Sumitomo Mitsui Banking Corporation

Nikko Cordial Securities Inc.

Barclays Bank PLC

 

 

Commencement of Joint Private Banking Operation in Japan

 

Tokyo, July 1, 2010---Sumitomo Mitsui Banking Corporation (President: Masayuki Oku, hereinafter referred to as “SMBC”) and Nikko Cordial Securities Inc. (President: Eiji Watanabe, hereinafter referred to as “Nikko Cordial”), a wholly-owned subsidiary of SMBC, and Barclays Bank PLC (Group Chief Executive: John Varley, hereinafter referred to as “Barclays” including group companies) have agreed to commence joint operation in private banking in Japan.

 

Prior to the agreement, SMBC, Nikko Cordial and Barclays established “SMBC Barclays Wealth Division” (hereinafter referred to as “Barclays Div.”) within Nikko Cordial. With effect under the business model, we provide investment solutions through Barclays Div. to clients introduced by SMBC, utilizing the unique strengths and the know-how of Barclays Wealth, a leading global wealth manager part of the Barclays group.

 

We will initially launch the private banking services in the urban centers of Tokyo, Yokohama and Osaka, and gradually enhance services and locations.

 

1. Investment Solution

(1)Products

We will offer clients an open architecture selection of products through Barclays Div. and utilize the global know-how of Barclays Wealth, in addition to existing products of Nikko Cordial.  As for product sourcing, we will use the expertise of Barclays Capital, the investment banking unit operated by Barclays in Japan, along with that of Nikko Cordial and Barclays Wealth, and develop product lineup.

We will tap the marketing know-how of Barclays Wealth, including product strategies that take into account the investment trend of overseas high net worth clients, and Barclays’ global research capabilities to develop product strategies.

 

 

(2)Business Tools

We will provide consistent services to clients led by Barclays Wealth’s highly innovative Investment Philosophy combining rigorous client assessment and advanced portfolio construction techniques to tailor the performance through introducing Barclays Wealth’s tools which utilizes Barclays Wealth’s expertise in the field of behavioural finance, as well as utilize Barclays’ research reports and other tools.

 

(3)Highly Specialized Human Resources

Human resources highly specialized in various areas such as sales, marketing, product development and operational support have been seconded to Barclays Div. from SMBC, Nikko Cordial and Barclays Wealth. 

These specialists will work together, making use of their expertise, and deliver high quality investment solutions to clients as a team of professionals.

 

   Through these ways, SMBC, Nikko Cordial and Barclays will provide a full set of investment solutions that meet various investment needs and preferences of our clients.

 

2. Establishment of “SMBC Barclays Wealth Service Co., Ltd.”

“SMBC Barclays Wealth Service Co., Ltd.” has been established on March 1, 2010 to support Barclays Div.’s business. It customizes Barclays Wealth’s overseas business tools and research papers to be suitable for Japanese clients. SMBC owns 50.1% and Barclays does 49.9% of its shares.

 

(as of July 1, 2010)

Name	SMBC Barclays Wealth Service Co., Ltd.
Head Office	1-3, Yurakucho 1-chome, Chiyoda-ku, Tokyo, Japan
Capital Stock	¥30 million
Shareholders	Sumitomo Mitsui Banking Corporation 50.1％ Barclays Wealth Services Co., Ltd. 49.9%
Establishment Date	March 1, 2010
President	Yasuhiro Oota
Business	Provision and translation of business tools and research information, etc.

 

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[Reference] About Barclays and Barclays Wealth

 

Barclays is a major global financial services provider engaged in retail banking, credit cards, corporate banking, investment banking, wealth management and investment management services, with an extensive international presence in Europe, the Americas, Africa and Asia. With over 300 years of history and expertise in banking, Barclays operates in over 50 countries and employs approximately 144,000 people. Barclays moves, lends, invests and protects money for over 48 million customers and clients worldwide.

 

Barclays Wealth is the wealth management division of Barclays.

Barclays Wealth is a leading global wealth manager, and the UK’s largest, with total client assets of £151.2bn, as at 31 December 2009. With offices in over 20 countries, Barclays Wealth offers international and private banking, investment management, fiduciary services and brokerage to high net worth clients around the world.

 

For further information about Barclays and Barclays Wealth, please visit websites below.

http://group.barclays.com/Home

www.barclayswealth.com