Nomura Expands Focus on Private Market Opportunities as CEO Charts New Course

Nomura Holdings Inc., Japan’s largest investment bank, is undergoing a significant transformation under the leadership of CEO Kentaro Okuda. In recent years, Nomura has been shifting its focus from traditional trading and investment banking to private markets and wealth management. This strategic pivot aims to tap into the growing demand for alternative investments and to diversify revenue streams.

Leadership Vision: Kentaro Okuda’s Strategic Direction

Kentaro Okuda took the helm as CEO of Nomura Holdings in 2021, bringing with him a vision to reinvent Japan’s oldest brokerage firm. Under his leadership, Nomura has been emphasizing a shift towards private markets, aiming to reduce reliance on volatile trading revenues and to build a more stable and diversified business model. This strategic direction includes expanding into private credit, private equity, and wealth management services.

Expansion into Private Markets

A cornerstone of Nomura’s strategy is its expansion into private markets. In April 2025, Nomura announced the acquisition of Macquarie’s U.S. and European public asset management businesses for $1.8 billion. This acquisition includes approximately $180 billion in assets under management, significantly boosting Nomura’s presence in global markets. The deal is expected to close by the end of 2025, subject to regulatory approvals.

In addition to this acquisition, Nomura has been actively developing its private credit offerings. The firm has launched Japan’s first investment trust that invests in buyouts of unlisted companies, utilizing the J-Ships scheme for qualified investors. This initiative reflects Nomura’s commitment to providing innovative investment solutions in private markets.

Strengthening Wealth Management

Nomura’s International Wealth Management (IWM) division has been undergoing a transformation to offer a broader range of services to high-net-worth clients. The division operates primarily through Singapore as the core booking center, with Hong Kong serving as the hub for North Asia and Dubai for the expanding Middle East markets. This structure supports Nomura’s international business and enhances its ability to serve clients across different regions.

To further bolster its wealth management capabilities, Nomura has made strategic hires in its IWM division, focusing on expanding its business in Hong Kong and Singapore. These moves are part of Nomura’s broader strategy to strengthen its presence in key markets and to meet the evolving needs of its clients.

Global Strategy and Market Expansion

Nomura’s expansion into private markets is not limited to asset management and wealth management. The firm has been forming alliances with regional banks to enhance its wealth management services. For instance, in March 2025, Nomura partnered with Hyakujushi Bank, a regional bank in Kagawa prefecture, to transfer customer accounts and provide access to Nomura’s financial platform. This collaboration aims to leverage the significant savings held by Japanese households and shift them from cash to higher-return financial products.

These strategic partnerships and acquisitions reflect Nomura’s commitment to expanding its global footprint and diversifying its revenue streams. By focusing on private markets and wealth management, Nomura aims to build a more resilient business model that can withstand market fluctuations and meet the evolving needs of its clients.

Financial Performance and Outlook

Nomura’s strategic shift towards private markets and wealth management is already yielding positive results. The firm reported a significant increase in assets under management following the acquisition of Macquarie’s U.S. and European businesses. This growth positions Nomura to generate more stable revenues from its asset management and wealth management divisions, reducing its reliance on the more volatile trading and investment banking sectors.

Looking ahead, Nomura aims to continue expanding its private market offerings and to further strengthen its wealth management services. The firm is also focusing on enhancing its digital capabilities to better serve clients and to stay competitive in the evolving financial landscape.

Challenges and Considerations

While Nomura’s strategic shift presents significant opportunities, it also comes with challenges. The firm must navigate regulatory complexities in different markets and integrate the acquired businesses effectively to realize synergies. Additionally, Nomura needs to manage the cultural integration of its global teams and ensure that its expansion efforts align with its long-term strategic goals.

Moreover, the firm must remain agile in responding to market dynamics and client preferences. As investor demand for private market investments continues to grow, Nomura must continue to innovate and adapt its offerings to meet these evolving needs.

Conclusion

Nomura’s expansion into private markets and wealth management under CEO Kentaro Okuda marks a significant shift in the firm’s strategic direction. By diversifying its revenue streams and focusing on more stable business segments, Nomura aims to build a more resilient and globally competitive organization. Through strategic acquisitions, partnerships, and investments in digital capabilities, Nomura is positioning itself to meet the evolving needs of its clients and to thrive in the changing financial landscape.

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The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.”