Morningstar - Japan Post Bank Co. Ltd. (7182) Japan Post Banks lack of a lending business makes it difficult to bring ROE above 4%.

Report

Morningstar

Michael Makdad

EUR 100.00 For Business Accounts Only

Japan Post Bank's lack of a lending business makes it difficult to bring ROE above 4%.

Japan Post Bank has more customer deposits than any other financial institution in Japan (15% of all deposits) but differs from a typical bank in that it makes few loans (less than 4% of its total assets) and instead invests in securities on the asset side of its huge balance sheet, making it more like a deposit-funded investment pool. It was converted from a former government agency into a business corporation in 2007 and partly privatized in 2015 when its parent company Japan Post Holdings sol...

18/10/2018 11 EN

Underlying

Japan Post Bank Co. Ltd.

Japan Post Bank is a commercial banking group based in Japan. Co. is engaged in banking operations as a member of the Japan Post Group with total assets of Y209,568,820 million as of Mar 31 2017. Co.'s principal operations comprise deposit-taking, syndicated loans and other lending, securities investment, domestic and foreign exchange, retail sales of Japanese government bonds and investment trusts as well as insurance products, intermediary services including mortgages, and credit card operations. Co. provides its products and services through a nationwide network of approximately 23,826 post office. In addition Co. maintains a network of 234 banking branches.

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JP3946750001 Japan

Provider

Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

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Analysts

Michael Makdad

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Japan Post Bank's lack of a lending business makes it difficult to bring ROE above 4%.

With a more favourable environment, JAPAN POST BANK improves to Positive

Morningstar | New Scheme for Post-Office Fees Could Help Japan Post Bank Cut Costs

Morningstar | New Scheme for Post-Office Fees Could Help Japan Post Bank Cut Costs. See Updated Analyst Note from 27 May 2019

Business as Usual for No-Moat Lonza; Specialty Ingredients Carve-Out on Track for 2020

Sasol Provides Full-Year Production Update

Sasol Provides Full-Year Production Update

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