Sumitomo Mitsui Trust Group, Inc.

Five major banks including MUFG Bank announced on the 30th the mortgage rates to apply in October. For the variable-rate preferential rates used by most borrowers, Resona Bank, Mizuho Bank, and Sumitomo Mitsui Trust Bank raised their rates by 0.25 to 0.62 percentage points from the previous month, bringing Resona to 1.25%, Mizuho to 1.275%, and Sumitomo Mitsui Trust to 1.7%. MUFG and Sumitomo Mitsui Banking Corporation left their rates unchanged, but all banks raised their fixed rates. With this revision, variable rates now exceed 1% at all banks, reflecting the rise in the benchmark short-term prime rate following the Bank of Japan's rate hike in June. The Bank of Japan decided on an additional rate hike at its September meeting, and this is expected to be reflected in variable rates going forward. For the 10-year fixed preferential rate, all five banks raised their rates by 0.12 to 0.77 percentage points from the previous month in light of rising long-term interest rates, with MUFG at 3.75%, Sumitomo Mitsui at 4%, Sumitomo Mitsui Trust at 4.965%, Mizuho at 3.6%, and Resona at 4.205%.

Bitbank, which operates a cryptocurrency exchange, announced on the 25th that it will transfer all shares of its subsidiary Japan Digital Asset Trust Preparation Co., Ltd. (JADAT) to Sumitomo Mitsui Trust Bank. After the transfer, JADAT is expected to become a wholly owned subsidiary under the Sumitomo Mitsui Trust Group, and the transfer price was not disclosed. Bitbank did not indicate an execution date, but Sumitomo Mitsui Trust Bank said in its announcement the same day that the transfer is scheduled to be executed on October 1. JADAT is a company that had been preparing to establish a trust company specializing in digital assets, following a basic agreement signed in May 2022 between Bitbank and Sumitomo Mitsui Trust Holdings, now Sumitomo Mitsui Trust Group, and it had planned to change its name to Japan Digital Asset Trust after registration under the Trust Business Act. Its custody targets were envisioned to include not only crypto assets but also security tokens on public blockchains, stablecoins, and NFTs. SBI Holdings, which is proceeding with making Bitbank a wholly owned subsidiary, posted the same content on its website as of the same date. In June, the company announced it would make Bitbank a wholly owned subsidiary through its wholly owned subsidiary SBICAH LLC, with an acquisition price of 46.7 billion yen, and the transaction is expected to be completed around October.

Sumitomo Mitsui Trust Club, a subsidiary of Sumitomo Mitsui Trust Group, announced on the 29th that it will issue a credit card called Diners Club Gold, aimed at people in their 20s and 30s, on October 1. Applicants must be between 20 and 39 years old, and applications will be accepted online only. The annual fee is free for the first year and 11,000 yen from the second year onward. Points will be awarded at 10 times the usual rate for mobile phone and video streaming subscription services and for train and bus fares. Members in their 20s and 30s currently account for just under 10 percent of the total, and the company aims to double the outstanding balance held by this age group within five years. President Nobuaki Yamaguchi said at a press conference that a good opportunity has arrived for people to firmly recognize our brand, expressing his intention to attract younger customers.

Five major banks announced on the 31st the mortgage interest rates they will apply to new loans in September. For floating-rate loans, which most borrowers choose, Mitsubishi UFJ Bank and Sumitomo Mitsui Banking Corporation raised their rates by 0.25% from the previous month, bringing their most favorable rates to 1.195% and 1.525%, respectively. The other three banks kept their rates unchanged. This reflects the increase in the benchmark short-term prime rate following the Bank of Japan's additional rate hike in June. For fixed-rate loans, all five banks raised their most favorable rates for 10-year fixed mortgages: Mitsubishi UFJ Bank increased by 0.04% to 3.63%, Sumitomo Mitsui Banking Corporation by 0.05% to 3.70%, Mizuho Bank by 0.1% to 3.45%, Sumitomo Mitsui Trust Bank by 0.09% to 4.195%, and Resona Bank by 0.16% to 3.955%.

Amova Asset Management, under the Sumitomo Mitsui Trust Group, announced on the 26th that it has agreed to establish a joint venture for asset management in Vietnam with BIDV Securities (BSC), a securities company under the Bank for Investment and Development of Vietnam (BIDV). The aim is to capture Vietnam's asset management demand, which is expected to expand due to economic growth and increasing financial assets. By combining BIDV and BSC's local customer base and market knowledge with Amova's global investment capabilities, they will provide services to individual and institutional investors. Subject to regulatory approvals, the stake ratio and establishment timing have not been disclosed. Vietnam's GDP is currently growing at over 8%, and Amova positions the country as a key market in its global growth strategy. This agreement is based on the strategic relationship that Sumitomo Mitsui Trust Group and BIDV have built since 2013, expanding collaboration into asset management. BSC was established in 1999 and had capital of approximately 2.4537 trillion Vietnamese dong (about 15 billion yen) as of the end of March 2026.

Sumitomo Mitsui Trust Bank has established an investment fund for existing real estate in 2025 through a jointly owned company with emerging real estate developer Staple. The move comes as rising labor and material costs make new construction more expensive and harder to turn a profit. The fund aims to revitalize regional areas by developing hotels as core assets and surrounding restaurants and other facilities to create vibrant communities. In sourcing properties, it is collaborating with six regional banks—Akita, Ashikaga, Gunma, Kochi, Juhachi Shinyo, and Chugoku—as well as major travel agencies. The first investment is a hotel in Nihonbashi, Tokyo, with plans for investments in Shodoshima, Kagawa Prefecture, and Hakodate, Hokkaido. After the redeveloped properties achieve stable operations, the bank is considering selling them to long-term holding funds to allow individuals and local businesses to invest in small amounts. In the realm of existing property redevelopment, Mizuho Financial Group also established an office renovation fund in 2025, and Norinchukin Bank is advancing investments in collaboration with a U.S. real estate services company.

Sumitomo Mitsui Trust Group is preparing to enter Vietnam's asset management industry as early as next year through a joint venture with state-owned lender Bank for Investment and Development of Vietnam, according to a Nikkei report. Under the proposed structure, Sumitomo Mitsui Trust will own 49% of the venture and BIDV will hold 51%, with the business expected to offer investment funds and manage money entrusted by clients, limited to domestic assets under Vietnamese rules. Sumitomo Mitsui Trust is targeting about $1.9 billion in assets under management in the early phase and plans to develop the business into one of Vietnam's bigger asset managers by using BIDV's customer network of roughly 1,100 branches nationwide. The move comes as Japanese lenders in Southeast Asia have traditionally concentrated on financing Japanese companies and supporting merger and acquisition activity, while Mitsubishi UFJ Financial Group and Sumitomo Mitsui Financial Group have been expanding through stakes in local financial institutions. Sumitomo Mitsui Trust's overseas operations are focused on the US, Europe and Singapore, but the group is increasing its efforts across Southeast Asia, including Vietnam.

The combined net profit of five major Japanese banking groups in the April–June 2026 quarter rose 42.3% year-on-year to 1.9564 trillion yen. The Bank of Japan's rate hikes improved lending margins, while rising stock prices boosted fee income from investment trust sales and other sources. By bank, net profit rose 48.2% at Mitsubishi UFJ, 33.0% at Sumitomo Mitsui Financial Group, 45.5% at Mizuho Financial Group, 56.6% at Sumitomo Mitsui Trust Group, and 14.2% at Resona Holdings. All except Resona posted record April–June profits. For the full year ending March 2027, Mizuho and Resona raised their forecasts following the additional rate hike in June, while the other three banks kept theirs unchanged.

Mizuho Bank and Sumitomo Mitsui Trust Bank will raise yen time deposit rates from August 3. Mizuho Bank will increase the one-year rate by 0.1 percentage point to 0.5 percent, and the five-year rate by 0.125 percentage point to 0.825 percent, with hikes ranging from 0.1 to 0.175 percentage point depending on the term. Sumitomo Mitsui Trust Bank will raise the one-year rate by 0.1 percentage point to 0.525 percent, with increases of 0.1 to 0.3 percentage point depending on the term. Other major banks are expected to follow suit soon.

Sumitomo Mitsui Trust Group reported first-quarter net income attributable to owners of the parent of 142.2 billion yen, up 56.6% from 90.8 billion yen a year earlier. Net income per share of common stock rose to 204.72 yen from 128.10 yen. Ordinary income climbed 20.5% to 786.4 billion yen, while ordinary profit increased 108.5% to 173.5 billion yen. For the fiscal year ending March 31, 2027, the company forecasts consolidated net income of 380 billion yen, a 19.7% increase from the previous fiscal year, with net income per share projected at 137.67 yen.

Mitsubishi UFJ Bank, Sumitomo Mitsui Banking Corporation, Mizuho Bank, Resona Bank, and Sumitomo Mitsui Trust Bank began offering preferential interest rates on housing loans, renovation loans, and unsecured loans for victims of the earthquake that struck Kumamoto Prefecture on the 29th. Rates will be reduced upon submission of a disaster victim certificate, and affected businesses will also receive low-interest financing. The Kyushu Local Finance Bureau and the Bank of Japan's Kumamoto Branch have requested that financial institutions allow withdrawals based on identity verification even if passbooks or seals have been lost, and each bank plans to respond flexibly. The Life Insurance Association of Japan and the General Insurance Association of Japan announced that premium payment grace periods will be extended by up to six months, and insurance claim procedures will be simplified.

AIRA Group and the Tokyo Stock Exchange successfully held a special seminar titled Decode Japan's Investment Landscape, offering perspectives on the direction of Japan's stock market amid the AI and semiconductor trends driving the global economy. The event drew a strong turnout of high-net-worth investors and interested participants. Mr. Masanori Yoshida from Japan Exchange Group shared updates on governance reforms reflected in rising dividends, share buybacks, and increasing mergers and acquisitions. Meanwhile, Mr. Naohide Une from Investment Lab noted that Japan's stock market has delivered an average annual return of 13.4% over the past 15 years, and presented a three-group AI investment framework: direct semiconductor plays, actual AI users, and beneficiaries of AI-driven labor replacement. He emphasized that opportunities extend beyond blue-chip stocks to mid- and small-cap companies involved in data centers and automation. Mr. Hirofumi Hayashi from Sumi Trust added that global active funds remain significantly underweight Japan, implying future buying potential, and cited Warren Buffett's gradual increase in Japanese trading company holdings as evidence of improved cash flow quality and governance. All three panelists agreed that the market's rise is supported by structural governance reforms and sustained corporate profit growth. Many large listed Japanese companies have expanded their revenue bases internationally, benefiting from global economic growth, a weaker yen, and the semiconductor investment cycle, as reflected in improving earnings per share and return on equity. While Japan may lack leaders in graphic chip design or cutting-edge foundries, it remains strong in chipmaking machinery and equipment, industrial materials, infrastructure equipment testing, and physical automation. Mr. Pairoj Luengthalerngpong, Chief Executive Officer of AIRA Securities Public Company Limited, said that combining perspectives from a market regulator, the private sector, and a global financial institution gives Thai investors comprehensive, in-depth insights for crafting investment strategies in Japan's capital market. He summarized three key takeaways for Thai investors: Japan's stock market continues to grow steadily on strong earnings; a gradual accumulation strategy should be used to mitigate timing risk; and focus should be on earnings fundamentals and governance rather than trading on daily news flow, especially as index returns become concentrated in a handful of AI and semiconductor stocks. This collaboration between AIRA Group and the Tokyo Stock Exchange underscores a commitment to promoting investment knowledge and expanding access for Thai investors to information and opportunities in leading Japanese companies.

Sony Bank announced on July 13 that it will begin offering US dollar-denominated digital securities on July 29 to raise funds for investment in a music catalog that bundles rights to multiple songs. The investment target is an investment partnership established by GIC and Sony Music Group of the United States, in which Sony Bank also participates. US dollars deposited by investors will be lent primarily to Sony Bank through a trust, and the bank will use the borrowed funds for music catalog investments. The digital securities will be structured and issued by Sumitomo Mitsui Trust Bank, offered by Sony Bank, and managed on Securitize Japan's private blockchain platform.

Sumitomo Mitsui Trust Group announced on the 7th that it has signed an agreement to acquire a 15% voting stake in Morrison, an infrastructure investment manager with main bases in New Zealand and Australia, through its subsidiary Sumitomo Mitsui Trust Bank, making it an equity-method affiliate. The acquisition price is believed to be in the tens of billions of yen, with the acquisition period scheduled for October to December after obtaining approval from relevant regulatory authorities in each country. As part of strengthening the partnership, it will also invest 500 million dollars in an infrastructure investment fund managed by Morrison. Sumitomo Mitsui Trust Bank aims to achieve 1.5 billion dollars in joint assets under management through a two-way initiative of introducing Morrison's products to Japanese investors and its own products to investors in the Asian region. Morrison was established in 1988, and as of March 2026 its assets under management exceeded approximately 30 billion dollars, marking its first partnership in the Japanese market.