Nomura launches majority-controlled brokerage in China
TOKYO, NNA - Nomura Holdings Inc. has launched operation of its majority-controlled securities joint venture in China as a financial service hub aiming to play a key role in its strategy in Asia.
Nomura is the first Japanese brokerage to start operating a majority-owned company in the country after Beijing raised the limits of foreign ownership in securities joint ventures to 51 percent last year, a company official told NNA last week.
Nomura Orient International Securities Co., set up in August in Shanghai, has received a securities business license from the Chinese authority to operate brokerage, investment consulting, proprietary trading and asset management businesses, according to a company statement released Friday.
With a capital of 2 billion yuan ($284 million), the venture is owned 51 percent by Nomura and the remainder by two state-owned Chinese firms -- 24.9 percent by Orient International (Holding) Co. and 24.1 percent by Shanghai Huangpu Investment Holding (Group) Co., the statement said.
Orient International conducts import and export business, whereas Shanghai Huangpu Investment invests in emerging industries.
Starting Nov. 18, Nomura Orient International is initially focusing on the wealth management business for wealthy people, according to the holding company.
JPMorgan Chase & Co. and UBS Group AG have also won approval for the establishment of majority-owned securities joint ventures in the country. (NNA/Kyodo)