Japan’s Mizuho forges alliance with Malaysia’s Maybank Kim Eng on Asia equities

Maybank Kim Eng logo

Mizuho Financial Group Inc. formed an alliance with Malayan Banking Bhd. on stock research and trading in Southeast Asia, as the Japanese lender complements an equities hiring push with partnerships.

Maybank Kim Eng, the investment-banking arm of Malaysia’s largest bank, will provide Japanese institutional clients of Mizuho Securities Co. with research on companies in Southeast Asia as well as trading execution services, the companies said in a statement Tuesday.

Mizuho is expanding its equities business abroad after recruiting dozens of analysts, salesmen and traders to handle mainly Japanese stocks. It formed a tie-up with U.K. firm Redburn Europe Ltd. earlier this year to offer equity services to Japanese institutional investors that are seeking higher returns as negative interest rates curtail opportunities at home.

The alliance with Kuala Lumpur-based Maybank will also give Mizuho’s clients access to senior managers of companies in Southeast Asia. It’s the first time the Tokyo-based bank will offer research and corporate access in the region.

Earn Commissions

Like Redburn, Maybank will earn commissions by trading stocks for Mizuho’s clients, and the Japanese bank will get fees for acting as an intermediary on the transactions, according to people with knowledge of the matter. Mizuho Chief Executive Officer Yasuhiro Sato is seeking to boost revenue from sales and trading by 25 per cent in three years from about $3 billion in the year ended March 2016, an investor presentation showed in June.

Profit of Mizuho Securities fell 42 per cent to 9.5 billion yen ($95 million) in the three months ended June 30 from a year earlier. Revenue climbed 2.8 per cent to 124.3 billion yen ($1.2 billion).

The Japanese firm has hired three analysts in Asia excluding Japan since May, according to an internal memo. Jaj Singh, who was most recently with Nomura Holdings Inc., joined in July as executive director and head of financials research for the region. Dale Gai and Kevin Wang started in May to cover the technology industry.

Mizuho also hired Hiroshi Udagawa last month as deputy head of its equity division in Tokyo. Udagawa worked for UBS Group AG for 17 years.

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.