Primary contents from here.
Committed to Addressing the Needs of All Stakeholders for Full Satisfaction
1. Basic Management Policy
Okasan Securities Group Inc. manages a corporate group comprised of itself, a holding company, and the Group's Japanese and overseas consolidated subsidiaries. The Group strives to strengthen enterprise value in a sustained manner through the provision of investment services centering on the securities business and asset management.
2. Basic policy on the distribution of profits
Returning profits to shareholders as an important management issue. The distribution of profits is a policy based on enhancing retained earnings to reinforce management practices and pave the way for future growth. Our fundamental approach entails the distribution of dividends in line with performance and based on the need to maintain stable dividends.
The company's articles of incorporation stipulate the record date for the year-end dividend is March 31 and the record date for the interim dividend is September 30. The company's articles of incorporation also allow the company to set record dates and pay dividends from retained earnings and to determine dividends from retained earnings by resolution of the Board of Directors, pursuant to Article 459, Paragraph 1 of the Companies Act.
3. Important management index
In rapidly changing market conditions, it is important to secure stable profits. Based on this understanding, we consider return on equity (ROE) an important management index. We aim to achieve a stable consolidated ROE of 10% as a business objective.
4. Medium and long-term management strategy
Read the medium-term management plan for the Okasan Securities Group.
5. Challenges the Company should address
The global business environment in which we operate creates a general impression of uncertainty and instability, as exemplified by developments such as Britain’s decision to leave the EU and the rise of President Trump in the United States. The world focus has increasingly shifted to the growing disparities and other negative aspects of globalization, which has driven global growth over the past 30 years or longer. The pendulum appears to be swinging toward an antiglobalism outlook. At the same time, digital innovations are expected to generate revolutionary growth. Attention is turning to various emerging areas, including the rapid spread in the application of artificial intelligence (AI) and the Internet of things (IoT), along with the sharing economy and singularities in which AI can surpass human capabilities.
Alongside FinTech innovations, emerging signs in the financial industry point to reforms that would rival the Japan Big Bang policies of roughly 20 years ago. All around the world, the business model of the securities industry itself is being called into question, as seen in the strengthening of regulations on securities accounts linked to pension plans in the U.S. and the MiFID II directive in Europe. These developments are now prompting structural reforms. As we move forward, how a company chooses to respond to such developments may have an even clearer bearing on its success or failure.
Under such conditions, the Group believes its societal role of providing optimal investment advice and financial instruments tailored to customer needs will grow ever more important. To win even broader and deeper support from our wide range of customers, we believe we will need to strengthen the unique brand as a securities company established in the more than 94 years since our founding. To do so, in line with the new medium-term management plan that took effect in April 2017, we plan to implement a wide range of measures.
In our role as a team of investment advising professionals, we will promote human resource development and qualitative improvements in our marketing to strengthen the foundations of our personalized service, the core of our business. In addition, cooperation and partnerships both inside and outside the Group are growing stronger, as demonstrated by the penetration of the Okasan brand in the provision of products via a wide range of sales channels in our asset-management business, an expanding and unmatched network of securities companies achieved through business and capital alliances, and efforts to approach new customer bases in the online securities business. Through these and other initiatives, we plan to achieve sustained improvements in the corporate value of our Group.