Thursday, July 17, 2008 - 07:00
AFP News Briefs ListJapan's Daiwa to tie up with Brazil's Banco Itau: report
Japan's Daiwa Securities Group Inc. will tie up in brokerage operations with a leading Brazilian private bank, the Banco Itau group, a business daily reported on Thursday.
In the first full-scale tie-up between a Japanese brokerage and a major Brazilian financial group, the partnership will cover such areas as investment banking operations and the handling of buy and sell orders for stocks, Japan's Nikkei Shimbun daily reported.
The two banks are to announce later Thursday that they have reached a basic agreement, which may evolve into a capital tie-up in the future, the report said.
Brazil has emerged as an attractive market for individual investors in Japan for its rich natural resources such as iron ore.
Banco Itau's investment unit and Daiwa Asset Management Co. plan to create investment trusts covering Brazilian-real-denominated bonds and South American stocks, the paper said.
Daiwa and Banco Itau would also work together on mergers and acquisitions across Asia and South America, the report said.
