Nomura has named James Pearson head of Asia ex-Japan financial institutions group (FIG), a newly-created role that oversees the coverage of the Japanese bank’s financial institution clients in the region, according to an internal memo seen by FinanceAsia.
Pearson started working at Nomura on Monday. In his new role, he advises financial institutions on their investment banking needs, including capital markets and corporate advisory solutions. Pearson is based in Hong Kong and reports to Kenji Teshima, Nomura’s head of investment banking in Asia ex-Japan.
The appointment may offer a hint of a new strategic direction after the bank made extensive cuts in its Asia ex-Japan operation earlier this year.
The seasoned banker will be bringing in a wealth of experience in covering financial institutions, having worked in a similar role for more than a decade.
Pearson is joining Nomura from Standard Chartered Bank. He was most recently the UK bank’s global head of financial institutions industry coverage and global co-head of financial sponsors, based in Singapore.
Before joining Standard Chartered in 2009, Pearson spent three years at ABN Amro and another two years at Royal Bank of Scotland, holding the role of Asia-Pacific head of financial institutions at both banks. He spent three years with Morgan Stanley between 2000 and 2003 as a managing director covering Asia-Pacific mergers and acquisitions.
The appointment of Pearson came just seven months after the Japanese bank announced plans to scale back its overseas business, including Asia ex-Japan, Europe and the US. About 30 staff in Asia were dismissed as part of the reorganisation in April, including Asia ex-Japan head of investment banking Mark Williams.
While Pearson’s appointment shows Nomura is still keen to invest in the region, it suggests the bank's strategy focuses on a select group of clients rather than competing for businesses among a large group of institutions.
This strategy is in line with those adopted by most bulge-bracket banks in recent years as they face declining investment banking fees amid intense competition for businesses. Many have since turned to securing long-term relationships with clients which they believe could generate repeat business.
For Nomura, its financial strength and distribution capabilities at home mean it is best positioned to help clients invest in Japan. The Japanese bank recently advised Chinese conglomerate Citic Group on its ¥100 billion ($966 million) Samurai bond sale, the first time a Chinese issuer had tapped the Japanese market in 16 years.
Last year, Nomura also advised the Indonesian government on its ¥100 billion triple-tranche sovereign bond sale in Japan, part of the wider plan to raise capital to finance the country’s budget deficit for the 2015/2016 financial year.
