Bank of Tokyo-Mitsubishi has transferred its credit derivatives trading operation to its securities arm, Mitsubishi Securities, to offer a wider range of instruments to a broader client base. The move has been in the works since last year (DW, 5/4), but the securities firm did not receive a license from the Japanese Financial Services Agency until earlier this summer, according to Nobukazu Saeki, chief manager of the newly-created credit trading department.
The most significant area of expansion will be offering credit-linked notes to the firm's retail clients, noted Saeki. In addition, it will also look at offering convertible bond arbitrage and relative-value trades, such as bonds versus default swaps, to its institutional customers.
