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  4. Dec. 2005

Capital Markets & IT -lakyara

Financial institutions are under constant pressure to reduce costs, improve operational efficiency, adapt to regulatory changes and grow their business. NRI believes that a combination financial knowledge and information technology are crucial to the industry’s growth and development. Through our lakyara reports, NRI identifies the various capital markets and IT issues impacting our clients and the future of their business.
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Dec. 2005

Capital Markets

Using Financial Asset Input-Output Tables to Analyze Retail Investor Trends

Takahiro Tanaka

An analysis of household sector capital flows in FY04 reveals a decline in bank deposits offset by an increase in holdings of JGBs, investment trusts, and individual annuities. While this would seem to con?rm a shift from savings to investment, households are actually opting away from risky investments, choosing instead to buy annuities and other low-risk products. We think this trend represents a business opportunity for financial institutions able to take on risk.