Products & Services

DCME's equity business covers Japanese, Asian and European equities. Our broad ranging sales coverage, supported by award winning research and real time market colour enables us to support you in meeting your financial objectives. Our network of branches across Europe contributes to a strong sales and trading platform globally.

Japanese Equities

The Japanese Equity department provides investment advice and research to a wide range of UK based institutions who are interested in investing in Japanese equities. We work closely with our colleagues on the Asian Equity desk to additionally provide a service to Asia including Japan and Global investors. We tailor products to service Long-only, Long / Short and convertible bond arbitrage investors.

Our research arm provides detailed research on all areas of the Japanese equity market. Our research is consistently rated in the top three by Nikkei, Institutional Investor and Economist surveys. As a sales desk we have great in-depth Japanese equity market experience, with the majority of the desk being bilingual. The combination of experienced sales staff and strong research capabilities means we are able to provide investors with actionable, value added investment ideas.

Asian Equities

The Asian Equity department has research capabilities that cover a range of areas, which complement the existing operations across Asia. The department is focused on broadening its institutional investor client base globally.

The Asian Equity team in Europe runs a full team of sales and sales trading in Asian equities.

European Equities

The UK & European Equity sales desk provide research and trading services in conjunction with specialist providers in Europe. We are also able to arrange Corporate Access and run regular conference calls for access purposes. We target institutional investors and work closely with our parent company, Daiwa Securities Co Ltd, who sells the European equity products to institutional and retail investors in Japan.

Execution Services

Execution Services desk provides market access, commentary and trading strategy advice for institutional investors active in Japanese and Asian markets, and for Asian clients active in European markets.

In Asia we are plugged in to Daiwa’s network of offices and exchange seats in Japan, Korea, Taiwan, Hong Kong, Philippines, Singapore and India which are supplemented by local partners throughout ASEAN region and the Indian subcontinent.

In Europe we have electronic access to the region including Middle East and Africa via partner relationships, while in the North America our sister company Daiwa Capital Markets America has brokerage operations in New York and San Francisco.

We offer a traditional High Touch service alongside Low Touch and Electronic capabilities in a majority of the markets in which we are active, taking advantage of our own AI-enhanced algos in major Asia markets such as Japan, Hong Kong and Korea and our Liquidity Solutions team in Tokyo.

The Fixed Income Division at Daiwa Europe comprises four departments (MTNs, Fixed Income Trading, Fixed Income Sales and Japan Desk) and one team (Business Management) and specialises in investment grade Fixed Income instruments denominated in a wide range of currencies, with a particular emphasis on government bonds and sovereign/supranational/agency credits. Our team of experienced professionals offers impartial and expert advice to borrowers and investors in the capital markets, and is recognised as one of the finest participants in the field.

Fixed income trading

Daiwa Europe’s Fixed Income Trading department comprises two sections:

• Government Trading, which focuses on trading the US Treasury market, supporting our designated primary dealership status in the US, the Eurozone government markets, the UK Gilt market, and the Australian Commonwealth government bond market.
• Credit Trading, which focuses on trading investment grade fixed and floating rate products in the secondary markets across a very broad range of currencies and formats, with a particular expertise in sovereign, supranational, and agency names.

Fixed Income Sales

Daiwa Europe’s Fixed Income Sales department comprises a team of seasoned professionals enjoying deep rooted, long term relationships with the major institutional investors in the UK, Europe, the Middle East and Africa. Working closely with the other sale teams based in Japan, Asia, and the US to ensure seamless global coverage, the team distributes the firm’s primary market transactions and provides a comprehensive service for its clients in the secondary market. This is complemented by our recently introduced electronic trading service, enabling investors to trade with Daiwa Europe quickly and efficiently via all three major e-trading venues:

• Bloomberg
• Tradeweb
• MarketAxess

MTNs & Structured Products

The firm offers plain vanilla products and range of structured products (e.g. FX, IR, equity, and credit-linked) arranged on behalf of a broad range of borrowers and SPVs in a variety of currencies. Such notes are specifically targeted towards European, Asian and Japanese institutional and retail investors.

Japan Desk

Daiwa Europe’s Japan Desk department comprises two sections:

• Trading, which focuses on trading JGBs, where we enjoy a leading position in Japan, and non-Yen bonds issued by Japanese issuers such as agency names.
• Sales, which focus on sales coverage of Fixed Income products to institutional investors with a primary focus on Japanese clients.

Daiwa is a market leader in this segment and has one of the leading sales, trading and research teams. This is a customer-driven business, with dedicated teams in London, Frankfurt and Hong Kong to provide coverage in those time zones.

The firm consistently ranks in the top three of both the Asian and the Japanese convertible bond league tables. Furthermore Daiwa benefits from having a long established dedicated convertible bonds team that has worked successfully together over many years.

Sales & Trading: We market a broad range of Japan, Asian and European convertible bonds to a global client base and maintain strong relationships with global institutional convertible investors, including convertible bond funds, hedge funds and asset managers.

Research: Our extensive research and analytics resources means the trading teams are well equipped to trade in convertible securities using pricing and detailed analytics.

For further information relating to the convertible bond market making business, please contact one of the following:

Asian and Japanese Convertible Bonds

London: +44 20 7597 7999

Hong Kong: +852 2773 8300

Frankfurt: +4969 271 3980

The firm's Investment Banking Division provides both public and private sector clients with a variety of Equity Capital Markets, Debt Capital Markets and Syndication services.

Equity Capital Markets

This area helps to facilitate equity and equity-linked issues for clients including those in Japan and Asia

• Japanese Issuers: Backed by Daiwa’s strong position as a leading player in equity financing in Japan, the ECM team in London provides equity and equity-linked products of Japanese companies in the global markets. Our numerous award-winning issues prove Daiwa’s expertise in origination, structuring, syndication and execution of transactions in global IPOs and follow-on offerings, as well as structured finance such as convertible and exchangeable bonds. Daiwa’s global sales coverage ensures distribution of instruments as well as aftermarket performance.
• International Issuers: International issuers are also served by the ECM team, which is a tightly integrated global group led from London with experienced personnel based also in Tokyo, Hong Kong, Singapore, Seoul, Taipei and Beijing. We specialise in arranging distribution into Japan and Asia, as well as Europe and the Middle East for privatisations and other major international issues.

Debt Capital Markets

Primarily concerned with the development of business with international borrowers in the Primary/New Issue debt market, targeted at Japanese and non-Japanese retail and institutional investors. Strong client relationships and detailed product knowledge are key factors in facilitating successful transactions. With this in mind, the DCM teams both in Daiwa Capital Markets Europe Limited and Daiwa Capital Markets Deutschland GmbH’s investment banking professionals are in constant dialogue with their issuer clients to provide the highest standards of service.

DCM is a customer-facing department responsible for bonds origination and clients relationship with a wide range of borrowers across Europe, Africa, the Middle East and some in Canada to be sold to Japanese and non-Japanese based institutional investors, as well as Japan based retail investors. The main products and services offered to clients by Debt Capital Markets (DCM) both from Daiwa Capital Markets Europe in London (DCME) and Daiwa Capital Markets Deutschland GmbH in Frankfurt (DCMD) are:

• International bonds: both in the Global and Eurobond format. Primarily Yen, USD and AUD denominated issues but also Euro and other currencies from time to time;
• Domestic bonds: "Samurai" format for international borrowers issuing in Yen denominated debt securities; widely distributed to the domestic Japanese retail and institutional investor base;
• "Uridashi" bonds: International bonds in Eurobond format distributed to retail Japanese investors;
• ESG/SDG bonds originated by DCM team;
• Euro Medium Term Notes (EMTNs) mainly targeted at institutional investors inside and outside Japan;
• Deal specific and general debt investor relations roadshows in Japan;
• and documentation preparation and advice.

Daiwa Capital Markets works closely with issuers to provide advice on interest rate, currency, equity and credit risk management issues in order to identify solutions that precisely match their requirements.

Syndication

The Syndication department underwrites and manages the execution of new public transactions of all types in the primary debt market. These include fixed and floating rate transactions arranged on behalf of a broad range of prestigious borrowers in a variety of currencies, such as notes being targeted towards institutional investors worldwide.

In recent years, the firm has enjoyed considerable success in expanding its primary market activities, primarily in USD, JPY , AUD, but also in Euro and other currencies.

We have enjoyed a leading position in the Japanese SSA US$ market, achieving No.1 in the League Tables over the past five years. This has been recognised by the broader market with Global Capital awarding Daiwa “Most Impressive SSA House for the Japanese Market” for the first time in 2021.

The Syndication department has offices in London, New York, Tokyo, Singapore and Melbourne providing clients with seamless execution on a Global basis.

ESG/SDG Bonds

ESG/SDG bonds represent fixed income instruments issued by organisations to raise funds for a specific purpose or project which adhere to environmental, social and governance (ESG) factors. Examples of ESG/SDG bonds or theme bonds include Vaccine Bonds, Poverty Reduction Bonds, Social Bonds, Water Bonds and Infrastructure Bonds. Daiwa continues to play a key role in promoting new and innovative themes and believes that the ESG/SDG market will continue to expand.

The firm provides widely-followed economic research across Europe and Asia.

The London Research Division produces research covering developments in the global economy and fixed income markets. The Research Division is part of Daiwa's comprehensive global research capability, providing our clients with access to award-winning equity, fixed income and economic analysis from around the world.

The Economic Research Team in London produces a variety of reports on the euro area, UK and Japanese economies and financial markets, drawing on the company’s vast network of resources, relationships and experience in Japan and around the world. The team works closely with Daiwa's other economic research teams around the globe, including in New York and Hong Kong.

For more information please see our FICC Research home page.

The Credit Research team provides insight into developments in the SSA and European financials market, including issues related to sustainable development goals (SDGs) and environmental, social and corporate governance (ESG) themes.

General introductory information in relation to Daiwa’s SDGs/ESG content is available here: https://www.daiwa-grp.jp/english/sdgs/data/

Access to our Research

Please contact us to receive our research via e-mail.

For access to our research, please follow the link below: