Nikko Cordial Corporation was the

holding company A holding company is a company whose primary business is holding a controlling interest in the securities of other companies. A holding company usually does not produce goods or services itself. Its purpose is to own shares of other companies ...

for Nikko Cordial Securities, Japan's third largest brokerage until 2008, when Nikko Cordial Corporation became a wholly owned subsidiary of

Citigroup Citigroup Inc. or Citi (Style (visual arts), stylized as citi) is an American multinational investment banking, investment bank and financial services corporation headquartered in New York City. The company was formed by the merger of banking ...

; upon completion of share exchange, it merged with Citigroup Japan Holdings Ltd. to form Nikko Citi Holdings Inc., before changing its name to Citigroup Japan Holdings Corp. in 2009. Nikko Cordial sued three of its former executives for fraud, including former

Chief executive officer A chief executive officer (CEO), also known as a central executive officer (CEO), chief administrator officer (CAO) or just chief executive (CE), is one of a number of corporate executives charged with the management of an organization especially ...

Junichi Arimura, for ¥3.4 billion. Nikko Cordial's profits decreased by 32.9% following the scandal. The lawsuit was settled by Citigroup in June 2009. In 2007 Citigroup acquired a majority of shareholders in Nikko Cordial for $7.7 billion. In October 2009, all of the operations of Nikko Cordial Securities and certain businesses of

Nikko Citigroup is a financial services firm in Japan. It is a wholly owned subsidiary of Citigroup Japan Holdings Corp., the main Japanese holding company of American financial firm Citigroup. Nikko Cordial and Citigroup first established a joint venture in J ...

, such as the domestic stock and bond underwriting business among others, were sold to

Sumitomo Mitsui Banking Corporation is a Japanese multinational banking and financial services institution headquartered in Yurakucho, Chiyoda, Tokyo, Japan. The group operates in retail, corporate, and investment banking segment worldwide. It provides financial products and ser ...

. Nikko Cordial was being reorganized into a new subsidiary company,

SMBC Nikko Securities SMBC Nikko Securities (SMBC日興証券株式会社) is a securities firm in Japan which engages in the operation of large-scale comprehensive securities broking and trading services. The company was founded in 2009 and is headquartered in Tokyo, ...

Inc., in April 2011.History of SMBC Nikko Securities Inc.
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Nikko Cordial subsidiaries

* Monex - Retail securities firm *

Joint venture A joint venture (JV) is a business entity created by two or more parties, generally characterized by shared ownership, shared returns and risks, and shared governance. Companies typically pursue joint ventures for one of four reasons: to acces ...

with

involved in

investment banking Investment banking pertains to certain activities of a financial services company or a corporate division that consist in advisory-based financial transactions on behalf of individuals, corporations, and governments. Traditionally associated wit ...

, trading and research. *

Nikko Cordial Securities Nikko Cordial Corporation was the holding company for Nikko Cordial Securities, Japan's third largest brokerage until 2008, when Nikko Cordial Corporation became a wholly owned subsidiary of Citigroup; upon completion of share exchange, it merge ...

- Retail and corporate securities firm

References

External links

Nikko Cordial Corporation
Financial services companies of Japan {{japan-company-stub