MUFG aims to double asset management exposure to JPY200t by 2029

The bank has outlined growth plans to grow its AM business.

Japan’s megabank MUFG has outlined growth plans for its asset management (AM) business, including doubling its assets under management to JPY200t by 2029.

In a statement posted on its website, MUFG said that it aims to become Japan’s number one AM firm with a global presence and has set AM as a core business for the bank.

“Our target is to double assets under management from the current 100 trillion yen to 200 trillion yen by the end of fiscal year 2029,” the bank said in a press release.

MUFG also aims to double the business volume of its BPO contracting balance from JPY40t to JPY100t by 31 March 2023. 

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The move comes after the Japanese government laid out its vision to promote Japan as a leading asset management center. 

“As a global comprehensive financial services group, we will empower people to build more prosperous lives by promoting investment and supporting asset formation through further enhancing our industry-leading asset management and investor services and providing customer-centered professional investment advisory services and diverse solutions, as well as financial and economic education,” MUFG said.

Amongst initiatives outlined for growth include improvement the quality of investment advice by utilising technologies and taking a goals-based approach; improving the UI/UX of its core banking app; expand content and information offered.

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MUFG also plans to expand promotions of the Nippon Individual Savings Account (NISA) program through ads, tie-up articles, seminars, and promotional campaigns. 

NISA, first launched in 2014, allows individuals to invest in the stock market whilst enjoying an exception from the 20% capital gains tax.

MUFG will also provide online securities functions through the Kabucom Securities Co. Ltd. platform.