Latest news with #SumitomoMitsui
CNA
5 days ago
- Business
- CNA
CNA938 Rewind - Preparing for an uncertain future: Government sets up 5 committees to protect businesses and workers
Singapore is reviewing its economic strategy, amid global trade disruptions driven by U.S tariffs. Five committees have been set up to focus on areas like attracting global investments, preparing for emerging tech and protecting workers. The goal is to develop strategic recommendations, which will be published by the middle of next year. Lance Alexander speaks with Jeff Ng, Head of Asia Macro Strategy, Sumitomo Mitsui Banking Corporation.
Yahoo
31-07-2025
- Business
- Yahoo
SMBC, Fin Capital to invest $300M in US fintechs
This story was originally published on Banking Dive. To receive daily news and insights, subscribe to our free daily Banking Dive newsletter. Japanese banking giant Sumitomo Mitsui Banking Corporation and San Francisco-based asset manager Fin Capital will invest $300 million in U.S.-based fintech startups, the bank said Monday. The initiative, dubbed the SMBC Fin Atlas Beyond Fund, will focus on early-stage start-ups in the banking, payments, wealth management, and artificial intelligence realms. Atlas Beyond will also focus on the CFO technology stack, insurtech, risktech and vertical fintech realms. 'We are committed to investing in innovations tailored to the financial industry, aiming to elevate our banking group's business and foster new ventures within the sector,' according to the fund's website. 'As a bank-backed CVC supporting diverse industries beyond finance, we aspire to drive innovation across various sectors by leveraging cutting-edge technology and data,' the website said. 'We also seek to invest in companies offering specialized solutions in high-demand verticals, where banking expertise is essential.' Atlas Beyond will be run by Eiko Ooka, who is also general manager of SMBC's digital strategy department. Managing Director and Head of SMBC's Asia Innovation Centre Mayoran Rajendra, Fin Capital Managing Partner Logan Allin and Fin Capital General Partner Christian Ostberg join Ooka on Atlas Beyond's investment committee. 'Finally made it! Since moving to New York in 2013, I've been working on VC investments and creating collaboration opportunities between startups and Japanese companies within the U.S. ecosystem, with the vision of establishing a CVC for the SMBC group. We will now further intensify our innovation activities in the U.S.,' Ooka said in a LinkedIn post Monday. It's the first time the bank has focused its venture activities on U.S. startups, SMBC Group wrote on LinkedIn. Atlas Beyond will work closely with SMBC Americas and other SMBC Group subsidiaries to build relationships with startups, entrepreneurs, investors, and universities across the U.S., according to SMBC's press release. SMBC launched a similar fund in 2023 to support Asia-based fintech startups, dubbed the Asia Rising fund, alongside Tokyo, Japan-based venture firm Incubate Fund. Asia Rising has since invested in six firms, including Vayana, a Pune, India-based trade credit infrastructure platform which processes over $1 billion in financing monthly; and Jakarta, Indonesia-based invoicing and payment platform The bank did not provide a comment beyond the press release. Recommended Reading Cash management firm Dragonfly dives into 'composable' banking Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Mint
31-07-2025
- Business
- Mint
Mizuho Raises Profit Forecast as Japan Banks Beat Estimates
Mizuho Financial Group Inc. raised its annual profit forecast and Sumitomo Mitsui Financial Group Inc.'s earnings exceeded expectations, as Japanese banks see tailwinds from rising interest rates and a clearer economic outlook. Tokyo-based Mizuho now expects net income to reach a record ¥1.02 trillion in the year ending March 31, up from ¥940 billion projected earlier, it said Thursday. Sumitomo Mitsui's first-quarter profit reached about 29% of its full-year goal, which it left unchanged at ¥1.3 trillion. Japan's three biggest banks in May predicted another year of record profits, even as the nation's export-driven economy was at risk from US tariff threats. Last week's clinching of a trade deal has been generally taken as a positive in the country as the lenders benefit from higher rates and a resurgent stock market. It's relatively rare for a Japanese bank to raise its profit target so early in the fiscal year. Mizuho said it did so due to 'solid' first-quarter results and 'expectations for future business upsides.' It now expects smaller bad-loan costs and bigger gains from the sale of stakes in client companies. Mizuho's net income rose 0.4% from a year earlier in the three months ended June 30 to ¥290.5 billion. Sumitomo Mitsui's profit increased 1.5% to ¥376.9 billion. Both exceeded analysts' estimates. Underlying businesses showed growth in the quarter, with both banks posting an increase in net interest income, or profits from lending. Japanese banks' core lending operations have benefited from higher rates following the Bank of Japan's exit from its massive monetary easing policy in March last year. The BOJ stood pat earlier Thursday, while raising its inflation outlook in a sign it may be closer to its next rate hike even as it assesses the impact of President Donald Trump's tariffs. Shares of banks rose sharply in a broader stock rally earlier this month after the US announced its tariff deal with Japan. Mizuho has gained about 16% this year, while Sumitomo Mitsui is up 2.4%. Japan's largest lender Mitsubishi UFJ Financial Group Inc. is scheduled to announce results on Monday.
Japan Times
15-07-2025
- Automotive
- Japan Times
Tokyo stocks hit by a perfect storm of tariffs, politics and budget worries
Japanese stocks have been stuck trading below their peak for more than a year, hit by the trade war, then by political instability and increasingly by fiscal concerns. The Nikkei 225 index is down 3.87% on year, and off by more than 6% from its record of 42,426.77 reached on July 11, 2024. This comes as indexes globally are rallying, with the Standard and Poor's 500 and the Nasdaq Composite indexes in the U.S., Germany's DAX and South Korea's Kospi all at or near records. Bonds in Japan are also faring poorly, hit by a rout in late March and early April as the reality of U.S. President Donald Trump's tariffs started to hit home. They retreated again this week ahead of Upper House elections scheduled for July 20. "It seems there's still significant uncertainty surrounding the tariffs,' said Masahiro Ichikawa, chief market strategist at Sumitomo Mitsui DS Asset Management. Earnings season in particular is weighing on sentiment, as the effects of the trade war might start to show up in results. Sales might drop for some companies due to higher U.S. duties, while profits might fall at companies that chose to cut prices to maintain sales. Most Japanese goods bound for the United States are subject to 10% tariffs, while cars are charged 25% and steel and aluminum 50%. Japan and the United States have made no significant progress in tariff negotiations despite months of dialogue. Talks have been on the verge of breaking down at some points, adding to the confusion. 'The tariffs on automobiles, a core industry to the Japanese economy, have led to the underperformance of the auto sector," Ichikawa added. Toyota shares are down 22.55% over the past year, while Honda is off 10.50%. Eiji Sato, portfolio manager at Nakano Asset Management, said that investors want to confirm that companies are still growing and increasing profits before jumping heavily into stocks again. 'With the earnings season approaching, it seems a wait-and-see stance is spreading,' he said. Politics are weighing especially heavily on the markets. Some polls indicate that the Liberal Democratic Party-Komeito coalition could lose its majority in the upper chamber of parliament this weekend. The coalition failed to win a majority in the Lower House election last October. If they become a minority government, instability could follow. A scramble to pull together a workable coalition might result in a period of policy uncertainty, while negotiations with the United States over tariffs could stall completely if there's a leadership vacuum. Prime Minister Shigeru Ishiba might step down. If opposition parties gain more power after the election, the government will be under intense pressure to introduce a number of expensive policies. These include cutting the consumption tax — currently set at 10% for most products and 8% for food items — to help households make ends meet. The possibility of measures like this have increased concerns about Japan's fiscal health. 'If the scenario were to take a turn to the downside, I believe Japanese stocks would likely be forced into a correction phase after the election,' Sato said. The bond market has been rattled ahead of a possible shift to looser fiscal policy. The 30-year Japanese government bond yield surged to a record 3.2% on Tuesday, while the 20-year yield jumped to 2.65%, its highest level since November 1999. The benchmark 10-year yield climbed to a 17-year high of 1.595%. Bond prices move inversely to yields. Analysts said that stocks aren't likely to start rising again until the fall. Since tariffs will eventually drag down the U.S. economy, economic indicators will likely show signs of a slowdown after the summer, Ichikawa said. If that happens, calls for rate cuts by the U.S. Federal Reserve are expected to grow, and rate-cut expectations will strengthen the view that the economy will recover next year, which could help stock performance, he said. Sato also pointed out that once uncertainties over the Japanese political situation and the U.S. tariffs clear after the summer, Japanese stocks could enter another upward phase. He added that a number of Japanese companies are tackling corporate reforms to improve stock value. 'We interview a lot of companies every quarter and are really seeing changes within their businesses. Thus, we have high expectations for them,' he said.
Bloomberg
15-07-2025
- Business
- Bloomberg
SMFG Said to Eye $1.1 Billion Additional Investment in Yes Bank
Sumitomo Mitsui Financial Group Inc. is considering making an additional $1.1 billion investment in Indian lender Yes Bank Ltd., people familiar with the matter said, following a previous investment made by Japan's second-biggest bank two months ago. SMFG is seeking to acquire about 5% of Yes Bank shares from US investment fund Carlyle Group Inc. and other minority shareholders, the people said, asking not to be identified because the deliberations are private. SMFG may also buy about $680 million in convertible bonds issued by Yes Bank to help boost growth, the people said.
