Japanese Bank Adjusts Investments Due to Bond Losses from Rate Bets

Reported 8 months ago

Norinchukin Bank, the largest agricultural bank in Japan, plans to revamp its investment portfolio after facing significant losses from selling around 10 trillion yen ($63 billion) in US and European sovereign bonds. The bank anticipates a net loss of 1.5 trillion yen for the fiscal year ending in March 2025, three times higher than the previous estimate of 500 billion yen. To recover from the losses, the bank intends to gradually divest its foreign bonds, explore collateralized loan obligations and other investment options like domestic and overseas bonds, stocks, and project financing.

Source: YAHOO

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