Mitsubishi UFJ Financial Group

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Mitsubishi UFJ Financial Group, Inc.
株式会社三菱UFJフィナンシャル・グループ
Type Public
KK
Traded as NYSEMTU
TYO: 8306
Industry Banking, Financial services
Predecessor(s) Mitsubishi Tokyo Financial Group, Inc.
UFJ Holdings, Inc.
Founded October 1, 2005
(by merger)
Headquarters Chiyoda-ku, Tokyo, Japan
Area served Worldwide
Key people

Takamune Okihara (Chairman)
Tatsuo Wakabayashi (Deputy Chairman)

Nobuyuki Hirano (President & CEO)
Services Personal Banking
Corporate Banking
Investment Banking
Investment Management
Wealth Management
Mortgage
Credit Cards
Revenue Increase ¥4.495 trillion (2013)[1]
Profit Increase ¥1.069 trillion (2013)[1]
Total assets Increase ¥230.559 trillion (2013)[1]
Total equity Increase ¥10.608 trillion (2013)[1]
Employees 80,900 (2013)
Parent Mitsubishi Group
Subsidiaries

The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Mitsubishi UFJ Trust and Banking Corporation
Mitsubishi UFJ Securities Co., Ltd.
Mitsubishi UFJ NICOS Co., Ltd.
Mitsubishi UFJ Lease & Finance Company Limited

UnionBanCal Corporation
Website www.mufg.jp

Mitsubishi UFJ Financial Group, Inc. (MUFG; 株式会社三菱UFJフィナンシャル・グループ Mitsubishi Yūefujei Finansharu Gurūpu?) is a Japanese bank holding / financial services company headquartered in Chiyoda, Tokyo, Japan.[2]

It holds assets of around US$2.5 trillion (JPY 230 trillion) as of March 2013[3] and is one of the main companies of the Mitsubishi Group.[4] 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.[3]

Background[edit]

The company was formed on October 1, 2005 with the merger of Tokyo-based Mitsubishi Tokyo Financial Group (MTFG), formerly Japan's second-largest banking conglomerate, and Osaka-based UFJ Holdings, which was Japan's fourth-largest banking group.

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[edit]

The financial group dates back to 1880 as the Yokohama Specie Bank later renamed to The Bank Of Tokyo, Ltd. 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. In April 1996, The Mitsubishi Bank, Ltd. and The Bank of Tokyo, Ltd. merged.

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, MUFJ signed a letter of intent with Morgan Stanley to form an alliance and purchase 20% of the American firm.[5]

In 2008 at the 2008 ALB Japan Law Awards,[6] Mitsubishi UFJ was crowned:

  • In-House of the Year – Japan Investment Bank In-House Team of the Year
  • Deal of the Year – Debt Market Deal of the Year

In April 2011, UFJ and Morgan Stanley entered into an agreement to convert UFJ's outstanding convertible preferred stock in Morgan Stanley into Morgan Stanley stock.[7]

Mitsubishi Tokyo Financial Group, Inc.[edit]

MTFG Plaza is an office building of the Mitsubishi Tokyo Financial Group.

Mitsubishi Tokyo Financial Group, Inc. (MTFG; 株式会社三菱東京フィナンシャル・グループ Kabushiki kaisha mitsubishi tōkyō finansharu gurūpu?) 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 ¥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.[edit]

UFJ Holdings, Inc. (株式会社UFJホールディングス UFJ; Kabushiki kaisha yūefujei hōrudingusu?) 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, UFJ took a 99.9 percent stake in Lynas Corp, the Australian rare earths developer, after buying an additional 10%.[8]

Group Companies[edit]

(as of January 1, 2006)

Holdings[edit]

Major Shareholders[edit]

As of March 31, 2013[10]

Japan Trustee Services Bank 7.47%
The Master Trust Bank of Japan 4.44%
Nippon Life Insurance Company 2.01%
ADR Holders (held by the Bank of New York Mellon) 1.94%
State Street Bank 1.53%
State Street Bank (China clients) 1.27%
Meiji Yasuda Life Insurance Company 1.23%
The Chase Manhattan Bank, N.A. London Secs Lending Omnibus

Account

1.14%
Toyota Motor Corporation 1.05%

References[edit]

  1. ^ a b c d . May 2013 http://www.mufg.jp/english/ir/annualreport/2013mufg/pdf/mar/ar2013.pdf. Retrieved October 14, 2013.  Missing or empty |title= (help)
  2. ^ "About MUFG." Mitsubishi UFJ Financial Group. Retrieved on December 7, 2009.
  3. ^ a b [1][dead link]
  4. ^ About MUFG > Company Overview : Mitsubishi UFJ Financial Group
  5. ^ Press Release. Morgan Stanley (2008-09-22). Retrieved on 2013-08-23.
  6. ^ http://www.legalbusinessonline.com.au
  7. ^ "Mitsubishi UFJ Financial Group And Morgan Stanley Announce Agreement To Convert Morgan Stanley Convertible Preferred Stock To Common Stock – TheStreet". thestreet.com. 2011. Retrieved July 19, 2011. 
  8. ^ "Mitsubishi UFJ buys 10% of Australia's Lynas – MarketWatch". marketwatch.com. 2011. Retrieved July 19, 2011. 
  9. ^ "Mitsubishi UFJ to Buy Stake in VietinBank for $743 Million". Bloomberg. December 27, 2012. Retrieved December 27, 2012. 
  10. ^ [2]

External links[edit]