Nomura Axes Cash Prime Brokerage in U.S., Europe

Nomura has been facing financial challenges after losing $3 billion in a recent saga. The company is pulling back from its hedge fund business in the US and Europe, ceasing cash prime brokerage services. This move is expected to have a muted impact on earnings due to the small revenue share from these regions. However, it could damage future relationships. Nomura's founder has long aimed to break into Wall Street, and the current CEO is focused on expanding in the US. Despite setbacks, Nomura is seeking new strategies to achieve its US ambitions.

What major financial event prompted Nomura to reassess its risk management strategies?

• The dot-com bubble

• The Archegos saga

• The European debt crisis

• The 2008 financial crisis

Which service did Nomura decide to discontinue in the US and Europe?

• Investment banking

• Retail banking

• Asset management

• Cash prime brokerage services

In which region does Nomura's prime finance business generate most of its revenue?

• Australia

• Asia

• North America

• Europe

What has been a key goal for Nomura's founder since visiting New York in 1908?

• To dominate the European market

• To break into the Wall Street big leagues

• To become a leader in Asian banking

• To establish a global retail banking network

What strategy did Nomura's CEO implement to expand in the US market?

• Focusing on retail banking

• Appointing a Wall Street veteran

• Reducing investment in Asia

• Increasing European operations