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Friday, December 29, 2017

Friday Feature Film Review: American Psycho (Wall Street is Murder!) アメリカン・サイコ: ウォール街のダークコメディ

Wall Street is a tough career choice. In fact, it can be murder. Such is the story of Patrick Bateman, perfectly portrayed by Christian Bale (Batman Dark Knight fame). We find a new young generation of eager go getters in New York, who will to do whatever it takes to make a big bonus. It is a very narcissistic view of life and career, but was a true reflection of the times. Designer suits by Armani? Yes. The best tables at the best restaurants? Yes. Alpha male dominance seeking out model like girlfriends to be future possible trophy wives? Yes. Cash, youth and drive  combine for a turbo charged cocktail of ambition. 

It is all hedonistic of course and sadly lacking in personal values. Such is the world of our hero (anti-hero) Patrick Bateman. The son of another financier who plans on inheriting the family firm, Patrick is a trust fund child of privilege. An entitled prima donna type who has so much, he wonders what he really represent inside. An authentic product of top schools and the ivy league, they all seem to want to avoid that "Yale thing". What is that you ask, "being a closet homosexual doing a lot of cocaine, Oh that Yale thing!"


This is a dark comedy ultimately, (horrifically black) laughing at the shallow unimportant tiny details that could represent any real value in life or career. A business card is a great test of this alpha male crowd. "What do you think?" when presenting one's business card, is not really a question. It is a hoped for response of total envy, when presenting your refined & highly stylish business card. Bone and Silian Grail? so passe, Eggshell with Romalian Type, now that is the card to impress. Any audience member is surprised and partly revolted at the fierce rivalry over nothing of substance. However, for those involved, it is everything and not to be taken lightly. It could even be deadly.

Financial markets are black and white, driven by hard numbers. This leads to stress for those who do not lead or the ability to catch up. Intense deadly stress. This needs a release, and for our hero/anti-hero Patrick Bateman, this means murder, literally. It starts out with a homeless man and his dog in a back alley. What triggers this new stress release and who does it begin? you are shocked at the first killing but get used to the pattern soon after. You come to understand that the environment of New York financial markets, is toxic for young people with too much money taken on too quickly. This early high pressure to perform would kill you without some kind of release. The emptiness of those times crosses many activities like pornography, cocaine abuse, sexual amusement, tribe leadership, and endless trend setting culture. The goal of the story is to find comedy in the ridiculous nature of these lifestyle choices.

The Top 3 Takeaways from this book that really impact any reader are:

1) There is a lot to learn about how to be long-term successful in finance, and no one answer will do. The more ways you can find to close big deals, and build relationships, the better. There is no single way to success, there are many, so learn them all.

2) The best financial leaders know how to make money, and keep doing what they do best, by observing key decision makers or possible patterns they often use. Knowing what buttons to press to close a deal or when to change with any new trend, is key to long term success.

3) When becoming a successful dealmaker, your emotional strength from family at home, may help you perform better on deals at work. Every person has a personal life, so the fulfilling it more, can help personal performance. It cannot be denied.

New York in the 1980s was an era that came and ended in the US along with the USSR cold war. Much of course depends on your personal definition of financial success, and the drive or core reason to pursue it in the first place. Beware to all those who may look at a financial career with less interest and more longing for the basics of life. Be warned of what you could really be feeling! A perfect movie choice for the holiday season when you have a bit of time to reflect on what is important. Highly recommended for all of the typical staff at an investment bank portrayed wonderfully by an excellent cast. So again, highly recommended! Happy New Year in 2018!


Please visit us for our Friday Feature Review where TMJ Partners will review books, movies, services and anything else with a financial theme.  Follow us now for our free weekly updates, just click hereThank you for reading and learning more about how money is made in finance!



If you are interested in Sales & Trading, Banking or FinTech focused roles in Asia or Japan then click here. Follow TMJ Partners on Twitter, the world's #1 recruiter on Twitter, over 50,000+ followers already have! click here! 

あなたアジア日本セールストレーディング,
バンキング、フィンテックの役割に興味がある場合は、こちらをクリックしてくださいティエムジェィパートナーズTwitterでフォローしてください 世界中のTwitter第1位の採用企業50,000以上のフォロワーが既に持っています!クリックしてください

For more Buy-Side and Sell-Side roles in Asia-Pacific, contact our TMJ Partners Japan & Asia Finance team.




    Tokyo                                                                Tokyo
             Mark  Pink                                                  Shinichi Nagasawa
      Direct + 81 3 3505 3891                                       Direct  +81 3 3505 3891
            Email pinkmark@tmjpartners.com                         Email nagasawa@tmjpartners.com

Friday, November 24, 2017

Friday Feature Movie Review: Wall Street: Michael Douglas: An Oliver Stone Film 1987 ウォール街: マイケル・ダグラス: オリバーストーンフィルム

 Greed is Good! This classic phrase has lived on to represent finance for decades since this Oliver Stone film was released in 1987. Some 30 years later, the movie still holds its own. Gordon Gekko, the main villain of this movie became the new anti-hero for a new generation within finance. He is played perfectly by Michael Douglas in arguably his best iconic role on film. Bud Fox, played by Charlie Sheen, gets to play every financial professional's dream.  To start out in the trenches and rise up to become a real "player" like "GG" (aka Gordon Gekko). At the time, that took around US$50-100 million dollars in cash. A large sum for sure, but the most important aspect being "liquid" with that fortune. Today I would assume that a billionaire would have to be the next new benchmark of financial success. The million dollar condo in Manhattan at the time was still seen as unattainable for many. Today a more expensive US$10-20 million dollar condo overlooking Central Park, like the One57 the billionaire building, may work best. Such would be the new address for the same sort of lifestyle choice allowed only for the exclusive few. The 1% at the top of the financial mountain.

The director's casting is also interesting as Martin Sheen, plays Carl Fox, Charlie Sheen & Bud Fox's father in the movie, not just in real life. On a side note, Martin is shown in hospital after the heart attack. In real life, that scene was shot right after Martin actually had a real heart attack. The tears for Charlie Sheen were said to be easy to muster as the memory was so recent. It was also the first scene shot with Martin Sheen, hence a limited amount of dialogue from a hospital bed. This may be one of Oliver Stone's best casting choices ever. Rarely does a father son presence on screen hit its mark so solidly with audiences.

Blue Star airlines where Carl Fox works in charge of the maintenance men, becomes important. It becomes a key stock target as the overfunded pension fund is too attractive a pot of gold to be left alone by GG. Another key scene is how to tip off the press by calling a key journalist. "Blue horse shoe loves Blue Star Airlines". Making such a risky call from a corporate desk on a recorded line seems odd today. Why not use a pay phone? At least it was not in an email.

The key point of the film is how information is the ultimate currency and path to riches. Sun Tzu and the "Art of War" is also introduced as a new Wall Street bible to learn strategy and insight from. What is legal, what is not, and what is in the grey zone of profitability. Legal viewpoints versus bendable rules that are "just a guide" is what the moral of the storyline tries to explain. Machiavelli does not get the last laugh. In this movie, "the end does not justify the means" it just gets a person in jail. The pursuit of money has a cost, nobody is above the law. That lesson rings very true to the viewer. Hedge Funds have been recent villains, and some founders who crossed those lines have gone to prison or paid big fines. There is now a big price to pay for bending any rules.


The Top 3 Takeaways from this movie that really impact any reader are:

1) Surprisingly, little has changed in the world of finance over 30 years. The young & hungry still have drive and ambition like before. The internal politics of any dealing room remain the same. Perhaps only testosterone may have come down a bit 3 decades later, not much of course but some, as quant geeks now rule the trading floor.
2) Technology may change over time, but new technology and its adoption is part of finance even today. New ways of communicating are constantly evolving without end.
3) The competitive nature of mind games and risk swagger have changed very little over 30 years. What cars or purchases may have different brands today, but the raw and burning drive to make it to financial independence has not changed at all over time. That drive to succeed it seems, is timeless.

Despite its age, only the electronic technology is dated. The people, their actions, and how they speak, all seem as contemporary today and it was in original release now 30 years ago. It was no lucky accident that this was the case. Oliver Stone's father was a career stockbroker and authentic tremendous care was taken in making sure that the script was very realistic. Not a single line seems out of place. Every attitude and snicker fits together perfectly like a bespoke suit. It still stands well against the test of time. Highly Recommended!

Please visit us for our Friday Feature Review where TMJ Partners will review books, movies, services and anything else with a financial theme. Follow us now for our free weekly updates, just click hereThank you for reading and learning more about how money is made in finance!

If you are interested in Sales & Trading, Banking or FinTech focused roles in Asia or Japan then click here. Follow TMJ Partners on Twitter, the world's #1 recruiter on Twitter, over 50,000+ followers already have! click here! 

あなたアジア日本セールストレーディング,
バンキング、フィンテックの役割に興味がある場合は、こちらをクリックしてくださいティエムジェィパートナーズTwitterでフォローしてください 世界中のTwitter第1位の採用企業50,000以上のフォロワーが既に持っています!クリックしてください

For more Buy-Side and Sell-Side roles in Asia-Pacific, contact our TMJ Partners Japan & Asia Finance team.



    Tokyo                                                                Tokyo
             Mark  Pink                                                  Shinichi Nagasawa
      Direct + 81 3 3505 3891                                       Direct  +81 3 3505 3891
            Email pinkmark@tmjpartners.com                         Email nagasawa@tmjpartners.com

Friday, September 29, 2017

Executive Summary 52 Best Key Notes from Fin/Sum FinTech Week in Japan エグゼクティブサマリー Fin/Sum フィンテックからの52ハイライトノート

Last week's FinTech Summit in Tokyo Sept 19-22 was very ambitious in scale and breadth. Absorb my Executive Summary wrap up notes of 52 key points below. A wide number of startups, speakers and innovation were found both from domestic and international startups. There were many different sessions over the 4 days in multiple locations. These are only the top 52 highlight points. Many more were discussed and shared by many in the panels. They may take a while to read, but are really worthwhile to learn about. It will prepare you for what is already on the way within FinTech.

*1) Bitcoin, Ethereum, Litecoin and Ripple all seem to be at the forefront of cryptocurrency trading. The new coins are not the true innovation though. The real game changer is that they are all based on the Blockchain architecture.
*2) It should be noted that the Blockchain is a great concept, but it was Bitcoin via code from Satoshi Sakamoto who made it mainstream in 2009. Before then, there was no "Killer App" to prove the value of the Blockchain. Many more coins have since emerged, many even better in function.
*3) Ethereum differs from Bitcoin as it is a wider platform than just a coin or storage of value. Bitcoin has had trouble with exchanges, which have sometimes been hacked. That is the current risk for traders today.
*4) There is a big push to cut out the middle man with FinTech. Instead of using a bank or any other third party to distribute a service, new products can now go direct to users via smartphones. Music no longer needs big labels, and soon, FinTech services may no longer need banks, like they do today.
*5) FinTech in phase 1 can best be seen as a way for outsiders to improve the price or value for banking services. In phase 2, working with the banks directly from the inside, and getting access to their customer data, will be the "holy grail" for more innovative services.
*6) One of the best ways to use customer data will be by using AI or artificial intelligence to figure out what the big data can actually reveal. Cleaning the data, is a big challenge. Many feel that 90% of the effort with AI, is just "cleaning the data" so it can better be used by any algo. This may only be 10% of the effort.
*7) Alibaba founder Jack Ma also uses a term TechFin not just FinTech. When a tech company changes its software and then targets banks or other financial services, that is TechFin. It describes a Technology company that now focuses on serving Financial clients with new services.
*8) Are there common themes in FinTech? is it just Hope, Hype or Horror? Or can new services often be seen as being Small, Fast and Agile when meeting customer needs?
*9) A big driver of AI and other FinTech innovation is around cost. Back in 1981, one gigabyte would cost USD300,000 to store, but today in 2017 the cost is only 10 cents! This price reduction opens up many new ideas that before could not be afforded previously.
*10) Similar human genome project costs have come down. Back in 2001, a USD100M cost is now as low as just 3 cents today, just 16 years later!
*11) Japan will soon revise its banking law in 2018. If this happens, how many new AI uses will suddenly be allowed with the FSA or BOJ? Many new startups may be created from new business chances in the space.
*12) AI will impact jobs. Foxconn makes Apple iPhones in Chinese factories. Recently, they automated a single large factory with AI robots. This one change cut more than 60,000 staff jobs that used to run 3 shifts 24 hours a day.
*13) This year in July 2017, a human surgery that would usually take 3.5 hours by a doctor, took just 2.5 minutes by one AI Robot.
*14) The insurance area may have the biggest impact with job costs. The human capital needed from actuaries and underwriters be soon be more automated. Some 70% of these jobs today may disappear due to AI within 5-10 years.
*15) One medical AI firm in Israel can now detect cancer in users very early, stage 1 via a simple "voice change AI engine". This early stage often has a 98% recovery rate.
*16) HFT or quant driven High Frequency Trading is finding the limit of speed due to the limits of light. This speed revolution in financial trading may be in sunset mode today, but AI may restart this area and give it a new dawn tomorrow!
*17) Are there themes in investing in Japan that differ from London or San Francisco? Yes. In Japan, VC is not only concerned with returns and profits, The extra added feature is synergy by investors. Other VC centers have more hands off or silent investment partners. 
* 18) Japan seems to have more collaborative synergy with investment partners. A classic 1+1=3 type strategy where plus alpha can grow, not just investment profits.
*19) Can Bitcoin be made easy for purchasing? Yes, FinTech firm Wirex in the UK work with Visa card for Bitcoin based purchases. It has 800,000 users in 130 countries. You purchase with Visa and bills are paid in Bitcoin. Visa's global network now has 40 million merchants in 200 countries.
*20) China's Alipay had a 77% share in 2013, while TenCent had 9.6%. New services can change market share dramatically. Both now have similar shares in 2017. Wechat users now top 963 million users while QQ have 864 million users. 
*21) The goal of the Chinese payment system is not to be profitable per transaction, but to penetrate and add convenience to users. Lending and Investments can also be done with the service, and this feature can bring great profits.
*22) The culture of Red Packets to give gifts of money on new year's was a major event. By moving this online, mobile phone red packets went from RMB20 million in 2014 to over RMB14 Billion on a single in 2017! Tremendous growth.
*23) Yellow Packets have followed where people can send fractions of gold, backed by ICBC. With enough Yellow Packets in value, you can then buy actual real gold coins or bullion.
*24) More holidays and occasions are now being used for Red or Yellow Packet uses. Temples can even be given these packets for luck. Have an important interview tomorrow? Why not send a temple donation today to ensure your good luck!
*25) FinTech needs innovative ideas from innovative people. Sompo in Japan has moved into FinTech but only by hiring outsiders. Few internal transfers would work to bring in radical new ideas. As a result, 70% of all hires come from outside the firm. In fact, the CIO, COO & CMO are all from outside of Sompo.
*26) FinTech is successful when it fills a clear gap in trust or under service. Many brands like WeChat in China, Uber in the USA and many others are good examples. This concept will continue as new regulatory changes will open up those new FinTech opportunities.
*27) FinTech in Indonesia is now widespread. The country has 259 million people, but has 326 million mobile users. Over 160+ FinTech companies operate today, 41% for payments, 30% for lending, 11% for investments, and 3% for insurance. Many new areas are expanding.
*28) RegTech and InsurTech are new ways for more efficiency with slow documentation procedures. Paper based will be soon digitized.
*29) The average Trade Finance deal, like a shipment of steel between Europe & China could have a stake of paper documents that is 15-18cm thick in total. 
*30) Only 5% of trade finance documents are currently digitized. Once this system can be converted, many fewer paperwork support workers would be needed in operations. Fewer support staff can make the deal pricing that much more competitive.
*31) VC interest in FinTech is poorly balanced. The global market for financial services is USD1Trillion in value, yet VC funding is only dedicating 2% of total funds to FinTech. this will need to change.
*32) One big picture though missing from the FinTech innovation is retraining. If new automated systems can replace engineers and other legacy programmers, there may be delays from the staff themselves. 
*33) If a programmer creating automation has no path to retrain within a company, any programming work may be designed have bugs that need more work extending employment. HR needs to help the retraining process or the implementation of new FinTech systems may be delayed in execution.
*34) Traditional banks are leaving businesses in many markets with low profitability. This is leaving old markets with few competitors who could be replaced by new FinTech services. They would need to be more efficient, often needing less or no potential regulation compared to legacy banks.
*35) The average 40 year old worker in Japan today can expect a future pension at age 65 that is 30% less than what baby boomers get today. It may even be worse with a later starting age.
*36) Japan counts 1800 Trillion Yen as the total estimated savings from deposits and personal assets held today.
*37) The US counts 8700 Trillion Yen as the total estimated, over 4+ times more than Japan with 1/3 the population.
*38) Why is there a gap today? Many Japanese do NOT invest in risk assets, they save in term deposits, and do not spend.
*39) US citizens donate 130,000+ Yen per year, but Japanese citizens only donate 2,500 Yen. Only 1/3 make donations.
*40) Why is this the case? Mainly from fiscal trauma as direct result of 2 decades of deflation after the Japanese bubble.
*41) A similar example was found in the US, during the great depression and war years from 1929-1949. By 1950, spending returned and boomed in the 1960s and beyond.
*42) There is a current negative defeatist mentality found with many Japanese. They work hard, but then get fired, they study English, but fail to make progress. They try and diet, but do not lose weight, they invest but with poor returns.
*43) All of this is a cycle, and within 20 years, a rebound can be expected, but FinTech may partly accelerate this rebound.
*44) Many Japanese feel that they do not have enough savings to be taken seriously by the financial industry. The minimum lump sum is not even known. They save without a clear goal. Many Japanese banks start calling customers once 10 Million Yen is on deposit. That seems to be a typical starting point.
*45) Many Japanese feel that without a large lump sum, they will not get proper attention, but even with small monthly contributions, the paperwork involved is still high. FinTech needs to help simplify this process now stuck in frustration.
*46) Today many Japanese securities firms still "push" financial products on customers based on commissions to the seller. They are not matched to the buyers needs using big data yet.
*47) There is a income gap even in Japan, and the top 20% of High Net Worth Individuals are the prime service target.
*48) Ordinary Japanese citizens feel that there is no attractive product offering for the remaining 80% of the population.
*49) Yes, senior baby boomers are sitting on large financial assets, but 30% of this senior population passes away every 10 years. Sadly, after inheritance is done, the children often just save any cash in term deposit savings, not investments.
*50) FinTech is needed to find customised product offerings that really meet new customer needs. New biometric tools on mobiles may help smooth the process to buy them as well. This process should minimize paperwork in future. The hanko needed today in documentation needs to be ended.
*51) FinTech needs to refocus not on the senior citizens with large lump sums today, but on younger customers in future. The best way to grow loyalty is to appeal early to a customer base. The mobile smart phone may be the perfect chance for a better and more efficient distribution platform in future.
*52) Major Japanese banks offer near zero interest rate returns on today's savings & term deposits. That is hardly close to the definition of proper asset management at all. A new revolution is needed to refocus on a growing wide scale market potential of customers, the population's majority. Not a small high net worth pool coming from only a small minority of the population. This use of Technology can be used in Finance very smoothly. Such is the obvious goal of many of the startups within FinTech today. A real valuable beginning.


Please visit us for our Friday Feature Review where TMJ Partners will review books, movies, services and anything else with a financial theme.  Follow us now for our free weekly updates, just click here. Thank you for reading and learning more about how money is made in finance!

If you are interested in Sales & Trading, Banking or FinTech focused roles in Asia or Japan then click here. Follow TMJ Partners on Twitter, the world's #1 recruiter on Twitter, over 50,000+ followers already have! click here! 

あなたアジア日本セールストレーディング,
バンキング、フィンテックの役割に興味がある場合は、こちらをクリックしてくださいティエムジェィパートナーズTwitterでフォローしてください 世界中のTwitter第1位の採用企業50,000以上のフォロワーが既に持っています!クリックしてください



For more Buy-Side or Sell-Side roles in Asia-Pacific, contact our TMJ Partners Japan & Asia Finance team in Tokyo.
                  
                              Mark  Pink                                             Shinichi Nagasawa
                      Tel + 81 3 3505 3891                                    Tel  +81 3 3505 3891
          Email pinkmark@tmjpartners.com                 Email nagasawa@tmjpartners.com

Wednesday, September 20, 2017

フィンサム:フィンテック・ウィーク(9月19-22日東京)アセットマネジメントパネルセッション

今週、9月19日から22日開催の、東京のフィンテックサミットはそのスケール、幅広さにおいて野心的です。幅広い起業家、スピーカー、革新家が国内と海外から集まります。クイックノレッジ主催の第1日目、資産運用セッションには150人以上の人が参加しました。大規模なパネルが幅広いスピーカーたちの見解を議論しました。全てのパネリストから、私の気づいた点、観察記録は下記のとおりハイライトされています。
モデレーター, 北澤千秋
QUICK 資産運用討論会 フィンサム・ウィークスペシャル 「フィンテックが変える日本の資産運用」 

* 油布志行 (金融庁 総務企画局 参事官(総合政策・資産運用担当)) 
*  林千晶 (ロフトワーク代表取締役) 
*  藤野英人 (レオス・キャピタル・ワークス(ひふみ投信)代表取締役社長・最高投 資責任者(CIO))
* ポール・チャップマン (マネーツリーCEO / 創業者) 

* 今日の日本では平均40歳の働き手たちが、ベビーブーマーが現在受け取っている額より30%少ない年金を将来受け取ります。
* 日本は今日では、総額1800兆円の個人金融資産を有しています。
* 米国は総額8700兆円、3分の1程度の人口の日本の4倍の金額です。
* なぜこれだけの差があるのでしょうか?多くの日本人はリスク性資産に投資せず、定期預金にしており、消費しません。
* 米国民は年間13万円の寄付をしますが、日本人は2500円しか寄付をしません。3分の1の人しか寄付をしません。
なぜそうなっているのでしょうか?日本のバブルの後、20年間のデフレからくるトラウマです。
* 米国では1929年から1949年まで戦争後の大恐慌時代に同じような例が見られました。1950年までに消費が回復し、1960年以降のブームになりました。
* 多くの日本人には否定的で負け犬のような精神状態が見られます。一生懸命働きますが、解雇され、英語を勉強しますが、進歩しません。ダイエットしますが、やせません、投資しますが、リターンは少ないのです。
* これはすべて循環していて、20年以内にリバウンドが予想されます。然しフィンテックがこのリバウンドを一部でスピードアップします。
* 多くの日本人は貯蓄が少ないため、金融機関から真剣に考えて貰えないと感じています。最低額は知らされていません。明らかな目標を持たずに貯蓄しています。多くの日本の銀行は1千万円の貯蓄ができれば顧客と呼んでいます。これがスタートです。
* 多くの日本人は貯蓄が無ければ、注意を向けて貰えず、月にわずかの積み立てをしてもペーパーワークが増えるだけと感じています。フィンテックはこのイライラするプロセスを単純化できます。
* 現在の日本の証券会社は売り手への手数料を基準に金融商品を押し込んでいます。まだビッグデータを使用して、バイヤーのニーズに合わせることはしていません。
* 日本でも所得格差があり、富裕層の20%の人々がサービスの対象です。
* 普通の日本人市民は残り80%の人たちの為の魅力的な商品はないものと感じています。
* ベビーブーマーのシニア世代は多額の金融資産がありますが、シニアの30%は10年単位で亡くなっていきます。悲しいことに、相続が終わると、子供たちは定期預金に現金を預け、投資しません。
* フィンテックは新しい顧客のニーズに合う、カスタマイズされた金融商品を見つけるために必要とされています。これらを買うため、プロセスを円滑にするためにモバイルを使用したツールが役立ちます。このプロセスは将来、ペーパーワークを最小化してくれます。今日書類に使用されるハンコは終わらせなければいけません。
* フィンテックは今日、多額の資産を持つシニア層だけでなく、将来は若い顧客にも焦点を当てます。ロイヤルティを育てる最善の方法が早い時期に顧客ベースに訴えることです。将来、効率的な分配を行うためにはスマホがチャンスを作り出してくれます。
* 多くの日本の銀行は今日では、定期預金などにゼロに近い利率しか提供できません。これではまともな資産運用とは言えません。人口の大多数を占める幅広い潜在的顧客層に焦点を当てる新しい改革が求められます。人口の少数派から少なくない資産を持つ層が出てきます。このテクノロジーはファイナンス分野でスムーズに使用されます。今日では、これがフィンテックの起業家たちの明確な目標です。価値あるスタートです。

Please visit us for our Friday Feature Review where TMJ Partners will review books, movies, services and anything else with a financial theme.  Follow us now for our free weekly updates, just click here. Thank you for reading and learning more about how money is made in finance!

If you are interested in Sales & Trading, Banking or FinTech focused roles in Asia or Japan then click here. Follow TMJ Partners on Twitter, the world's #1 recruiter on Twitter, over 50,000+ followers already have! click here! 

あなたアジア日本セールストレーディング,
バンキング、フィンテックの役割に興味がある場合は、こちらをクリックしてくださいティエムジェィパートナーズTwitterでフォローしてください 世界中のTwitter第1位の採用企業50,000以上のフォロワーが既に持っています!クリックしてください



For more Buy-Side or Sell-Side roles in Asia-Pacific, contact our TMJ Partners Japan & Asia Finance team in Tokyo.
                  
                              Mark  Pink                                             Shinichi Nagasawa
                      Tel + 81 3 3505 3891                                    Tel  +81 3 3505 3891
          Email pinkmark@tmjpartners.com                 Email nagasawa@tmjpartners.com

Fin/Sum FinTech Summit (Sept 19-22 Tokyo) Asset Management Panel Session

This week's FinTech Summit in Tokyo Sept 19-22 is very ambitious in scale and breadth. A wide number of startups, speakers and innovation can be found both from domestic and international startups. Over 100+ people attended the Asset Management session on Day 1 sponsored by QuickKnowledge. A great overview panel discussed a wide range of views from a very wide range of speakers. My personal notes and observations are highlighted below from all of the panelists.
Moderator Chiaki Kitazawa,  
Quick asset management panel discussion: FinSum Week Special FinTec is changing Japanʼs asset management
* Motoyuki Yufu, Financial Services Agency,  
* Chiaki Hayashi, Loftwork Inc Co-founder, 
* Hideto Fujino, Rheos Capital Works, CIO,
* Paul Chapman, Moneytree KK CEO, 

* The average 40 year old worker in Japan today can expect a future pension at age 65 that is 30% less than what baby boomers get today. It may even be worse with a later starting age.
* Japan counts 1800 Trillion Yen as the total estimated savings from deposits and personal assets held today.
* The US counts 8700 Trillion Yen as the total estimated, over 4+ times more than Japan with 1/3 the population.
* Why is there a gap today? Many Japanese do NOT invest in risk assets, they save in term deposits, and do not spend.
* US citizens donate 130,000+ Yen per year, but Japanese citizens only donate 2,500 Yen. Only 1/3 make donations.
* Why is this the case? Mainly from fiscal trauma as direct result of 2 decades of deflation after the Japanese bubble.
* A similar example was found in the US, during the great depression and war years from 1929-1949. By 1950, spending returned and boomed in the 1960s and beyond.
* There is a current negative defeatist mentality found with many Japanese. They work hard, but then get fired, they study English, but fail to make progress. They try and diet, but do not lose weight, they invest but with poor returns.
* All of this is a cycle, and within 20 years, a rebound can be expected, but FinTech may partly accelerate this rebound.
* Many Japanese feel that they do not have enough savings to be taken seriously by the financial industry. The minimum lump sum is not even known. They save without a clear goal. Many Japanese banks start calling customers once 10 Million Yen is on deposit. That seems to be a typical starting point.
* Many Japanese feel that without a large lump sum, they will not get proper attention, but even with small monthly contributions, the paperwork involved is still high. FinTech needs to help simplify this process now stuck in frustration.
* Today many Japanese securities firms still "push" financial products on customers based on commissions to the seller. They are not matched to the buyers needs using big data yet.
* There is a income gap even in Japan, and the top 20% of High Net Worth Individuals are the prime service target.
* Ordinary Japanese citizens feel that there is no attractive product offering for the remaining 80% of the population.
* Yes, senior baby boomers are sitting on large financial assets, but 30% of this senior population passes away every 10 years. Sadly, after inheritance is done, the children often just save any cash in term deposit savings, not investments.
* FinTech is needed to find customised product offerings that really meet new customer needs. New biometric tools on mobiles may help smooth the process to buy them as well. This process should minimize paperwork in future. The hanko needed today in documentation needs to be ended.
* FinTech needs to refocus not on the senior citizens with large lump sums today, but on younger customers in future. The best way to grow loyalty is to appeal early to a customer base. The mobile smart phone may be the perfect chance for a better and more efficient distribution platform in future.
* Major Japanese banks offer near zero interest rate returns on today's savings & term deposits. That is hardly close to the definition of proper asset management at all. A new revolution is needed to refocus on a growing wide scale market potential of customers, the population's majority. Not a small high net worth pool coming from only a small minority of the population. This use of Technology can be used in Finance very smoothly. Such is the obvious goal of many of the startups within FinTech today. A real valuable beginning.


Please visit us for our Friday Feature Review where TMJ Partners will review books, movies, services and anything else with a financial theme.  Follow us now for our free weekly updates, just click here. Thank you for reading and learning more about how money is made in finance!

If you are interested in Sales & Trading, Banking or FinTech focused roles in Asia or Japan then click here. Follow TMJ Partners on Twitter, the world's #1 recruiter on Twitter, over 50,000+ followers already have! click here! 

あなたアジア日本セールストレーディング,
バンキング、フィンテックの役割に興味がある場合は、こちらをクリックしてくださいティエムジェィパートナーズTwitterでフォローしてください 世界中のTwitter第1位の採用企業50,000以上のフォロワーが既に持っています!クリックしてください



For more Buy-Side or Sell-Side roles in Asia-Pacific, contact our TMJ Partners Japan & Asia Finance team in Tokyo.
                  
                              Mark  Pink                                             Shinichi Nagasawa
                      Tel + 81 3 3505 3891                                    Tel  +81 3 3505 3891
          Email pinkmark@tmjpartners.com                 Email nagasawa@tmjpartners.com