Mitsubishi UFJ Financial Group, Inc. (MUFG; æ ªå¼ä¼šç¤¾ä¸‰è±UFJフィナンシャル・グループ, Kabushiki Gaisha Mitsubishi YÅ«efujei Finansharu GurÅ«pu) is a Japanese bank holding / financial services company headquartered in Chiyoda, Tokyo, Japan.
MUFG holds assets of around US$2.459 trillion as of 2016, making it the world's fifth largest bank by total assets and is one of the main companies of the Mitsubishi Group. It is Japan's largest financial group and the world's second largest bank holding company holding around US$1.8 trillion (JPY 148 trillion) in deposits as of March 2011. MUFG is the second largest public company in Japan when measured by market capitalization.
Background
The company was formed on October 1, 2005 with the merger of Tokyo-based Mitsubishi Tokyo Financial Group (MTFG), and Osaka-based UFJ Holdings.
The core banking units of the group, Bank of Tokyo-Mitsubishi and UFJ Bank, were merged on January 1, 2006 to form The Bank of Tokyo-Mitsubishi UFJ, Ltd. This integration was originally scheduled to take place on October 1, 2005, the same day that the parent companies were merged. However, pressure from Japan's Financial Services Agency, which wanted to ensure the smooth systems integration of the two banking giants, caused the merger of the banks to be postponed for three months. The trust banking and securities units of MTFG and UFJ were merged according to the original schedule on October 1, 2005.
History
The financial group dates back to 1880 as the Yokohama Specie Bank, later renamed to The Bank of Tokyo. Also in 1880, The Mitsubishi Bank, Ltd. was founded by former samurai Yataro Iwasaki. In 1919, the Mitsubishi Bank financed the Mitsubishi zaibatsu, most of which is today Mitsubishi Heavy Industries. After the Second World War the Mitsubishi Keiretsu was broken up under US imposed laws, and Mitsubishi Bank took on greater independence, albeit still central to the financing of the growth of the Mitsubishi group of companies.
In April 1996, The Mitsubishi Bank, Ltd. and The Bank of Tokyo, Ltd. merged. The Bank of Tokyo had been set up by the Japanese Government to act as Japan's international bank, and solely responsible for all Yen forex trading. During the Second World War The Bank of Tokyo had controversially been the banker to the Imperial Japanese Army as it expanded through conquest throughout Asia. Its monopolistic position, dominating all Yen forex trades, was eroded over time and eventually ended during the 1990s. However, uniquely in Japan, with no Keiretsu, Bank of Tokyo was an ideal partner for Mitsubishi Bank, complementing the latter' strong domestic franchise with a unique international footprint. Additionally, during Japans lost decade of economic stagnation, this marriage of two relatively strong banks was seen as a positive step in cleaning up the country's moribund banking sector.
In July 2004, Japan's fourth-largest financial group UFJ Holdings offered to merge with MTFG. The merger of the two bank holding companies was completed on October 1, 2005. UFJ was created from a merger with the Toyo Trust and Banking, a part of the Toyota Motor Corporation. Toyota's chairman sat on the board of the UFJ which became one of the world's largest money losing corporations. UFJ was accused by the government of corruption and making bad loans to the yakuza crime syndicates. The UFJ is one of the largest shareholders of Toyota. The trust banking and securities units of the two groups were merged on the same day. The core banking units of MTFG and UFJ, The Bank of Tokyo-Mitsubishi, Ltd. and UFJ Bank, respectively, continued to operate separately until January 1, 2006, when they were merged to form The Bank of Tokyo-Mitsubishi UFJ, Ltd..
In September 2008, MUFG signed a letter of intent with Morgan Stanley to form an alliance and purchase 20% of the American firm.
In 2008 at the 2008 ALB Japan Law Awards, Mitsubishi UFJ was crowned:
- In-House of the Year â€" Japan Investment Bank In-House Team of the Year
- Deal of the Year â€" Debt Market Deal of the Year
In April 2011, MUFG and Morgan Stanley entered into an agreement to convert MUFG's outstanding convertible preferred stock in Morgan Stanley into Morgan Stanley stock.
Mitsubishi Tokyo Financial Group, Inc.
Mitsubishi Tokyo Financial Group, Inc. (MTFG; æ ªå¼ä¼šç¤¾ä¸‰è±æ±äº¬ãƒ•ã‚£ãƒŠãƒ³ã‚·ãƒ£ãƒ«ãƒ»ã‚°ãƒ«ãƒ¼ãƒ—, Kabushiki kaisha mitsubishi tÅkyÅ finansharu gurÅ«pu) was one of Japan's largest banks ranked by assets (an estimated US$1 trillion), second only to Mizuho Holdings. On October 1, 2005, MTFG completed the acquisition of UFJ Holdings, Japan's fourth largest banking group, to form the Mitsubishi UFJ Financial Group (MUFG), the world's largest bank ranked by assets with Â¥190 trillion (approximately $1.7 trillion).
MTFG was widely considered financially the strongest of Japan's large banks, with non-performing loans down to 2.9% of assets.
UFJ Holdings, Inc.
UFJ Holdings, Inc. (æ ªå¼ä¼šç¤¾UFJホールディングス, UFJ; Kabushiki kaisha yÅ«efujei hÅrudingusu) was the weakest among the three major banking groups in Japan. "UFJ" is an abbreviation of "United Financial of Japan", was formed from a merger of Sanwa Bank and Tokai Bank with the Toyo Trust & Banking Co. Ltd, a part of the Toyota Motor Corporation. At the time, it was one of the largest shareholders of Toyota. The Chairman of Toyota was a director on its board during the financial scandals and indictments of three UFJ executives. The banking crisis led to its merger, after being one of the world's greatest losing corporations, on October 1, 2005, with the Mitsubishi Tokyo Financial Group to form the Mitsubishi UFJ Financial Group.
Formed April 1, 2001, with the merger of Sanwa Bank, Tokai Bank, and Toyo Trust and Banking.
In July 2004, UFJ announced plans to merge with the Mitsubishi Tokyo Financial Group. The merger was completed on October 1, 2005, creating the Mitsubishi UFJ Financial Group, the world's second biggest bank by assets at $1.7 trillion, trailing behind Citigroup with $2.4 trillion in assets.
In June 2011, MUFG took a 9.99 percent stake in Lynas Corp, the Australian rare earths developer.
Group companies
(as of January 1, 2006)
- The Bank of Tokyo-Mitsubishi UFJ, Ltd.
- Mitsubishi UFJ NICOS Co., Ltd., a credit card issuer, formed through the merger of UFJ Card Co., Ltd., Nippon Shinpan Company Limited, UFJ Nicos Co., Ltd., DC Card Co., Ltd. and Kyodo Credit Service Co., Ltd.
- Mitsubishi UFJ Trust and Banking Corporation
- Mitsubishi UFJ Securities Co., Ltd.
- Mitsubishi UFJ Securities International plc, (UK)
- Mitsubishi UFJ Information Technology
- Mitsubishi Americas Holdings Corporation or MUAH, holding company of MUFG Union Bank, NA as of July 1, 2014
- The Senshu Bank, Ltd.
- UFJ Credit Co., Ltd.
- Toyo Hosho Services Co., Ltd.
- UFJ Strategic Partner Co., Ltd.
- UFJ Equity Investments Co., Ltd.
- UFJ Trust Equity Co., Ltd.
- NBL Co., Ltd.
- UFJ Business Finance Co., Ltd.
- Toyo Trust Total Finance Co., Ltd.
- MU Investment Co., Ltd.
- Mitsubishi UFJ Asset Management Co., Ltd.
- Mitsubishi UFJ Research and Consulting
- UFIT Co., Ltd.
- UFJ Capital Co., Ltd.
- UFJ Institute Ltd.
- UFJ Bank Canada, (Canada)
- UFJ Bank Nederland N.V., (Netherlands)
- Sanwa Capital Finance 1 Limited, (Cayman Islands)
- Sanwa Capital Finance 2 Limited, (Cayman Islands)
- UFJ Capital Finance 1 Limited, (Cayman Islands)
- UFJ Capital Finance 2 Limited, (Cayman Islands)
- UFJ Capital Finance 3 Limited, (Cayman Islands)
- UFJ Capital Finance 4 Limited, (Cayman Islands)
- UFJ Preferred Capital 1 Limited, (Cayman Islands)
- Tokai Preferred Capital Holdings Inc., (United States)
- Tokai Preferred Capital Company L.L.C., (United States)
- UFJ Finance Aruba A.E.C., (Aruba)
- Tokai Finance (Curaçao) N.V., (Netherlands Antilles)
- TTB Finance Cayman Limited, (Cayman Islands)
- UFJ Investments Asia Limited, (Cayman Islands)
Holdings
- The Chukyo Bank, Ltd. (39.9%)
- The Gifu Bank, Ltd. (21.3%)
- The Taisho Bank, Ltd. (25.9%)
- Central Leasing Co., Ltd. (14%)
- The Master Trust Bank of Japan, Ltd. (46.5%)
- Mobit Co., Ltd. (50%)
- M&T Information Technology Co., Ltd. (50%)
- Dah Sing Financial Holdings Limited (15.1%) (Hong Kong)
- Morgan Stanley (22.4%) (United States)
- Chong Hing Bank (9.66%)
- Union Bank N.A. (100%) (USA)
- Vietinbank (20%), with which the Group decided to establish a strategic partnership in December 2012
- 19 other companies.
As of March 31, 2013
See also
- Loans in Japan
References
External links
- Mitsubishi UFJ Financial Group websiteâ€"(in Japanese)
- Mitsubishi UFJ Financial Group websiteâ€"(in English)