Nomura to snap up ING’s Taiwanese asset management arm

13 January 2014   Category: News, Asia, Taiwan   By Hui Ching-hoo

Amsterdam-based ING Group has agreed is to sell its Taiwan asset entity ING Securities & Investment and Trust Company (ING SITC) to Japan’s Nomura Asset Management for an undisclosed sum. 

ING Group said on its website that the transaction is in line with the group’s earlier announced strategy to divest its insurance business. It is subject to regulatory approval and expected to close in the second quarter of 2014.

ING Group sold its Taiwanese life insurance business to Fubon Financial Holding in October 2008 for a consideration equivalent to US$600 million.

ING SITC Taiwan is among the top ten investment management firms in Taiwan with approximately €5.2 billion (US$7.12 billion) in AUM as of October 31.

Toshihiro Iwasaki, CEO of Nomura Asset Management, notes: “This acquisition is part of our ongoing expansion in Asia and represents a very important opportunity for us to enter the Taiwanese market, one of the leading mutual fund markets in Asia. ING Securities Investment and Trust Company Limited, Taiwan has an outstanding marketing team and investment management platform that has been built up over many years. By leveraging the firm’s existing capabilities, we aim to enhance our presence in the local market while continuing to build out our investment management business in Asia.”

Donna Chen, managing director of Keystone Intelligence in Taiwan, tells Asia Asset Management that ING SITC will benefit from Nomura’s expertise in ETFs and Japanese investment products. According to her, several foreign asset managers intend to break into the Taiwan market via the acquisitions of local entities as they can then directly access the onshore market.