Japan's Nomura sees opportunities from Trump's pro-business agenda

Thu Dec 29, 2016 5:20am EST
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By Thomas Wilson and Emi Emoto

TOKYO (Reuters) - Nomura Holdings Inc (8604.T: Quote) sees opportunities in the pro-business stance of U.S. president-elect Donald Trump, though his protectionist tilt brings uncertainty to the global economy, said the chief of Japan's biggest brokerage and investment bank.

Japanese shares have gained since the New York billionaire's Nov. 8 election, spurred by Wall Street where investors are betting Trump's support of deregulation and infrastructure spending could boost the U.S. economy.

"The market expects business and economy-friendly policies," CEO Koji Nagai told Reuters. "Clients will have to rebalance portfolios, in both Japan and America. That's a chance for us."

Investors shifting funds to riskier assets such as shares would be a boon for Nomura's equity trading arm, while increased business activity will benefit its advisory and equity and bond underwriting divisions, Nagai said.

Nomura earned over half of April-September overseas pretax profit in the Americas, where it is shifting focus to client-oriented services from market-based trading.


But Trump has spoken of measures to protect U.S. businesses at the expense of foreign interests, including pulling the U.S. out of the North American Free Trade Agreement and Trans-Pacific Partnership trade pact, and imposing tariffs on some imports.   Continued...

FILE PHOTO: Nomura Holdings' Chief Executive Officer Koji Nagai poses for pictures after an interview with Reuters in Tokyo, Japan, February 9, 2016.REUTERS/Yuya Shino/File Photo