(E10802) Stock Price

Morgan Stanley MUFG Securities is the Japan-based subsidiary of Morgan Stanley Group, a global financial leader. The company's core business focuses on securities services for corporations and institutional investors. It holds membership status on the Tokyo Stock Exchange, Osaka Exchange, and Tokyo Financial Exchange, and provides a broad range of financial services including securities sales and trading, asset management, and real estate-related services.

The company's primary customers are major domestic and international corporations and institutional investors. Revenue is generated primarily through brokerage commissions on securities transactions and trading spreads with these clients. The company secures stable fee income from investment banking services, particularly underwriting of equities and bonds and M&A advisory services. It generates revenue by providing comprehensive solutions that address customers' capital raising and investment management needs.

The business is organized into three main segments: securities operations, asset management operations, and real estate-related operations, with securities operations forming the core of the business. Securities operations include equity and bond trading brokerage, initial public offering support, and corporate acquisition advisory services. Asset management operations develop and manage investment products for institutional investors. Through these businesses, the company leverages the global network and expertise of its parent company, Morgan Stanley, to maintain competitive advantages in the Japanese market.

Morgan Stanley MUFG Securities, now in its 13th year as a joint venture with Mitsubishi UFJ Financial Group, is pursuing a growth strategy to become a truly outstanding force in Japan's securities industry. The company aims to strengthen its business foundation through close collaboration with its joint venture partner Mitsubishi UFJ Morgan Stanley Securities, contributing to customers' long-term goal achievement and Japan's economic vitalization. This strategy is grounded in a sound and accountable corporate culture based on five corporate principles of the Morgan Stanley Group, with integrity and customer interest prioritization as the foundation of management.

The company pursues differentiated strategies across business divisions to enhance competitiveness. The Equities Division continuously reviews its business model to withstand fee rate declines amid the shift to electronic trading, reducing vulnerability to short-term market fluctuations. The Fixed Income Division prioritizes return on equity and pre-tax profit, implementing strict cost management and revenue opportunity maximization. The Capital Markets Division leverages its extensive equity and debt underwriting track record, maintaining competitiveness through enhanced intra-group collaboration.

Regarding technological innovation, the company views rapid advances in information processing speed, automation, and machine learning as new business opportunities. It addresses growing technology dependence in order execution and risk management by prioritizing infrastructure stability and accuracy. The Equities Division pursues long-term technology investments to deliver superior equity trading services, while the Fixed Income Division strengthens business continuity planning and automation to maintain stable market-making operations during market disruptions.

The company also prioritizes environmental, social, and governance issues as growth opportunities, monitoring how Japan's long-term carbon neutrality plans influence customer companies' actions and priorities. It recognizes population aging and rising personal assets in underserved markets as new business opportunities, aiming to build flexible business models that respond to diversifying customer needs and evolving regulatory environments.