Nomura CEO apologises after probe into alleged bond trader market manipulation

TOKYO: The chief executive officer (CEO) of Nomura Holdings apologised on Wednesday (Oct 2) following a probe into market manipulation allegations involving a trader at its securities brokerage arm.

“I am very sorry for causing everybody great concern,” Nomura CEO Kentaro Okuda said at a symposium where he was speaking alongside other CEOs of Japan’s largest financial institutions.

Japan’s securities watchdog last month recommended that Nomura Securities, the country’s largest brokerage firm, be fined for a series of manipulative derivative transactions made by a Nomura trader to induce others to trade government bond future contracts.

The transactions generated a profit of ¥1.48 million (US$10,259) and the watchdog recommended a fine of ¥21.8 million (US$151,116).

Japan’s Financial Services Agency is yet to make a decision on the recommendation.