Japan’s largest bank by assets, Mitsubishi UFJ Financial Group (MUFG), is eyeing Southeast Asian fintech investments with its $185-million (20 billion yen) CVC fund, according to a Business Times report.
The Japanese bank launched MUFG Innovation Partners (MUIP) in January, and targets startups both in Japan and overseas.
According to the report, MUFG did not state how many investments MUIP plans to make in the region, but noted that it is scouting for fintech startups that are looking to enter Japan.
The report adds that MUFG is betting on growing wealth across Southeast Asia, particularly among the middle class.
This will generate fresh demand for new solutions to help customers manage and invest this wealth. MUFG added that it views this as an opportunity for innovation, and for startups to add value creatively in that space.
Apart from fintech, MUFG also listed deep-tech as another potential area of investment, depending on the level of synergies it provided. This includes areas such as artificial intelligence, the Internet of Things and quantum computing.
MUIP has so far invested an undisclosed amount in Moneytree, a Japanese personal financial management app that aggregates data from users’ bank accounts, credit accounts, digital money, loyalty points and brokerage accounts.
Moneytree operates Moneytree Link, a financial data platform which aggregates data for accounting service providers and financial institutions.
MUFG has been making some big bets beyond Asia as well.
Last month, MUFG announced it was buying the aviation finance arm of Germany’s DZ Bank, DVB. The deal stood at $6.4 billion (5.6 billion euros) under MUFG Bank and BOT Lease.