INTERVIEW: TSE Pres. Watching Out for Ramifications of Archegos

Economy

Tokyo, April 9 (Jiji Press)--Tokyo Stock Exchange Inc.'s new president, Hiromi Yamaji, has expressed his intention to keep an eye on the possible ramifications of massive losses that financial institutions may have sustained in their trades with U.S. investment company Archegos Capital Management.

"No series of related events is likely under current circumstances but a huge amount of funds was involved," Yamaji, who assumed the post on April 1, said in a recent interview with Jiji Press and other media organizations. "It would not be surprising if something comes out of that."

Yamaji's referred to possible losses faced by Nomura Holdings Inc. <8604>, Mitsubishi UFJ Securities Holdings Co. and Mizuho Financial Group Inc. <8411> as well as foreign financial giants, in deals believed to be linked with the U.S. investment company.

Yamaji, who hailed from Nomura and is well versed in overseas operations, noted that Archegos, an investment company managing the private assets of a wealthy individual, has not been subject to information disclosure and other regulations.

The incident shows that with no one knowing the whole picture of the trades, a small deal at one financial institution can cause a big impact, Yamaji said.

[Copyright The Jiji Press, Ltd.]

Jiji Press