A Nomura logo is pictured at their office in the Manhattan borough of New York City, New York, the US. Picture: REUTERS/CARLO ALLEGRI
The target of cutting $1bn in costs will be achieved over the"medium term", with 60% completed by the end of the financial year to March 2020, Nomura's joint COO Kentaro Okuda said in an investor day presentation. Nomura's wholesale business has been squeezed by lower trading revenue in fixed income and what the bank described on Thursday as rigid indirect costs, adding that revenue for the business fell 24% to $4.9bn in the past financial year.
Nomura will look to maintain all of its existing relationships regardless of the job losses, he added. The bank is a primary dealer for a number of European government bond issuers. The plans include pursuing"strategic growth opportunities" in China, where the bank last week received regulatory approval to set up a majority-owned brokerage joint venture.