda said management was confident its ROE target of 8%-10% was within reach next year.




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Edmund Shing, PhD

Global Chief Investment Officer
BNP Paribas Wealth Management

Edmund has over 29 years of experience in financial markets in a wide variety of positions, ranging from proprietary trading to portfolio manager in a number of financial institutions in London and Paris.  He previously held the role of Global Head of Equity and Derivative Strategy at BNP Paribas in London from 2015 to 2020, and has been Chief Investment Officer at BNP Paribas Wealth Management since November 2020.

Edmund is responsible for piloting our investment strategy and will continues to rollout out recommendations and themes with actionable advice that brings our expertise to our clients and support to our client-facing teams.  In this time of change, his expertise in following and anticipating markets is a true value added for both our customers and those at Wealth Management who serve them.

Edmund has a PhD in Cognitive and Computing Science from the University of Birmingham in the United Kingdom, and has done advanced studies in Knowledge-Based Systems and in Experimental Psychology.  He is an EFFAS-certified financial analyst. He has also authored the book “The Idle Investor” published by Harriman House in 2015, proposing 3 simple investment strategies that take only a few minutes to execute per month.

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