Japan's Nomura eyes $1.25b in cost cuts following trading scandal
TOKYO (AFP) - Nomura Holdings said on Monday it would cut US$1 billion (S$1.25 billion) in costs as part of a bid to repair its balance sheet as Japan's biggest brokerage recovers from an embarrassing insider trading scandal.
The firm said it planned to usher in the cuts by March 2014, chopping expenses from its wholesale division, which includes investment banking, equities and fixed-income businesses.
In July, Nomura said its fiscal first quarter profit to June shrank almost 90 per cent owing to weakness in its retail and wholesale trading business.
Like many investment banks, Nomura has struggled with yo-yoing stock and bond prices, poor merger prospects and tightening regulation in the wake of the global financial crisis.