Japanese brokerage Nomura is reportedly set to accelerate hiring in its wealth, fixed income businesses in Asia.
This year, Nomura has already increased its private banking headcount by hiring about 20 to 25 bankers from rivals Deutsche Bank and BNP Paribas.
It intends to continue hiring similar number of employees for the two to three years, Bloomberg reported citing Nomura head of global markets for Asia excluding Japan Rig Karkhanis.
The company is also planning to hire up to 40 people for fixed income in the next 18 months, Karkhanis told the publication.
These recruitments will be sales staff and traders for private debt, delta one products and macro business, which is reportedly the largest contributor to its revenue in the region.
The brokerage is looking to make wealth management hires for Greater China and Southeast Asia markets, where nearly half of this year’s additions are based.
Nomura’s hiring spree in Asia, led by its CEO Kentaro Okuda, follows a cost cutting drive by his predecessor that slashed hundreds of jobs globally in a bid to improve profitability in international markets.
The move is said to reflect the evolving importance of Asian region which has been witnessing a spike in the number of super rich.
Karkhanis was quoted by Bloomberg as saying: “We see the Asia region as becoming more and more important for the global economy.
“Pretty much all of the West is now operating at zero interest rates, and likely to remain at zero interest rates for a long time. The only high-quality yield, so safe yield as it were, is really in the Asian economies.”
In June this year, it was reported that Okuda is weighing the possibility of reducing office space at its headquarters in Tokyo as more employees embrace remote working in the wake of the Covid-19 crisis.
Growing prominence of Asia in the wealth space
Asia is evolving to be a global hub for wealth activities. The region is currently a major attraction to wealth and investment firms across the world.
Recently, there were reports that Swiss private banking group Julius Baer is looking to launch a majority-owned joint venture (JV) business in China, to fuel growth in Asia.
Vontobel Asset Management and US-based investment banking and wealth management firm William Blair recently bolstered its Asia presence with each setting up an office in Singapore.
In September, Indosuez Wealth Management expanded its Asia team with the appointments of Davis Hall, Madeline Cheng, and Jackson Ho.
State Street, BNY Mellon, HSBC are among the other major names which have been looking to capitalise on Asia’s fast-growing wealth sector.