Reported 4 months ago
Iyogin Holdings Inc., a rural bank in Ehime, Japan, has achieved record net income for two consecutive years due to gains from investments in foreign bonds, particularly Treasuries. Unlike most Japanese banks that faced losses on foreign notes due to currency hedging, Iyogin foresaw the US Federal Reserve's rate hikes and the yen's devaluation against the dollar. By avoiding hedging and anticipating market shifts, the bank tripled gains from bonds for the last fiscal year. Chief Executive Officer Kenji Miyoshi highlighted the bank's risk management strategies and highlighted ongoing adjustments to prepare for potential Fed rate cuts.
Source: YAHOO