Sources say Japan’s MUFG chooses Amsterdam as its base for EU investment banking

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On Wednesday, as financial institutions prepare for Britain’s exit from the European Union, sources say that Japan’s Mitsubishi UFJ Financial Group Inc (MUFG) has chosen Amsterdam as its European Union Investment banking base.

The sources, who were not authorised to talk about the matter publicly, also say that MUFG also picked Paris to open a branch for its investment banking unit.

A spokesperson from the MUFG refused to comment.

For its commercial banking operations in continental Europe, the largest lender of Japan with $2.8 trillion (£2.1 trillion) in assets has already chosen the Dutch city.

For its commercial banking operations in continental Europe, the largest lender of Japan with $2.8 trillion (£2.1 trillion) in assets has already chosen the Dutch city.Presently, MUFG Securities EMEA plc, the Japanese bank’s European investment banking unit, has its head office in London with about 600 staff.

Presently, MUFG Securities EMEA plc, the Japanese bank’s European investment banking unit, has its head office in London with about 600 staff.The sources disclosed that dozens of employees would be transferred to either Paris or Amsterdam from London. They added that the British unit would continue to operate as headquarters for the Middle East, Africa, and Europe.

The sources disclosed that dozens of employees would be transferred to either Paris or Amsterdam from London. They added that the British unit would continue to operate as headquarters for the Middle East, Africa, and Europe.Global banks have announced that they could transfer thousands of jobs out of Britain as preparation for Brexit, the country’s planned withdrawal from the European Union in 2019.

Global banks have announced that they could transfer thousands of jobs out of Britain as preparation for Brexit, the country’s planned withdrawal from the European Union in 2019.
Financial services companies require a regulated subsidiary in an EU country to offer products across the bloc, which could prompt some to transfer jobs out of Britain if it loses access to the European single market.However, MUFG’s choice of Amsterdam as its EU hub bucks the trend of other Japanese and global banking peers.

However, MUFG’s choice of Amsterdam as its EU hub bucks the trend of other Japanese and global banking peers.In July, Japan’s No. 2 and No. 3 lenders, the Mizuho Financial Group and Sumitmo Mitsui Financial Group Inc, announced that they would set up subsidiaries in Frankfurt to continue businesses in the bloc after Brexit.

In July, Japan’s No. 2 and No. 3 lenders, the Mizuho Financial Group and Sumitmo Mitsui Financial Group Inc, announced that they would setup subsidiaries in Frankfurt to continue businesses in the bloc after Brexit.

Its appeal to investment banks looking to transfer there, however, has been reduced by a cap on bonuses for the financial service industry’s workers.

A policy limiting the bonuses to 20 percent of fixed pay was brought in after the financial crisis in 2008. In June, the country’s parliament voted in to dismiss that limit in non-bidding consultative vote.