Nomura's Century of Financial Growth | Generated by AI
Nomura Holdings is Japan’s largest investment bank and brokerage group with a rich history spanning nearly a century. Here’s a comprehensive overview of its development:
Origins and Early Years (1925-1945)
Nomura’s history began on December 25, 1925, when Nomura Securities Co., Ltd. (NSC) was established in Osaka as a spin-off from the Securities Department of Osaka Nomura Bank Co., Ltd. (now Resona Bank). It is the oldest brokerage firm in Japan and was named after its founder Tokushichi Nomura II, a wealthy Japanese entrepreneur.
The company built on earlier foundations - in 1906, Nomura Shoten established the first research department at a Japanese financial company and began publishing a daily financial newsletter, the Osaka Nomura Business News. Initially, NSC focused primarily on the bond market.
Nomura was remarkably forward-thinking in its international ambitions, becoming the first Japanese securities company to develop business internationally with the opening of a representative office in New York in 1927, which actively traded non-yen-denominated debt securities. The company expanded its domestic operations by beginning to trade in equity securities in 1938 and organizing the first investment trust in Japan in 1941.
Post-War Reconstruction and Growth (1945-1960s)
Following World War II, Nomura played a crucial role in rebuilding Japan’s financial markets. The company resumed investment trust business in the 1950s and has played a leading role in most major developments in the Japanese securities market since the end of World War II.
International Expansion Era (1960s-1980s)
The 1960s through 1980s marked a period of significant international expansion for Nomura. By the period of 1965-1974, there were 27 overseas locations, and overseas joint ventures grew from 5 in the 1950s/1960s to 12 in the 1960s/1970s. The business diversified into various sectors including textiles, chemicals, seafood, and metals, spreading across eight countries including Africa and Australia.
A major milestone came in March 1986, when Nomura International Limited became the first foreign investment bank to become a member of the London Stock Exchange and began sales of U.K. equities. In the fall of 1987, Nomura entered the gilt-edged (U.K. government bonds) market.
Modern Corporate Structure (2000s-Present)
In 2001, Nomura adopted a holding company structure, with Nomura Asset Management Co., Ltd. becoming a wholly owned subsidiary of Nomura Holdings, Inc. in October 2001. The company also launched Exchange Traded Funds (ETFs) linked to major Japanese indices.
Current Operations
Today, Nomura is a financial services group and global investment bank based in Tokyo, Japan, with regional headquarters in Hong Kong, London, and New York, employing about 26,000 staff worldwide. It operates through five business divisions: retail (in Japan), global markets, investment banking, merchant banking, and asset management.
By connecting markets East and West, Nomura services the needs of individuals, institutions, corporates and governments through its three business divisions: Wealth Management, Investment Management, and Wholesale (Global Markets and Investment Banking).
The company has grown from a regional Japanese brokerage firm to become one of the world’s major investment banks, maintaining its position as Japan’s largest securities company while building a significant global presence across Asia, Europe, and the Americas. Throughout its history, Nomura has consistently been at the forefront of financial innovation in Japan, from establishing the first research department to pioneering international expansion and modern investment products.