Advanced Financial Services of Mizuho
Business Outline of Mizuho The Mizuho Financial Group precisely and swiftly provides products, services and business solutions to meet the diversified financial needs of our customers by actively pursuing group synergies.
Syndication Business Grows in Mizuho Mizuho Shinko Sophistication Securities (MHSC) Investors Securities A wholesale securities Securities Securities Business company whose customers (MHIS) are institutional investors, A comprehensive corporations, financial A securities company securities company that Depth in Providing Solutions institutions and public that focuses on serving focuses on the middle corporations. the group's customers. and retail markets.
Implementation of International Business Strategies Mizuho Corporate Bank Mizuho Defined Dai-Ichi Fuji (MHCB) Trust & Custody DLIBJ Asset Trust and Trust & Banking Contribution Kangyo Asset Investment (MHTB) Services Bank Management MHCB focuses its efforts on corporate Asset Plan Services Management Management Providing Corporate Revitalization A full-line trust bank (TCSB) (DIAM) finance, primarily serving large Management that possesses (DCPS) (DKA) (FIMCO) Cutting-Edge corporations (such as those listed on Business strengths in both the A highly specialized An entity that specializes the first sections of domestic stock corporate and trust bank focusing on in managing defined An asset An asset An asset individual markets. the custody business. contribution pension plans. management company. management company. management company. Solutions exchanges), financial institutions and Securities Business their group companies, public sector entities, and overseas corporations including subsidiaries of Japanese companies. Trust Business Mizuho Mizuho Mizuho Mizuho Mizuho Corporate Advisory Corporate Global Project Asset Revitalization An advisory company Business with state-of-the-art A financial subsidiary A financial subsidiary A financial subsidiary A financial subsidiary know-how concerning for corporate for corporate for corporate for corporate corporate revitalization. revitalization. revitalization. revitalization. revitalization. Providing Optimal Solutions
Meeting Funding and Targeting SMEs and Fuji Financial Risk Management Needs DKB Mizuho Research Middle Market UC Card Information IBJ Systems Other Research Institute A leader among Systems (KSD) Corporations Institute Corporation Support for Overseas Business Expansion Businesses credit card (DKIS) companies (FRIC) and Trading Business Mizuho Bank in Japan. A think tank. An IT-related company. An IT-related company. An IT-related company. (MHBK)
Mizuho Mizuho Evolving Membership Services and MHBK serves primarily individuals, Capital Factors Corporate Retail Services SMEs, and middle market A principal corporations, and local governments venture capital A factoring company. in Japan. company.
Aiming for No. 1 in Consulting Services
Approaches to Individual Establishing a First-Class Reputation in Banking Subsidiaries Customers the Housing Loan Market Derivatives Subsidiaries Overseas Securities Subsidiaries Subsidiaries Trust Banking Subsidiaries Promoting Services Unique to Mizuho Asset Management Subsidiaries
20 21 Advanced Financial Services of Mizuho Targeting Businesses through Customer Segmentation
Providing Cutting-Edge Solutions
Syndication Business Grows in Sophistication In recent years, Japan's syndicated loan market has expanded rapidly, and the group has established an over- whelming presence among Japanese banks in this area. MHCB is accelerating the switch away from its convention- al asset-dependent business model to the “originate to distribute” business model (i. e., a business model based on asset turnover) with loan syndication as its core.
Expansion of High Value-Added Syndicated Loans MHCB has deployed teams specializing in structured loans and corporate revitalization to further expand the mar- ket for syndicated loans and increase their diversity. These expert teams are at the center of proactive use of syndi- cation functions in new corporate financing techniques such as M&A and corporate revitalization that go beyond traditional methodologies. One example of a deal that exploited the features of syndicated loans to offer high value was a corporate revi- talization scheme that used covenants for monitoring in cooperation with participating financial institutions. As a front-runner in the syndicated loan market, MHCB will continue to respond to the needs of both corporate borrow- ers and financial institutions.
Loan Trading Launched In October 2003, MHCB established the Syndicated Finance & Loan Trading Division, which includes Japan's first department specialized in the loan trading business, and started market-making and broking of loan assets. Like syndicated loans, loan trading promotes strategic portfolio management for financial institutions and helps secure appropriate risk/return profiles. For corporate borrowers, on the other hand, it raises the possibility of greater borrowing capacity and lower funding costs. MHCB's endeavor is attracting considerable attention in the expectation that this could make a large contribu- tion to the creation of a loan trading market (secondary market), which is considered necessary for the reconstruc- tion of the financial system and the smooth flow of funds in the domestic market.
Mechanisms of the Syndicated Loan Market and the Secondary Loan Market