SuMi TRUST at a Glance
SuMi TRUST at a Glance
SuMi TRUST Holdings — Overview
Japan's only trust banking group
As a financial group with core trust banking operations, we command a dominant market position in many trust-related businesses.
in asset management
Assets under management
We boast one of the largest AUMs in all of Asia among our Group's asset management firms and Sumitomo Mitsui Trust Bank, Limited.
From institutional investors to individuals, our Group manages a variety of traditional and private assets for our diverse clientele.
in asset administration
Assets under custody
The balance of securities and other assets under custody at the Group's dedicated asset administration bank comes to more than ¥200 trillion. An indispensable presence for both institutional and individual investors.
in corporate pensions
Balance of corporate pension funds
We design pension systems and cater to various other corporate pension needs. As a pioneer of defined contribution pension plans, we boast a market share of more than 20%.
in stock transfer agency services
Number of shareholders under administration
We manage shares issued by other corporations. With 40% of listed companies utilizing our services, we support the smooth undertaking of corporate stock practices.
(As of March 2022)
SuMi TRUST Holdings — Strengths
Competitive advantage derived from a hybrid model of banking and trust services
As a dedicated trust bank group capable of providing banking services as well as specialized trust-related services, we offer a myriad of services to our clients. The strengths of the Group originate from this hybrid business model—it enables us to solve the numerous issues faced by our clients and furnishes us with a stable earnings structure largely impervious to the interest rate environment.
Operating the businesses required by individuals, corporations, and investors
Meticulously meeting the needs of each generation of clients.
As we draw closer to an era in which more people will likely live to the age of 100, the financial services sought by individual clients are growing increasingly diversified. To address such wide-ranging needs across different age groups—namely, asset formation for the future, asset administration during old age, and asset inheritance to the next generation—we provide optimum services by way of high-quality, comprehensive consulting unique to a financial group specialized in trust banking.
Providing value to corporate clients
Addressing not just financial needs, but also growing non-financial needs.
For corporate clients, tackling issues that drive company growth is an urgent matter. Such issues might include the enhancement of corporate governance or sustainability initiatives, rather than just typical financial matters. We deliver versatile and highly specialized solutions that only a financial group specialized in trust banking can provide based on the acquisition and analysis of non-financial information.
Providing value to investor clients
Supporting clients at every stage of the investment chain.
Perpetually low interest rates are the reason why the needs of investor clients are growing increasingly diverse. As the only financial institution with the resources to handle nearly all asset management functions, including investment management, administration, and sale, the SuMi TRUST Group can deliver the best solutions to clients by undertaking multiple roles in the investment chain.
High fee ratio and low non-performing loan ratio derived from hybrid business model
Fee income from trust-related businesses underpins a stable earnings structure largely impervious to the interest rate environment. Our commitment to providing various trust-related services attuned to client needs will ensure sustained and steady growth up ahead.
Source: Based on the results for FY2021 from the disclosed materials of each company
The details are as follows.
3 Japanese mega banks：MUFG、SMFG、Mizuho FG
3 major banks in USA：Citi Group, Bank of America, JP morgan
3 major banks in Europe：BNP Paribas S.A., Deutsche Bank AG, Barclays PLC
Non-performing loan ratio
Mortgage loans make up the bulk of lending to individuals, while large domestic corporations comprise the lion's share of corporate loans. Our low non-performing loan ratio owes to disciplined credit exposure management.
Leveraging our trust functions to contribute to the sustainable development of society
Sustainability initiatives with strong links to our trust businesses
The functions of trusts have long played a key role in solving various issues in society and sustainability initiatives in the spotlight in more recent times also align closely with our trust businesses. We aim to contribute even further to the sustainable development of society up ahead by fully harnessing the strengths of the Group's business model to solve the issues faced by our clients.
Solutions to client issues
Trust functions can meet the extensive needs of clients
Solutions to social issues
Solving client issues can also help solve social issues
Initiatives on Shareholder Returns
Maintaining stable shareholder returns in line with growth
Ever since the management integration of the SuMi TRUST Group, we have realized raising the dividend amount and paying dividends in a stable manner in line with steady profit growth.
Aim to raise consolidated dividend payout ratio to around 40% in or around FY2022.