Document_and_Entity_Informatio
Document and Entity Information | 12 Months Ended |
Mar. 31, 2014 | |
Document Document and Entity Information [Abstract] | ' |
Document Type | '20-F |
Amendment Flag | 'false |
Document Period End Date | 31-Mar-14 |
Document Fiscal Year Focus | '2014 |
Document Fiscal Period Focus | 'FY |
Trading Symbol | 'NMR |
Entity Central Index Key | '0001163653 |
Current Fiscal Year End Date | '--03-31 |
Entity Well Known Seasoned Issuer | 'Yes |
Entity Registrant Name | 'NOMURA HOLDINGS INC |
Entity Current Reporting Status | 'Yes |
Entity Filer Category | 'Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | 3,717,630,462 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Cash and Cash Deposits: | ' | ' | ||
Cash and cash equivalents | ¥ 1,489,792 | ¥ 805,087 | ||
Time deposits | 363,682 | 577,921 | ||
Deposits with stock exchanges and other segregated cash | 335,836 | 269,744 | ||
Total cash and cash deposits | 2,189,310 | 1,652,752 | ||
Loans and receivables: | ' | ' | ||
Loans receivable (including \524,049 million and \303,956 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 1,327,875 | 1,575,494 | ||
Receivables from customers (including \2,180 million measured at fair value by applying the fair value option in 2014) | 64,070 | 63,792 | ||
Receivables from other than customers | 1,181,742 | 992,847 | ||
Allowance for doubtful accounts | -3,009 | -2,258 | ||
Total loans and receivables | 2,570,678 | 2,629,875 | ||
Collateralized agreements: | ' | ' | ||
Securities purchased under agreements to resell (including \997,788 million and \1,087,138 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 9,617,675 | 8,295,372 | ||
Securities borrowed | 7,729,326 | 5,819,885 | ||
Total collateralized agreements | 17,347,001 | 14,115,257 | ||
Trading assets and private equity investments: | ' | ' | ||
Trading assets (including securities pledged as collateral of \7,707,813 million and \9,266,192 million in 2013 and 2014, respectively; including \19,970 million and \9,156 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 18,672,318 | 17,037,191 | ||
Private equity investments (including \44,134 million and \3,476 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 41,996 | 87,158 | ||
Total trading assets and private equity investments | 18,714,314 | 17,124,349 | ||
Other assets: | ' | ' | ||
Office buildings, land, equipment and facilities (net of accumulated depreciation and amortization of \355,831 million and \350,820 million in 2013 and 2014, respectively) | 408,917 | 428,241 | ||
Non-trading debt securities | 1,023,746 | 920,611 | ||
Investments in equity securities | 136,740 | 123,490 | ||
Investments in and advances to affiliated companies | 345,434 | 345,705 | ||
Other (including \1,632 million and \56,976 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 784,174 | 602,159 | ||
Total other assets | 2,699,011 | 2,420,206 | ||
Total assets | 43,520,314 | 37,942,439 | ||
LIABILITIES AND EQUITY | ' | ' | ||
Short-term borrowings (including \77,036 million and \49,279 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 602,131 | [1] | 738,445 | [1] |
Payables and deposits: | ' | ' | ||
Payables to customers | 492,516 | 476,705 | ||
Payables to other than customers | 1,230,176 | 864,962 | ||
Deposits received at banks | 1,114,181 | 1,072,134 | ||
Total payables and deposits | 2,836,873 | 2,413,801 | ||
Collateralized financing: | ' | ' | ||
Securities sold under agreements to repurchase (including \264,767 million and \530,397 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 13,937,690 | 12,444,317 | ||
Securities loaned | 2,359,809 | 2,158,559 | ||
Other secured borrowings | 814,500 | 806,507 | ||
Total collateralized financing | 17,111,999 | 15,409,383 | ||
Trading liabilities | 11,047,285 | 8,491,296 | ||
Other liabilities (including \2,360 million and \1,123 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 1,141,750 | 978,163 | ||
Long-term borrowings (including \1,664,536 million and \1,984,986 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 8,227,063 | 7,592,368 | ||
Total liabilities | 40,967,101 | 35,623,456 | ||
Common stock | ' | ' | ||
No par value shares; Authorized-6,000,000,000 shares in 2013 and 2014, Issued-3,822,562,601 shares in 2013 and 2014, Outstanding-3,710,960,252 shares in 2013 and 3,717,630,462 shares in 2014 | 594,493 | 594,493 | ||
Additional paid-in capital | 683,638 | 691,264 | ||
Retained earnings | 1,287,003 | 1,136,523 | ||
Accumulated other comprehensive income (loss) | 20,636 | -57,395 | ||
Total NHI shareholder's equity before treasury stock | 2,585,770 | 2,364,885 | ||
Common stock held in treasury, at cost-111,602,349 shares in 2013 and 104,932,139 shares in 2014 | -72,090 | -70,514 | ||
Total NHI shareholders' equity | 2,513,680 | 2,294,371 | ||
Noncontrolling interests | 39,533 | 24,612 | ||
Total equity | 2,553,213 | 2,318,983 | ||
Total liabilities and equity | 43,520,314 | 37,942,439 | ||
Variable Interest Entity, primary beneficiary [Member] | ' | ' | ||
Cash and Cash Deposits: | ' | ' | ||
Cash and cash equivalents | 18,000 | 13,000 | ||
Total cash and cash deposits | 18,000 | 13,000 | ||
Collateralized agreements: | ' | ' | ||
Securities purchased under agreements to resell (including \997,788 million and \1,087,138 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 32,000 | 12,000 | ||
Trading assets and private equity investments: | ' | ' | ||
Private equity investments (including \44,134 million and \3,476 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 1,000 | 1,000 | ||
Total trading assets and private equity investments | 751,000 | 695,000 | ||
Other assets: | ' | ' | ||
Office buildings, land, equipment and facilities (net of accumulated depreciation and amortization of \355,831 million and \350,820 million in 2013 and 2014, respectively) | 12,000 | 17,000 | ||
Other (including \1,632 million and \56,976 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 70,000 | [2] | 64,000 | [2] |
Total other assets | 114,000 | 93,000 | ||
Total assets | 883,000 | 801,000 | ||
Collateralized financing: | ' | ' | ||
Securities sold under agreements to repurchase (including \264,767 million and \530,397 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 23,000 | 4,000 | ||
Trading liabilities | 42,000 | 21,000 | ||
Other liabilities (including \2,360 million and \1,123 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 27,000 | 11,000 | ||
Long-term borrowings (including \1,664,536 million and \1,984,986 million measured at fair value by applying the fair value option in 2013 and 2014, respectively) | 424,000 | 458,000 | ||
Total liabilities | ¥ 493,000 | ¥ 490,000 | ||
[1] | Includes secured borrowings of \13,779 million as of March 31, 2013 and \10,715 million as of March 31, 2014. | |||
[2] | Includes aircraft purchase deposits of \16 billion and \5 billion as of March 31, 2013 and 2014, respectively. In relation to these aircraft purchase deposits, certain of these SPEs have commitments to purchase aircraft. See Note 23 "Commitments, contingencies and guarantees" for further information. |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Millions, except Share data, unless otherwise specified | ||||
CONSOLIDATED BALANCE SHEETS [Abstract] | ' | ' | ||
Loans receivable, fair value | ¥ 303,956 | [1] | ¥ 524,049 | [1] |
Receivables from Customers, fair value | 2,180 | ' | ||
Securities purchased under agreements to resell, fair value | 1,087,138 | 997,788 | ||
Trading assets, securities pledged as collateral | 9,266,192 | 7,707,813 | ||
Trading assets, fair value | 9,156 | 19,970 | ||
Private equity investments, fair value | 3,476 | 44,134 | ||
Office buildings, land, equipment and facilities, net of accumulated depreciation and amortization | 350,820 | 355,831 | ||
Other assets, fair value | 56,976 | 1,632 | ||
Short-term borrowings, fair value | 49,279 | 77,036 | ||
Securities sold under agreements to repurchase, fair value | 530,397 | 264,767 | ||
Other liabilities, fair value | 1,123 | 2,360 | ||
Long-term borrowings, fair value | ¥ 1,984,986 | ¥ 1,664,536 | ||
Common stock | ' | ' | ||
Authorized | 6,000,000,000 | 6,000,000,000 | ||
Issued | 3,822,562,601 | 3,822,562,601 | ||
Outstanding | 3,717,630,462 | 3,710,960,252 | ||
Common stock held in treasury, shares | 104,932,139 | 111,602,349 | ||
[1] | Includes loans receivable and loan commitments carried at fair value through election of the fair value option. |
CONSOLIDATED_STATEMENTS_OF_INC
CONSOLIDATED STATEMENTS OF INCOME (JPY ¥) | 12 Months Ended | |||||
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Revenue: | ' | ' | ' | |||
Commissions | ¥ 474,557 | ¥ 359,069 | ¥ 347,135 | |||
Fees from investment banking | 91,301 | 62,353 | 59,638 | |||
Asset management and portfolio service fees | 167,247 | 141,029 | 144,251 | |||
Net gain on trading | 476,356 | 367,979 | 272,557 | |||
Gain on private equity investments | 11,392 | 8,053 | 25,098 | |||
Interest and dividends | 416,350 | 394,007 | 435,890 | |||
Gain on investments in equity securities | 15,156 | 38,686 | 4,005 | |||
Other | 179,485 | 708,767 | 563,186 | |||
Total revenue | 1,831,844 | 2,079,943 | 1,851,760 | |||
Interest expense | 274,774 | 266,312 | 315,901 | |||
Net revenue | 1,557,070 | [1] | 1,813,631 | [1] | 1,535,859 | [1] |
Non-interest expenses: | ' | ' | ' | |||
Compensation and benefits | 570,058 | 547,591 | 534,648 | |||
Commissions and floor brokerage | 111,849 | 91,388 | 93,500 | |||
Information processing and communications | 192,168 | 179,904 | 177,148 | |||
Occupancy and related depreciation | 80,142 | 91,545 | 100,891 | |||
Business development expenses | 38,485 | 49,010 | 48,488 | |||
Other | 202,754 | 616,463 | 496,227 | |||
Total non-interest expenses | 1,195,456 | 1,575,901 | 1,450,902 | |||
Income before income taxes | 361,614 | 237,730 | 84,957 | |||
Income tax expense | 145,165 | 132,039 | 58,903 | |||
Net income | 216,449 | 105,691 | 26,054 | |||
Less: Net income (loss) attributable to noncontrolling interests | 2,858 | -1,543 | 14,471 | |||
Net income attributable to NHI shareholders | ¥ 213,591 | ¥ 107,234 | ¥ 11,583 | |||
Basic- | ' | ' | ' | |||
Net income attributable to NHI shareholders per share | ¥ 57.57 | ¥ 29.04 | ¥ 3.18 | |||
Diluted- | ' | ' | ' | |||
Net income attributable to NHI shareholders per share | ¥ 55.81 | ¥ 28.37 | ¥ 3.14 | |||
[1] | There is no revenue derived from transactions with a single major external customer. |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | ' | ' | ' |
Net income | ¥ 216,449 | ¥ 105,691 | ¥ 26,054 |
Other comprehensive income (loss): | ' | ' | ' |
Change in cumulative translation adjustments, net of tax | 68,090 | 74,301 | -13,801 |
Defined benefit pension plans: | ' | ' | ' |
Pension liability adjustment | 15,093 | 8,702 | -4,203 |
Deferred income taxes | -5,384 | -3,007 | 1,548 |
Total | 9,709 | 5,695 | -2,655 |
Non-trading securities: | ' | ' | ' |
Net unrealized gain on non-trading securities | 3,358 | 17,283 | 1,339 |
Deferred income taxes | -1,109 | -4,650 | -498 |
Total | 2,249 | 12,633 | 841 |
Total other comprehensive income (loss) | 80,048 | 92,629 | -15,615 |
Comprehensive income | 296,497 | 198,320 | 10,439 |
Less: Comprehensive income attributable to noncontrolling interests | 4,875 | 3,332 | 14,309 |
Comprehensive income (loss) attributable to NHI shareholders | ¥ 291,622 | ¥ 194,988 | ¥ (3,870) |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (JPY ¥) | Total | Common stock [Member] | Additional paid-in capital [Member] | Retained earnings [Member] | Accumulated other comprehensive income (loss) [Member] | Cumulative translation adjustments [Member] | Defined benefit pension plans [Member] | Non-trading securities [Member] | Common stock held in treasury [Member] | Total NHI shareholders' equity [Member] | Noncontrolling interests [Member] |
In Millions, unless otherwise specified | |||||||||||
Balance at beginning of year at Mar. 31, 2011 | ' | ¥ 594,493 | ¥ 646,315 | ¥ 1,069,334 | ' | ¥ (97,426) | ¥ (32,270) | ' | ¥ (97,692) | ' | ¥ 8,882 |
Issuance of common stock | ' | ' | 30,356 | ' | ' | ' | ' | ' | ' | ' | ' |
Gain (loss) on sales of treasury stock | ' | ' | 719 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance and exercise of common stock options | ' | ' | 19,466 | ' | ' | ' | ' | ' | ' | ' | ' |
Net income attributable to NHI shareholders | 11,583 | ' | ' | 11,583 | ' | ' | ' | ' | ' | ' | ' |
Cash dividends | ' | ' | ' | -21,972 | ' | ' | ' | ' | ' | ' | -2,760 |
Net change during the year | ' | ' | ' | ' | ' | -13,226 | ' | ' | ' | ' | ' |
Repurchases of common stock | ' | ' | ' | ' | ' | ' | ' | ' | -8,944 | ' | ' |
Sales of common stock | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' |
Common stock issued to employees | ' | ' | ' | ' | ' | ' | ' | ' | 6,693 | ' | ' |
Net income (loss) attributable to noncontrolling interests | -14,471 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14,471 |
Other net change in treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | 123 | ' | ' |
Accumulated other comprehensive income (loss) attributable to noncontrolling interests | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cumulative translation adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -575 |
Pension liability adjustment | -2,655 | ' | ' | ' | ' | ' | -2,862 | ' | ' | ' | 207 |
Net unrealized gain on non-trading securities | 1,339 | ' | ' | ' | ' | ' | ' | 635 | ' | ' | 206 |
Purchase / sale of subsidiary shares, net | ' | ' | 1,915 | ' | ' | ' | ' | ' | ' | ' | 271,515 |
Other net change in noncontrolling interests | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -10,050 |
Balance at end of year at Mar. 31, 2012 | 2,389,137 | 594,493 | 698,771 | 1,058,945 | -145,149 | -110,652 | -35,132 | 635 | -99,819 | 2,107,241 | 281,896 |
Issuance of common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain (loss) on sales of treasury stock | ' | ' | -1,798 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance and exercise of common stock options | ' | ' | -5,700 | ' | ' | ' | ' | ' | ' | ' | ' |
Net income attributable to NHI shareholders | 107,234 | ' | ' | 107,234 | ' | ' | ' | ' | ' | ' | ' |
Cash dividends | ' | ' | ' | -29,656 | ' | ' | ' | ' | ' | ' | -3,422 |
Net change during the year | ' | ' | ' | ' | ' | 71,777 | ' | ' | ' | ' | ' |
Repurchases of common stock | ' | ' | ' | ' | ' | ' | ' | ' | -7 | ' | ' |
Sales of common stock | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' |
Common stock issued to employees | ' | ' | ' | ' | ' | ' | ' | ' | 29,507 | ' | ' |
Net income (loss) attributable to noncontrolling interests | 1,543 | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,543 |
Other net change in treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | -196 | ' | ' |
Accumulated other comprehensive income (loss) attributable to noncontrolling interests | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cumulative translation adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,524 |
Pension liability adjustment | 5,695 | ' | ' | ' | ' | ' | 6,614 | ' | ' | ' | -919 |
Net unrealized gain on non-trading securities | 17,283 | ' | ' | ' | ' | ' | ' | 9,363 | ' | ' | 3,270 |
Purchase / sale of subsidiary shares, net | ' | ' | -9 | ' | ' | ' | ' | ' | ' | ' | -247,782 |
Other net change in noncontrolling interests | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -9,412 |
Balance at end of year at Mar. 31, 2013 | 2,318,983 | 594,493 | 691,264 | 1,136,523 | -57,395 | -38,875 | -28,518 | 9,998 | -70,514 | 2,294,371 | 24,612 |
Issuance of common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain (loss) on sales of treasury stock | ' | ' | -7,647 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance and exercise of common stock options | ' | ' | -210 | ' | ' | ' | ' | ' | ' | ' | ' |
Net income attributable to NHI shareholders | 213,591 | ' | ' | 213,591 | ' | ' | ' | ' | ' | ' | ' |
Cash dividends | ' | ' | ' | -63,111 | ' | ' | ' | ' | ' | ' | -40 |
Net change during the year | ' | ' | ' | ' | ' | 66,579 | ' | ' | ' | ' | ' |
Repurchases of common stock | ' | ' | ' | ' | ' | ' | ' | ' | -32,511 | ' | ' |
Sales of common stock | ' | ' | ' | ' | ' | ' | ' | ' | 9 | ' | ' |
Common stock issued to employees | ' | ' | ' | ' | ' | ' | ' | ' | 30,127 | ' | ' |
Net income (loss) attributable to noncontrolling interests | -2,858 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,858 |
Other net change in treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | 799 | ' | ' |
Accumulated other comprehensive income (loss) attributable to noncontrolling interests | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cumulative translation adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,511 |
Pension liability adjustment | 9,709 | ' | ' | ' | ' | ' | 9,709 | ' | ' | ' | ' |
Net unrealized gain on non-trading securities | 3,358 | ' | ' | ' | ' | ' | ' | 1,743 | ' | ' | 506 |
Purchase / sale of subsidiary shares, net | ' | ' | 231 | ' | ' | ' | ' | ' | ' | ' | 341 |
Other net change in noncontrolling interests | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,745 |
Balance at end of year at Mar. 31, 2014 | ¥ 2,553,213 | ¥ 594,493 | ¥ 683,638 | ¥ 1,287,003 | ¥ 20,636 | ¥ 27,704 | ¥ (18,809) | ¥ 11,741 | ¥ (72,090) | ¥ 2,513,680 | ¥ 39,533 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Cash flows from operating activities: | ' | ' | ' |
Net income | ¥ 216,449 | ¥ 105,691 | ¥ 26,054 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ' | ' | ' |
Depreciation and amortization | 79,468 | 91,493 | 100,572 |
Stock option expenses | 21,091 | 21,955 | 26,869 |
(Gain) loss on investments in equity securities | -15,156 | -38,686 | -4,005 |
Equity in earnings of affiliates, net of dividends received | -29,499 | -13,003 | -969 |
Loss on disposal of office buildings, land, equipment and facilities | 8,360 | 17,641 | 5,351 |
Deferred income taxes | 117,061 | 53,957 | 37,772 |
Changes in operating assets and liabilities: | ' | ' | ' |
Time deposits | 274,593 | 137,526 | -318,104 |
Deposits with stock exchanges and other segregated cash | -42,403 | -9,461 | -39,225 |
Trading assets and private equity investments | -485,673 | -1,448,489 | 971,327 |
Trading liabilities | 2,007,807 | 248,019 | -1,058,445 |
Securities purchased under agreements to resell, net of securities sold under agreements to repurchase | -183,884 | 1,375,929 | 980,156 |
Securities borrowed, net of securities loaned | -1,604,469 | 863,511 | -508,844 |
Other secured borrowings | 7,992 | -84,444 | -271,498 |
Loans and receivables, net of allowance for doubtful accounts | 217,397 | -238,318 | 28,933 |
Payables | 278,325 | -305,672 | 218,915 |
Bonus accrual | 16,356 | 31,415 | -13,356 |
Accrued income taxes, net | -87,933 | 50,019 | 5,055 |
Other, net | -338,456 | -309,582 | 104,305 |
Net cash provided by (used in) operating activities | 457,426 | 549,501 | 290,863 |
Cash flows from investing activities: | ' | ' | ' |
Payments for purchases of office buildings, land, equipment and facilities | -214,336 | -271,975 | -182,568 |
Proceeds from sales of office buildings, land, equipment and facilities | 176,680 | 147,653 | 120,435 |
Payments for purchases of investments in equity securities | -4,799 | -319 | -138 |
Proceeds from sales of investments in equity securities | 6,945 | 3,741 | 5,485 |
(Increase) decrease in loans receivable at banks, net | -10,972 | 22,189 | 30,591 |
Increase in non-trading debt securities, net | -103,187 | -54,237 | -968 |
Business combinations or disposals, net | ' | -5,919 | 35,597 |
Decrease (increase) in investments in affiliated companies, net | 43,298 | -1,391 | 2,146 |
Other, net | 3,176 | -228 | -638 |
Net cash provided by (used in) investing activities | -103,195 | -160,486 | 9,942 |
Cash flows from financing activities: | ' | ' | ' |
Increase in long-term borrowings | 2,140,351 | 1,930,357 | 2,015,446 |
Decrease in long-term borrowings | -1,594,148 | -2,330,509 | -2,883,078 |
Decrease in short-term borrowings, net | -149,437 | -416,174 | -56,383 |
Increase in deposits received at banks, net | -23,605 | 129,384 | 117,047 |
Proceeds from sales of common stock held in treasury | 682 | 56 | 10 |
Payments for repurchases of common stock held in treasury | -32,511 | -7 | -8,287 |
Payments for cash dividends | -51,947 | -14,730 | -29,066 |
Net cash provided by (used in) financing activities | 289,385 | -701,623 | -844,311 |
Effect of exchange rate changes on cash and cash equivalents | 41,089 | 47,175 | -6,314 |
Net increase (decrease) in cash and cash equivalents | 684,705 | -265,433 | -549,820 |
Cash and cash equivalents at beginning of the year | 805,087 | 1,070,520 | 1,620,340 |
Cash and cash equivalents at end of the year | 1,489,792 | 805,087 | 1,070,520 |
Cash paid during the year for- | ' | ' | ' |
Interest | 303,331 | 296,643 | 338,802 |
Income tax payments, net | ¥ 116,037 | ¥ 28,063 | ¥ 16,076 |
CONSOLIDATED_STATEMENTS_OF_CAS1
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) (JPY ¥) | 12 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2013 | Mar. 31, 2012 |
Non cash activities | ' | ' |
Assets acquired, excluding cash and cash equivalents | ' | ¥ 2,132,740 |
Debt assumed | ' | 1,784,621 |
Assets sold, excluding cash and cash equivalents | 1,488,853 | ' |
Debt assumed by the purchaser | ¥ 1,166,556 | ' |
Summary_of_accounting_policies
Summary of accounting policies | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Summary of accounting policies | ' | ||||||||
Summary of accounting policies | ' | ||||||||
1. Summary of accounting policies: | |||||||||
Description of business— | |||||||||
Nomura Holdings, Inc. (the “Company”) and its broker-dealer, banking and other financial services subsidiaries provide investment, financing and related services to individual, institutional and government clients on a global basis. The Company and other entities in which it has a controlling financial interest are collectively referred to as “Nomura” within these consolidated financial statements. | |||||||||
Nomura operates its business through various divisions based upon the nature of specific products and services, its main client base and its management structure. Nomura reports operating results through three business segments: Retail, Asset Management and Wholesale. | |||||||||
In its Retail segment, Nomura provides investment consultation services mainly to individual clients in Japan. In its Asset Management segment, Nomura develops and manages investment trusts, and provides investment advisory services. In its Wholesale segment, Nomura is engaged in the sales and trading of debt and equity securities, derivatives, and currencies on a global basis to various institutions, provides investment banking services such as the underwriting of debt and equity securities as well as mergers and acquisitions and financial advice and invests in private equity businesses and seeks to maximize returns on these investments by increasing the corporate value of investee companies. | |||||||||
Basis of presentation— | |||||||||
The accounting and financial reporting policies of the Company conform to accounting principles generally accepted in the United States (“U.S. GAAP”) as applicable to broker-dealers. | |||||||||
These consolidated financial statements include the accounts of the Company and other entities in which it has a controlling financial interest. The Company initially determines whether it has a controlling financial interest in an entity by evaluating whether the entity is a variable interest entity (“VIE”) under Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”) 810 “Consolidation” (“ASC 810”). VIEs are entities in which equity investors do not have the characteristics of a controlling financial interest or which do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support. The Company consolidates VIEs where Nomura is the primary beneficiary, which is where Nomura holds variable interests that provide power over the most significant activities of the VIE and the right to receive benefits or the obligation to absorb losses meeting a significance test, provided that Nomura is not acting as a fiduciary for other interest holders. For certain VIEs that qualify as investment companies under ASC 946 “Financial Services—Investment Companies” (“ASC 946”) or for which it is industry practice to apply guidance consistent with the measurement principles in ASC 946, Nomura is the primary beneficiary when it holds an interest that will absorb a majority of the expected losses or a majority of the expected residual returns of the entity, or both. | |||||||||
For entities other than VIEs, Nomura is generally determined to have a controlling financial interest in an entity when it owns a majority of the voting interests. | |||||||||
Equity investments in entities in which Nomura has significant influence over operating and financial decisions (generally defined as 20 to 50 percent of the voting stock of a corporate entity, or at least 3 percent of a limited partnership) are accounted for under the equity method of accounting (“equity method investments”) and reported within Other assets—Investments in and advances to affiliated companies or at fair value by electing the fair value option permitted by ASC 825 “Financial Instruments” (“ASC 825”) and reported within Trading assets, Private equity investments or Other assets—Other. Other investments are reported within Trading assets. Equity investments in which Nomura has neither control nor significant influence are carried at fair value, with changes in fair value recognized through the consolidated statements of income or the consolidated statements of comprehensive income. | |||||||||
Certain entities in which Nomura has a financial interest are investment companies under ASC 946. These entities carry all of their investments at fair value, with changes in fair value recognized through the consolidated statements of income. | |||||||||
The Company’s principal subsidiaries include Nomura Securities Co., Ltd. (“NSC”), Nomura Securities International, Inc. (“NSI”) and Nomura International plc (“NIP”). | |||||||||
All material intercompany transactions and balances have been eliminated on consolidation. Certain reclassifications of previously reported amounts have been made to conform to the current year presentation. | |||||||||
Use of estimates— | |||||||||
In presenting these consolidated financial statements, management makes estimates regarding the valuation of certain financial instruments and investments, the outcome of litigation and tax examinations, the recovery of the carrying value of goodwill, the allowance for doubtful accounts, the realization of deferred tax assets and other matters that affect the reported amounts of assets and liabilities as well as the disclosures in these consolidated financial statements. Estimates, by their nature, are based on judgment and available information. Therefore, actual results may differ from estimates which could have a material impact on these consolidated financial statements, and it is possible that such adjustments could occur in the near term. | |||||||||
Fair value of financial instruments— | |||||||||
A significant amount of Nomura’s financial assets and financial liabilities are carried at fair value, with changes in fair value recognized through the consolidated statements of income or the consolidated statements of comprehensive income. Use of fair value is either specifically required under U.S. GAAP or Nomura makes an election to use fair value for certain eligible items under the fair value option. | |||||||||
Other financial assets and financial liabilities are carried at fair value on a nonrecurring basis, where the primary measurement basis is not fair value. Fair value is only used in specific circumstances after initial recognition, such as to measure impairment. | |||||||||
In all cases, fair value is determined in accordance with ASC 820 “Fair Value Measurements and Disclosures” (“ASC 820”) which defines fair value as the amount that would be exchanged to sell a financial asset or transfer a financial liability in an orderly transaction between market participants at the measurement date. It assumes that the transaction occurs in Nomura’s principal market, or in the absence of a principal market, the most advantageous market for the relevant financial asset or financial liability. See Note 2 “Fair value measurements” for further information regarding how Nomura estimates fair value for specific types of financial instruments used in the ordinary course of business. | |||||||||
Private equity business— | |||||||||
Private equity investments are generally carried at fair value, with changes in fair value recognized through the consolidated statements of income. See Note 4 “Private equity business” for further information. | |||||||||
Transfers of financial assets— | |||||||||
Nomura accounts for the transfer of a financial asset as a sale when Nomura relinquishes control over the asset by meeting the following conditions: (a) the asset has been isolated from the transferor (even in bankruptcy or other receivership), (b) the transferee has the right to pledge or exchange the asset received, or if the transferee is an entity whose sole purpose is to engage in securitization or asset-backed financing activities, if, the holders of its beneficial interests have the right to pledge or exchange the beneficial interests held and (c) the transferor has not maintained effective control over the transferred asset. | |||||||||
In connection with its securitization activities, Nomura utilizes special purpose entities (“SPEs”) to securitize commercial and residential mortgage loans, government and corporate securities and other types of financial assets. Nomura’s involvement with SPEs includes structuring and underwriting, distributing and selling debt instruments and beneficial interests issued by SPEs to investors. Nomura derecognizes financial assets transferred in securitizations provided that Nomura has relinquished control over such assets and does not consolidate the SPE. Nomura may obtain or retain an interest in the financial assets, including residual interests in the SPEs dependent upon prevailing market conditions. Any such interests are accounted for at fair value and reported within Trading assets in the consolidated balance sheets with the change in fair value reported within Revenue—Net gain on trading in the consolidated statements of income. | |||||||||
Foreign currency translation— | |||||||||
The financial statements of the Company’s subsidiaries are measured using their functional currency which is the currency of the primary economic environment in which the entity operates. All assets and liabilities of subsidiaries which have a functional currency other than Japanese yen are translated into Japanese yen at exchange rates in effect at the balance sheet date; all revenue and expenses are translated at the average exchange rates for the respective years and the resulting translation adjustments are accumulated and reported within Accumulated other comprehensive income (loss) in NHI shareholders’ equity. | |||||||||
Foreign currency assets and liabilities are translated at exchange rates in effect at the balance sheet date and the resulting translation gains or losses are credited or charged to the consolidated statements of income. | |||||||||
Fee revenue— | |||||||||
Revenue—Commissions includes amounts charged for executing brokerage transactions accrued on a trade date basis and are included in current period earnings. Revenue—Fees from investment banking includes securities underwriting fees and other corporate financing services fees. Underwriting fees are recorded when services for underwriting are completed. All other fees are recognized when related services are performed. Revenue—Asset management and portfolio service fees are accrued over the period that the related services are provided or when specified performance requirements are met. | |||||||||
Trading assets and trading liabilities— | |||||||||
Trading assets and Trading liabilities primarily comprise debt and equity securities, derivatives and loans which are generally recognized on the consolidated balance sheets on a trade date basis and carried at fair value with changes in fair value reported within Revenue—Net gain on trading in the consolidated statements of income. | |||||||||
Collateralized agreements and collateralized financing— | |||||||||
Collateralized agreements consist of reverse repurchase agreements disclosed as Securities purchased under agreements to resell and securities borrowing transactions disclosed as Securities borrowed. Collateralized financing consists of repurchase agreements disclosed as Securities sold under agreements to repurchase, securities lending transactions disclosed as Securities loaned and other secured borrowings. | |||||||||
Reverse repurchase and repurchase agreements principally involve the buying or selling of securities under agreements with clients to resell or repurchase these securities to or from those clients, respectively. These transactions are generally accounted for as collateralized agreements or collateralized financing transactions and are recognized in the consolidated balance sheets at the amount for which the securities were originally acquired or sold with applicable accrued interest, as appropriate. Certain reverse repurchase and repurchase agreements are carried at fair value through election of the fair value option. No allowance for credit losses is generally recognized against reverse repurchase agreements due to the strict collateralization requirements. | |||||||||
Repurchase agreements where the maturity of the security transferred as collateral matches the maturity of the repurchase agreement (“repurchase-to-maturity transactions”) are accounted for as sales rather than collateralized financings where the criteria for derecognition of the securities transferred under ASC 860 “Transfers and Servicing” (“ASC 860”) are met. There were no securities derecognized from the consolidated balance sheets under repurchase-to-maturity transactions as of March 31, 2013 and 2014, respectively. | |||||||||
In June 2014, the FASB issued new guidance which changes the accounting for repurchase-to-maturity transactions. See “Future accounting developments” below for further information regarding this new guidance. | |||||||||
Nomura also enters into Gensaki Repo transactions which are the standard type of repurchase agreement used in the Japanese financial market. Gensaki Repo transactions contain margin requirements, rights of security substitution, and certain restrictions on the client’s right to sell or repledge the transferred securities. Gensaki Repo transactions are accounted for as collateralized agreements or collateralized financing transactions and are recognized on the consolidated balance sheets at the amount that the securities were originally acquired or sold with applicable accrued interest, as appropriate. | |||||||||
Reverse repurchase agreements and repurchase agreements, securities borrowing and lending transactions with the same counterparty documented under a master netting agreement are offset in the consolidated balance sheets where the specific criteria defined by ASC 210-20 “Balance Sheet—Offsetting” (“ASC 210-20”) are met. These criteria include requirements around the maturity of the transactions, the underlying systems on which the collateral is settled, associated banking arrangements and the legal enforceability of close-out and offsetting rights under the master netting agreement. | |||||||||
Securities borrowing and lending transactions are generally accounted for as collateralized agreements and collateralized financing transactions, respectively. These transactions are generally cash collateralized and are recognized on the consolidated balance sheets at the amount of cash collateral advanced or received. No allowance for credit losses is generally recognized against securities borrowing transactions due to the strict collateralization requirements. | |||||||||
Other secured borrowings consist primarily of secured borrowings from financial institutions and central banks in the inter-bank money market, and are recorded at contractual amounts due. | |||||||||
Trading balances of secured borrowings consist of liabilities related to transfers of financial assets that are accounted for as secured financing transactions rather than sales and are reported in the consolidated balance sheets within Long-term borrowings. The fair value option is generally elected for these transactions, which are carried at fair value on a recurring basis. See Note 8 “Securitizations and Variable Interest Entities” and Note 13 “Borrowings” for further information regarding these transactions. | |||||||||
All Nomura-owned securities pledged to counterparties where the counterparty has the right to sell or repledge the securities, including collateral transferred under Gensaki Repo transactions, are reported parenthetically within Trading assets as Securities pledged as collateral in the consolidated balance sheets. | |||||||||
Derivatives— | |||||||||
Nomura uses a variety of derivative financial instruments, including futures, forwards, swaps and options, for both trading and non-trading purposes. All freestanding derivatives are carried at fair value in the consolidated balance sheets and reported within Trading assets or Trading liabilities depending on whether fair value is positive or negative, respectively. Certain derivatives embedded in hybrid financial instruments such as structured notes and certificates of deposit are bifurcated from the host contract and are also carried at fair value in the consolidated balance sheets and reported within Short-term borrowings or Long-term borrowings depending on the maturity of the underlying host contract. | |||||||||
Changes in fair value are recognized either through the consolidated statements of income or the consolidated statements of comprehensive income depending on the purpose for which the derivatives are used. | |||||||||
Derivative assets and liabilities with the same counterparty documented under a master netting agreement are offset in the consolidated balance sheets where the specific criteria defined by ASC 210-20 and ASC 815 “Derivatives and Hedging” (“ASC 815”) are met. These criteria include requirements around the legal enforceability of such close-out and offset rights under the master netting agreement. In addition, fair value amounts recognized for the right to reclaim cash collateral (a receivable) and the obligation to return cash collateral (a payable) are also offset against net derivative liabilities and net derivative assets, respectively, where certain additional criteria are met. | |||||||||
Trading | |||||||||
Derivative financial instruments used for trading purposes, including bifurcated embedded derivatives, are carried at fair value with changes in fair value reported in the consolidated statements of income within Revenue—Net gain on trading. | |||||||||
Non-trading | |||||||||
In addition to its trading activities, Nomura uses derivative financial instruments for other than trading purposes such as to manage risk exposures arising from recognized assets and liabilities, forecasted transactions and firm commitments. Certain derivatives used for non-trading purposes are formally designated as fair value and net investment hedges under ASC 815. | |||||||||
Nomura designates derivative financial instruments as fair value hedges of interest rate risk arising from specific financial liabilities. These derivatives are effective in reducing the risk associated with the exposure being hedged and they are highly correlated with changes in the fair value of the underlying hedged item, both at inception and throughout the life of the hedge contract. Changes in fair value of the hedging derivatives are reported together with those of the hedged liabilities through the consolidated statements of income within Interest expense. | |||||||||
Derivative financial instruments designated as hedges of the net investment in foreign operations are linked to specific subsidiaries with non-Japanese yen functional currencies. When determining the effectiveness of net investment hedges, the effective portion of the change in fair value of the hedging derivative is determined by changes in spot exchange rates and is reported through NHI shareholders’ equity within Accumulated other comprehensive income (loss). The change in fair value of the hedging derivatives attributable to changes in the difference between the forward rate and spot rate is excluded from the measure of hedge effectiveness and is reported in the consolidated statements of income within Revenue—Other. | |||||||||
See Note 3 “Derivative instruments and hedging activities” for further information. | |||||||||
Loans receivable— | |||||||||
Loans receivable are loans which management intends to hold for the foreseeable future. Loans receivable are either carried at fair value or at amortized cost. Interest earned on loans receivable is generally reported in the consolidated statements of income within Revenue—Interest and dividends. | |||||||||
Loans receivable carried at fair value | |||||||||
Certain loans which are risk managed on a fair value basis are carried at fair value through election of the fair value option. Nomura makes this election to mitigate volatility in the consolidated statements of income caused by the difference in measurement basis that would otherwise exist between the loans and the derivatives used to risk manage those loans. Changes in the fair value of loans receivable carried at fair value are reported in the consolidated statements of income within Revenue—Net gain on trading. | |||||||||
Loans receivable carried at amortized cost | |||||||||
Loans receivable which are not carried at fair value are carried at amortized cost. Amortized cost represents cost adjusted for deferred fees and costs, unamortized premiums or discounts on purchased loans and after deducting any applicable allowance for loan losses. | |||||||||
Loan origination fees, net of direct origination costs, are amortized to Revenue—Interest and dividends as an adjustment to yield over the life of the loan. Net unamortized deferred fees and costs were ¥406 million and ¥808 million as of March 31, 2013 and March 31, 2014, respectively. | |||||||||
See Note 9 “Financing receivables” for further information. | |||||||||
Other receivables— | |||||||||
Receivables from customers include amounts receivable on client securities transactions and Receivables from other than customers include amounts receivable for securities failed to deliver, margin deposits, cash collateral receivables for derivative transactions commissions, and net receivables arising from unsettled securities transactions. The net receivable arising from unsettled securities transactions reported within Receivables from other than customers was ¥258,604 million and ¥349,573 million as of March 31, 2013 and March 31, 2014, respectively. | |||||||||
These amounts are carried at contractual amounts due less any applicable allowance for credit losses which reflects management’s best estimate of probable losses incurred within these receivables which have been specifically identified as impaired. The allowance for credit losses is reported in the consolidated balance sheets within Allowance for doubtful accounts. | |||||||||
Loan commitments— | |||||||||
Unfunded loan commitments are accounted for as either off-balance sheet instruments, or are carried at fair value on a recurring basis either as trading instruments or through election of the fair value option. | |||||||||
Loan commitments are generally accounted for in a manner consistent with the accounting for the loan receivable upon funding. Where the loan receivable will be classified as a trading asset or will be elected for the fair value option, the loan commitment is also generally held at fair value, with changes in fair value reported in the consolidated statements of income within Revenue—Net gain on trading. Loan commitment fees are recognized as part of the fair value of the commitment. | |||||||||
For loan commitments where the loan will be held for the foreseeable future, Nomura recognizes an allowance for credit losses which is reported within Other liabilities—other in the consolidated balance sheets which reflects management’s best estimate of probable losses incurred within the loan commitments which have been specifically identified as impaired. Loan commitment fees are generally deferred and recognized over the term of the loan when funded as an adjustment to yield. If drawdown of the loan commitment is considered remote, loan commitment fees are recognized over the commitment period as service revenue. | |||||||||
Payables and deposits— | |||||||||
Payables to customers include amounts payable on client securities transactions and are generally measured at contractual amounts due. | |||||||||
Payables to other than customers include payables to brokers and dealers for securities failed to receive, cash collateral payable for derivative transactions and net payables arising from unsettled securities transactions. Amounts are measured at contractual amounts due. | |||||||||
Deposits received at banks represent amounts held on deposit within Nomura’s banking subsidiaries and are measured at contractual amounts due. | |||||||||
Office buildings, land, equipment and facilities— | |||||||||
Office buildings, land, equipment and facilities, held for use by Nomura are stated at cost, net of accumulated depreciation and amortization, except for land, which is stated at cost. Significant renewals and additions are capitalized at cost. Maintenance, repairs and minor renewals are expensed as incurred in the consolidated statements of income. | |||||||||
The following table presents a breakdown of Office buildings, land, equipment and facilities as of March 31, 2013 and 2014. | |||||||||
Millions of yen | |||||||||
March 31 | |||||||||
2013 | 2014 | ||||||||
Land | ¥ | 93,800 | ¥ | 94,991 | |||||
Office buildings | 104,320 | 109,052 | |||||||
Equipment and facilities | 52,644 | 48,101 | |||||||
Software | 161,469 | 156,717 | |||||||
Construction in progress | 16,008 | 56 | |||||||
Total | ¥ | 428,241 | ¥ | 408,917 | |||||
Depreciation and amortization charges are generally computed using the straight-line method and at rates based on estimated useful lives of each asset according to general class, type of construction and use. The estimated useful lives for significant asset classes are as follows: | |||||||||
Office buildings | 5 to 50 years | ||||||||
Equipment and facilities | 2 to 20 years | ||||||||
Software | Up to 5 years | ||||||||
Depreciation and amortization is reported within Non-interest expenses—Information processing and communications in the amount of ¥54,083 million, ¥55,992 million, ¥57,173 million, and in Non-interest expenses—Occupancy and related depreciation in the amount of ¥46,489 million, and ¥35,501 million, and ¥22,295 million for the years ended March 31, 2012, 2013 and 2014, respectively. | |||||||||
Leases that involve real estate are classified as either operating or capital leases in accordance with ASC 840 “Leases” (“ASC 840”). Rent expense relating to operating leases is recognized over the lease term on a straight-line basis. If the lease is classified as a capital lease, Nomura recognizes the real estate as an asset on the consolidated balance sheets together with a lease obligation. The real estate is initially recognized at the lower of its fair value or present value of minimum lease payments, and subsequently depreciated over its useful life on straight-line basis. Where Nomura has certain involvement in the construction of real estate subject to a lease, Nomura is deemed the owner of the construction project and recognizes the real estate on the consolidated balance sheets until construction is completed. At the end of the construction period the real estate is either derecognized or continues to be recognized on the consolidated balance sheets in accordance with ASC 840, depending on the extent of Nomura’s continued involvement with the real estate. | |||||||||
Long-lived assets, excluding goodwill and indefinite-lived intangible assets, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. If the estimated future undiscounted cash flows generated by the asset is less than the carrying amount of the asset, a loss is recognized to the extent that the carrying value exceeds its fair value. | |||||||||
Nomura recognized impairment charges of ¥3,135 million, and ¥5,455 million, and ¥1,246 million primarily related to write-downs of software, office buildings, land, equipment, facilities, and other assets for the years ended March 31, 2012, 2013 and 2014, respectively. The current year impairment was primarily attributable to a change in use of certain buildings during the year. These losses are reported in the consolidated statements of income within Non-interest expenses—Other and within Other in Nomura’s segment reporting. The revised carrying values of these assets were based on the estimated fair value of the assets. | |||||||||
Investments in equity securities— | |||||||||
Nomura holds minority stakes in the equity securities of unaffiliated Japanese financial institutions and corporations in order to promote existing and potential business relationships. These companies will also often have similar investments in Nomura. Such cross-holdings are a customary business practice in Japan and provide a way for companies to manage shareholder relationships. | |||||||||
These investments, which Nomura refers to as being held for operating purposes, are carried at fair value and reported within Other assets—Investments in equity securities in the consolidated balance sheets, with changes in fair value reported within Revenue—Gain on investments in equity securities in the consolidated statements of income. These investments comprise listed and unlisted equity securities in the amounts of ¥84,739 million and ¥38,751 million, respectively, as of March 31, 2013 and ¥98,736 million and ¥38,004 million, respectively, as of March 31, 2014. | |||||||||
Other non-trading debt and equity securities— | |||||||||
Certain non-trading subsidiaries within Nomura and an insurance subsidiary which was acquired during the year ended March 31, 2012 hold debt securities and minority stakes in equity securities for non-trading purposes. Non-trading securities held by non-trading subsidiaries are carried at fair value and reported within Other assets—Non-trading debt securities and Other assets—Other in the consolidated balance sheets with changes in fair value reported within Revenue—Other in the consolidated statements of income. Non-trading securities held by the insurance subsidiary are also carried at fair value within Other assets—Non-trading debt securities and Other assets—Other in the consolidated balance sheets, and unrealized changes in fair value are reported net-of-tax within Other comprehensive income (loss) in the consolidated statements of comprehensive income. Realized gains and losses on non-trading securities are reported within Revenue—Other in the consolidated statements of income. | |||||||||
Where the fair value of non-trading securities held by Nomura’s insurance subsidiary has declined below amortized cost, these are assessed to determine whether the decline in fair value is other-than-temporary in nature. Nomura considers quantitative and qualitative factors including the length of time and extent to which fair value has been less than amortized cost, the financial condition and near-term prospects of the issuer and Nomura’s intent and ability to hold the securities for a period of time sufficient to allow for any anticipated recovery in fair value. If an other-than-temporary impairment loss exists, for equity securities, the security is written down to fair value, with the entire difference between fair value and amortized cost reported within Revenue—Other in the consolidated statements of income. For debt securities, an other-than-temporary impairment loss is also reported within Revenue—Other in the consolidated statements of income if Nomura intends to sell the debt security or it is more-likely-than-not that Nomura will be required to sell the debt security before recovery of amortized cost. If Nomura does not expect to sell or be required to sell the debt security, only the credit loss component of an other-than-temporary impairment loss is reported in the consolidated statements of income and any non-credit loss component reported within Other comprehensive income (loss) in the consolidated statements of comprehensive income. | |||||||||
See Note 7 “Non-trading securities” for further information regarding these securities. | |||||||||
Short-term and long-term borrowings— | |||||||||
Short-term borrowings are defined as borrowings which are due on demand, which have a contractual maturity of one year or less at issuance date, or which have a longer contractual maturity but which contain features outside of Nomura’s control that allows the investor to demand redemption within one year from original issuance date. Short-term and long-term borrowings primarily consist of commercial paper, bank borrowings, and certain structured notes issued by Nomura and SPEs consolidated by Nomura, and financial liabilities recognized in transfers of financial assets which are accounted for as financings rather than sales under ASC 860 (“secured financing transactions”). Of these financial liabilities, certain structured notes and secured financing transactions are accounted for at fair value on a recurring basis through election of the fair value option. Other short and long-term borrowings are carried at amortized cost. | |||||||||
Structured notes— | |||||||||
Structured notes are debt securities which contain embedded features (often meeting the accounting definition of a derivative) that alter the return to the investor from simply receiving a fixed or floating rate of interest to a return that depends upon some other variable(s) such as an equity or equity index, commodity price, foreign exchange rate, credit rating of a third party or more complex interest rate calculation. | |||||||||
All structured notes issued by Nomura on or after April 1, 2008 are carried at fair value on a recurring basis through election of the fair value option. This blanket election for structured notes is made primarily to mitigate the volatility in the consolidated statements of income caused by differences in the measurement basis for structured notes and the derivatives used to risk manage those positions and to generally simplify the accounting Nomura applies to these financial instruments. | |||||||||
Certain structured notes outstanding as of March 31, 2008 were already measured at fair value but others continue to be accounted for by Nomura by bifurcating the embedded derivative from the associated debt host contract. The embedded derivative is accounted for at fair value and the debt host contract is accounted for at amortized cost. | |||||||||
Changes in the fair value of structured notes elected for the fair value option and bifurcated embedded derivatives are reported within Revenue—Net gain on trading in the consolidated statements of income. | |||||||||
Income taxes— | |||||||||
Deferred tax assets and liabilities are recorded for the expected future tax consequences of tax loss carryforwards and temporary differences between the carrying amounts and the tax bases of assets and liabilities based upon enacted tax laws and tax rates. Nomura recognizes deferred tax assets to the extent it believes that it is more likely than not that a benefit will be realized. A valuation allowance is provided for tax benefits available to Nomura that are not deemed more likely than not to be realized. | |||||||||
Nomura recognizes and measures unrecognized tax benefits based on Nomura’s estimate of the likelihood, based on the technical merits, that tax positions will be sustained upon examination based on the facts and circumstances and information available at the end of each period. Nomura adjusts the level of unrecognized tax benefits when there is more information available, or when an event occurs requiring a change. The reassessment of unrecognized tax benefits could have a material impact on Nomura’s effective tax rate in the period in which it occurs. | |||||||||
Stock-based and other compensation awards— | |||||||||
Stock-based awards issued by Nomura to senior management and other employees are classified as either equity or liability awards depending on the terms of the award. | |||||||||
Stock-based awards such as Stock Acquisition Rights (“SARs”) which are expected to be settled by the delivery of the Company’s shares are classified as equity awards. For these awards, total compensation cost is generally fixed at the grant date and measured using the grant-date fair value of the award, net of any amount the employee is obligated to pay and estimated forfeitures. | |||||||||
Stock-based awards such as Notional Stock Units (“NSUs”) and Collared Notional Stock Units (“CSUs”) which are expected to be settled in cash are classified as liability awards. Other awards such as Notional Index Units (“NIUs”) which are linked to a world stock index quoted by Morgan Stanley Capital International and which are expected to be cash settled are also effectively classified as liability awards. Liability awards are remeasured to fair value at each balance sheet date, net of estimated forfeitures with the final measurement of cumulative compensation cost equal to the settlement amount. | |||||||||
Multi-year Performance Deferral (“MYPD”) awards which contain performance conditions and are expected to result in the issuance of SARs are classified as equity awards. MYPD awards expected to result in the issuance of NSUs are classified as liability awards. | |||||||||
For both equity and liability awards, fair value is determined either by using option pricing models, the market price of the Company’s shares or the price of the third party index, as appropriate. Compensation cost is recognized in the consolidated statements of income over the requisite service period, which generally is equal to the vesting period. For MYPD awards with performance conditions, compensation expense is also recognized over the requisite service period to the extent it is probable that the performance conditions will be met. Where an award has graded vesting, compensation expense is recognized using the accelerated recognition method. | |||||||||
Certain new deferred awards granted since May 2013 include “Full Career Retirement” provisions which permit recipients of the awards to continue to vest in the awards upon voluntary termination if certain criteria based on corporate title and length of service within Nomura are met. The requisite service period for these awards ends on the date that the recipients become eligible for Full Career Retirement. | |||||||||
See Note 16 “Deferred compensation plans” for further information regarding these awards. | |||||||||
Earnings per share— | |||||||||
The computation of basic earnings per share is based on the weighted average number of shares outstanding during the year. Diluted earnings per share reflects the assumed conversion of all dilutive securities based on the most advantageous conversion rate or exercise price available to the investors, and assuming conversion of convertible debt under the if-converted method. | |||||||||
Cash and cash equivalents— | |||||||||
Nomura defines cash and cash equivalents as cash on hand and demand deposits with banks. | |||||||||
Goodwill and intangible assets— | |||||||||
Goodwill is recognized upon completion of a business combination as the difference between the purchase price and the fair value of the net assets acquired. Subsequent to initial recognition, goodwill is not amortized but is tested for impairment at a reporting unit level during the fourth quarter of each fiscal year, or more frequently during earlier interim periods if events or circumstances indicate there may be impairment. Nomura’s reporting units are at one level below its business segments. | |||||||||
Nomura tests goodwill of each separate reporting unit by initially qualitatively assessing whether events and circumstances indicate that it is more-likely-than-not (i.e. greater than 50%) that a reporting unit’s fair value is less than its carrying amount. If such assessment indicates fair value is not less than the carrying value, the reporting unit is deemed not to be impaired and no further analysis is required. If it is more-likely-than-not that the fair value of the reporting unit is below its carrying value, a quantitative two-step impairment test is then performed. | |||||||||
In the first step, the current estimated fair value of the reporting unit is compared with its carrying value, including goodwill. If the fair value is less than the carrying value, then a second step is performed. In the second step, the implied current fair value of the reporting unit’s goodwill is determined by comparing the fair value of the reporting unit to the fair value of the net assets of the reporting unit, as if the reporting unit were being acquired in a business combination. An impairment loss is recognized if the carrying value of goodwill exceeds its implied current fair value. | |||||||||
Intangible assets not subject to amortization (“indefinite-lived intangible assets”) are also tested for impairment on an individual asset basis during the fourth quarter of each fiscal year, or more frequently during earlier interim periods if events or circumstances indicate there may be impairment. Similar to goodwill, Nomura tests an indefinite-lived intangible asset by initially qualitatively assessing whether events or circumstances indicate that it is more-likely-than-not that the fair value of the intangible asset is less than its carrying amount. If such assessment indicates fair value is not less than the carrying value, the intangible asset is deemed not to be impaired and no further analysis is required. If it is more-likely-than-not that the fair value of the intangible asset is below its carrying value, the current estimated fair value of the intangible asset is compared with its carrying value. An impairment loss is recognized if the carrying value of the intangible asset exceeds its estimated fair value. | |||||||||
Intangible assets with finite lives (“finite-lived intangible assets”) are amortized over their estimated useful lives and tested for impairment either individually or with other assets (“asset group”) when events and circumstances indicate that the carrying value of the intangible asset (or asset group) may not be recoverable. | |||||||||
A finite-lived intangible asset is impaired when its carrying amount or the carrying amount of the asset group exceeds its fair value. An impairment loss is recognized only if the carrying amount of the intangible asset (or asset group) is not recoverable and exceeds its fair value. | |||||||||
For both goodwill and intangible assets, to the extent an impairment loss is recognized, the loss establishes a new cost basis for the asset which cannot be subsequently reversed. | |||||||||
See Note 12 “Other assets—Other/Other liabilities” for further information regarding goodwill and intangible assets. | |||||||||
Nomura’s equity method investments are tested in their entirety for other-than-temporary impairment when there is an indication of impairment. The underlying assets associated with the equity method investments, including goodwill, are not tested separately for impairment. | |||||||||
Restructuring costs— | |||||||||
Costs associated with an exit activity are recognized at fair value in the period in which the liability is incurred. Such costs include one-time termination benefits provided to employees, costs to terminate certain contracts and costs to relocate employees. Termination benefits provided to employees as part of ongoing benefit arrangements are recognized as liabilities at the earlier of the date an appropriately detailed restructuring plan is approved by regional executive management or the terms of the involuntary terminations are communicated to employees potentially affected. Contractual termination benefits included in an employee’s contract of employment that is triggered by the occurrence of a specific event are recognized during the period in which it is probable that Nomura has incurred a liability and the amount of the liability can be reasonably estimated. A one-time termination benefit is established by a plan of termination that applies to a specified termination event and is recognized when an appropriately detailed restructuring plan is approved by regional executive management and the terms of the involuntary terminations are communicated to those employees potentially affected by the restructuring. | |||||||||
New accounting pronouncements adopted during the current year— | |||||||||
The following new accounting pronouncements relevant to Nomura have been adopted during the year ended March 31, 2014: | |||||||||
Disclosures about offsetting assets and liabilities | |||||||||
In December 2011, the FASB issued amendments to ASC 210-20 through issuance of ASU 2011-11 “Disclosures about Offsetting Assets and Liabilities” (“ASU 2011-11”), and issued a related amendment in January 2013 through ASU 2013-01 “Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities” (“ASU 2013-01”). These amendments require an entity to disclose information about rights of offset and related arrangements to enable users of its financial statements to understand the effect or potential effect of those arrangements on its financial position. | |||||||||
ASU 2011-11 and ASU 2013-01 are effective for fiscal years, and interim periods within those years, beginning on or after January 1, 2013 with required disclosures made retrospectively for all comparative periods presented. | |||||||||
Nomura adopted ASU 2011-11 and ASU 2013-01 from April 1, 2013. Because these amendments only require enhanced disclosures rather than change the guidance around when financial assets and financial liabilities can be offset, they have not had a material impact on these consolidated financial statements. See Note 3 “Derivative instruments and hedging activities” and Note 6 “Collateralized transactions” where the required disclosures have been provided. | |||||||||
Testing indefinite-lived intangible assets for impairment | |||||||||
In July 2012, the FASB issued amendments to ASC 350 “Intangibles—Goodwill and Other” (“ASC 350”) through issuance of ASU 2012-02 “Testing Indefinite-Lived Intangible Assets for Impairment” (“ASU 2012-02”). These amendments simplify indefinite-lived intangible assets impairment testing by permitting an entity to initially assess qualitatively whether it is necessary to perform the current quantitative impairment test required by ASC 350. If an entity determines that it is not more-likely-than-not (i.e. greater than 50%) that an indefinite-lived intangible asset fair value is less than its carrying amount, the quantitative test is not required. | |||||||||
ASU 2012-02 is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012 with early adoption permitted. | |||||||||
Nomura adopted ASU 2012-02 from April 1, 2013. Because these amendments only simplify when a quantitative test is required rather than change the quantitative test itself, ASU 2012-02 has not had a material impact on these consolidated financial statements. | |||||||||
Reporting of amounts reclassified out of accumulated other comprehensive income | |||||||||
In February 2013, the FASB issued amendments to ASC 220-10 “Comprehensive Income—Overall” through issuance of ASU 2013-02 “Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income” (“ASU 2013-02”). The amendments require an entity to disclose additional information about amounts reclassified out of accumulated other comprehensive income, including changes in accumulated other comprehensive income balances by component of accumulated other comprehensive income and information about significant items reclassified out of accumulated other comprehensive income. | |||||||||
ASU 2013-02 supersedes the presentation requirements for reclassifications out of accumulated other comprehensive income in ASU 2011-05 “Presentation of Comprehensive Income” and ASU 2011-12 “Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in Accounting Standards Update No. 2011-05”. ASU 2013-02 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2012, with early adoption permitted. | |||||||||
Nomura adopted ASU 2013-02 from April 1, 2013. Because these amendments only require changes in presentation and disclosure of amounts reclassified out of accumulated other comprehensive income rather than change the guidance regarding recognition of such amounts, they have not had a material impact on these consolidated financial statements. See Note 19 “Other comprehensive income (loss)” where the required disclosures have been provided. | |||||||||
Future accounting developments— | |||||||||
The following new accounting pronouncements relevant to Nomura will be adopted in future periods: | |||||||||
Release of cumulative translation adjustment amounts | |||||||||
In March 2013, the FASB issued amendments to ASC 810-10 “Consolidation—Overall” (“ASC 810-10”) and ASC 830-30 “Foreign Currency Matters—Translation of Financial Statements” (“ASC 830-30”) through issuance of ASU 2013-05 “Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity” (“ASU 2013-05”). The amendments resolve diversity in practice about whether guidance in ASC 810-10 or ASC 830-30 applies to the release of cumulative translation adjustment (“CTA”) amounts into earnings when a parent sells part or all of its investment in a foreign entity (or no longer holds a controlling financial interest in a subsidiary). | |||||||||
ASU 2013-05 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013 with early adoption permitted. | |||||||||
Nomura will adopt ASU 2013-05 from April 1, 2014 and does not expect a material impact on these consolidated financial statements. | |||||||||
Investment companies | |||||||||
In June 2013, the FASB issued amendments to ASC 946 through issuance of ASU 2013-08 “Amendments to the Scope, Measurement, and Disclosure Requirements” (“ASU 2013-08”). ASU 2013-08 modifies the guidance under ASC 946 for determining whether an entity is an investment company, which is an entity that is required to measure its investments at fair value, including controlling financial interests in investees that are not investment companies. ASU 2013-08 also requires an investment company to measure noncontrolling ownership interests in other investment companies at fair value rather than using the equity method of accounting, and requires certain additional disclosures including information about financial support provided, or contractually required to be provided, by an investment company to any of its investees. | |||||||||
ASU 2013-08 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013 with early adoption prohibited. | |||||||||
Nomura will adopt ASU 2013-08 from April 1, 2014 and does not expect a material impact on these consolidated financial statements. | |||||||||
Reporting Discontinued Operations | |||||||||
In April 2014, the FASB issued amendments to ASC 205, “Presentation of Financial Statements” (“ASC 205”) and ASC 360 “Property, Plant and Equipment” (“ASC 360”) through issuance of ASU 2014-08, “Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity,” (“ASU 2014-08”). ASU 2014-08 changes the criteria for discontinued operations reporting with the intention of less disposals qualifying and also introduces new presentation and disclosure requirements. | |||||||||
ASU 2014-08 is effective prospectively for all disposals or expected disposals classified as held for sale that occur within annual periods beginning on or after December 15, 2014 and interim periods within those years. Early adoption is permitted, but only for disposals or expected disposals classified as held for sale that have not been reported in financial statements previously issued or available for issue. | |||||||||
Nomura currently plans to adopt ASU 2014-08 from April 1, 2015 and does not expect these amendments to have a material impact on these consolidated financial statements. | |||||||||
Revenue Recognition | |||||||||
In May 2014, the FASB issued ASC 606 “Revenue from Contracts with Customers” (“ASC 606”) as well as amendments to other pronouncements, including ASC 350 “Intangibles—Goodwill and Other”, ASC 360 “Property, Plant, and Equipment”, and ASC 605-35 “Revenue Recognition—Construction-Type and Production-Type Contracts” through issuance of ASU 2014-09 “Revenue from Contracts with Customers” (“ASU 2014-09”). ASU 2014-09 replaces existing revenue recognition guidance in ASC 605 “Revenue Recognition”, replaces certain other industry-specific revenue recognition guidance, specifies the accounting for certain costs to obtain or fulfill a contract with a customer and provides recognition and measurement guidance in relation to sales of non-financial assets. The core principle of ASU 2014-09 is to depict the transfer of goods or services to customers at an amount that reflects the consideration to which an entity expects to be entitled in exchange for those goods or services. It provides guidance on how to achieve this core principle, including how to identify contracts with customers and separate performance obligations in the contract, how to determine and allocate the transaction price to such performance obligations and how to recognize revenue when a performance obligation has been satisfied. | |||||||||
ASU 2014-09 is effective for annual reporting periods, and interim periods within those reporting periods, beginning after December 15, 2016 with early adoption prohibited. | |||||||||
Nomura will adopt ASU 2014-09 from April 1, 2017 and is currently evaluating the potential impact it may have on these consolidated financial statements. | |||||||||
Repurchase agreements and similar transactions | |||||||||
In June 2014, the FASB issued amendments to ASC 860 “Transfers and Servicing” through issuance of ASU 2014-11 “Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures” (“ASU 2014-11”). These amendments change the accounting for repurchase-to-maturity transactions which are repurchase agreements where the maturity of the security transferred as collateral matches the maturity of the repurchase agreement. Under ASU 2014-11, all repurchase-to-maturity transactions will be accounted for as secured borrowing transactions in the same way as other repurchase agreements rather than as sales of a financial asset and forward commitment to repurchase. The amendments also change the accounting for repurchase financing arrangements which are transactions involving the transfer of a financial asset to a counterparty executed contemporaneously with a reverse repurchase agreement with the same counterparty. Under ASU 2014-11, all repurchase financings will now be accounted for separately, which will result in secured lending accounting for the reverse repurchase agreement. ASU 2014-11 also introduces new disclosure requirements regarding repurchase agreements and securities lending transactions as well as certain other transactions which involve the transfer of financial assets accounted for as sales and where the transferor retains substantially all of the exposure to the economic return on the transferred assets. | |||||||||
ASU 2014-11 is effective for interim or annual periods beginning after December 15, 2014 with early adoption prohibited. As of adoption date, the accounting for all outstanding repurchase-to-maturity transactions and repurchase financing arrangements is adjusted by means of a cumulative-effect adjustment to the balance sheet and retained earnings. | |||||||||
Nomura will adopt ASU 2014-11 from January 1, 2015 and is currently evaluating the potential impact it may have on these consolidated financial statements. | |||||||||
Stock compensations | |||||||||
In June 2014, the FASB issued amendments to ASC 718 “Compensation—Stock Compensation” (“ASC 718”) through issuance of ASU 2014-12 “Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period” (“ASU 2014-12”). ASU 2014-12 requires a performance target that affects vesting and that could be achieved after the requisite service period be accounted for as a performance condition based on the existing guidance in ASC 718 rather than as a nonvesting condition that affects the grant-date fair value of the award. | |||||||||
ASU 2014-12 is effective for annual periods, and interim periods within those annual periods, beginning after December 15, 2015 with early adoption permitted. ASU 2014-12 may be applied either by prospectively or retrospectively. | |||||||||
Nomura currently plans to adopt ASU 2014-12 from April 1, 2016 and does not expect these amendments to have a material impact on these consolidated financial statements. |
Fair_value_measurements
Fair value measurements | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Fair value measurements | ' | ||||||||||||||||||||||||||||||||||||||||
Fair value measurements | ' | ||||||||||||||||||||||||||||||||||||||||
2. Fair value measurements: | |||||||||||||||||||||||||||||||||||||||||
The fair value of financial instruments | |||||||||||||||||||||||||||||||||||||||||
A significant amount of Nomura’s financial instruments are carried at fair value. Financial assets carried at fair value on a recurring basis are reported in the consolidated balance sheets within Trading assets and private equity investments, Loans and receivables, Collateralized agreements and Other assets. Financial liabilities carried at fair value on a recurring basis are reported within Trading liabilities, Short-term borrowings, Payables and deposits, Collateralized financing, Long-term borrowings and Other liabilities. | |||||||||||||||||||||||||||||||||||||||||
Other financial assets and financial liabilities are measured at fair value on a nonrecurring basis, where the primary measurement basis is not fair value but where fair value is used in specific circumstances after initial recognition, such as to measure impairment. | |||||||||||||||||||||||||||||||||||||||||
In all cases, fair value is determined in accordance with ASC 820 which defines fair value as the amount that would be exchanged to sell a financial asset or transfer a financial liability in an orderly transaction between market participants at the measurement date. It assumes that the transaction occurs in Nomura’s principal market, or in the absence of the principal market, the most advantageous market for the relevant financial assets or financial liabilities. | |||||||||||||||||||||||||||||||||||||||||
Fair value is usually determined on an individual financial instrument basis consistent with the unit of account of the financial instrument. However, certain financial instruments managed on a portfolio basis are valued as a portfolio, namely based on the price that would be received to sell a net long position (i.e. a net financial asset) or transfer a net short position (i.e. a net financial liability) consistent with how market participants would price the net risk exposure at the measurement date. | |||||||||||||||||||||||||||||||||||||||||
Financial assets carried at fair value also include investments in certain funds where, as a practical expedient, fair value is determined on the basis of net asset value per share (“NAV per share”) if the NAV per share is calculated in accordance with certain industry standard principles. | |||||||||||||||||||||||||||||||||||||||||
Increases and decreases in the fair value of assets and liabilities will significantly impact Nomura’s position, performance, liquidity and capital resources. As explained below, valuation techniques applied contain inherent uncertainties and Nomura is unable to predict the accurate impact of future developments in the market. Where appropriate, Nomura uses economic hedging strategies to mitigate its risk, although these hedges are also subject to unpredictable movements in the market. | |||||||||||||||||||||||||||||||||||||||||
Valuation methodology for financial instruments carried at fair value on a recurring basis | |||||||||||||||||||||||||||||||||||||||||
The fair value of financial instruments is based on quoted market prices including market indices, broker or dealer quotations or an estimation by management of the expected exit price under current market conditions. Various financial instruments, including cash instruments and over-the-counter (“OTC”) contracts, have bid and offer prices that are observable in the market. These are measured at the point within the bid-offer range which best represents Nomura’s estimate of fair value. Where quoted market prices or broker or dealer quotations are not available, prices for similar instruments or valuation pricing models are considered in the determination of fair value. | |||||||||||||||||||||||||||||||||||||||||
Where quoted prices are available in active markets, no valuation adjustments are taken to modify the fair value of assets or liabilities marked using such prices. Other instruments may be measured using valuation techniques, such as valuation pricing models incorporating observable parameters, unobservable parameters or a combination of both. Valuation pricing models use parameters which would be considered by market participants in valuing similar financial instruments. | |||||||||||||||||||||||||||||||||||||||||
Valuation pricing models and their underlying assumptions impact the amount and timing of unrealized and realized gains and losses recognized, and the use of different valuation pricing models or underlying assumptions could produce different financial results. Valuation uncertainty results from a variety of factors, including the valuation technique or model selected, the quantitative assumptions used within the valuation model, the inputs into the model, as well as other factors. Valuation adjustments are used to reflect the assessment of this uncertainty. Common valuation adjustments include model reserves, credit adjustments, close-out adjustments, and other appropriate instrument-specific adjustments, such as those to reflect transfer or sale restrictions. | |||||||||||||||||||||||||||||||||||||||||
The level of adjustments is largely judgmental and is based on an assessment of the factors that management believe other market participants would use in determining the fair value of similar financial instruments. The type of adjustments taken, the methodology for the calculation of these adjustments, and the inputs for these calculations are reassessed periodically to reflect current market practice and the availability of new information. | |||||||||||||||||||||||||||||||||||||||||
For example, the fair value of certain financial instruments includes adjustments for credit risk; both with regards to counterparty credit risk on positions held and Nomura’s own creditworthiness on positions issued. Credit risk on financial assets is significantly mitigated by credit enhancements such as collateral and netting arrangements. Any net credit exposure is measured using available and applicable inputs for the relevant counterparty. The same approach is used to measure the credit exposure on Nomura’s financial liabilities as is used to measure counterparty credit risk on Nomura’s financial assets. | |||||||||||||||||||||||||||||||||||||||||
Such valuation pricing models are calibrated to the market on a regular basis and inputs used are adjusted for current market conditions and risks. The Global Model Validation Group (“MVG”) within Nomura’s Risk Management Department reviews pricing models and assesses model appropriateness and consistency independently of the front office. The model reviews consider a number of factors about a model’s suitability for valuation and sensitivity of a particular product. Valuation models are calibrated to the market on a periodic basis by comparison to observable market pricing, comparison with alternative models and analysis of risk profiles. | |||||||||||||||||||||||||||||||||||||||||
As explained above, any changes in fixed income, equity, foreign exchange and commodity markets can impact Nomura’s estimates of fair value in the future, potentially affecting trading gains and losses. Where financial contracts have longer maturity dates, Nomura’s estimates of fair value may involve greater subjectivity due to the lack of transparent market data. | |||||||||||||||||||||||||||||||||||||||||
Fair value hierarchy | |||||||||||||||||||||||||||||||||||||||||
All financial instruments measured at fair value, including those carried at fair value using the fair value option, have been categorized into a three-level hierarchy (“fair value hierarchy”) based on the transparency of valuation inputs used by Nomura to estimate fair value. A financial instrument is classified in the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement of the financial instrument. The three levels of the fair value hierarchy are defined as follows, with Level 1 representing the most transparent inputs and Level 3 representing the least transparent inputs: | |||||||||||||||||||||||||||||||||||||||||
Level 1: | |||||||||||||||||||||||||||||||||||||||||
Unadjusted quoted prices for identical financial instruments in active markets accessible by Nomura at the measurement date. | |||||||||||||||||||||||||||||||||||||||||
Level 2: | |||||||||||||||||||||||||||||||||||||||||
Quoted prices in inactive markets or prices containing other inputs which are observable, either directly or indirectly. Valuation techniques using observable inputs reflect assumptions used by market participants in pricing financial instruments and are based on data obtained from independent market sources at the measurement date. | |||||||||||||||||||||||||||||||||||||||||
Level 3: | |||||||||||||||||||||||||||||||||||||||||
Unobservable inputs that are significant to the fair value measurement of the financial instrument. Valuation techniques using unobservable inputs reflect management’s assumptions about the estimates used by other market participants in valuing similar financial instruments. These valuation techniques are developed based on the best available information at the measurement date. | |||||||||||||||||||||||||||||||||||||||||
The availability of inputs observable in the market varies by product and can be affected by a variety of factors. Significant factors include, but are not restricted to the prevalence of similar products in the market, especially for customized products, how established the product is in the market, for example, whether it is a new product or is relatively mature, and the reliability of information provided in the market which would depend, for example, on the frequency and volume of current data. A period of significant change in the market may reduce the availability of observable data. Under such circumstances, financial instruments may be reclassified into a lower level in the fair value hierarchy. | |||||||||||||||||||||||||||||||||||||||||
Significant judgments used in determining the classification of financial instruments include the nature of the market in which the product would be traded, the underlying risks, the type and liquidity of market data inputs and the nature of observed transactions for similar instruments. | |||||||||||||||||||||||||||||||||||||||||
Where valuation models include the use of parameters which are less observable or unobservable in the market, significant management judgment is used in establishing fair value. The valuations for Level 3 financial instruments, therefore, involve a greater degree of judgment than those valuations for Level 1 or Level 2 financial instruments. | |||||||||||||||||||||||||||||||||||||||||
Certain criteria management use to determine whether a market is active or inactive include the number of transactions, the frequency that pricing is updated by other market participants, the variability of price quotes among market participants, and the amount of publicly available information. | |||||||||||||||||||||||||||||||||||||||||
The following tables present the amounts of Nomura’s financial instruments measured at fair value on a recurring basis as of March 31, 2013 and 2014 within the fair value hierarchy. | |||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Counterparty | Balance as of | |||||||||||||||||||||||||||||||||||||
and | March 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Cash Collateral | |||||||||||||||||||||||||||||||||||||||||
Netting(1) | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments(2) | |||||||||||||||||||||||||||||||||||||||||
Equities(3) | ¥ | 1,008 | ¥ | 720 | ¥ | 129 | ¥ | — | ¥ | 1,857 | |||||||||||||||||||||||||||||||
Private equity investments(3) | — | — | 87 | — | 87 | ||||||||||||||||||||||||||||||||||||
Japanese government securities | 3,331 | — | — | — | 3,331 | ||||||||||||||||||||||||||||||||||||
Japanese agency and municipal securities | — | 72 | 0 | — | 72 | ||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 3,574 | 1,466 | 91 | — | 5,131 | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | — | 1,375 | 69 | — | 1,444 | ||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | — | 161 | 6 | — | 167 | ||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | — | 2,720 | 4 | — | 2,724 | ||||||||||||||||||||||||||||||||||||
Real estate-backed securities | — | — | 68 | — | 68 | ||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other(4) | — | 138 | 12 | — | 150 | ||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 144 | 45 | 13 | — | 202 | ||||||||||||||||||||||||||||||||||||
Total trading assets and private equity investments | 8,057 | 6,697 | 479 | — | 15,233 | ||||||||||||||||||||||||||||||||||||
Derivative assets(5) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 723 | 1,058 | 76 | — | 1,857 | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | 4 | 21,621 | 148 | — | 21,773 | ||||||||||||||||||||||||||||||||||||
Credit contracts | 0 | 1,706 | 133 | — | 1,839 | ||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | — | 2,094 | 11 | — | 2,105 | ||||||||||||||||||||||||||||||||||||
Commodity contracts | 1 | 0 | 0 | — | 1 | ||||||||||||||||||||||||||||||||||||
Netting | — | — | — | (25,684 | ) | (25,684 | ) | ||||||||||||||||||||||||||||||||||
Total derivative assets | 728 | 26,479 | 368 | (25,684 | ) | 1,891 | |||||||||||||||||||||||||||||||||||
Subtotal | ¥ | 8,785 | ¥ | 33,176 | ¥ | 847 | ¥ | (25,684 | ) | ¥ | 17,124 | ||||||||||||||||||||||||||||||
Loans and receivables(6) | — | 521 | 3 | — | 524 | ||||||||||||||||||||||||||||||||||||
Collateralized agreements(7) | — | 998 | — | — | 998 | ||||||||||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 409 | 508 | 4 | — | 921 | ||||||||||||||||||||||||||||||||||||
Other(3) | 172 | 15 | 60 | — | 247 | ||||||||||||||||||||||||||||||||||||
Total | ¥ | 9,366 | ¥ | 35,218 | ¥ | 914 | ¥ | (25,684 | ) | ¥ | 19,814 | ||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 922 | ¥ | 87 | ¥ | 0 | ¥ | — | ¥ | 1,009 | |||||||||||||||||||||||||||||||
Japanese government securities | 2,151 | — | — | — | 2,151 | ||||||||||||||||||||||||||||||||||||
Japanese agency and municipal securities | — | 0 | — | — | 0 | ||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 2,627 | 477 | — | — | 3,104 | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities | — | 288 | 0 | — | 288 | ||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | — | 1 | — | — | 1 | ||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | — | 1 | — | — | 1 | ||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 40 | 12 | — | — | 52 | ||||||||||||||||||||||||||||||||||||
Total trading liabilities | 5,740 | 866 | 0 | — | 6,606 | ||||||||||||||||||||||||||||||||||||
Derivative liabilities(5) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 827 | 1,118 | 71 | — | 2,016 | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | 2 | 21,312 | 202 | — | 21,516 | ||||||||||||||||||||||||||||||||||||
Credit contracts | 0 | 1,871 | 108 | — | 1,979 | ||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | 0 | 1,994 | 14 | — | 2,008 | ||||||||||||||||||||||||||||||||||||
Commodity contracts | 1 | 1 | 0 | — | 2 | ||||||||||||||||||||||||||||||||||||
Netting | — | — | — | (25,636 | ) | (25,636 | ) | ||||||||||||||||||||||||||||||||||
Total derivative liabilities | 830 | 26,296 | 395 | (25,636 | ) | 1,885 | |||||||||||||||||||||||||||||||||||
Subtotal | ¥ | 6,570 | ¥ | 27,162 | ¥ | 395 | ¥ | (25,636 | ) | ¥ | 8,491 | ||||||||||||||||||||||||||||||
Short-term borrowings(8) | — | 73 | 4 | — | 77 | ||||||||||||||||||||||||||||||||||||
Payables and deposits(9) | — | 0 | 1 | — | 1 | ||||||||||||||||||||||||||||||||||||
Collateralized financing(7) | — | 265 | — | — | 265 | ||||||||||||||||||||||||||||||||||||
Long-term borrowings(8)(10)(11) | 114 | 1,263 | 222 | — | 1,599 | ||||||||||||||||||||||||||||||||||||
Other liabilities(12) | 39 | 11 | 0 | — | 50 | ||||||||||||||||||||||||||||||||||||
Total | ¥ | 6,723 | ¥ | 28,774 | ¥ | 622 | ¥ | (25,636 | ) | ¥ | 10,483 | ||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Counterparty | Balance as of | |||||||||||||||||||||||||||||||||||||
and | March 31, 2014 | ||||||||||||||||||||||||||||||||||||||||
Cash Collateral | |||||||||||||||||||||||||||||||||||||||||
Netting(1) | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments(2) | |||||||||||||||||||||||||||||||||||||||||
Equities(3) | ¥ | 2,176 | ¥ | 655 | ¥ | 68 | ¥ | — | ¥ | 2,899 | |||||||||||||||||||||||||||||||
Private equity investments(3) | — | — | 42 | — | 42 | ||||||||||||||||||||||||||||||||||||
Japanese government securities | 2,587 | — | — | — | 2,587 | ||||||||||||||||||||||||||||||||||||
Japanese agency and municipal securities | — | 192 | — | — | 192 | ||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 4,615 | 1,378 | 26 | — | 6,019 | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | — | 1,735 | 116 | — | 1,851 | ||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | — | 156 | 3 | — | 159 | ||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | — | 2,221 | 3 | — | 2,224 | ||||||||||||||||||||||||||||||||||||
Real estate-backed securities | — | — | 0 | — | 0 | ||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other(4) | — | 170 | 13 | — | 183 | ||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 136 | 87 | 30 | — | 253 | ||||||||||||||||||||||||||||||||||||
Total trading assets and private equity investments | 9,514 | 6,594 | 301 | — | 16,409 | ||||||||||||||||||||||||||||||||||||
Derivative assets(5) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 750 | 1,102 | 70 | — | 1,922 | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | 11 | 19,398 | 112 | — | 19,521 | ||||||||||||||||||||||||||||||||||||
Credit contracts | 4 | 1,268 | 42 | — | 1,314 | ||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | — | 3,293 | 19 | — | 3,312 | ||||||||||||||||||||||||||||||||||||
Commodity contracts | 0 | 0 | 0 | — | 0 | ||||||||||||||||||||||||||||||||||||
Netting | — | — | — | (23,764 | ) | (23,764 | ) | ||||||||||||||||||||||||||||||||||
Total derivative assets | 765 | 25,061 | 243 | (23,764 | ) | 2,305 | |||||||||||||||||||||||||||||||||||
Subtotal | ¥ | 10,279 | ¥ | 31,655 | ¥ | 544 | ¥ | (23,764 | ) | ¥ | 18,714 | ||||||||||||||||||||||||||||||
Loans and receivables(6) | — | 280 | 26 | — | 306 | ||||||||||||||||||||||||||||||||||||
Collateralized agreements(7) | — | 1,087 | — | — | 1,087 | ||||||||||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 406 | 615 | 3 | — | 1,024 | ||||||||||||||||||||||||||||||||||||
Other(3) | 358 | 94 | 56 | — | 508 | ||||||||||||||||||||||||||||||||||||
Total | ¥ | 11,043 | ¥ | 33,731 | ¥ | 629 | ¥ | (23,764 | ) | ¥ | 21,639 | ||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 774 | ¥ | 132 | ¥ | 1 | ¥ | — | ¥ | 907 | |||||||||||||||||||||||||||||||
Japanese government securities | 3,046 | — | — | — | 3,046 | ||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 3,831 | 688 | — | — | 4,519 | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities | — | 396 | 0 | — | 396 | ||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | — | 1 | — | — | 1 | ||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other(4) | — | 0 | — | — | 0 | ||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 76 | 12 | — | — | 88 | ||||||||||||||||||||||||||||||||||||
Total trading liabilities | 7,727 | 1,229 | 1 | — | 8,957 | ||||||||||||||||||||||||||||||||||||
Derivative liabilities(5) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 827 | 1,368 | 59 | — | 2,254 | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | 10 | 19,142 | 151 | — | 19,303 | ||||||||||||||||||||||||||||||||||||
Credit contracts | 4 | 1,582 | 37 | — | 1,623 | ||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | — | 2,926 | 14 | — | 2,940 | ||||||||||||||||||||||||||||||||||||
Commodity contracts | 0 | 0 | 0 | — | 0 | ||||||||||||||||||||||||||||||||||||
Netting | — | — | — | (24,030 | ) | (24,030 | ) | ||||||||||||||||||||||||||||||||||
Total derivative liabilities | 841 | 25,018 | 261 | (24,030 | ) | 2,090 | |||||||||||||||||||||||||||||||||||
Subtotal | ¥ | 8,568 | ¥ | 26,247 | ¥ | 262 | ¥ | (24,030 | ) | ¥ | 11,047 | ||||||||||||||||||||||||||||||
Short-term borrowings(8) | — | 46 | 3 | — | 49 | ||||||||||||||||||||||||||||||||||||
Payables and deposits(9) | — | 0 | 0 | — | 0 | ||||||||||||||||||||||||||||||||||||
Collateralized financing(7) | — | 530 | — | — | 530 | ||||||||||||||||||||||||||||||||||||
Long-term borrowings(8)(10)(11) | 134 | 1,439 | 394 | — | 1,967 | ||||||||||||||||||||||||||||||||||||
Other liabilities(12) | 152 | 86 | — | — | 238 | ||||||||||||||||||||||||||||||||||||
Total | ¥ | 8,854 | ¥ | 28,348 | ¥ | 659 | ¥ | (24,030 | ) | ¥ | 13,831 | ||||||||||||||||||||||||||||||
-1 | Represents the amount offset under counterparty netting of derivative assets and liabilities as well as cash collateral netting against net derivatives. | ||||||||||||||||||||||||||||||||||||||||
-2 | Includes investments in certain funds measured at fair value on the basis of NAV per share as a practical expedient. | ||||||||||||||||||||||||||||||||||||||||
-3 | Includes equity investments that would have been accounted for under the equity method had Nomura not chosen to elect the fair value option. | ||||||||||||||||||||||||||||||||||||||||
-4 | Includes collateralized loan obligations (“CLOs”) and asset-backed securities (“ABS”) such as those secured on credit card loans, auto loans and student loans. | ||||||||||||||||||||||||||||||||||||||||
-5 | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rate contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government debt securities. | ||||||||||||||||||||||||||||||||||||||||
-6 | Includes loans for which the fair value option is elected. | ||||||||||||||||||||||||||||||||||||||||
-7 | Includes collateralized agreements or collateralized financing for which the fair value option is elected. | ||||||||||||||||||||||||||||||||||||||||
-8 | Includes structured notes for which the fair value option is elected. | ||||||||||||||||||||||||||||||||||||||||
-9 | Includes embedded derivatives bifurcated from deposits received at banks. If unrealized gains are greater than unrealized losses, deposits are reduced by the excess amount. | ||||||||||||||||||||||||||||||||||||||||
-10 | Includes embedded derivatives bifurcated from issued structured notes. If unrealized gains are greater than unrealized losses, borrowings are reduced by the excess amount. | ||||||||||||||||||||||||||||||||||||||||
-11 | Includes liabilities recognized from secured financing transactions that are accounted for as financings rather than sales. Nomura elected the fair value option for these liabilities. | ||||||||||||||||||||||||||||||||||||||||
-12 | Includes loan commitments for which the fair value option is elected. | ||||||||||||||||||||||||||||||||||||||||
Valuation techniques by major class of financial instrument | |||||||||||||||||||||||||||||||||||||||||
The valuation techniques used by Nomura to estimate fair value for major classes of financial instruments, together with the significant inputs which determine classification in the fair value hierarchy, are as follows. | |||||||||||||||||||||||||||||||||||||||||
Equities and equity securities reported within Other assets—Equities and equity securities reported within Other assets include direct holdings of both listed and unlisted equity securities, and fund investments. Listed equity securities are valued using quoted prices for identical securities from active markets where available. These valuations should be in line with market practice and therefore can be based on bid/offer prices as applicable or mid-market prices. Nomura determines whether the market is active depending on the sufficiency and frequency of trading activity. Where these securities are classified in Level 1 of the fair value hierarchy, no valuation adjustments are made to fair value. Listed equity securities traded in inactive markets are also generally valued using the exchange price and are classified in Level 2. Whilst rare in practice, Nomura may apply a discount or liquidity adjustment to the exchange price of a listed equity security traded in an inactive market if the exchange price is not considered to be an appropriate representation of fair value. These adjustments are determined by individual security and are not determined or influenced by the size of holding. The amount of such adjustments made to listed equity securities traded in inactive markets was ¥nil as of March 31, 2013 and 2014, respectively. Unlisted equity securities are valued using the same methodology as private equity investments described below and are usually classified in Level 3 because significant valuation inputs such as yields and liquidity discounts are unobservable. As a practical expedient, fund investments are generally valued using NAV per share where available. Publicly traded mutual funds which are valued using a daily NAV per share are classified in Level 1. Investments in funds where Nomura has the ability to redeem its investment with the investee at NAV per share as of the balance sheet date or within the near term are classified in Level 2. Investments in funds where Nomura does not have the ability to redeem in the near term or does not know when it can redeem are classified in Level 3. The Direct Capitalization Method (“DCM”) is used as a valuation technique for certain equity investments in real estate funds, with net operating income used as a measure of financial performance which is then applied to a capitalization rate dependent on the characteristics of the underlying real estate. Equity investments which are valued using DCM valuation techniques are generally classified in Level 3 since observable market capitalization rates are usually not available for identical or sufficiently similar real estate to that held within the real estate funds being valued. Nomura refined the fair value measurement of certain investments in unlisted equity securities reported within Other assets during the year ended March 31, 2013. | |||||||||||||||||||||||||||||||||||||||||
Private equity investments—The valuation of unlisted private equity investments requires significant management judgment because the investments, by their nature, have little or no price transparency. Private equity investments are initially carried at cost as an approximation of fair value. Adjustments to carrying value are made if there is third-party evidence of a change in value. Adjustments are also made, in the absence of third-party transactions, if it is determined that the expected exit price of the investment is different from carrying value. In reaching that determination, Nomura primarily uses either a discounted cash flow (“DCF”) or market multiple valuation technique. A DCF valuation technique incorporates estimated future cash flows to be generated from the underlying investee, as adjusted for an appropriate growth rate discounted at a weighted average cost of capital (“WACC”). Market multiple valuation techniques include comparables such as Enterprise Value/earnings before interest, taxes, depreciation and amortization (“EV/EBITDA”) ratios, Price/Earnings (“PE”) ratios, Price/Book ratios, Price/Embedded Value ratios and other multiples based on relationships between numbers reported in the financial statements of the investee and the price of comparable companies. A liquidity discount may also be applied to either a DCF or market multiple valuation to reflect the specific characteristics of the investee. Where possible these valuations are compared with the operating cash flows and financial performance of the investee or properties relative to budgets or projections, price/earnings data for similar quoted companies, trends within sectors and/or regions and any specific rights or terms associated with the investment, such as conversion features and liquidation preferences. Private equity investments are generally classified in Level 3 since the valuation inputs such as those mentioned above are usually unobservable. | |||||||||||||||||||||||||||||||||||||||||
Government, agency and municipal securities—Japanese and other G7 government securities are valued using quoted market prices, executable broker or dealer quotations, or alternative pricing sources. These securities are traded in active markets and therefore are classified within Level 1 of the fair value hierarchy. Non-G7 government securities, agency securities and municipal securities are valued using similar pricing sources but are generally classified in Level 2 as they are traded in inactive markets. Certain non-G7 securities may be classified in Level 1 because they are traded in active markets. Certain securities may be classified in Level 3 because they are traded infrequently and there is not sufficient information from comparable securities to classify them in Level 2. These are valued using DCF valuation techniques which include significant unobservable inputs such as credit spreads of the issuer. | |||||||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities—The fair value of bank and corporate debt securities is primarily determined using DCF valuation techniques but also using broker or dealer quotations and recent market transactions of identical or similar debt securities, if available. Consideration is given to the nature of the broker and dealer quotations, namely whether these are indicative or executable, the number of available quotations and how these quotations compare to any available recent market activity or alternative pricing sources. The significant valuation inputs used for DCF valuations are yield curves, asset swap spreads, recovery rates and credit spreads of the issuer. Bank and corporate debt securities are generally classified in Level 2 of the fair value hierarchy because these valuation inputs are usually observable or market-corroborated. Certain bank and corporate debt securities will be classified in Level 3 because they are traded infrequently and there is insufficient information from comparable securities to classify them in Level 2, or credit spreads or recovery rates of the issuer used in DCF valuations are unobservable. | |||||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) and Residential mortgage-backed securities (“RMBS”)—The fair value of CMBS and RMBS is primarily determined using DCF valuation techniques but also using broker or dealer quotations and recent market transactions of identical or similar securities, if available. Consideration is given to the nature of the broker and dealer quotations, namely whether these are indicative or executable, the number of available quotations and how these quotations compare to any available recent market activity or alternative pricing sources. The significant valuation inputs include yields, prepayment rates, default probabilities and loss severities. CMBS and RMBS securities are generally classified in Level 2 because these valuation inputs are observable or market-corroborated. Certain CMBS and RMBS positions will be classified in Level 3 because they are traded infrequently and there is insufficient information from comparable securities to classify them in Level 2, or one or more of the significant valuation inputs used in DCF valuations are unobservable. | |||||||||||||||||||||||||||||||||||||||||
Real estate-backed securities—The fair value of real estate-backed securities is estimated using broker or dealer quotations, recent market transactions or by reference to a comparable market index. Consideration is given to the nature of the broker and dealer quotations, namely whether these are indicative or executable, the number of available quotations and how these quotations compare to any available recent market activity or alternative pricing sources. Where all significant inputs are observable, the securities will be classified in Level 2. For certain securities, no direct pricing sources or comparable securities or indices may be available. These securities are valued using DCF or DCM valuation techniques and are classified in Level 3 as the valuation includes significant unobservable valuation inputs such as yields, prepayment rates, default probabilities, loss severities and capitalization rates. | |||||||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other—The fair value of CDOs is primarily determined using DCF valuation techniques but also using broker or dealer quotations and recent market transactions of identical or similar securities, if available. Consideration is given to the nature of the broker and dealer quotations, namely whether these are indicative or executable, the number of available quotations and how these quotations compare to any available recent market activity or alternative pricing sources. The significant valuation inputs used include market spread data for each credit rating, yields, prepayment rates, default probabilities and loss severities. CDOs are generally classified in Level 2 of the fair value hierarchy because these valuation inputs are observable or market-corroborated. CDOs will be classified in Level 3 where one or more of the significant valuation inputs used in the DCF valuations are unobservable. | |||||||||||||||||||||||||||||||||||||||||
Investment trust funds and other—Investment trust funds are generally valued using NAV per share. Publicly traded funds which are valued using a daily NAV per share are classified in Level 1. For funds that are not publicly traded but Nomura has the ability to redeem its investment with the investee at NAV per share on the balance sheet date or within the near term, the investments are classified in Level 2. Investments where Nomura does not have the ability to redeem in the near term or does not know when it can redeem are classified in Level 3. The fair value of certain other investments reported within Investment trust funds and other is determined using DCF valuation techniques. These investments are classified in Level 3 as the valuation includes significant unobservable valuation inputs such as credit spreads of issuer and correlation. | |||||||||||||||||||||||||||||||||||||||||
Derivatives—Equity contracts—Nomura enters into both exchange-traded and OTC equity derivative transactions such as index and equity options, equity basket options and index and equity swaps. The fair value of exchange-traded equity derivatives is primarily determined using an unadjusted exchange price. These derivatives are generally traded in active markets and therefore are classified in Level 1 of the fair value hierarchy. Where these derivatives are not valued at the exchange price due to timing differences, these are classified in Level 2. The fair value of OTC equity derivatives is determined through option models such as Black-Scholes and Monte Carlo simulation. The significant valuation inputs used include equity prices, dividend yields, volatilities and correlations. Valuation adjustments are also made to model valuations in order to reflect counterparty credit risk on derivative assets and Nomura’s own creditworthiness on derivative liabilities. OTC equity derivatives are generally classified in Level 2 because all significant valuation inputs and adjustments are observable or market-corroborated. Certain longer-dated or more complex equity derivatives are classified in Level 3 where dividend yield, volatility or correlation valuation inputs are significant and unobservable. | |||||||||||||||||||||||||||||||||||||||||
Derivatives—Interest rate contracts—Nomura enters into both exchange-traded and OTC interest rate derivative transactions such as interest rate swaps, currency swaps, interest rate options, forward rate agreements, swaptions, caps and floors. The fair value of exchange-traded interest rate derivatives is primarily determined using an unadjusted exchange price. These derivatives are traded in active markets and therefore are classified in Level 1 of the fair value hierarchy. Where these derivatives are not valued at the exchange price due to timing differences, they are classified in Level 2. The fair value of OTC interest rate derivatives is determined through DCF valuation techniques as well as option models such as Black-Scholes and Monte Carlo simulation. The significant valuation inputs used include interest rates, forward foreign exchange (“FX”) rates, volatilities and correlations. Valuation adjustments are also made to model valuations in order to reflect counterparty credit risk on derivative assets and Nomura’s own creditworthiness on derivative liabilities. OTC interest rate derivatives are generally classified in Level 2 because all significant valuation inputs and adjustments are observable or market-corroborated. Certain longer-dated or more complex OTC interest rate derivatives are classified in Level 3 where forward FX rate, interest rate, volatility or correlation valuation inputs are significant and unobservable. | |||||||||||||||||||||||||||||||||||||||||
Derivatives—Credit contracts—Nomura enters into OTC credit derivative transactions such as credit default swaps and credit options on single names, indices or baskets of assets. The fair value of OTC credit derivatives is determined through DCF valuation techniques as well as option models such as Black-Scholes and Monte Carlo simulation. The significant valuation inputs used include interest rates, credit spreads, recovery rates, default probabilities, volatilities and correlations. Valuation adjustments are also made to model valuations in order to reflect counterparty credit risk on derivative assets and Nomura’s own creditworthiness on derivative liabilities. OTC credit derivatives are generally classified in Level 2 of the fair value hierarchy because all significant valuation inputs and adjustments are observable or market-corroborated. Certain longer-dated or more complex OTC credit derivatives are classified in Level 3 where credit spread, recovery rate, volatility or correlation valuation inputs are significant and unobservable. | |||||||||||||||||||||||||||||||||||||||||
Derivatives—Foreign exchange contracts—Nomura enters into both exchange-traded and OTC foreign exchange derivative transactions such as foreign exchange forwards and currency options. The fair value of exchange-traded foreign exchange derivatives is primarily determined using an unadjusted exchange price. These derivatives are traded in active markets and therefore are classified in Level 1 of the fair value hierarchy. Where these derivatives are not valued at the exchange price due to timing differences, they are classified in Level 2. The fair value of OTC foreign exchange derivatives is determined through DCF valuation techniques as well as option models such as Black-Scholes and Monte Carlo simulation. The significant valuation inputs used include interest rates, forward FX rates, spot FX rates and volatilities. Valuation adjustments are also made to model valuations in order to reflect counterparty credit risk on derivative assets and Nomura’s own creditworthiness on derivative liabilities. OTC foreign exchange derivatives are generally classified in Level 2 because all significant valuation inputs and adjustments are observable or market-corroborated. Certain longer-dated foreign exchange derivatives are classified in Level 3 where forward FX rate or volatility valuation inputs are significant and unobservable. | |||||||||||||||||||||||||||||||||||||||||
Derivatives—Commodity contracts—Nomura enters into OTC commodity derivative transactions such as commodity swaps, commodity forwards and commodity options. The fair value of OTC commodity derivatives is determined through DCF valuation techniques as well as option models such as Black-Scholes and Monte Carlo simulation. The significant valuation inputs used include commodity prices, interest rates, volatilities and correlations. Valuation adjustments are also made to model valuations in order to reflect counterparty credit risk on derivative assets and Nomura’s own creditworthiness on derivative liabilities. OTC commodity derivatives are generally classified in Level 2 of the fair value hierarchy because these valuation inputs and adjustments are observable or market-corroborated. | |||||||||||||||||||||||||||||||||||||||||
During the year ended March 31, 2012, Nomura began including valuation adjustments in its estimation of fair value of certain OTC derivatives relating to funding costs associated with these transactions to be consistent with how market participants in the principal market for these derivatives would determine fair value. This initially involved using the Overnight Indexed Swap curve rather than LIBOR curve to estimate the fair value of certain collateralized derivative contracts. During the year ended March 31, 2013, Nomura refined its valuation methodology to incorporate additional features of collateralized derivative transactions resulting in an additional loss of ¥11 billion recognized during that period. During the year ended March 31, 2014, Nomura recognized an additional loss of ¥10 billion as a result of using more appropriate inputs to calculate the valuation adjustment for certain uncollateralized derivatives. This change reflects increased transparency around how market participants incorporate this funding cost into their pricing of such derivative transactions and consequently, how they estimate fair value. As part of its continuous review of the valuation methodologies applied by market participants, Nomura may further refine its valuation methodology of derivatives in future periods. | |||||||||||||||||||||||||||||||||||||||||
Loans—The fair value of loans carried at fair value either as trading assets or through election of the fair value option is primarily determined using DCF valuation techniques as quoted prices are typically not available. The significant valuation inputs used are similar to those used in the valuation of corporate debt securities described above. Loans are generally classified in Level 2 of the fair value hierarchy because all significant valuation inputs are observable. Certain loans, however, are classified in Level 3 because they are traded infrequently and there is not sufficient information from comparable securities to classify them in Level 2 or credit spreads of the issuer used in DCF valuations are significant and unobservable. | |||||||||||||||||||||||||||||||||||||||||
Collateralized agreements and Collateralized financing—The primary types of collateralized agreement and financing transactions carried at fair value are reverse repurchase and repurchase agreements elected for the fair value option. The fair value of these financial instruments is primarily determined using DCF valuation techniques. The significant valuation inputs used include interest rates and collateral funding spreads such as general collateral or special rates. Reverse repurchase and repurchase agreements are generally classified in Level 2 of the fair value hierarchy because these valuation inputs are usually observable. | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities—These are debt securities held by certain non-trading subsidiaries in the group and are valued and classified in the fair value hierarchy using the same valuation techniques used for other debt securities classified as Government, agency and municipal securities and Bank and corporate debt securities described above. | |||||||||||||||||||||||||||||||||||||||||
Short-term and long-term borrowings (“Structured notes”)—Structured notes are debt securities issued by Nomura or by consolidated variable interest entities (“VIEs”) which contain embedded features that alter the return to the investor from simply receiving a fixed or floating rate of interest to a return that depends upon some other variables, such as an equity or equity index, commodity price, foreign exchange rate, credit rating of a third party or a more complex interest rate (i.e., an embedded derivative). | |||||||||||||||||||||||||||||||||||||||||
The fair value of structured notes is estimated using a quoted price in an active market for the identical liability if available, and where not available, using a mixture of valuation techniques that use the quoted price of the identical liability when traded as an asset, quoted prices for similar liabilities, similar liabilities when traded as assets, or an internal model which combines DCF valuation techniques and option pricing models, depending on the nature of the embedded features within the structured note. Where an internal model is used, Nomura estimates the fair value of both the underlying debt instrument and the embedded derivative components. The significant valuation inputs used to estimate the fair value of the debt instrument component include yield curves and prepayment rates. The significant valuation inputs used to estimate the fair value of the embedded derivative component are the same as those used for the relevant type of freestanding OTC derivative discussed above. A valuation adjustment is also made to the entire structured note in order to reflect Nomura’s own creditworthiness. To reflect Nomura’s own creditworthiness, the fair value of structured notes includes a debit adjustment of ¥8 billion as of March 31, 2013 and a credit adjustment of ¥1 billion as of March 31, 2014. This adjustment is determined based on recent observable secondary market transactions and executable broker quotes involving Nomura debt instruments and is therefore typically treated as a Level 2 valuation input. Structured notes are generally classified in Level 2 of the fair value hierarchy as all significant valuation inputs and adjustments are observable. Where any unobservable inputs are significant, such as volatilities and correlations used to estimate the fair value of the embedded derivative component, structured notes are classified in Level 3. | |||||||||||||||||||||||||||||||||||||||||
Long-term borrowings (“Secured financing transactions”)—Secured financing transactions are liabilities recognized when a transfer of a financial asset does not meet the criteria for sales accounting under ASC 860 and therefore the transaction is accounted for as a secured borrowing. These liabilities are valued using the same valuation techniques that are applied to the transferred financial assets which remain on the consolidated balance sheets and are therefore classified in the same level in the fair value hierarchy as the transferred financial assets. These liabilities do not provide general recourse to Nomura and therefore no adjustment is made to reflect Nomura’s own creditworthiness. | |||||||||||||||||||||||||||||||||||||||||
Valuation processes | |||||||||||||||||||||||||||||||||||||||||
In order to ensure the appropriateness of any fair value measurement of a financial instrument used within these consolidated financial statements, including those classified in Level 3 within the fair value hierarchy, Nomura operates a governance framework which mandates determination or validation of a fair value measurement by control and support functions independent of the trading businesses assuming the risk of the financial instrument. Such functions within Nomura with direct responsibility for either defining, implementing or maintaining valuation policies and procedures are as follows: | |||||||||||||||||||||||||||||||||||||||||
• | The Product Control Valuations Group (“PCVG”) within Nomura’s Finance Department has primary responsibility for determining and implementing valuation policies and procedures in connection with determination of fair value measurements. In particular, this group will ensure that valuation policies are documented for each type of financial instrument in accordance with U.S. GAAP. While it is the responsibility of market makers and investment professionals in our trading businesses to price our financial instruments, the PCVG are responsible for independently verifying or validating these prices. In the event of a difference in opinion or where the estimate of fair value requires judgment, the valuation used within these consolidated financial statements is made by senior managers independent of the trading businesses. This group reports to the Global Head of Product Control and ultimately to the Chief Financial Officer (“CFO”); | ||||||||||||||||||||||||||||||||||||||||
• | The Accounting Policy Group within Nomura’s Finance Department defines the group’s accounting policies and procedures in accordance with U.S. GAAP, including those associated with determination of fair value under ASC 820 and other relevant U.S. GAAP pronouncements. This group reports to the Global Head of Accounting Policy and ultimately to the CFO; and | ||||||||||||||||||||||||||||||||||||||||
• | The MVG within Nomura’s Risk Management Department validates the appropriateness and consistency of pricing models used to determine fair value measurements independently of those who design and build the models. This group reports to the Chief Risk Officer. | ||||||||||||||||||||||||||||||||||||||||
The fundamental components of this governance framework over valuation processes within Nomura particularly as it relates to Level 3 financial instruments are the procedures in place for independent price verification, pricing model validation and revenue substantiation. | |||||||||||||||||||||||||||||||||||||||||
Independent price verification processes | |||||||||||||||||||||||||||||||||||||||||
The key objective of the independent price verification processes within Nomura is to verify the appropriateness of fair value measurements applied to all financial instruments within Nomura. In applying these control processes, observable inputs are used whenever possible and when unobservable inputs are necessary, the processes seek to ensure the valuation technique and inputs are appropriate, reasonable and consistently applied. | |||||||||||||||||||||||||||||||||||||||||
The independent price verification processes aim to verify the fair value of all positions to external levels on a regular basis. The process will involve obtaining data such as trades, marks and prices from internal and external sources and examining the impact of marking the internal positions at the external prices. Margin disputes within the collateral process will also be investigated to determine if there is any impact on valuations. | |||||||||||||||||||||||||||||||||||||||||
Where third-party pricing information sourced from brokers, dealers and consensus pricing services is used as part of the price verification process, consideration is given as to whether that information reflects actual recent market transactions or prices at which transactions involving identical or similar financial instruments are currently executable. If such transactions or prices are not available, the financial instrument will generally be classified in Level 3. | |||||||||||||||||||||||||||||||||||||||||
Where there is a lack of observable market information around the inputs used in a fair value measurement, then the PCVG and the MVG will assess the inputs used for reasonableness considering available information including comparable products, surfaces, curves and past trades. Additional valuation adjustments may be taken for the uncertainty in the inputs used, such as correlation and where appropriate trading desks may be asked to execute trades to evidence market levels. | |||||||||||||||||||||||||||||||||||||||||
Model review and validation | |||||||||||||||||||||||||||||||||||||||||
For more complex financial instruments pricing models are used to determine fair value measurements. The MVG performs an independent model approval process which incorporates a review of the model assumptions across a diverse set of parameters. Considerations include: | |||||||||||||||||||||||||||||||||||||||||
• | Scope of the model (different financial instruments may require different but consistent pricing approaches); | ||||||||||||||||||||||||||||||||||||||||
• | Mathematical and financial assumptions; | ||||||||||||||||||||||||||||||||||||||||
• | Full or partial independent benchmarking along with boundary and stability tests, numerical convergence, calibration quality and stability; | ||||||||||||||||||||||||||||||||||||||||
• | Model integration within Nomura’s trading and risk systems; | ||||||||||||||||||||||||||||||||||||||||
• | Calculation of risk numbers and risk reporting; and | ||||||||||||||||||||||||||||||||||||||||
• | Hedging strategies/practical use of the model. | ||||||||||||||||||||||||||||||||||||||||
New models are reviewed and approved by the MVG. The frequency of subsequent MVG reviews (“Model Re-approvals”) is at least annually. | |||||||||||||||||||||||||||||||||||||||||
Revenue substantiation | |||||||||||||||||||||||||||||||||||||||||
Nomura’s Product Control function also ensures adherence to Nomura’s valuation policies through daily and periodic analytical review of net revenues. This process involves substantiating revenue amounts through explanations and attribution of revenue sources based on the underlying factors such as interest rates, credit spreads, volatilities, foreign exchange rates etc. In combination with the independent price verification processes, this daily, weekly, monthly and quarterly review substantiates the revenues made while helping to identify and resolve potential booking, pricing or risk quantification issues. | |||||||||||||||||||||||||||||||||||||||||
Level 3 financial instruments | |||||||||||||||||||||||||||||||||||||||||
As described above, the valuation of Level 3 financial assets and liabilities is dependent on certain significant inputs which cannot be observed in the market. Common characteristics of an inactive market include a low number of transactions of the financial instrument, stale or non-current price quotes, price quotes that vary substantially either over time or among market makers, non-executable broker quotes or little publicly released information. | |||||||||||||||||||||||||||||||||||||||||
If corroborative evidence is not available to value Level 3 financial instruments, fair value may be established using other equivalent products in the market. The level of correlation between the specific Level 3 financial instrument and the available benchmark instrument is considered as an unobservable parameter. Other techniques for determining an appropriate value for unobservable parameters may consider information such as consensus pricing data among certain market participants, historical trends, extrapolation from observable market data and other information Nomura would expect market participants to use in valuing similar instruments. | |||||||||||||||||||||||||||||||||||||||||
Use of reasonably possible alternative input assumptions to value Level 3 financial instruments will significantly influence fair value determination. Ultimately, the uncertainties described above about input assumptions imply that the fair value of Level 3 financial instruments is a judgmental estimate. The specific valuation for each instrument is based on management’s judgment of prevailing market conditions, in accordance with Nomura’s established valuation policies and procedures. | |||||||||||||||||||||||||||||||||||||||||
Quantitative information regarding significant unobservable inputs and assumptions | |||||||||||||||||||||||||||||||||||||||||
The following tables present information about the significant unobservable inputs and assumptions used by Nomura for financial instruments classified in Level 3 as of March 31, 2013 and 2014. These financial instruments will also typically include observable valuation inputs (i.e. Level 1 or Level 2 valuation inputs) which are not included in the table and are also often hedged using financial instruments which are classified in Level 1 or Level 2 of the fair value hierarchy. | |||||||||||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Financial Instrument | Fair value | Valuation | Significant | Range of | Weighted | ||||||||||||||||||||||||||||||||||||
in billions of yen | technique(s) | unobservable inputs | valuation inputs(1) | Average(2) | |||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 129 | DCF | Yields | 7.6 % | 7.6 % | |||||||||||||||||||||||||||||||||||
Liquidity discounts | 25.0 – 38.0 % | 35.4 % | |||||||||||||||||||||||||||||||||||||||
DCM | Capitalization rates | 5.2 – 6.7 % | 6.3 % | ||||||||||||||||||||||||||||||||||||||
Private equity investments | 87 | DCF | WACC | 6.8 % | 6.8 % | ||||||||||||||||||||||||||||||||||||
Growth rates | 0.0 % | 0.0 % | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 25.0 % | 25.0 % | |||||||||||||||||||||||||||||||||||||||
Market multiples | EV/EBITDA ratios | 3.7 – 11.3 x | 11.0 x | ||||||||||||||||||||||||||||||||||||||
PE ratios | 7.7 x | 7.7 x | |||||||||||||||||||||||||||||||||||||||
Price/Book ratios | 0.4 x | 0.4 x | |||||||||||||||||||||||||||||||||||||||
Price/Embedded values | 0.4 x | 0.4 x | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 0.0 – 33.0 % | 25.8 % | |||||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 91 | DCF | Credit spreads | 0.0 – 6.5 % | 0.7 % | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | 69 | DCF | Credit spreads | 0.0 – 24.2 % | 2.6 % | ||||||||||||||||||||||||||||||||||||
Recovery rates | 0.1 – 36.4 % | 28.1 % | |||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 6 | DCF | Yields | 0.0 – 25.0 % | 8.0 % | ||||||||||||||||||||||||||||||||||||
Default probabilities | 100.0 % | 100.0 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 0.0 – 80.0 % | 0.3 % | |||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 4 | DCF | Yields | 0.0 – 40.0 % | 3.3 % | ||||||||||||||||||||||||||||||||||||
Prepayment rates | 0.0 – 8.2 % | 4.5 % | |||||||||||||||||||||||||||||||||||||||
Default probabilities | 0.3 – 17.0 % | 14.7 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 22.0 – 90.0 % | 64.2 % | |||||||||||||||||||||||||||||||||||||||
Real estate-backed securities | 68 | DCF | Yields | 1.8 – 15.0 % | 1.9 % | ||||||||||||||||||||||||||||||||||||
Default probabilities | 24.0 – 65.0 % | 42.6 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 80.0 – 100.0 % | 88.0 % | |||||||||||||||||||||||||||||||||||||||
DCM | Capitalization rates | 6.8 % | 6.8 % | ||||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other | 12 | DCF | Yields | 0.0 – 58.6 % | 17.1 % | ||||||||||||||||||||||||||||||||||||
Prepayment rates | 0.0 – 15.0 % | 13.8 % | |||||||||||||||||||||||||||||||||||||||
Default probabilities | 2.0 – 5.0 % | 2.1 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 30.0 –75.0 % | 45.6 % | |||||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 13 | DCF | Credit spreads | 0.0 – 6.5 % | 0.6 % | ||||||||||||||||||||||||||||||||||||
Correlations | 0.50 – 0.70 | 0.6 | |||||||||||||||||||||||||||||||||||||||
Derivatives, net: | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 5 | Option models | Dividend yield | 0.0 – 11.0 % | — | ||||||||||||||||||||||||||||||||||||
Volatilities | 5.7 – 92.4 % | — | |||||||||||||||||||||||||||||||||||||||
Correlations | (0.77) – 0.99 | — | |||||||||||||||||||||||||||||||||||||||
Interest rate contracts | (54 | ) | DCF/ | Forward FX rates | 62.9 – 121.7 | — | |||||||||||||||||||||||||||||||||||
Option models | Interest rates | 0.6 – 4.2 % | — | ||||||||||||||||||||||||||||||||||||||
Option models | Volatilities | 13.5 –118.1 % | — | ||||||||||||||||||||||||||||||||||||||
Correlations | (0.70) – 0.99 | — | |||||||||||||||||||||||||||||||||||||||
Credit contracts | 25 | DCF/ | Credit spreads | 0.0 – 7.5 % | — | ||||||||||||||||||||||||||||||||||||
Option models | Recovery rates | 15.0 –40.0 % | — | ||||||||||||||||||||||||||||||||||||||
Option models | Volatilities | 10.0 –70.0 % | — | ||||||||||||||||||||||||||||||||||||||
Correlations | 0.33 – 0.90 | — | |||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | (3 | ) | Option models | Volatilities | 1.4 – 20.7 % | — | |||||||||||||||||||||||||||||||||||
DCF | Forward FX rates | 2.7 –12,484.0 | — | ||||||||||||||||||||||||||||||||||||||
Loans and receivables | 3 | DCF | Credit spreads | 3.0 % | 3.0 % | ||||||||||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 4 | DCF | Credit spreads | 0.2 – 2.5 % | 1.7 % | ||||||||||||||||||||||||||||||||||||
Other(3) | 60 | DCF | WACC | 6.8 – 6.8 % | 6.8 % | ||||||||||||||||||||||||||||||||||||
Growth rates | 0.0 – 1.0 % | 0.9 % | |||||||||||||||||||||||||||||||||||||||
Yields | 7.6 % | 7.6 % | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 0.0 – 30.0 % | 8.0 % | |||||||||||||||||||||||||||||||||||||||
Market multiples | EV/EBITDA ratios | 6.9 – 12.5 x | 9.9 x | ||||||||||||||||||||||||||||||||||||||
PE ratios | 7.7 – 44.4 x | 25.8 x | |||||||||||||||||||||||||||||||||||||||
Price/Book ratios | 0.0 – 5.6 x | 1.7 x | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 25.0 –30.0 % | 29.8 % | |||||||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Long-term borrowings | ¥ | 222 | DCF | Volatilities | 13.5 – 118.1 % | — | |||||||||||||||||||||||||||||||||||
Correlations | (0.77) – 0.99 | — | |||||||||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Financial Instrument | Fair value | Valuation | Significant | Range of | Weighted | ||||||||||||||||||||||||||||||||||||
in billions of yen | technique(s) | unobservable inputs | valuation inputs(1) | Average(2) | |||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 68 | DCF | Liquidity discounts | 11.0 – 50.0 % | 18.1 % | |||||||||||||||||||||||||||||||||||
DCM | Capitalization rates | 6.8 – 6.9 % | 6.8 % | ||||||||||||||||||||||||||||||||||||||
Private equity investments | 42 | Market multiples | EV/EBITDA ratios | 4.5 – 11.6 x | 10.0 x | ||||||||||||||||||||||||||||||||||||
Price/Embedded values Liquidity discounts | 0.4 x | 0.4 x | |||||||||||||||||||||||||||||||||||||||
0.0 – 33.0 % | 30.5 % | ||||||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 26 | DCF | Credit spreads | 0.0 – 5.9 % | 0.5 % | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | 116 | DCF | Credit spreads | 0.0 – 26.6 % | 4.7 % | ||||||||||||||||||||||||||||||||||||
Recovery rates | 0.0 – 74.0 % | 57.1 % | |||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 3 | DCF | Yields | 6.2 – 30.4 % | 10.1 % | ||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 3 | DCF | Yields | 0.3 – 10.7 % | 3.7 % | ||||||||||||||||||||||||||||||||||||
Prepayment rates | 3.8 – 50.0 % | 12.8 % | |||||||||||||||||||||||||||||||||||||||
Default probabilities | 0.0 – 2.0 % | 2.0 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 0.1 – 87.2 % | 51.2 % | |||||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other | 13 | DCF | Yields | 0.0 – 90.9 % | 11.1 % | ||||||||||||||||||||||||||||||||||||
Prepayment rates | 0.0 – 20.0 % | 18.5 % | |||||||||||||||||||||||||||||||||||||||
Default probabilities | 1.0 – 65.0 % | 3.2 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 30.0 – 100.0 % | 47.9 % | |||||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 30 | DCF | Credit spreads | 0.0 – 3.5 % | 0.1 % | ||||||||||||||||||||||||||||||||||||
Correlations | 0.50 – 0.71 | 0.61 | |||||||||||||||||||||||||||||||||||||||
Derivatives, net: | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 11 | Option models | Dividend yield | 0.0 – 8.2 % | — | ||||||||||||||||||||||||||||||||||||
Volatilities | 6.9 – 59.9 % | — | |||||||||||||||||||||||||||||||||||||||
Correlations | (0.96) – 0.95 | — | |||||||||||||||||||||||||||||||||||||||
Interest rate contracts | (39 | ) | DCF/ Option models | Interest rates | 0.7 – 5.2 % | — | |||||||||||||||||||||||||||||||||||
Option models | Volatilities | 10.6 – 23.5 % | — | ||||||||||||||||||||||||||||||||||||||
Correlations | (0.45) – 0.99 | — | |||||||||||||||||||||||||||||||||||||||
Credit contracts | 5 | DCF/ | Credit spreads | 0.0 – 20.9 % | — | ||||||||||||||||||||||||||||||||||||
Option models | Recovery rates | 20.0 – 90.0 % | — | ||||||||||||||||||||||||||||||||||||||
Option models | Volatilities | 1.0 – 70.0 % | — | ||||||||||||||||||||||||||||||||||||||
Correlations | 0.26 – 0.95 | — | |||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | 5 | Option models | Volatilities | 11.2 – 19.1 % | — | ||||||||||||||||||||||||||||||||||||
Loans and receivables | 26 | DCF | Credit spreads | 0.0 % | 0.0 % | ||||||||||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 3 | DCF | Credit spreads | 0.1 – 2.5 % | 0.8 % | ||||||||||||||||||||||||||||||||||||
Other(3) | 56 | DCF | WACC | 6.1 % | 6.1 % | ||||||||||||||||||||||||||||||||||||
Growth rates | 1.0 % | 1.0 % | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 0.0 – 30.0 % | 12.7 % | |||||||||||||||||||||||||||||||||||||||
Market multiples | EV/EBITDA ratios | 3.6 – 8.3 x | 4.9 x | ||||||||||||||||||||||||||||||||||||||
PE ratios | 9.6 – 60.1 x | 24.0 x | |||||||||||||||||||||||||||||||||||||||
Price/Book ratios | 0.0 – 5.3 x | 1.0 x | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 30.0 % | 30.0 % | |||||||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Short-term borrowings | ¥ | 3 | DCF | Volatilities | 15.3 – 55.5 % | — | |||||||||||||||||||||||||||||||||||
Correlations | (0.78) – 0.94 | — | |||||||||||||||||||||||||||||||||||||||
Long-term borrowings | 394 | DCF | Volatilities | 10.6 – 55.5 % | — | ||||||||||||||||||||||||||||||||||||
Correlations | (0.78) – 0.99 | — | |||||||||||||||||||||||||||||||||||||||
-1 | Range information is provided in percentages, coefficients and multiples and represents the highest and lowest level significant unobservable valuation input used to value that type of financial instrument. A wide dispersion in the range does not necessarily reflect increased uncertainty or subjectivity in the valuation input and is typically just a consequence of the different characteristics of the financial instruments themselves. | ||||||||||||||||||||||||||||||||||||||||
-2 | Weighted average information for non-derivative instruments is calculated by weighting each valuation input by the fair value of the financial instrument. | ||||||||||||||||||||||||||||||||||||||||
-3 | Valuation technique(s) and unobservable inputs represent those equity securities reported within Other assets. | ||||||||||||||||||||||||||||||||||||||||
Qualitative discussion of the ranges of significant unobservable inputs | |||||||||||||||||||||||||||||||||||||||||
The following comments present qualitative discussion about the significant unobservable inputs used by Nomura for financial instruments classified in Level 3. | |||||||||||||||||||||||||||||||||||||||||
Derivatives—Equity contracts—The significant unobservable inputs are dividend yield, volatilities and correlations. The range of dividend yields varies as some companies do not pay any dividends, for example due to a lack of profits or as a policy during a growth period, and hence have a zero dividend yield while others may pay a high dividend for example to return money to investors. The range of volatilities is wide as the volatilities of shorter-dated equity derivatives are typically higher than those of longer-dated instruments. Correlations represent the relationships between one input and another (“pairs”) and can either be positive or negative amounts. The range of correlations moves from positive to negative because the movement of some pairs is very closely related in the same direction causing high positive correlations while others generally move in opposite directions causing high negative correlations with pairs that have differing relationships throughout the range. | |||||||||||||||||||||||||||||||||||||||||
Derivatives—Interest rate contracts—The significant unobservable inputs are forward FX rates, interest rates, volatilities and correlations. The wide range of forward FX rates is primarily due to long-dated exchange rates of different currencies against the Japanese Yen. The range of interest rates is due to interest rates in different countries/currencies being at different levels with some countries having extremely low levels and others being at levels that while still relatively low are less so. The range of volatilities is wide as the volatilities of shorter-dated interest rate derivatives are typically higher than those of longer-dated instruments. The range of correlations moves from positive to negative because the movement of some pairs is very closely related in the same direction causing high positive correlations while others generally move in opposite directions causing high negative correlations with pairs that have differing relationships through the range. Other than for volatilities where the majority of the inputs are away from the higher end of the range, the other significant unobservable inputs are spread across the relevant ranges. | |||||||||||||||||||||||||||||||||||||||||
Derivatives—Credit contracts—The significant unobservable inputs are credit spreads, recovery rates, volatilities and correlations. The range of credit spreads is due to the low end of the range arising from exposure to underlying reference names with very limited risk of a default and the high end arising from exposure to underlying reference names with a much greater risk of default. The range of recovery rates varies mainly due to the seniority of the underlying exposure with senior exposures having a higher recovery than subordinated exposures. The range of volatilities is wide as the volatilities of shorter-dated credit contracts are typically higher than those of longer-dated instruments. The correlation range is positive since credit spread moves are generally in the same direction. High positive correlations are those for which the movement is closely related with the correlation falling as the relationship becomes less strong. Other than for volatilities where the majority of inputs are away from the higher end of the range, the other significant unobservable inputs are spread across the relevant ranges. | |||||||||||||||||||||||||||||||||||||||||
Derivatives—Foreign exchange contracts—The significant unobservable inputs are volatilities and forward FX rates. The range of volatilities is relatively low with the lower end coming from currencies that trade in narrow ranges versus the US dollar. The wide range of forward FX rates is primarily due to long-dated exchange rates of different currencies against the US dollar. All significant unobservable inputs are spread across the relevant ranges. | |||||||||||||||||||||||||||||||||||||||||
Short-term borrowings and Long-term borrowings—The significant unobservable inputs are volatilities and correlations. The range of volatilities is wide as the volatilities of shorter-dated instruments are typically higher than those in longer-dated instruments. The range of correlations moves from positive to negative because the movement of some pairs is very closely related in the same direction causing high positive correlations while others generally move in opposite directions causing high negative correlations with pairs that have differing relationships through the range. Other than for volatilities where the majority of inputs are away from the higher end of the range, the other significant unobservable inputs are spread across the relevant ranges. | |||||||||||||||||||||||||||||||||||||||||
Sensitivity of fair value to changes in unobservable inputs | |||||||||||||||||||||||||||||||||||||||||
For each class of financial instrument described in the above tables, changes in each of the significant unobservable inputs and assumptions used by Nomura will impact upon the determination of a fair value measurement for the financial instrument. The sensitivity of these Level 3 fair value measurements to changes in unobservable inputs and interrelationships between those inputs is described below: | |||||||||||||||||||||||||||||||||||||||||
• | Equities, Private equity investments and equity securities reported within Other assets—When using DCF valuation techniques to determine fair value, a significant increase (decrease) in yields, WACC or liquidity discount in isolation would result in a significantly lower (higher) fair value measurement. Conversely, a significant increase (decrease) in growth rate would result in a corresponding significantly higher (lower) fair value measurement. There is little interrelationship between these measures. When using market multiples to determine fair value, a significant increase (decrease) in the relevant multiples such as PE ratios, EV/EBITDA ratios, Price/Book ratios and Price/Embedded Value ratios in isolation would result in a higher (lower) fair value measurement. Conversely, a significant increase (decrease) in the liquidity discount applied to the holding in isolation would result in a significantly lower (higher) fair value measurement. Generally changes in assumptions around multiples result in a corresponding similar directional change in a fair value measurement, assuming earnings levels remain constant. When using DCM, a significant increase (decrease) in the capitalization rate would result in a significantly lower (higher) fair value measurement. | ||||||||||||||||||||||||||||||||||||||||
• | Foreign government, agency and municipal securities, Bank and corporate debt securities and loans for trading purposes, Loans and receivables and Non-trading debt securities—Significant increases (decreases) in the credit spreads used in a DCF valuation technique would result in a significantly lower (higher) fair value measurement, while significant increases (decreases) in recovery rates would result in a significantly higher (lower) fair value measurement. | ||||||||||||||||||||||||||||||||||||||||
• | Commercial mortgage-backed securities (“CMBS”), Residential mortgage-backed securities (“RMBS”), Real estate-backed securities and Collateralized debt obligations (“CDOs”) and other—Significant increases (decreases) in yields, prepayment rates, default probabilities and loss severities used in a DCF valuation technique in isolation would result in a significantly lower (higher) fair value measurement. Generally, a change in default probabilities is accompanied by a directionally similar change in loss severities and a directionally opposite change in prepayment rates. When using DCM, a significant increase (decrease) in the capitalization rate would result in a significantly lower (higher) fair value measurement. | ||||||||||||||||||||||||||||||||||||||||
• | Investment trust funds and other—Significant increases (decreases) in credit spreads used in a DCF valuation technique would result in a significantly lower (higher) fair value measurement, while significant increases (decreases) in correlation would result in a significantly higher (lower) fair value measurement. | ||||||||||||||||||||||||||||||||||||||||
• | Derivatives—Where Nomura is long the underlying risk of a derivative, significant increases (decreases) in the underlying of the derivative, such as interest rates, credit spreads or forward FX rates in isolation or significant decreases (increases) in dividend yields would result in a significantly higher (lower) fair value measurement. Where Nomura is short the underlying risk of a derivative, the impact of these changes would have a converse effect on the fair value measurements reported by Nomura. Where Nomura is long optionality, recovery rates or correlation, significant increases (decreases) in volatilities, recovery rates or correlation will generally result in a significantly higher (lower) fair value measurement. Where Nomura is short optionality, recovery rates or correlation, the impact of these changes would have a converse effect on the fair value measurements. | ||||||||||||||||||||||||||||||||||||||||
• | Short-term borrowings and Long-term borrowings—Where Nomura is long optionality or correlation, significant increases (decreases) in volatilities or correlation used in a DCF valuation technique will generally result in a significantly higher (lower) fair value measurement. Where Nomura is short optionality or correlation, the impact of these changes would have a converse effect on the fair value measurements. | ||||||||||||||||||||||||||||||||||||||||
Movements in Level 3 financial instruments | |||||||||||||||||||||||||||||||||||||||||
The following tables present gains and losses as well as increases and decreases of financial instruments measured at fair value on a recurring basis which Nomura classified in Level 3 for the years ended March 31, 2013 and 2014. Financial instruments classified in Level 3 are often hedged with instruments within Level 1 or Level 2 of the fair value hierarchy. The gains or losses presented below do not reflect the offsetting gains or losses for these hedging instruments. Level 3 financial instruments are also measured using both observable and unobservable inputs. Fair value changes presented below, therefore, reflect realized and unrealized gains and losses resulting from movements in both observable and unobservable parameters. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2014, gains and losses related to Level 3 assets did not have a material impact on Nomura’s liquidity and capital resources management. | |||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
Year ended March 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Balance | Total gains | Total gains | Purchases | Sales / | Settlements | Foreign | Transfers | Transfers | Balance | ||||||||||||||||||||||||||||||||
as of | (losses) | (losses) | / issues(2) | redemptions(2) | exchange | into | out of | as of | |||||||||||||||||||||||||||||||||
April 1, | recognized | recognized in | movements | Level 3(3) | Level 3(3) | March 31, | |||||||||||||||||||||||||||||||||||
2012 | in net revenue(1) | other | 2013 | ||||||||||||||||||||||||||||||||||||||
comprehensive | |||||||||||||||||||||||||||||||||||||||||
income | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 125 | ¥ | 2 | ¥ | — | ¥ | 38 | ¥ | (22 | ) | ¥ | — | ¥ | 5 | ¥ | 6 | ¥ | (25 | ) | ¥ | 129 | |||||||||||||||||||
Private equity investments | 202 | 9 | — | 4 | (137 | ) | — | 9 | — | — | 87 | ||||||||||||||||||||||||||||||
Japanese agency and municipal securities | 10 | 0 | — | 1 | (11 | ) | — | — | 0 | (0 | ) | 0 | |||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 37 | 39 | — | 728 | (731 | ) | — | 0 | 62 | (44 | ) | 91 | |||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | 62 | 7 | — | 245 | (286 | ) | — | 7 | 69 | (35 | ) | 69 | |||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 8 | 3 | — | 11 | (15 | ) | — | 1 | 4 | (6 | ) | 6 | |||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 5 | 1 | — | 19 | (20 | ) | — | 0 | 2 | (3 | ) | 4 | |||||||||||||||||||||||||||||
Real estate-backed securities | 91 | 2 | — | 1 | (26 | ) | — | 0 | — | — | 68 | ||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other | 20 | (1 | ) | — | 11 | (17 | ) | — | 1 | 3 | (5 | ) | 12 | ||||||||||||||||||||||||||||
Investment trust funds and other | 9 | 2 | — | 2 | (0 | ) | — | 0 | 0 | (0 | ) | 13 | |||||||||||||||||||||||||||||
Total trading assets and private equity investments | 569 | 64 | — | 1,060 | (1,265 | ) | — | 23 | 146 | (118 | ) | 479 | |||||||||||||||||||||||||||||
Derivatives, net(4) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 14 | (9 | ) | — | — | — | (11 | ) | 4 | (1 | ) | 8 | 5 | ||||||||||||||||||||||||||||
Interest rate contracts | (39 | ) | (15 | ) | — | — | — | (1 | ) | (1 | ) | (0 | ) | 2 | (54 | ) | |||||||||||||||||||||||||
Credit contracts | (11 | ) | (16 | ) | — | — | — | 12 | 6 | 15 | 19 | 25 | |||||||||||||||||||||||||||||
Foreign exchange contracts | 18 | (1 | ) | — | — | — | 1 | (1 | ) | (6 | ) | (14 | ) | (3 | ) | ||||||||||||||||||||||||||
Commodity contracts | (0 | ) | 0 | — | — | — | (0 | ) | (0 | ) | 0 | (0 | ) | (0 | ) | ||||||||||||||||||||||||||
Total derivatives, net | (18 | ) | (41 | ) | — | — | — | 1 | 8 | 8 | 15 | (27 | ) | ||||||||||||||||||||||||||||
Subtotal | ¥ | 551 | ¥ | 23 | ¥ | — | ¥ | 1,060 | ¥ | (1,265 | ) | ¥ | 1 | ¥ | 31 | ¥ | 154 | ¥ | (103 | ) | ¥ | 452 | |||||||||||||||||||
Loans and receivables | 11 | (0 | ) | — | 0 | (3 | ) | — | 1 | — | (6 | ) | 3 | ||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 6 | 0 | 0 | 0 | (2 | ) | — | 0 | — | — | 4 | ||||||||||||||||||||||||||||||
Other(5) | 72 | 21 | 0 | 1 | (32 | ) | — | 0 | 0 | (2 | ) | 60 | |||||||||||||||||||||||||||||
Total | ¥ | 640 | ¥ | 44 | ¥ | 0 | ¥ | 1,061 | ¥ | (1,302 | ) | ¥ | 1 | ¥ | 32 | ¥ | 154 | ¥ | (111 | ) | ¥ | 519 | |||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 0 | ¥ | (0 | ) | ¥ | — | ¥ | 0 | ¥ | (0 | ) | ¥ | — | ¥ | 0 | ¥ | 0 | ¥ | — | ¥ | 0 | |||||||||||||||||||
Bank and corporate debt securities | 1 | (0 | ) | — | 0 | (1 | ) | — | 0 | — | (0 | ) | 0 | ||||||||||||||||||||||||||||
Total trading liabilities | ¥ | 1 | ¥ | (0 | ) | ¥ | — | ¥ | 0 | ¥ | (1 | ) | ¥ | — | ¥ | 0 | ¥ | 0 | ¥ | (0 | ) | ¥ | 0 | ||||||||||||||||||
Short-term borrowings | 0 | (0 | ) | — | 6 | (1 | ) | — | — | 1 | (2 | ) | 4 | ||||||||||||||||||||||||||||
Payables and deposits | (0 | ) | (1 | ) | — | (0 | ) | (0 | ) | — | — | — | — | 1 | |||||||||||||||||||||||||||
Long-term borrowings | (13 | ) | (155 | ) | — | 108 | (82 | ) | — | 3 | 110 | (59 | ) | 222 | |||||||||||||||||||||||||||
Other liabilities | — | 0 | — | 0 | (0 | ) | — | 0 | — | (0 | ) | 0 | |||||||||||||||||||||||||||||
Total | ¥ | (12 | ) | ¥ | (156 | ) | ¥ | — | ¥ | 114 | ¥ | (84 | ) | ¥ | — | ¥ | 3 | ¥ | 111 | ¥ | (61 | ) | ¥ | 227 | |||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
Year ended March 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Balance | Total | Total gains | Purchases | Sales / | Settlements | Foreign | Transfers | Transfers | Balance | ||||||||||||||||||||||||||||||||
as of | gains | (losses) | / issues(2) | redemptions(2) | exchange | into | out of | as of | |||||||||||||||||||||||||||||||||
April 1, | (losses) | recognized in | movements | Level 3(3) | Level 3(3) | March 31, | |||||||||||||||||||||||||||||||||||
2013 | recognized | other | 2014 | ||||||||||||||||||||||||||||||||||||||
in net | comprehensive | ||||||||||||||||||||||||||||||||||||||||
revenue(1) | income | ||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 129 | ¥ | 11 | ¥ | — | ¥ | 21 | ¥ | (105 | ) | ¥ | — | ¥ | 6 | ¥ | 7 | ¥ | (1 | ) | ¥ | 68 | |||||||||||||||||||
Private equity investments | 87 | (1 | ) | — | 1 | (11 | ) | — | 6 | — | (40 | ) | 42 | ||||||||||||||||||||||||||||
Japanese agency and municipal securities | 0 | — | — | — | — | — | — | — | (0 | ) | — | ||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 91 | 21 | — | 516 | (540 | ) | — | — | 8 | (70 | ) | 26 | |||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | 69 | 5 | — | 221 | (167 | ) | — | 3 | 32 | (47 | ) | 116 | |||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 6 | (0 | ) | — | 7 | (11 | ) | — | 0 | 2 | (1 | ) | 3 | ||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 4 | (0 | ) | — | 1 | (3 | ) | — | 0 | 3 | (2 | ) | 3 | ||||||||||||||||||||||||||||
Real estate-backed securities | 68 | 1 | — | 0 | (69 | ) | — | 0 | — | — | 0 | ||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other | 12 | (1 | ) | — | 23 | (21 | ) | — | 1 | 6 | (7 | ) | 13 | ||||||||||||||||||||||||||||
Investment trust funds and other | 13 | 0 | — | 24 | (6 | ) | — | 0 | — | (1 | ) | 30 | |||||||||||||||||||||||||||||
Total trading assets and private equity investments | 479 | 36 | — | 814 | (933 | ) | — | 16 | 58 | (169 | ) | 301 | |||||||||||||||||||||||||||||
Derivatives, net(4) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 5 | (8 | ) | — | — | — | (2 | ) | 2 | 7 | 7 | 11 | |||||||||||||||||||||||||||||
Interest rate contracts | (54 | ) | (1 | ) | — | — | — | 19 | (1 | ) | (6 | ) | 4 | (39 | ) | ||||||||||||||||||||||||||
Credit contracts | 25 | (5 | ) | — | — | — | (16 | ) | 3 | 0 | (2 | ) | 5 | ||||||||||||||||||||||||||||
Foreign exchange contracts | (3 | ) | (1 | ) | — | — | — | 13 | 0 | (4 | ) | (0 | ) | 5 | |||||||||||||||||||||||||||
Commodity contracts | (0 | ) | 0 | — | — | — | 0 | (0 | ) | 0 | — | 0 | |||||||||||||||||||||||||||||
Total derivatives, net | (27 | ) | (15 | ) | — | — | — | 14 | 4 | (3 | ) | 9 | (18 | ) | |||||||||||||||||||||||||||
Subtotal | ¥ | 452 | ¥ | 21 | ¥ | — | ¥ | 814 | ¥ | (933 | ) | ¥ | 14 | ¥ | 20 | ¥ | 55 | ¥ | (160 | ) | ¥ | 283 | |||||||||||||||||||
Loans and receivables | 3 | (0 | ) | — | 13 | (2 | ) | — | 1 | 20 | (9 | ) | 26 | ||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 4 | (1 | ) | (0 | ) | — | (0 | ) | — | 0 | — | — | 3 | ||||||||||||||||||||||||||||
Other | 60 | 4 | (0 | ) | 3 | (9 | ) | — | 0 | — | (2 | ) | 56 | ||||||||||||||||||||||||||||
Total | ¥ | 519 | ¥ | 24 | ¥ | (0 | ) | ¥ | 830 | ¥ | (944 | ) | ¥ | 14 | ¥ | 21 | ¥ | 75 | ¥ | (171 | ) | ¥ | 368 | ||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 0 | ¥ | (0 | ) | ¥ | — | ¥ | 1 | ¥ | (0 | ) | ¥ | — | ¥ | 0 | ¥ | 0 | ¥ | (0 | ) | ¥ | 1 | ||||||||||||||||||
Bank and corporate debt securities | 0 | 0 | — | 0 | (0 | ) | — | 0 | 0 | (0 | ) | 0 | |||||||||||||||||||||||||||||
Total trading liabilities | ¥ | 0 | ¥ | (0 | ) | ¥ | — | ¥ | 1 | ¥ | (0 | ) | ¥ | — | ¥ | 0 | ¥ | 0 | ¥ | (0 | ) | ¥ | 1 | ||||||||||||||||||
Short-term borrowings | 4 | (0 | ) | — | 3 | (3 | ) | — | — | 1 | (2 | ) | 3 | ||||||||||||||||||||||||||||
Payables and deposits | 1 | 0 | — | (0 | ) | (1 | ) | — | — | — | (0 | ) | 0 | ||||||||||||||||||||||||||||
Long-term borrowings | 222 | (29 | ) | — | 424 | (259 | ) | — | 3 | 42 | (67 | ) | 394 | ||||||||||||||||||||||||||||
Other liabilities | 0 | — | — | 1 | (1 | ) | — | (0 | ) | — | — | — | |||||||||||||||||||||||||||||
Total | ¥ | 227 | ¥ | (29 | ) | ¥ | — | ¥ | 429 | ¥ | (264 | ) | ¥ | — | ¥ | 3 | ¥ | 43 | ¥ | (69 | ) | ¥ | 398 | ||||||||||||||||||
-1 | Includes gains and losses reported primarily within Net gain on trading, Gain (loss) on private equity investments, and also within Gain (loss) on investments in equity securities, Revenue—Other and Non-interest expenses—Other, Interest and dividends and Interest expense in the consolidated statements of income. | ||||||||||||||||||||||||||||||||||||||||
-2 | Amounts reported in Purchases / issues include increases in trading liabilities while Sales / redemptions include decreases in trading liabilities. | ||||||||||||||||||||||||||||||||||||||||
-3 | If financial instruments move from Level 3 to another Level or move from another Level to Level 3, the amount reported in Transfers into Level 3 and Transfers out of Level 3 are the fair value as of the beginning of the quarter during which the movement occurs. Therefore if financial instruments move from another Level to Level 3, all gains/ (losses) during the quarter are included in the table and if financial instruments move from Level 3 to another Level, all gains/ (losses) during the year are excluded from the table. | ||||||||||||||||||||||||||||||||||||||||
-4 | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rate contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayments rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government debt securities. | ||||||||||||||||||||||||||||||||||||||||
-5 | Includes the impact of the refined fair value measurement of certain investments in unlisted equity securities. | ||||||||||||||||||||||||||||||||||||||||
Unrealized gains and losses recognized for Level 3 financial instruments | |||||||||||||||||||||||||||||||||||||||||
The following tables present the amounts of unrealized gains (losses) for the years ended March 31, 2013 and 2014, relating to those financial instruments which Nomura classified in Level 3 within the fair value hierarchy and that were still held by Nomura at the relevant consolidated balance sheet date. | |||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||||||||||||||||||
Unrealized gains / (losses)(1) | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 1 | ¥ | 7 | |||||||||||||||||||||||||||||||||||||
Private equity investments | (10 | ) | (6 | ) | |||||||||||||||||||||||||||||||||||||
Japanese agency and municipal securities | 0 | 0 | |||||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 2 | (1 | ) | ||||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | (0 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 1 | 1 | |||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 0 | (0 | ) | ||||||||||||||||||||||||||||||||||||||
Real estate-backed securities | (0 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other | (0 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 2 | 0 | |||||||||||||||||||||||||||||||||||||||
Total trading assets and private equity investments | (4 | ) | 1 | ||||||||||||||||||||||||||||||||||||||
Derivatives, net(2) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 7 | 22 | |||||||||||||||||||||||||||||||||||||||
Interest rate contracts | 24 | (1 | ) | ||||||||||||||||||||||||||||||||||||||
Credit contracts | 12 | 2 | |||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | (4 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||||
Commodity contracts | 0 | (0 | ) | ||||||||||||||||||||||||||||||||||||||
Total derivatives, net | 39 | 23 | |||||||||||||||||||||||||||||||||||||||
Subtotal | ¥ | 35 | ¥ | 24 | |||||||||||||||||||||||||||||||||||||
Loans and receivables | (0 | ) | (1 | ) | |||||||||||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 0 | (0 | ) | ||||||||||||||||||||||||||||||||||||||
Other(3) | 24 | 1 | |||||||||||||||||||||||||||||||||||||||
Total | ¥ | 59 | ¥ | 24 | |||||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 0 | ¥ | — | |||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities | — | (0 | ) | ||||||||||||||||||||||||||||||||||||||
Total trading liabilities | ¥ | 0 | ¥ | (0 | ) | ||||||||||||||||||||||||||||||||||||
Short-term borrowings | (1 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||||
Payables and deposits | (1 | ) | 0 | ||||||||||||||||||||||||||||||||||||||
Long-term borrowings | (162 | ) | (33 | ) | |||||||||||||||||||||||||||||||||||||
Other liabilities | (0 | ) | — | ||||||||||||||||||||||||||||||||||||||
Total | ¥ | (164 | ) | ¥ | (33 | ) | |||||||||||||||||||||||||||||||||||
-1 | Includes gains and losses reported primarily within Net gain on trading, Gain (loss) on private equity investments, and also within Gain (loss) on investments in equity securities, Revenue—Other and Non-interest expenses—Other, Interest and dividends and Interest expense in the consolidated statements of income. | ||||||||||||||||||||||||||||||||||||||||
-2 | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rate contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government debt securities. | ||||||||||||||||||||||||||||||||||||||||
-3 | Includes the impact of the refined fair value measurements of certain investments in unlisted equity securities. | ||||||||||||||||||||||||||||||||||||||||
Transfers between levels of the fair value hierarchy | |||||||||||||||||||||||||||||||||||||||||
Nomura assumes that all transfers of financial instruments from one level to another level within the fair value hierarchy occur at the beginning of the relevant quarter in which the transfer takes place. Amounts reported below therefore represent the fair value of the financial instruments at the beginning of the relevant quarter when the transfer was made. | |||||||||||||||||||||||||||||||||||||||||
Transfers between Level 1 and Level 2 | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2013, a total of ¥631 billion of financial assets (excluding derivative assets) were transferred from Level 1 to Level 2. This comprised primarily ¥361 billion of equities reported within Trading assets and private equity investments—Equities which were transferred because the observable markets in which these instruments were traded became inactive. This also comprised primarily ¥249 billion of debt securities reported within Other assets—Nontrading debt securities, ¥15 billion of exchange traded funds reported within Investment trust funds and other and ¥6 billion of equity securities reported within Other assets—Other which were transferred because the observable markets in which these instruments were traded became inactive. During the same period, a total of ¥80 billion of financial liabilities (excluding derivative liabilities) were transferred from Level 1 to Level 2. This comprised primarily ¥72 billion of short sales of equities reported within Trading liabilities which were transferred because the observable markets in which these instruments were traded became inactive. This also comprised ¥8 billion of short sales of exchange traded funds reported within Investment trust funds and other which were transferred because the observable markets in which these instruments were traded became inactive. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2014, a total of ¥492 billion of financial assets (excluding derivative assets) were transferred from Level 1 to Level 2. This comprised primarily ¥479 billion of equities reported within Trading assets and private equity investments—Equities which were transferred because the observable markets in which these instruments were traded became inactive. This also comprised ¥5 billion of equity securities reported within Other assets—Other which were transferred because the observable markets in which these instruments were traded became inactive. During the same period, a total of ¥38 billion of financial liabilities (excluding derivative liabilities) were transferred from Level 1 to Level 2. This comprised primarily ¥36 billion of short sales of equities reported within Trading liabilities which were transferred because the observable markets in which these instruments were traded became inactive. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2013, a total of ¥455 billion of financial assets (excluding derivative assets) were transferred from Level 2 to Level 1. This comprised primarily ¥441 billion of equities reported within Trading assets and private equity investments—Equities which were transferred because the observable markets in which these instruments were traded became active. This also comprised ¥5 billion of exchange traded funds reported within Investment trust funds and other and ¥7 billion of equity securities reported within Other assets—Other which were transferred because the observable markets in which these instruments were traded became active. During the same period, a total of ¥391 billion of financial liabilities (excluding derivative liabilities) were transferred from Level 2 to Level 1. This comprised primarily ¥388 billion of short sales of equities reported within Trading liabilities which were transferred because the observable markets in which these instruments were traded became active. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2014, a total of ¥856 billion of financial assets (excluding derivative assets) were transferred from Level 2 to Level 1. This comprised primarily ¥832 billion of equities reported within Trading assets and private equity investments—Equities which were transferred because the observable markets in which these instruments were traded became active. This also comprised ¥19 billion of exchange traded funds reported within Investment trust funds and other and ¥5 billion of equity securities reported within Other assets—Other which were transferred because the observable markets in which these instruments were traded became active. During the same period, a total of ¥92 billion of financial liabilities (excluding derivative liabilities) were transferred from Level 2 to Level 1. This comprised primarily ¥90 billion of short sales of equities reported within Trading liabilities which were transferred because the observable markets in which these instruments were traded became active. | |||||||||||||||||||||||||||||||||||||||||
Transfers out of Level 3 | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2013, a total of ¥126 billion of financial assets (excluding derivative assets) were transferred out of Level 3. This comprised primarily ¥25 billion of Equities which were transferred because certain yields and liquidity discounts became observable, ¥44 billion of Foreign government, agency and municipal securities which were transferred because certain credit spreads became observable and ¥35 billion of Bank and corporate debt securities and loans for trading purposes, principally debt securities and loans, which were transferred because certain credit spreads and recovery rates became observable. This also comprised ¥6 billion of CMBS which were transferred because certain yields, default probabilities and loss severities became observable, ¥5 billion of CDOs and other which were transferred because certain yields, prepayment rates, default probabilities and loss severities became observable and ¥6 billion of Loans and receivables, principally loans, which were transferred because certain credit spreads became observable. During the same period, a total of ¥61 billion of financial liabilities (excluding derivative liabilities) were transferred out of Level 3. This comprised primarily ¥59 billion of Long-term borrowings, principally structured notes, which were transferred because certain volatility and correlation valuation inputs became observable. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2013, a total of ¥15 billion of net derivative liabilities were also transferred out of Level 3. This comprised primarily ¥8 billion of net equity derivative liabilities which were transferred because certain dividend yields, volatility and correlation valuation inputs became observable, ¥19 billion of net credit derivative liabilities which were transferred because certain credit spread, recovery rate, volatility and correlation valuation inputs became observable and ¥14 billion of net foreign exchange derivative assets which were transferred because certain volatility and forward FX rate valuation inputs became observable. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2014, a total of ¥180 billion of financial assets (excluding derivative assets) were transferred out of Level 3. This comprised primarily ¥70 billion of Foreign government, agency and municipal securities which were transferred because certain credit spreads became observable and ¥47 billion of Bank and corporate debt securities and loans for trading purposes, principally debt securities and loans, which were transferred because certain credit spreads and recovery rates became observable. This also comprised ¥7 billion of CDOs and other which were transferred because certain yields, prepayment rates, default probabilities and loss severities became observable and ¥40 billion of Private equity investments, which were transferred because these instruments began trading in an active observable market and ¥9 billion of Loans and receivables, principally loans, which were transferred because certain credit spreads became observable. During the same period, a total of ¥69 billion of financial liabilities (excluding derivative liabilities) were transferred out of Level 3. This comprised primarily ¥67 billion of Long-term borrowings, principally structured notes, which were transferred because certain volatility and correlation valuation inputs became observable. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2014, a total of ¥9 billion of net derivative liabilities were also transferred out of Level 3. This comprised primarily ¥7 billion of net equity derivative liabilities which were transferred because certain dividend yield, volatility and correlation valuation inputs became observable. | |||||||||||||||||||||||||||||||||||||||||
Transfers into Level 3 | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2013, a total of ¥146 billion of financial assets (excluding derivative assets) were transferred into Level 3. This comprised primarily ¥6 billion of Equities which were transferred because certain yields and liquidity discounts became unobservable, ¥69 billion of Bank and corporate debt securities and loans for trading purposes, principally debt securities and loans, which were transferred because certain credit spread and recovery rate valuation inputs became unobservable and ¥62 billion of Foreign government, agency and municipal securities which were transferred because certain credit spreads became unobservable. The amount of gains and losses on these transfer reported in Equities and Bank and corporate debt securities and loans for trading purposes which were recognized in the quarter when the transfer into Level 3 occurred were not significant. Gains on these transfer reported in Foreign government, agency and municipal securities which were recognized in the quarter when the transfer into Level 3 occurred were ¥9 billion. During the same period, a total of ¥111 billion of financial liabilities (excluding derivative liabilities) were transferred into Level 3. This comprised primarily ¥110 billion of Long-term borrowings, principally structured notes, which were transferred because certain volatility and correlation valuation inputs became unobservable. Losses on these transfer reported in Long-term borrowings which were recognized in the quarter when the transfer into Level 3 occurred were ¥7 billion. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2013, a total of ¥8 billion of net derivative assets were also transferred into Level 3. This comprised ¥15 billion of net credit derivative assets which were transferred because certain credit spread, recovery rate, volatility and correlation valuation inputs became unobservable and ¥6 billion of net foreign exchange derivative liabilities which were transferred because certain volatility and forward FX rate valuation inputs became unobservable. The amount of gains and losses on the credit contracts and foreign exchange contracts which were recognized in the quarter when the transfer into Level 3 occurred were not significant. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2014, a total of ¥78 billion of financial assets (excluding derivative assets) were transferred into Level 3. This comprised primarily ¥7 billion of Equities which were transferred because certain liquidity discounts and capitalization rates became unobservable, ¥32 billion of Bank and corporate debt securities and loans for trading purposes, principally loans, which were transferred because certain credit spread and recovery rate valuation inputs became unobservable and ¥8 billion of Foreign government, agency and municipal securities which were transferred because certain credit spreads became unobservable. This also comprised ¥6 billion of CDOs and other which were transferred because certain yields, prepayment rates, default probabilities and loss severities valuation inputs became unobservable, ¥20 billion of Loans and receivables, principally loans and loan commitments, which were transferred because certain credit spreads became unobservable. The amount of gains and losses on these transfer reported in Equities, Bank and corporate debt securities and loans for trading purposes, Foreign government, agency and municipal securities, CDOs and other, Loans and receivables which were recognized in the quarter when the transfer into Level 3 occurred were not significant. During the same period, a total of ¥43 billion of financial liabilities (excluding derivative liabilities) were transferred into Level 3. This comprised primarily ¥42 billion of Long-term borrowings, principally structured notes, which were transferred because certain volatility and correlation valuation inputs became unobservable. Losses on these transfer reported in Long-term borrowings which were recognized in the quarter when the transfer into Level 3 occurred was not significant. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2014, a total of ¥3 billion of net derivative liabilities were also transferred into Level 3. This comprised ¥7 billion of net equity derivative assets which were transferred because certain dividend yield, volatility and correlation valuation inputs became unobservable and ¥6 billion of net interest rate derivative liabilities which were transferred because certain interest rate, volatility and correlation valuation inputs became unobservable. Losses on the equity contracts which were recognized in the quarter when the transfer into Level 3 occurred were ¥7 billion. The amount of gains and losses on the interest rate contracts which were recognized in the quarter when the transfer into Level 3 occurred was not significant. | |||||||||||||||||||||||||||||||||||||||||
Investments in investment funds that calculate NAV per share | |||||||||||||||||||||||||||||||||||||||||
In the normal course of business, Nomura invests in non-consolidated funds which meet the definition of investment companies or are similar in nature and which do not have readily determinable fair values. For certain of these investments, Nomura uses NAV per share as the basis for valuation as a practical expedient. Some of these investments are redeemable at different amounts from NAV per share. | |||||||||||||||||||||||||||||||||||||||||
The following tables present information on these investments where NAV per share is calculated or disclosed as of March 31, 2013 and 2014. Investments are presented by major category relevant to the nature of Nomura’s business and risks. | |||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Fair value(1) | Unfunded | Redemption frequency | Redemption notice | ||||||||||||||||||||||||||||||||||||||
commitments(2) | (if currently eligible)(3) | period(4) | |||||||||||||||||||||||||||||||||||||||
Hedge funds | ¥ | 68 | ¥ | 16 | Monthly | Same day-95 days | |||||||||||||||||||||||||||||||||||
Venture capital funds | 4 | 1 | — | — | |||||||||||||||||||||||||||||||||||||
Private equity funds | 63 | 7 | Quarterly | 30 days | |||||||||||||||||||||||||||||||||||||
Real estate funds | 3 | — | — | — | |||||||||||||||||||||||||||||||||||||
Total | ¥ | 138 | ¥ | 24 | |||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Fair value(1) | Unfunded | Redemption frequency | Redemption notice | ||||||||||||||||||||||||||||||||||||||
commitments(2) | (if currently eligible)(3) | period(4) | |||||||||||||||||||||||||||||||||||||||
Hedge funds | ¥ | 66 | ¥ | 0 | Monthly | Same day-95 days | |||||||||||||||||||||||||||||||||||
Venture capital funds | 4 | 1 | — | — | |||||||||||||||||||||||||||||||||||||
Private equity funds | 42 | 17 | Quarterly | 30 days | |||||||||||||||||||||||||||||||||||||
Real estate funds | 3 | — | — | — | |||||||||||||||||||||||||||||||||||||
Total | ¥ | 115 | ¥ | 18 | |||||||||||||||||||||||||||||||||||||
-1 | Fair value generally determined using NAV per share as a practical expedient. | ||||||||||||||||||||||||||||||||||||||||
-2 | The contractual amount of any unfunded commitments Nomura is required to make to the entities in which the investment is held. | ||||||||||||||||||||||||||||||||||||||||
-3 | The range in frequency with which Nomura can redeem investments. | ||||||||||||||||||||||||||||||||||||||||
-4 | The range in notice period required to be provided before redemption is possible. | ||||||||||||||||||||||||||||||||||||||||
Hedge funds: | |||||||||||||||||||||||||||||||||||||||||
These investments include funds of funds that invest in multiple asset classes. Nomura has developed the business of issuing structured notes linked to hedge funds. As a result, most of the risks are transferred as pass-through. The fair values of these investments are estimated using the NAV per share of the investments. Although most of these funds can be redeemed within six months, certain funds cannot be redeemed within six months due to contractual, liquidity or gating issues. The redemption period cannot be estimated for certain suspended or liquidating funds. Some of these investments contain restrictions against transfers of the investments to third parties. | |||||||||||||||||||||||||||||||||||||||||
Venture capital funds: | |||||||||||||||||||||||||||||||||||||||||
These investments include primarily start-up funds. The fair values of these investments in this category are estimated using the NAV per share of the investments. Most of these funds cannot be redeemed within six months. The redemption period cannot be estimated for certain suspended or liquidating funds. These investments contain restrictions against transfers of the investments to third parties. | |||||||||||||||||||||||||||||||||||||||||
Private equity funds: | |||||||||||||||||||||||||||||||||||||||||
These investments are made mainly in various sectors in Europe, United States and Japan. The fair values of these investments in this category are estimated using the NAV per share. Redemption is restricted for most of these investments. Some of these investments contain restrictions against transfers of the investments to third parties. | |||||||||||||||||||||||||||||||||||||||||
Real estate funds: | |||||||||||||||||||||||||||||||||||||||||
These are investments in commercial and other types of real estate. The fair values of these investments in this category are estimated using the NAV per share of the investments. Redemption is restricted for most of these investments. These investments contain restrictions against transfers of the investments to third parties. | |||||||||||||||||||||||||||||||||||||||||
Fair value option for financial assets and financial liabilities | |||||||||||||||||||||||||||||||||||||||||
Nomura carries certain eligible financial assets and liabilities at fair value through the election of the fair value option permitted by ASC 815 and ASC 825. When Nomura elects the fair value option for an eligible item, changes in that item’s fair value are recognized through earnings. Election of the fair value option is generally irrevocable unless an event occurs that gives rise to a new basis of accounting for that instrument. | |||||||||||||||||||||||||||||||||||||||||
The financial assets and financial liabilities primarily elected for the fair value option by Nomura, and the reasons for the election, are as follows: | |||||||||||||||||||||||||||||||||||||||||
• | Equity method investments reported within Trading assets and private equity investments and Other assets held for capital appreciation or current income purposes which Nomura generally has an intention to exit rather than hold indefinitely. Nomura elects the fair value option to more appropriately represent the purpose of these investments in these consolidated financial statements. | ||||||||||||||||||||||||||||||||||||||||
• | Loans reported within Loans and receivables which are risk managed on a fair value basis and loan commitments related to loans receivable for which the fair value option will be elected upon funding. Nomura elects the fair value option to mitigate volatility through earnings caused by the difference in measurement basis that otherwise would arise between loans and the derivatives used to risk manage those instruments. | ||||||||||||||||||||||||||||||||||||||||
• | Reverse repurchase and repurchase agreements reported within Collateralized agreements and Collateralized financing which are risk managed on a fair value basis. Nomura elects the fair value option to mitigate volatility through earnings caused by the difference in measurement basis that otherwise would arise between the reverse repurchase and repurchase agreements and the derivatives used to risk manage those instruments. | ||||||||||||||||||||||||||||||||||||||||
• | All structured notes issued on or after April 1, 2008 reported within Short-term borrowings and Long-term borrowings. Nomura elects the fair value option for those structured notes primarily to mitigate the volatility through earnings caused by differences in the measurement basis for structured notes and the derivatives Nomura uses to risk manage those positions. Nomura also elects the fair value option for certain notes issued by consolidated VIEs for the same purpose and for certain structured notes issued prior to April 1, 2008. | ||||||||||||||||||||||||||||||||||||||||
• | Financial liabilities reported within Long-term borrowings recognized in transactions which are accounted for as secured financing transactions under ASC 860. Nomura elects the fair value option for these financial liabilities to mitigate volatility through earnings that otherwise would arise had this election not been made. Even though Nomura usually has little or no continuing economic exposure to the transferred financial assets, they remain on the consolidated balance sheets and continue to be carried at fair value, with changes in fair value recognized through earnings. | ||||||||||||||||||||||||||||||||||||||||
Interest and dividends arising from financial instruments for which the fair value option has been elected are recognized within Interest and dividends, Interest expense or Net gain on trading. | |||||||||||||||||||||||||||||||||||||||||
The following table presents gains (losses) due to changes in fair value for financial instruments measured at fair value using the fair value option for the years ended March 31, 2012, 2013 and 2014. | |||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||||||||||||||
Gains/(Losses)(1) | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments(2) | |||||||||||||||||||||||||||||||||||||||||
Trading assets | ¥ | 0 | ¥ | 2 | ¥ | 0 | |||||||||||||||||||||||||||||||||||
Private equity investments | (12 | ) | (10 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||
Loans and receivables | (6 | ) | 19 | 3 | |||||||||||||||||||||||||||||||||||||
Collateralized agreements(3) | 10 | (0 | ) | 4 | |||||||||||||||||||||||||||||||||||||
Other assets(2) | (0 | ) | 1 | 17 | |||||||||||||||||||||||||||||||||||||
Total | ¥ | (8 | ) | ¥ | 12 | ¥ | 24 | ||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Short-term borrowings(4) | ¥ | (14 | ) | ¥ | (4 | ) | ¥ | 0 | |||||||||||||||||||||||||||||||||
Collateralized financing(3) | (1 | ) | (1 | ) | (3 | ) | |||||||||||||||||||||||||||||||||||
Long-term borrowings(4)(5) | (11 | ) | (51 | ) | 11 | ||||||||||||||||||||||||||||||||||||
Other liabilities(6) | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||
Total | ¥ | (26 | ) | ¥ | (56 | ) | ¥ | 8 | |||||||||||||||||||||||||||||||||
-1 | Includes gains and losses reported primarily within Net gain on trading and Gain (loss) on private equity investments in the consolidated statements of income. As of March 31, 2014, gains of ¥5 billion included in Other assets are reported in Revenue—Other in the consolidated statements of income. | ||||||||||||||||||||||||||||||||||||||||
-2 | Includes equity investments that would have been accounted for under the equity method had Nomura not chosen to elect the fair value option. | ||||||||||||||||||||||||||||||||||||||||
-3 | Includes reverse repurchase and repurchase agreements. | ||||||||||||||||||||||||||||||||||||||||
-4 | Includes structured notes and other financial liabilities. | ||||||||||||||||||||||||||||||||||||||||
-5 | Includes secured financing transactions arising from transfers of financial assets which did not meet the criteria for sales accounting. | ||||||||||||||||||||||||||||||||||||||||
-6 | Includes loan commitments. | ||||||||||||||||||||||||||||||||||||||||
Nomura currently carries its investment in the common stock of Ashikaga Holdings Co., Ltd. (“Ashikaga Holdings”) at fair value through election of the fair value option. Nomura held 47.0% of the common stock as of March 31, 2012 and 2013 and 37.1% as of March 31, 2014. This investment was reported within Trading assets and private equity investments—Private equity investments and Other assets—Other as of March 31, 2012 and 2013 and Other assets—Other as of March 31, 2014 in the consolidated balance sheets. | |||||||||||||||||||||||||||||||||||||||||
Ashikaga Holdings recognized total revenue of ¥101 billion, total expense of ¥84 billion and net income after tax of ¥17 billion for the year ended March 31, 2012. As of March 31, 2012, its total assets and total liabilities were ¥5,354 billion and ¥5,097 billion, respectively, determined in accordance with accounting principles generally accepted in Japan. Ashikaga Holdings recognized total revenue of ¥99 billion, total expense of ¥80 billion and net income after tax of ¥15 billion for the year ended March 31, 2013. As of March 31, 2013, its total assets and total liabilities were ¥5,434 billion and ¥5,155 billion, respectively, determined in accordance with accounting principles generally accepted in Japan. Ashikaga Holdings recognized total revenue of ¥108 billion, total expense of ¥80 billion and net income after tax of ¥24 billion for the year ended March 31, 2014. As of March 31, 2014, its total assets and total liabilities were ¥5,612 billion and ¥5,371 billion, respectively, determined in accordance with accounting principles generally accepted in Japan. | |||||||||||||||||||||||||||||||||||||||||
Nomura calculates the impact of changes in its own creditworthiness on certain financial liabilities for which the fair value option is elected by DCF valuation techniques at a rate which incorporates observable changes in its credit spread. | |||||||||||||||||||||||||||||||||||||||||
Gains from changes in the fair value of the financial liabilities for which the fair value option was elected, attributable to the change in its creditworthiness were ¥17 billion for the year ended March 31, 2012, mainly due to the widening of Nomura’s credit spread. Losses from changes in the fair value of the financial liabilities for which the fair value option was elected, attributable to the change in Nomura’s creditworthiness, were ¥31 billion for the year ended March 31, 2013, mainly due to the tightening of Nomura’s credit spread. Losses from changes in the fair value of the financial liabilities for which the fair value option was elected, attributable to the change in its creditworthiness were ¥9 billion for the year ended March 31, 2014, mainly due to the tightening of Nomura’s credit spread. | |||||||||||||||||||||||||||||||||||||||||
There was no significant impact on financial assets for which the fair value option was elected attributable to instrument-specific credit risk. | |||||||||||||||||||||||||||||||||||||||||
As of March 31, 2013, the fair value of the aggregate unpaid principal balance (which is contractually principally protected) of loans and receivables for which the fair value option was elected was ¥1 billion more than the principal balance of such loans and receivables. The fair value of the aggregate unpaid principal balance (which is contractually principally protected) of long-term borrowings for which the fair value option was elected was ¥20 billion more than the principal balance of such long-term borrowings. There were no loans and receivables for which the fair value option was elected that were 90 days or more past due. | |||||||||||||||||||||||||||||||||||||||||
As of March 31, 2014, the fair value of the aggregate unpaid principal balance (which is contractually principally protected) of loans and receivables for which the fair value option was elected was ¥1 billion more than the principal balance of such loans and receivables. The fair value of the aggregate unpaid principal balance (which is contractually principally protected) of long-term borrowings for which the fair value option was elected was ¥17 billion more than the principal balance of such long-term borrowings. There were no loans and receivables for which the fair value option was elected that were 90 days or more past due. | |||||||||||||||||||||||||||||||||||||||||
Concentrations of credit risk | |||||||||||||||||||||||||||||||||||||||||
Concentrations of credit risk may arise from trading, securities financing transactions and underwriting activities, and may be impacted by changes in political or economic factors. Nomura has credit risk concentrations on bonds issued by the Japanese Government, U.S. Government, Governments within the European Union (“EU”), their states and municipalities, and their agencies. These concentrations generally arise from taking trading positions and are reported within Trading assets in the consolidated balance sheets. Government, agency and municipal securities, including Securities pledged as collateral, represented 22% of total assets as of March 31, 2013 and 20% as of March 31, 2014. | |||||||||||||||||||||||||||||||||||||||||
The following tables present geographic allocations of Nomura’s trading assets related to government, agency and municipal securities. See Note 3 “Derivative instruments and hedging activities” for further information regarding the concentration of credit risk for derivatives. | |||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Japan | U.S. | EU | Other | Total(1) | |||||||||||||||||||||||||||||||||||||
Government, agency and municipal securities | ¥ | 3,403 | ¥ | 1,313 | ¥ | 3,262 | ¥ | 556 | ¥ | 8,534 | |||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Japan | U.S. | EU | Other | Total(1) | |||||||||||||||||||||||||||||||||||||
Government, agency and municipal securities | ¥ | 2,779 | ¥ | 1,666 | ¥ | 3,968 | ¥ | 385 | ¥ | 8,798 | |||||||||||||||||||||||||||||||
-1 | Other than above, there were ¥715 billion and ¥756 billion of government, agency and municipal securities in Other assets—Non-trading debt securities as of March 31, 2013 and 2014, respectively. These securities are primarily Japanese government, agency and municipal securities. | ||||||||||||||||||||||||||||||||||||||||
Estimated fair value of financial instruments not carried at fair value | |||||||||||||||||||||||||||||||||||||||||
Certain financial instruments are not carried at fair value on a recurring basis in the consolidated balance sheets since they are neither held for trading purposes nor are elected for the fair value option. These are typically carried at contractual amounts due or amortized cost. | |||||||||||||||||||||||||||||||||||||||||
The carrying value of the majority of the financial instruments detailed below will approximate fair value since they are short-term in nature and contain minimal credit risk. These financial instruments include financial assets reported within Cash and cash equivalents, Time deposits, Deposits with stock exchanges and other segregated cash, Receivables from customers, Receivables from other than customers, Securities purchased under agreements to resell and Securities borrowed and financial liabilities reported within Short-term borrowings, Payables to customers, Payables to other than customers, Deposits received at banks, Securities sold under agreements to repurchase, Securities loaned and Other secured borrowings in the consolidated balance sheets. These would be generally classified in either Level 1 or Level 2 within the fair value hierarchy. | |||||||||||||||||||||||||||||||||||||||||
The estimated fair values of other financial instruments which are longer-term in nature or may contain more than minimal credit risk may be different to their carrying value. Financial assets of this type primarily include certain loans which are reported within Loans receivable while financial liabilities primarily include long-term borrowings which are reported within Long-term borrowings. The estimated fair value of loans receivable which are not elected for the fair value option is estimated in the same way as other loans carried at fair value on a recurring basis. Where quoted market prices are available, such market prices are utilized to estimate fair value. The fair value of long-term borrowings which are not elected for the fair value option is estimated in the same way as other borrowings carried at fair value on a recurring basis using quoted market prices where available or by DCF valuation techniques. All of these financial assets and financial liabilities would be generally classified in Level 2 or Level 3 within the fair value hierarchy using the same methodology as is applied to these instruments when they are elected for the fair value option. | |||||||||||||||||||||||||||||||||||||||||
The following tables present carrying values, fair values and classification within the fair value hierarchy for certain classes of financial instrument of which a portion of the ending balance was carried at fair value as of March 31, 2013 and 2014. | |||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2013(1) | |||||||||||||||||||||||||||||||||||||||||
Fair value by level | |||||||||||||||||||||||||||||||||||||||||
Carrying | Fair value | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||||||||||
value | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | ¥ | 805 | ¥ | 805 | ¥ | 805 | ¥ | — | ¥ | — | |||||||||||||||||||||||||||||||
Time deposits | 578 | 578 | — | 578 | — | ||||||||||||||||||||||||||||||||||||
Deposits with stock exchanges and other segregated cash | 270 | 270 | — | 270 | — | ||||||||||||||||||||||||||||||||||||
Loans receivable(2) | 1,575 | 1,576 | — | 1,352 | 224 | ||||||||||||||||||||||||||||||||||||
Securities purchased under agreements to resell | 8,295 | 8,295 | — | 8,295 | — | ||||||||||||||||||||||||||||||||||||
Securities borrowed | 5,820 | 5,820 | — | 5,820 | — | ||||||||||||||||||||||||||||||||||||
Total Assets | ¥ | 17,343 | ¥ | 17,344 | ¥ | 805 | ¥ | 16,315 | ¥ | 224 | |||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Short-term borrowings | ¥ | 738 | ¥ | 738 | ¥ | — | ¥ | 734 | ¥ | 4 | |||||||||||||||||||||||||||||||
Deposits received at banks | 1,072 | 1,072 | — | 1,071 | 1 | ||||||||||||||||||||||||||||||||||||
Securities sold under agreements to repurchase | 12,444 | 12,444 | — | 12,440 | 4 | ||||||||||||||||||||||||||||||||||||
Securities loaned | 2,159 | 2,159 | — | 2,159 | — | ||||||||||||||||||||||||||||||||||||
Long-term borrowings | 7,592 | 7,430 | 114 | 7,093 | 223 | ||||||||||||||||||||||||||||||||||||
Total Liabilities | ¥ | 24,005 | ¥ | 23,843 | ¥ | 114 | ¥ | 23,497 | ¥ | 232 | |||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2014(1) | |||||||||||||||||||||||||||||||||||||||||
Fair value by level | |||||||||||||||||||||||||||||||||||||||||
Carrying | Fair value | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||||||||||
value | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | ¥ | 1,490 | ¥ | 1,490 | ¥ | 1,490 | ¥ | — | ¥ | — | |||||||||||||||||||||||||||||||
Time deposits | 364 | 364 | — | 364 | — | ||||||||||||||||||||||||||||||||||||
Deposits with stock exchanges and other segregated cash | 336 | 336 | — | 336 | — | ||||||||||||||||||||||||||||||||||||
Loans receivable(2) | 1,327 | 1,326 | — | 1,068 | 258 | ||||||||||||||||||||||||||||||||||||
Securities purchased under agreements to resell | 9,618 | 9,618 | — | 9,618 | — | ||||||||||||||||||||||||||||||||||||
Securities borrowed | 7,729 | 7,729 | — | 7,729 | — | ||||||||||||||||||||||||||||||||||||
Total Assets | ¥ | 20,864 | ¥ | 20,863 | ¥ | 1,490 | ¥ | 19,115 | ¥ | 258 | |||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Short-term borrowings | ¥ | 602 | ¥ | 602 | ¥ | — | ¥ | 599 | ¥ | 3 | |||||||||||||||||||||||||||||||
Deposits received at banks | 1,114 | 1,114 | — | 1,114 | 0 | ||||||||||||||||||||||||||||||||||||
Securities sold under agreements to repurchase | 13,938 | 13,938 | — | 13,938 | 0 | ||||||||||||||||||||||||||||||||||||
Securities loaned | 2,360 | 2,360 | — | 2,360 | — | ||||||||||||||||||||||||||||||||||||
Long-term borrowings | 8,227 | 8,202 | 134 | 7,674 | 394 | ||||||||||||||||||||||||||||||||||||
Total Liabilities | ¥ | 26,241 | ¥ | 26,216 | ¥ | 134 | ¥ | 25,685 | ¥ | 397 | |||||||||||||||||||||||||||||||
-1 | Includes financial instruments which are carried at fair value on a recurring basis. | ||||||||||||||||||||||||||||||||||||||||
-2 | Carrying values are shown after deducting relevant allowances for loan losses. | ||||||||||||||||||||||||||||||||||||||||
Assets and liabilities measured at fair value on a nonrecurring basis | |||||||||||||||||||||||||||||||||||||||||
In addition to financial instruments carried at fair value on a recurring basis, Nomura also measures other financial and non-financial assets and liabilities at fair value on a nonrecurring basis, where the primary measurement basis is not fair value. Fair value is only used in specific circumstances after initial recognition such as to measure impairment. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2013, goodwill allocated to a certain reporting unit was measured at fair value on a nonrecurring basis. The relevant goodwill, which is reported within Other assets—Other in the consolidated balance sheets, was wholly impaired. Fair value was determined using a DCF valuation technique and consequently, this nonrecurring fair value measurement was determined using valuation inputs which would be classified in Level 3 of the fair value hierarchy. | |||||||||||||||||||||||||||||||||||||||||
For the year ended March 31, 2014, goodwill allocated to a certain reporting unit was measured at fair value on a nonrecurring basis. The relevant goodwill, which is reported within Other assets—Other in the consolidated balance sheets, was written down to its estimated fair value of ¥3 billion as a result of this impairment. Fair value was determined using a DCF valuation technique and consequently, this nonrecurring fair value measurement was determined using valuation inputs which would be classified in Level 3 of the fair value hierarchy. |
Derivative_instruments_and_hed
Derivative instruments and hedging activities | 12 Months Ended | ||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||
Derivative instruments and hedging activities | ' | ||||||||||||||||||||||||||||
Derivative instruments and hedging activities | ' | ||||||||||||||||||||||||||||
3. Derivative instruments and hedging activities: | |||||||||||||||||||||||||||||
Nomura uses a variety of derivative financial instruments, including futures, forwards, options and swaps, for both trading and non-trading purposes. | |||||||||||||||||||||||||||||
Derivatives used for trading purposes | |||||||||||||||||||||||||||||
In the normal course of business, Nomura enters into transactions involving derivative financial instruments to meet client needs, for trading purposes, and to reduce its own exposure to loss due to adverse fluctuations in interest rates, currency exchange rates and market prices of securities. These financial instruments include contractual agreements such as commitments to swap interest payment streams, exchange currencies or purchase or sell securities and other financial instruments on specific terms at specific future dates. | |||||||||||||||||||||||||||||
Nomura maintains active trading positions in a variety of derivative financial instruments. Most of Nomura’s trading activities are client oriented. Nomura utilizes a variety of derivative financial instruments as a means of bridging clients’ specific financial needs and investors’ demands in the securities markets. Nomura also actively trades securities and various derivatives to assist its clients in adjusting their risk profiles as markets change. In performing these activities, Nomura carries an inventory of capital markets instruments and maintains its access to market liquidity by quoting bid and offer prices to and trading with other market makers. These activities are essential to provide clients with securities and other capital markets products at competitive prices. | |||||||||||||||||||||||||||||
Futures and forward contracts are commitments to either purchase or sell securities, foreign currency or other capital market instruments at a specific future date for a specified price and may be settled in cash or through delivery. Foreign exchange contracts include spot and forward contracts and involve the exchange of two currencies at a rate agreed by the contracting parties. Risks arise from the possible inability of counterparties to meet the terms of their contracts and from movements in market prices. Futures contracts are executed through regulated exchanges which clear and guarantee performance of counterparties. Accordingly, credit risk associated with futures contracts is considered minimal. In contrast, forward contracts are generally negotiated between two counterparties and, therefore, are subject to the performance of the related counterparties. | |||||||||||||||||||||||||||||
Options are contracts that grant the purchaser, for a premium payment, the right to either purchase or sell a financial instrument at a specified price within a specified period of time or on a specified date from or to the writer of the option. The writer of options receives premiums and bears the risk of unfavorable changes in the market price of the financial instruments underlying the options. | |||||||||||||||||||||||||||||
Swaps are contractual agreements in which two counterparties agree to exchange certain cash flows, at specified future dates, based on an agreed contract. Certain agreements may result in combined interest rate and foreign currency exposures. Entering into swap agreements may involve the risk of credit losses in the event of counterparty default. | |||||||||||||||||||||||||||||
To the extent these derivative financial instruments are economically hedging financial instruments or securities positions of Nomura, the overall risk of loss may be fully or partly mitigated by the hedged position. | |||||||||||||||||||||||||||||
Nomura seeks to minimize its exposure to market risk arising from its use of these derivative financial instruments through various control policies and procedures, including position limits, monitoring procedures and hedging strategies whereby Nomura enters into offsetting or other positions in a variety of financial instruments. | |||||||||||||||||||||||||||||
Derivatives used for non-trading purposes | |||||||||||||||||||||||||||||
Nomura’s principal objectives in using derivatives for non-trading purposes are to manage interest rate risk, to modify the interest rate characteristics of certain financial liabilities, to manage net investment exposure to fluctuations in foreign exchange rates arising from certain foreign operations and to mitigate equity price risk arising from certain stock-based compensation awards given to employees. | |||||||||||||||||||||||||||||
Credit risk associated with derivatives utilized for non-trading purposes is controlled and managed in the same way as credit risk associated with derivatives utilized for trading purposes. | |||||||||||||||||||||||||||||
Nomura designates derivative financial instruments as fair value hedges of interest rate risk arising from specific financial liabilities. These derivatives are effective in reducing the risk associated with the exposure being hedged and they are highly correlated with changes in the fair value of the underlying hedged item, both at inception and throughout the life of the hedge contract. Changes in fair value of the hedging derivatives are reported together with those of the hedged liabilities through the consolidated statements of income within Interest expense. | |||||||||||||||||||||||||||||
Derivative financial instruments designated as hedges of the net investment in foreign operations relate to specific subsidiaries with non-Japanese yen functional currencies. When determining the effectiveness of net investment hedges, the effective portion of the change in fair value of the hedging derivative is determined by changes in spot exchange rates and is reported through NHI shareholders’ equity within Accumulated other comprehensive income (loss). Changes in fair value of the hedging derivatives attributable to changes in the difference between the forward rate and spot rate are excluded from the measure of hedge effectiveness and are reported in the consolidated statements of income within Revenue—Other. | |||||||||||||||||||||||||||||
Concentrations of credit risk for derivatives | |||||||||||||||||||||||||||||
The following tables present Nomura’s significant concentration of exposures to credit risk in OTC derivatives with financial institutions including transactions cleared through central counterparties. The gross fair value of derivative assets represents the maximum amount of loss due to credit risk that Nomura would incur if the counterparties of Nomura failed to perform in accordance with the terms of the instruments and any collateral or other security Nomura held in relation to those instruments proved to be of no value. | |||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||
Gross fair value of | Impact of | Impact of | Net exposure to | ||||||||||||||||||||||||||
derivative assets | master netting | collateral | credit risk | ||||||||||||||||||||||||||
agreements | |||||||||||||||||||||||||||||
Financial institutions | ¥ | 20,169 | ¥ | (18,415 | ) | ¥ | (981 | ) | ¥ | 773 | |||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||
Gross fair value of | Impact of | Impact of | Net exposure to | ||||||||||||||||||||||||||
derivative assets | master netting | collateral | credit risk | ||||||||||||||||||||||||||
agreements | |||||||||||||||||||||||||||||
Financial institutions | ¥ | 20,355 | ¥ | (18,481 | ) | ¥ | (936 | ) | ¥ | 938 | |||||||||||||||||||
Derivative activities | |||||||||||||||||||||||||||||
The following tables quantify the volume of Nomura’s derivative activity through a disclosure of notional amounts, in comparison with the fair value of those derivatives. All amounts are disclosed on a gross basis, prior to counterparty netting of derivative assets and liabilities and cash collateral netting against net derivatives. | |||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||
Derivative assets | Derivative liabilities | ||||||||||||||||||||||||||||
Notional | Fair value | Notional(1) | Fair value(1) | ||||||||||||||||||||||||||
Derivatives used for trading and non-trading purposes(2)(3): | |||||||||||||||||||||||||||||
Equity contracts | ¥ | 14,130 | ¥ | 1,857 | ¥ | 14,550 | ¥ | 2,017 | |||||||||||||||||||||
Interest rate contracts | 727,129 | 21,685 | 711,914 | 21,452 | |||||||||||||||||||||||||
Credit contracts | 44,582 | 1,839 | 42,889 | 1,979 | |||||||||||||||||||||||||
Foreign exchange contracts | 81,002 | 2,104 | 80,280 | 2,007 | |||||||||||||||||||||||||
Commodity contracts | 29 | 1 | 39 | 2 | |||||||||||||||||||||||||
Total | ¥ | 866,872 | ¥ | 27,486 | ¥ | 849,672 | ¥ | 27,457 | |||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||||||
Interest rate contracts | ¥ | 1,748 | ¥ | 88 | ¥ | 162 | ¥ | 0 | |||||||||||||||||||||
Foreign exchange contracts | 92 | 1 | 24 | 1 | |||||||||||||||||||||||||
Total | ¥ | 1,840 | ¥ | 89 | ¥ | 186 | ¥ | 1 | |||||||||||||||||||||
Total derivatives | ¥ | 868,712 | ¥ | 27,575 | ¥ | 849,858 | ¥ | 27,458 | |||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||
Derivative assets | Derivative liabilities | ||||||||||||||||||||||||||||
Notional | Fair value | Notional(1) | Fair value(1) | ||||||||||||||||||||||||||
Derivatives used for trading and non-trading purposes(2)(3): | |||||||||||||||||||||||||||||
Equity contracts | ¥ | 15,761 | ¥ | 1,922 | ¥ | 14,911 | ¥ | 2,254 | |||||||||||||||||||||
Interest rate contracts | 1,132,306 | 19,459 | 1,098,406 | 19,249 | |||||||||||||||||||||||||
Credit contracts | 38,136 | 1,314 | 40,310 | 1,623 | |||||||||||||||||||||||||
Foreign exchange contracts | 108,595 | 3,312 | 113,915 | 2,938 | |||||||||||||||||||||||||
Commodity contracts | 46 | 0 | 37 | 0 | |||||||||||||||||||||||||
Total | ¥ | 1,294,844 | ¥ | 26,007 | ¥ | 1,267,579 | ¥ | 26,064 | |||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||||||
Interest rate contracts | ¥ | 2,143 | ¥ | 62 | ¥ | 296 | ¥ | 2 | |||||||||||||||||||||
Foreign exchange contracts | 109 | 0 | 116 | 2 | |||||||||||||||||||||||||
Total | ¥ | 2,252 | ¥ | 62 | ¥ | 412 | ¥ | 4 | |||||||||||||||||||||
Total derivatives | ¥ | 1,297,096 | ¥ | 26,069 | ¥ | 1,267,991 | ¥ | 26,068 | |||||||||||||||||||||
-1 | Includes the amount of embedded derivatives bifurcated in accordance with ASC 815. | ||||||||||||||||||||||||||||
-2 | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rates contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government securities. | ||||||||||||||||||||||||||||
-3 | As of March 31, 2013 and 2014, the amounts reported include derivatives used for non-trading purposes which are not designated as fair value or net investment hedges. These amounts have not been separately presented since such amounts were not significant. | ||||||||||||||||||||||||||||
Changes in fair value are recognized either through earnings or other comprehensive income depending on the purpose for which the derivatives are used. | |||||||||||||||||||||||||||||
Offsetting of derivatives | |||||||||||||||||||||||||||||
Counterparty credit risk associated with derivative financial instruments is controlled by Nomura through credit approvals, limits and monitoring procedures. To reduce the risk of loss, Nomura requires collateral, principally cash collateral and government securities, for certain derivative transactions. In certain cases, Nomura may agree for such collateral to be posted to a third-party custodian under a control agreement that enables Nomura to take control of such collateral in the event of counterparty default. From an economic standpoint, Nomura evaluates default risk exposure net of related collateral. Furthermore, OTC derivative transactions are typically documented under industry standard master netting agreements which reduce Nomura’s credit exposure to counterparties as they permit the close-out and offset of transactions and collateral amounts in the event of default of the counterparty. For certain OTC centrally-cleared and exchange-traded derivatives, the clearing or membership agreements entered into by Nomura provide similar rights to Nomura in the event of default of the relevant central clearing party or exchange. In order to support the enforceability of the close-out and offsetting rights within these agreements, Nomura generally seeks to obtain an external legal opinion. | |||||||||||||||||||||||||||||
For certain types of counterparties and in certain jurisdictions, Nomura may enter into derivative transactions which are not documented under a master netting agreement. Similarly, even when derivatives are documented under such agreements, Nomura may not have yet sought evidence, or may not be able to obtain evidence to determine with sufficient certainty that close-out and offsetting rights are legally enforceable. This may be the case where relevant local laws specifically prohibit such close-out and offsetting rights, or where local laws are complex, ambiguous or silent on the enforceability of such rights, . This may include derivative transactions executed with certain foreign governments, agencies, municipalities, central clearing counterparties, exchanges and pension funds. | |||||||||||||||||||||||||||||
Nomura considers the enforceability of a master netting agreement in determining how credit risk arising from transactions with a specific counterparty is hedged, how counterparty credit exposures are calculated and applied to credit limits and the extent and nature of collateral requirements from the counterparty. | |||||||||||||||||||||||||||||
Derivative assets and liabilities with the same counterparty documented under a master netting agreement are offset in the consolidated balance sheets where the specific criteria defined by ASC 210-20 and ASC 815 are met. These criteria include requirements around the legal enforceability of such close-out and offset rights under the master netting agreement. In addition, fair value amounts recognized for the right to reclaim cash collateral (a receivable) and the obligation to return cash collateral (a payable) are also offset against net derivative liabilities and net derivative assets, respectively where certain additional criteria are met. | |||||||||||||||||||||||||||||
The following table presents information about offsetting of derivatives and related collateral amounts in the consolidated balance sheets by type of derivative contract, together with the extent to which master netting agreements entered into with counterparties, central clearing counterparties or exchanges permit additional offsetting of derivatives and collateral in the event of counterparty default. Derivative transactions which are not documented under a master netting agreement or are documented under a master netting agreement for which Nomura does not have sufficient evidence of enforceability are not offset in the following table. | |||||||||||||||||||||||||||||
Billions of yen | Billions of yen | ||||||||||||||||||||||||||||
March 31, 2013 | March 31, 2014 | ||||||||||||||||||||||||||||
Derivative | Derivative | Derivative | Derivative | ||||||||||||||||||||||||||
assets | liabilities(1) | assets | liabilities(1) | ||||||||||||||||||||||||||
Equity contracts | |||||||||||||||||||||||||||||
OTC settled bilaterally | ¥ | 1,112 | ¥ | 1,174 | ¥ | 1,162 | ¥ | 1,418 | |||||||||||||||||||||
OTC centrally-cleared | — | — | — | — | |||||||||||||||||||||||||
Exchange-traded | 745 | 843 | 760 | 836 | |||||||||||||||||||||||||
Interest rate contracts | |||||||||||||||||||||||||||||
OTC settled bilaterally | 12,887 | 12,609 | 10,485 | 10,281 | |||||||||||||||||||||||||
OTC centrally-cleared | 8,873 | 8,839 | 9,025 | 8,961 | |||||||||||||||||||||||||
Exchange-traded | 13 | 4 | 11 | 9 | |||||||||||||||||||||||||
Credit contracts | |||||||||||||||||||||||||||||
OTC settled bilaterally | 1,744 | 1,880 | 1,180 | 1,491 | |||||||||||||||||||||||||
OTC centrally-cleared | 95 | 99 | 130 | 128 | |||||||||||||||||||||||||
Exchange-traded | 0 | 0 | 4 | 4 | |||||||||||||||||||||||||
Foreign exchange contracts | |||||||||||||||||||||||||||||
OTC settled bilaterally | 2,097 | 2,002 | 3,296 | 2,923 | |||||||||||||||||||||||||
OTC centrally-cleared | 8 | 6 | 12 | 13 | |||||||||||||||||||||||||
Exchange-traded | — | 0 | 4 | 4 | |||||||||||||||||||||||||
Commodity contracts | |||||||||||||||||||||||||||||
OTC settled bilaterally | 0 | 1 | 0 | 0 | |||||||||||||||||||||||||
OTC centrally-cleared | — | — | — | — | |||||||||||||||||||||||||
Exchange-traded | 1 | 1 | 0 | 0 | |||||||||||||||||||||||||
Total gross derivative balances(2) | ¥ | 27,575 | ¥ | 27,458 | ¥ | 26,069 | ¥ | 26,068 | |||||||||||||||||||||
Less: Amounts offset in the consolidated balance sheets(3) | (25,684 | ) | (25,636 | ) | (23,764 | ) | (24,030 | ) | |||||||||||||||||||||
Total net amounts reported on the face of the consolidated balance sheets(4) | ¥ | 1,891 | ¥ | 1,822 | ¥ | 2,305 | ¥ | 2,038 | |||||||||||||||||||||
Less: Additional amounts not offset in the consolidated balance sheets(5) | |||||||||||||||||||||||||||||
Financial instruments and non-cash collateral | (177 | ) | (138 | ) | (168 | ) | (44 | ) | |||||||||||||||||||||
Cash collateral(6) | — | (2 | ) | (0 | ) | (0 | ) | ||||||||||||||||||||||
Net amount | ¥ | 1,714 | ¥ | 1,682 | ¥ | 2,137 | ¥ | 1,994 | |||||||||||||||||||||
-1 | Includes the amount of embedded derivatives bifurcated in accordance with ASC 815. | ||||||||||||||||||||||||||||
-2 | Includes all gross derivative asset and liability balances irrespective of whether they are transacted under a master netting agreement or whether Nomura has obtained sufficient evidence of enforceability of the master netting agreement. As of March 31, 2013, the gross balance of derivative assets and derivative liabilities which are not documented under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was ¥ 660 billion and ¥855 billion, respectively. As of March 31, 2014, the gross balance of such derivative assets and derivative liabilities was ¥744 billion and ¥808 billion, respectively. | ||||||||||||||||||||||||||||
-3 | Represents amounts offset through counterparty netting of derivative assets and liabilities as well as cash collateral netting against net derivatives under master netting and similar agreements for which Nomura has obtained sufficient evidence of enforceability in accordance with ASC 815. As of March 31, 2013, Nomura offset a total of ¥985 billion of cash collateral receivables against net derivative liabilities and ¥1,033 billion of cash collateral payables against net derivative assets. As of March 31, 2014, Nomura offset a total of ¥1,283 billion of cash collateral receivables against net derivative liabilities and ¥1,017 billion of cash collateral payables against net derivative assets. | ||||||||||||||||||||||||||||
-4 | Net derivative assets and net derivative liabilities are generally reported within Trading assets and private equity investments—Trading assets and Trading liabilities, respectively in the consolidated balance sheet. Bifurcated embedded derivatives are reported within Short-term borrowings or Long-term borrowings depending on the maturity of the underlying host contract. | ||||||||||||||||||||||||||||
-5 | Represents amounts which are not permitted to be offset on the face of the consolidated balance sheets in accordance with ASC 210-20 and ASC 815 but which provide Nomura with a legally enforceable right of offset in the event of counterparty default. Amounts relating to derivative and collateral agreements where Nomura has not yet obtained sufficient evidence of enforceability of such offsetting rights are excluded. | ||||||||||||||||||||||||||||
-6 | As of March 31, 2013, a total of ¥220 billion of cash collateral receivables and ¥497 billion of cash collateral payables, including amounts reported in the table, have not been offset against net derivatives. As of March 31, 2014, a total of ¥203 billion of cash collateral receivables and ¥643 billion of cash collateral payables, including amounts reported in the table, have not been offset against net derivatives. | ||||||||||||||||||||||||||||
Derivatives used for trading purposes | |||||||||||||||||||||||||||||
Derivative financial instruments used for trading purposes, including bifurcated embedded derivatives, are carried at fair value with changes in fair value recognized through the consolidated statements of income within Revenue—Net gain on trading. | |||||||||||||||||||||||||||||
The following table presents amounts included in the consolidated statements of income related to derivatives used for trading and non-trading purposes by type of underlying derivative contract. | |||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||
Derivatives used for trading and non-trading purposes(1)(2): | |||||||||||||||||||||||||||||
Equity contracts | ¥ | (137 | ) | ¥ | (69 | ) | ¥ | (91 | ) | ||||||||||||||||||||
Interest rate contracts | 42 | 65 | 102 | ||||||||||||||||||||||||||
Credit contracts | (73 | ) | (18 | ) | (123 | ) | |||||||||||||||||||||||
Foreign exchange contracts | (67 | ) | (329 | ) | (30 | ) | |||||||||||||||||||||||
Commodity contracts | (4 | ) | (0 | ) | 1 | ||||||||||||||||||||||||
Total | ¥ | (239 | ) | ¥ | (351 | ) | ¥ | (141 | ) | ||||||||||||||||||||
-1 | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rates contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government securities. | ||||||||||||||||||||||||||||
-2 | Includes net gains (losses) on derivatives used for non-trading purposes which are not designated as fair value or net investment hedges. For the years ended March 31, 2012, 2013 and 2014, these amounts have not been separately presented as net gains (losses) for these non-trading derivatives were not significant. | ||||||||||||||||||||||||||||
Fair value hedges | |||||||||||||||||||||||||||||
Nomura issues Japanese yen and foreign currency denominated debt with both fixed and floating interest rates. Nomura generally enters into swap agreements to convert fixed rate interest payments on its debt obligations to a floating rate and applies fair value hedge accounting to these instruments. Derivative financial instruments designated as fair value hedges are carried at fair value. Changes in fair value of the hedging derivatives are recognized together with those of the hedged liabilities in the consolidated statements of income within Interest expense. | |||||||||||||||||||||||||||||
The following table presents amounts included in the consolidated statements of income related to derivatives designated as fair value hedges by type of underlying derivative contract and the nature of the hedged item. | |||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||||||
Interest rate contracts | ¥ | 76 | ¥ | 33 | ¥ | 2 | |||||||||||||||||||||||
Total | ¥ | 76 | ¥ | 33 | ¥ | 2 | |||||||||||||||||||||||
Hedged items: | |||||||||||||||||||||||||||||
Long-term borrowings | ¥ | (76 | ) | ¥ | (33 | ) | ¥ | (2 | ) | ||||||||||||||||||||
Total | ¥ | (76 | ) | ¥ | (33 | ) | ¥ | (2 | ) | ||||||||||||||||||||
Net investment hedges | |||||||||||||||||||||||||||||
Nomura designates foreign currency forwards and foreign currency denominated long-term debt as hedges of certain subsidiaries with significant foreign exchange risks and applies hedge accounting to these instruments. Accordingly, the effective hedging portion of the foreign exchange gains (losses) arising from the derivative contracts and non-derivative financial products designated as hedges is recognized through the consolidated statements of comprehensive income within Other comprehensive income (loss)—Change in cumulative translation adjustments, net of tax. This is offset by the foreign exchange adjustments arising from consolidation of the relevant foreign subsidiaries. | |||||||||||||||||||||||||||||
The following table presents gains (losses) from derivatives and non-derivatives designated as net investment hedges included in the consolidated statements of comprehensive income. | |||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||
Hedging instruments: | |||||||||||||||||||||||||||||
Foreign exchange contracts | ¥ | (1 | ) | ¥ | (14 | ) | ¥ | (12 | ) | ||||||||||||||||||||
Long-term borrowings | 4 | (15 | ) | — | |||||||||||||||||||||||||
Total | ¥ | 3 | ¥ | (29 | ) | ¥ | (12 | ) | |||||||||||||||||||||
-1 | The portion of the gains (losses) representing the amount of hedge ineffectiveness and the amount excluded from the assessment of hedge effectiveness are recognized within Revenue—Other in the consolidated statements of income. The amount of gains (losses) was not significant during the years ended March 31, 2012, 2013 and 2014. | ||||||||||||||||||||||||||||
Derivatives containing credit risk related contingent features | |||||||||||||||||||||||||||||
Nomura enters into certain OTC derivatives and other agreements containing credit-risk-related contingent features. These features would require Nomura to post additional collateral or settle the instrument upon occurrence of a credit event, the most common of which would be a downgrade in the Company’s long-term credit rating. | |||||||||||||||||||||||||||||
The aggregate fair value of all derivative instruments with credit-risk-related contingent features that are in a liability position as of March 31, 2013, was ¥960 billion with related collateral pledged of ¥754 billion. In the event of a one-notch downgrade to Nomura’s long-term credit rating in effect as of March 31, 2013, the aggregate fair value of assets that would have been required to be posted as additional collateral or that would have been needed to settle the instruments immediately was ¥102 billion. | |||||||||||||||||||||||||||||
The aggregate fair value of all derivative instruments with credit-risk-related contingent features that are in a liability position as of March 31, 2014, was ¥973 billion with related collateral pledged of ¥747 billion. In the event of a one-notch downgrade to Nomura’s long-term credit rating in effect as of March 31, 2014, the aggregate fair value of assets that would have been required to be posted as additional collateral or that would have been needed to settle the instruments immediately was ¥102 billion. | |||||||||||||||||||||||||||||
Credit derivatives | |||||||||||||||||||||||||||||
Credit derivatives are derivative instruments in which one or more of their underlyings are related to the credit risk of a specified entity (or group of entities) or an index based on the credit risk of a group of entities that expose the seller of credit protection to potential loss from credit risk related events specified in the contract. | |||||||||||||||||||||||||||||
Written credit derivatives are instruments or embedded features where Nomura assumes third party credit risk, either as guarantor in a guarantee-type contract, or as the party that provides credit protection in an option-type contract, credit default swap, or any other credit derivative contract. | |||||||||||||||||||||||||||||
Nomura enters into credit derivatives as part of its normal trading activities as both purchaser and seller of protection for credit risk mitigation, proprietary trading positions and for client transactions. | |||||||||||||||||||||||||||||
The most significant type of credit derivatives used by Nomura are single-name credit default swaps where settlement of the derivative is based on the credit risk of a single third party. Nomura also writes credit derivatives linked to the performance of credit default indices and issues other credit risk related portfolio products. | |||||||||||||||||||||||||||||
Nomura would have to perform under a credit derivative contract if a credit event as defined in the respective contract occurs. Typical credit events include bankruptcy, failure to pay and restructuring of obligations of the reference asset. | |||||||||||||||||||||||||||||
Credit derivative contracts written by Nomura are either cash or physically settled. In cash-settled instruments, once payment is made upon an event of a default, the contract usually terminates with no further payments due. Nomura generally has no right to assume the reference assets of the counterparty in exchange for payment, nor does Nomura usually have any direct recourse to the actual issuers of the reference assets to recover the amount paid. In physically settled contracts, upon a default event, Nomura takes delivery of the reference asset in return for payment of the full notional amount of the contract. | |||||||||||||||||||||||||||||
Nomura actively monitors and manages its credit derivative exposures. Where protection is sold, risks may be mitigated by purchasing credit protection from other third parties either on identical underlying reference assets or on underlying reference assets with the same issuer which would be expected to behave in a correlated fashion. The most common form of recourse provision to enable Nomura to recover from third parties any amounts paid under a written credit derivative is therefore not through the derivative itself but rather through the separate purchase of credit derivatives with identical or correlated underlyings. | |||||||||||||||||||||||||||||
Nomura quantifies the value of these purchased contracts in the following tables in the column titled “Purchased Credit Protection”. These amounts represent purchased credit protection with identical underlyings to the written credit derivative contracts which act as a hedge against Nomura’s exposure. To the extent Nomura is required to pay out under the written credit derivative, a similar amount would generally become due to Nomura under the purchased hedge. | |||||||||||||||||||||||||||||
Credit derivatives have a stated notional amount which represents the maximum payment Nomura may be required to make under the contract. However, this is generally not a true representation of the amount Nomura will actually pay as in addition to purchased credit protection, other risk mitigating factors reduce the likelihood and amount of any payment, including: | |||||||||||||||||||||||||||||
The probability of default: Nomura values credit derivatives taking into account the probability that the underlying reference asset will default and that Nomura will be required to make payments under the contract. Based on historical experience and Nomura’s assessment of the market, Nomura believes that the probability that all reference assets on which Nomura provides protection will default in a single period is remote. The disclosed notional amount, therefore, significantly overstates Nomura’s realistic exposure on these contracts. | |||||||||||||||||||||||||||||
The recovery value on the underlying asset: In the case of a default, Nomura’s liability on a contract is limited to the difference between the notional amount and the recovery value of the underlying reference asset. While the recovery value on a defaulted asset may be minimal, this does reduce amounts paid on these contracts. | |||||||||||||||||||||||||||||
Nomura holds assets as collateral in relation to written credit derivatives. However, these amounts do not enable Nomura to recover any amounts paid under the credit derivative but rather mitigate the risk of economic loss arising from a counterparty defaulting against amounts due to Nomura under the contract. Collateral requirements are determined on a counterparty level rather than individual contract, and also generally cover all types of derivative contracts rather than just credit derivatives. | |||||||||||||||||||||||||||||
The following tables present information about Nomura’s written credit derivatives and purchased credit protection with identical underlyings as of March 31, 2013 and March 31, 2014. | |||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||
Maximum potential payout/Notional | Notional | ||||||||||||||||||||||||||||
Years to maturity | Purchased | ||||||||||||||||||||||||||||
credit | |||||||||||||||||||||||||||||
Carrying value | Total | Less than | 1 to 3 | 3 to 5 | More than | protection | |||||||||||||||||||||||
(Asset) / Liability(1) | 1 year | years | years | 5 years | |||||||||||||||||||||||||
Single-name credit default swaps | ¥ | 210 | ¥ | 24,659 | ¥ | 4,575 | ¥ | 7,961 | ¥ | 9,877 | ¥ | 2,246 | ¥ | 22,431 | |||||||||||||||
Credit default indices | (16 | ) | 12,722 | 1,482 | 3,555 | 6,815 | 870 | 11,592 | |||||||||||||||||||||
Other credit risk related portfolio products | 230 | 2,586 | 666 | 1,112 | 215 | 593 | 1,710 | ||||||||||||||||||||||
Credit risk related options and swaptions | 0 | 51 | — | — | 27 | 24 | 42 | ||||||||||||||||||||||
Total | ¥ | 424 | ¥ | 40,018 | ¥ | 6,723 | ¥ | 12,628 | ¥ | 16,934 | ¥ | 3,733 | ¥ | 35,775 | |||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||
Maximum potential payout/Notional | Notional | ||||||||||||||||||||||||||||
Years to maturity | Purchased | ||||||||||||||||||||||||||||
credit | |||||||||||||||||||||||||||||
Carrying value | Total | Less than | 1 to 3 | 3 to 5 | More than | protection | |||||||||||||||||||||||
(Asset) / Liability(1) | 1 year | years | years | 5 years | |||||||||||||||||||||||||
Single-name credit default swaps | ¥ | (235 | ) | ¥ | 21,070 | ¥ | 4,167 | ¥ | 8,306 | ¥ | 6,610 | ¥ | 1,987 | ¥ | 18,689 | ||||||||||||||
Credit default indices | (32 | ) | 9,082 | 1,215 | 3,552 | 3,582 | 733 | 7,704 | |||||||||||||||||||||
Other credit risk related portfolio products | 123 | 1,574 | 523 | 398 | 201 | 452 | 1,097 | ||||||||||||||||||||||
Credit risk related options and swaptions | (1 | ) | 676 | — | — | 504 | 172 | 548 | |||||||||||||||||||||
Total | ¥ | (145 | ) | ¥ | 32,402 | ¥ | 5,905 | ¥ | 12,256 | ¥ | 10,897 | ¥ | 3,344 | ¥ | 28,038 | ||||||||||||||
-1 | Carrying value amounts are shown on a gross basis prior to cash collateral or counterparty netting. Asset balances represent positive fair value amounts caused by tightening of credit spreads of underlyings since inception of the credit derivative contracts. | ||||||||||||||||||||||||||||
The following tables present information about Nomura’s written credit derivatives by external credit rating of the underlying asset. Ratings are based on Standard & Poor’s Financial Services LLC (“S&P”), or if not rated by S&P, based on Moody’s Investors Service, Inc. If ratings from either of these agencies are not available, the ratings are based on Fitch Ratings Ltd. or Japan Credit Rating Agency, Ltd. For credit default indices, the rating is determined by taking the weighted average of the external credit ratings given for each of the underlying reference entities comprising the portfolio or index. | |||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||
Maximum potential payout/Notional | |||||||||||||||||||||||||||||
AAA | AA | A | BBB | BB | Other(1) | Total | |||||||||||||||||||||||
Single-name credit default swaps | ¥ | 2,400 | ¥ | 1,594 | ¥ | 5,945 | ¥ | 8,208 | ¥ | 4,073 | ¥ | 2,439 | ¥ | 24,659 | |||||||||||||||
Credit default indices | 14 | 589 | 6,360 | 3,516 | 1,910 | 333 | 12,722 | ||||||||||||||||||||||
Other credit risk related portfolio products | 77 | 17 | 9 | 127 | 243 | 2,113 | 2,586 | ||||||||||||||||||||||
Credit risk related options and swaptions | — | — | 18 | — | 33 | — | 51 | ||||||||||||||||||||||
Total | ¥ | 2,491 | ¥ | 2,200 | ¥ | 12,332 | ¥ | 11,851 | ¥ | 6,259 | ¥ | 4,885 | ¥ | 40,018 | |||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||
Maximum potential payout/Notional | |||||||||||||||||||||||||||||
AAA | AA | A | BBB | BB | Other(1) | Total | |||||||||||||||||||||||
Single-name credit default swaps | ¥ | 2,125 | ¥ | 1,331 | ¥ | 5,232 | ¥ | 7,362 | ¥ | 3,231 | ¥ | 1,789 | ¥ | 21,070 | |||||||||||||||
Credit default indices | 86 | 23 | 4,445 | 2,884 | 1,341 | 303 | 9,082 | ||||||||||||||||||||||
Other credit risk related portfolio products | 22 | — | 1 | — | 4 | 1,547 | 1,574 | ||||||||||||||||||||||
Credit risk related options and swaptions | — | — | 387 | 195 | 94 | — | 676 | ||||||||||||||||||||||
Total | ¥ | 2,233 | ¥ | 1,354 | ¥ | 10,065 | ¥ | 10,441 | ¥ | 4,670 | ¥ | 3,639 | ¥ | 32,402 | |||||||||||||||
-1 | “Other” includes credit derivatives where the credit rating of the underlying reference asset is below investment grade or where a rating is unavailable. |
Private_equity_business
Private equity business | 12 Months Ended |
Mar. 31, 2014 | |
Private equity business | ' |
Private equity business | ' |
4. Private equity business: | |
Nomura makes private equity investments primarily in Japan and Europe. | |
Private equity investments made by certain entities which Nomura consolidates under either a voting interest or variable interest model which are investment companies pursuant to the provisions of ASC 946 (“investment company subsidiaries”) are accounted for at fair value, with changes in fair value recognized through the consolidated statements of income. Investment company accounting applied by each of these investment company subsidiaries is retained in these consolidated financial statements within this annual report. | |
These entities make private equity investments solely for capital appreciation, current income or both rather than to generate strategic operating benefits to Nomura. In accordance with Nomura investment policies, non-investment companies within the group may not make investments in entities engaged in non-core businesses if such investments would result in consolidation or application of the equity method of accounting. Such investments may generally only be made by investment company subsidiaries. Non-core businesses are defined as those engaged in activities other than Nomura’s business segments. | |
Nomura also has a subsidiary which is not an investment company but which makes investments in entities engaged in Nomura’s core businesses. These investments are made for capital appreciation or current income purposes or both and are also carried at fair value, either because of election of the fair value option or other U.S. GAAP requirements. | |
Private equity business in Japan | |
Nomura makes private equity investments through a wholly-owned subsidiary, Nomura Financial Partners Co., Ltd. (“NFP”), NFP is not an investment company subsidiary as it invests in entities engaged in Nomura’s core business. Nomura elected the fair value option to account for its 37.1% investment in the common stock of Ashikaga Holdings. | |
On December 19, 2013, Ashikaga Holdings was listed on the First Section of the Tokyo Stock Exchange. Nomura’s investment in Ashikaga Holdings has historically been primarily reported within Trading assets and private equity investments—Private equity investments. However, following the listing, the investment is now reported within Other assets—Other in the consolidated balance sheets. Nomura carries this investment at fair value through election of the fair value option. The majority of gains and losses associated with this investment have historically been reported within Revenue—Gain (loss) on private equity investments in the consolidated statements of income. However, following the listing, such amounts are now reported within Revenue—Other in the consolidated statements of income. As a result of Ashikaga Holdings listing in the First Section of the Tokyo Stock Exchange, those changes are attributable to the shift from our Investment Banking business to a corporate-wide perspective in enhancing the corporate value of the share ownership. | |
Private equity business in Europe | |
In Europe, Nomura’s private equity investments primarily comprise legacy investments made by its former Principal Finance Group (“PFG”) now managed by Terra Firma (collectively referred to as the “Terra Firma Investments”), investments in other funds managed by Terra Firma (“Other Terra Firma Funds”) and through other investment company subsidiaries (“Other Investments”). | |
Terra Firma Investments | |
Nomura contributed its European private equity investments to Terra Firma Capital Partners I (“TFCP I”), a limited partnership which is engaged in the private equity business, in exchange for a limited partnership interest. Terra Firma Investments (GP) Limited, the general partner of TFCP I, which is independent of Nomura, assumed the management and control of these investments. | |
The Terra Firma Investments are held by entities which are investment company subsidiaries and therefore Nomura had accounted for these investments at fair value, with changes in fair value recognized through the consolidated statements of income. | |
In December 2012, Nomura completed the sale of Annington Holdings plc, one of PFG investments, to a private equity firm, Terra Firma. As a result, the fair value of the Terra Firma Investments fell from ¥102,649 million as of March 31, 2012 to ¥nil as of March 31, 2013. | |
Other Terra Firma Funds | |
In addition to the Terra Firma Investments, Nomura is a 10% investor in a ¥274 billion private equity fund (“TFCP II”) and a 2% investor in a ¥731 billion private equity fund (“TFCP III”), also raised and managed by Terra Firma Capital Partners Limited. | |
Nomura’s total commitment for TFCP II was originally ¥27,445 million and reduced to ¥51 million as a result of adjustments for recyclable distributions. As of March 31, 2014, no amount had been drawn down for investments. | |
For TFCP III, Nomura’s total commitment was ¥13,854 million and ¥13,536 million had been drawn down for investments as of March 31, 2014. | |
The investments in TFCP II and TFCP III are carried at fair value, with changes in fair value recognized through the consolidated statements of income. | |
Other Investments | |
Nomura also makes private equity investments through wholly-owned subsidiaries and other consolidated entities which have third party pooling of funds. Certain of these entities are investment company subsidiaries and therefore all of their investments are carried at fair value, with changes in fair value recognized through the consolidated statements of income. |
Investment_company_accounting
Investment company accounting | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Investment company accounting | ' | ||||||||||||
Investment company accounting | ' | ||||||||||||
5. Investment company accounting | |||||||||||||
Certain subsidiaries are investment companies pursuant to the provisions of ASC 946 “Financial Services—Investment Companies” (“ASC 946”) and therefore carry all of their investments at fair value, with changes in fair value recognized through the consolidated statements of income. | |||||||||||||
The following table summarizes the aggregate fair value and the cost of investments held by all investment company subsidiaries within Nomura and for which investment company accounting has been retained in these consolidated financial statements. | |||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2013 | 2014 | ||||||||||||
Closing cost(1) | ¥ | 24,393 | ¥ | 28,394 | |||||||||
Gross unrealized appreciation | 11,711 | 9,216 | |||||||||||
Gross unrealized depreciation | (7,277 | ) | (5,047 | ) | |||||||||
Closing fair value | ¥ | 28,827 | ¥ | 32,563 | |||||||||
-1 | Cost is defined as the historical cost of each investment (i.e. purchase price) as adjusted for subsequent additional investment. | ||||||||||||
The following table summarizes performance of the investments held by investment company subsidiaries during the years ended March 31, 2012, 2013 and 2014. | |||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Opening fair value | ¥ | 208,754 | ¥ | 132,320 | ¥ | 28,827 | |||||||
Purchase / (sales) of investees during the period(1) | (109,724 | ) | (127,396 | ) | 56 | ||||||||
Realized gains during the period(2) | 35,931 | 19,181 | 925 | ||||||||||
Change in unrealized gains / (losses) during the period(3) | (2,641 | ) | 4,722 | 2,755 | |||||||||
Closing fair value | ¥ | 132,320 | ¥ | 28,827 | ¥ | 32,563 | |||||||
-1 | Acquisition cost of new investees and additional investments or sales proceeds of investees disposed of during the period. | ||||||||||||
-2 | Realized gains and losses are calculated as the difference between sales proceeds and the carrying values. | ||||||||||||
-3 | Includes the effect of foreign exchange movements. |
Collateralized_transactions
Collateralized transactions | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Collateralized transactions | ' | ||||||||||||||||
Collateralized transactions | ' | ||||||||||||||||
6. Collateralized transactions: | |||||||||||||||||
Nomura enters into collateralized transactions, including reverse repurchase agreements, repurchase agreements, securities borrowing transactions, securities lending transactions, and other secured borrowings mainly to meet clients’ needs, finance trading inventory positions and obtain securities for settlements. These transactions are typically documented under industry standard master netting agreements which reduce Nomura’s credit exposure to counterparties as they permit the close-out and offset of transactions and collateral amounts in the event of default of the counterparty. For certain centrally-cleared reverse repurchase and repurchase agreements, the clearing or membership agreements entered into by Nomura provide similar rights to Nomura in the event of default of the relevant central clearing counterparty. In order to support the enforceability of the close-out and offsetting rights within these agreements, Nomura generally seeks to obtain an external legal opinion. | |||||||||||||||||
For certain types of counterparty and in certain jurisdictions, Nomura may enter into reverse repurchase agreements, repurchase agreements, securities borrowing and securities lending transactions which are not documented under a master netting agreement. Similarly, even when these transactions are documented under such agreements, Nomura may not have yet sought evidence, or may not be able to obtain evidence to determine with sufficient certainty that the close-out and offsetting rights are legally enforceable. This may be the case where relevant local laws specifically prohibit such close-out and offsetting rights, or where local laws are complex, ambiguous or silent on the enforceability of such rights. This may include reverse repurchase agreements, repurchase agreements, securities borrowing and securities lending transactions executed with certain foreign governments, agencies, municipalities, central clearing counterparties, agent banks and pension funds. | |||||||||||||||||
Nomura considers the enforceability of a master netting agreement in determining how credit risk arising from transactions with a specific counterparty is hedged, how counterparty credit exposures are calculated and applied to credit limits and the extent and nature of collateral requirements from the counterparty. | |||||||||||||||||
In all of these transactions, Nomura either receives or provides collateral, including Japanese and non-Japanese government, agency, mortgage-backed, bank and corporate debt securities and equities. In most cases, Nomura is permitted to use the securities received to enter into repurchase agreements, enter into securities lending transactions or to cover short positions with counterparties. In repurchase and reverse repurchase agreements, the value of collateral typically exceeds the amount of cash transferred. Collateral is generally in the form of securities. Securities borrowing transactions generally require Nomura to provide the counterparty with collateral in the form of cash or other securities. For securities lending transactions, Nomura generally receives collateral in the form of cash or other securities. Nomura monitors the market value of the securities either received from or provided to the counterparty. Additional cash or securities are exchanged as necessary, to ensure that such transactions are adequately collateralized throughout the life of the transactions. | |||||||||||||||||
Reverse repurchase agreements and repurchase agreements, securities borrowing and lending transactions with the same counterparty documented under a master netting agreement are offset in the consolidated balance sheets where the specific criteria defined by ASC 210-20 are met. These criteria include requirements around the maturity of the transactions, the underlying systems on which the collateral is settled, associated banking arrangements and the legal enforceability of close-out and offsetting rights under the master netting agreement. | |||||||||||||||||
The following tables present information about offsetting of these transactions in the consolidated balance sheets, together with the extent to which master netting agreements entered into with counterparties and central clearing parties permit additional offsetting in the event of counterparty default. Transactions which are not documented under a master netting agreement or are documented under a master netting agreement for which Nomura does not have sufficient evidence of enforceability are not offset in the following table. | |||||||||||||||||
Billions of yen | |||||||||||||||||
March 31, 2013 | |||||||||||||||||
Assets | Liabilities | ||||||||||||||||
Reverse | Securities | Repurchase | Securities | ||||||||||||||
repurchase | borrowing | agreements | lending | ||||||||||||||
agreements | transactions | transactions | |||||||||||||||
Total gross balance(1) | ¥ | 22,183 | ¥ | 6,064 | ¥ | 26,332 | ¥ | 2,462 | |||||||||
Less: Amounts offset in the consolidated balance sheets(2) | (13,888 | ) | (256 | ) | (13,888 | ) | (256 | ) | |||||||||
Total net amounts of reported on the face of the consolidated balance sheets(3) | ¥ | 8,295 | ¥ | 5,808 | ¥ | 12,444 | ¥ | 2,206 | |||||||||
Less: Additional amounts not offset in the consolidated balance sheets(4) | |||||||||||||||||
Financial instruments and non-cash collateral | (6,588 | ) | (3,889 | ) | (10,201 | ) | (1,935 | ) | |||||||||
Cash collateral | (1 | ) | — | (0 | ) | — | |||||||||||
Net amount | ¥ | 1,706 | ¥ | 1,919 | ¥ | 2,243 | ¥ | 271 | |||||||||
Billions of yen | |||||||||||||||||
March 31, 2014 | |||||||||||||||||
Assets | Liabilities | ||||||||||||||||
Reverse | Securities | Repurchase | Securities | ||||||||||||||
repurchase | borrowing | agreements | lending | ||||||||||||||
agreements | transactions | transactions | |||||||||||||||
Total gross balance(1) | ¥ | 20,244 | ¥ | 7,729 | ¥ | 24,564 | ¥ | 2,602 | |||||||||
Less: Amounts offset in the consolidated balance sheets(2) | (10,626 | ) | (5 | ) | (10,626 | ) | (5 | ) | |||||||||
Total net amounts of reported on the face of the consolidated balance sheets(3) | ¥ | 9,618 | ¥ | 7,724 | ¥ | 13,938 | ¥ | 2,597 | |||||||||
Less: Additional amounts not offset in the consolidated balance sheets(4) | |||||||||||||||||
Financial instruments and non-cash collateral | (7,930 | ) | (5,725 | ) | (9,867 | ) | (2,235 | ) | |||||||||
Cash collateral | (0 | ) | — | (0 | ) | — | |||||||||||
Net amount | ¥ | 1,688 | ¥ | 1,999 | ¥ | 4,071 | ¥ | 362 | |||||||||
-1 | Includes all recognized balances irrespective of whether they are transacted under a master netting agreement or whether Nomura has obtained sufficient evidence of enforceability of the master netting agreement. Amounts include transactions carried at fair value through election of the fair value option and amounts carried at amortized cost. As of March 31, 2013, the gross balance of reverse repurchase agreements and repurchase agreements which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was ¥ 1,617 billion and ¥ 2,083 billion, respectively. As of March 31, 2013, the gross balance of securities borrowing transactions and securities lending transactions which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was ¥1,679 billion and ¥ 143 billion, respectively. As of March 31, 2014, the gross balance of reverse repurchase agreements and repurchase agreements which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was ¥1,278 billion and ¥3,918 billion, respectively. As of March 31, 2014, the gross balance of securities borrowing transactions and securities lending transactions which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was ¥1,751 billion and ¥137 billion, respectively. | ||||||||||||||||
-2 | Represents amounts offset through counterparty netting under master netting and similar agreements for which Nomura has obtained sufficient evidence of enforceability in accordance with ASC 210-20. Amounts offset include transactions carried at fair value through election of the fair value option and amounts carried at amortized cost. | ||||||||||||||||
-3 | Reverse repurchase agreements and securities borrowing transactions are reported within Collateralized agreements—Securities purchased under agreements to resell and Collateralized agreements—Securities borrowed in the consolidated balance sheets, respectively. Repurchase agreements and securities lending transactions are reported within Collateralized financing—Securities sold under agreements to repurchase and Collateralized financing—Securities loaned in the consolidated balance sheets, respectively. Amounts reported under securities lending transactions also include transactions where Nomura lends securities and receives securities that can be sold or pledged as collateral. Nomura recognizes the securities received at fair value and a liability for the same amount, representing the obligation to return those securities. The liability is reported within Other liabilities in the consolidated balance sheets. | ||||||||||||||||
-4 | Represents amounts which are not permitted to be offset on the face of the balance sheet in accordance with ASC 210-20 but which provide Nomura with the right of offset in the event of counterparty default. Amounts relating to agreements where Nomura has not yet obtained sufficient evidence of enforceability of such offsetting rights are excluded. | ||||||||||||||||
The fair value of securities received as collateral, securities borrowed with collateral and securities borrowed without collateral which Nomura is permitted to sell or repledge and the portion that has been sold or repledged are as follows. | |||||||||||||||||
Billions of yen | |||||||||||||||||
March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
The fair value of securities received as collateral, securities borrowed as collateral and securities borrowed without collateral where Nomura is permitted by contract or custom to sell or repledge the securities | ¥ | 35,281 | ¥ | 35,530 | |||||||||||||
The portion of the above that has been sold (reported within Trading liabilities in the consolidated balance sheets) or repledged | 28,488 | 28,959 | |||||||||||||||
Nomura pledges firm-owned securities to collateralize repurchase transactions and other secured financings. Pledged securities that can be sold or repledged by the secured party, including Gensaki Repo transactions, are reported in parentheses as Securities pledged as collateral within Trading assets in the consolidated balance sheets. Assets owned, which have been pledged as collateral, primarily to stock exchanges and clearing organizations, without allowing the secured party the right to sell or repledge them, are summarized in the tables below. | |||||||||||||||||
Millions of yen | |||||||||||||||||
March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
Trading assets: | |||||||||||||||||
Equities and convertible securities | ¥ | 86,108 | ¥ | 174,753 | |||||||||||||
Government and government agency securities | 1,314,277 | 991,430 | |||||||||||||||
Bank and corporate debt securities | 161,233 | 150,183 | |||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 33,723 | 35,671 | |||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 1,674,898 | 1,141,726 | |||||||||||||||
Collateralized debt obligations (“CDOs”) and other(1) | 84,065 | 82,237 | |||||||||||||||
Investment trust funds and other | 16,335 | 18,503 | |||||||||||||||
¥ | 3,370,639 | ¥ | 2,594,503 | ||||||||||||||
Deposits with stock exchanges and other segregated cash | 4,110 | 4,630 | |||||||||||||||
Non-trading debt securities | ¥ | 49,811 | ¥ | 42,087 | |||||||||||||
Investments in and advances to affiliated companies | ¥ | 37,636 | ¥ | 28,642 | |||||||||||||
-1 | Includes CLOs and ABS such as those secured on credit card loans, auto loans and student loans. | ||||||||||||||||
Assets subject to lien, except for those disclosed above, are as follows. | |||||||||||||||||
Millions of yen | |||||||||||||||||
March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
Loans and receivables | ¥ | 706 | ¥ | 141 | |||||||||||||
Trading assets | 1,208,753 | 1,293,036 | |||||||||||||||
Office buildings, land, equipment and facilities | 955 | 5,236 | |||||||||||||||
Non-trading debt securities | 315,781 | 370,239 | |||||||||||||||
Other | 83 | 78 | |||||||||||||||
¥ | 1,526,278 | ¥ | 1,668,730 | ||||||||||||||
Assets in the above table were primarily pledged for secured borrowings, including other secured borrowings, collateralized borrowings of consolidated VIEs and trading balances of secured borrowings, and derivative transactions. See Note 13 “Borrowings” for further information regarding trading balances of secured borrowings. |
Nontrading_securities
Non-trading securities | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Non-trading securities | ' | ||||||||||||||||||||||||
Non-trading securities | ' | ||||||||||||||||||||||||
7. Non-trading securities: | |||||||||||||||||||||||||
The following tables present information regarding the cost and/or amortized cost, gross unrealized gains and losses and fair value of non-trading securities held by Nomura’s insurance subsidiary as of March 31, 2013 and 2014. | |||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||
Cost and/or | Unrealized gains and losses | Fair value | |||||||||||||||||||||||
amortized cost | Gross unrealized gains | Gross unrealized losses | |||||||||||||||||||||||
Government, agency and municipal securities(1) | ¥ | 177,374 | ¥ | 5,294 | ¥ | 126 | ¥ | 182,542 | |||||||||||||||||
Other debt securities(2) | 54,032 | 726 | 86 | 54,672 | |||||||||||||||||||||
Equity securities | 39,997 | 12,923 | 109 | 52,811 | |||||||||||||||||||||
Total | ¥ | 271,403 | ¥ | 18,943 | ¥ | 321 | ¥ | 290,025 | |||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||
Cost and/or | Unrealized gains and losses | Fair value | |||||||||||||||||||||||
amortized cost | Gross unrealized gains | Gross unrealized losses | |||||||||||||||||||||||
Government, agency and municipal securities(1) | ¥ | 138,973 | ¥ | 842 | ¥ | 86 | ¥ | 139,729 | |||||||||||||||||
Other debt securities(2) | 129,311 | 6,851 | 91 | 136,071 | |||||||||||||||||||||
Equity securities | 38,157 | 14,508 | 43 | 52,622 | |||||||||||||||||||||
Total | ¥ | 306,441 | ¥ | 22,201 | ¥ | 220 | ¥ | 328,422 | |||||||||||||||||
-1 | Primarily Japanese government, agency and municipal securities. | ||||||||||||||||||||||||
-2 | Primarily corporate debt securities. | ||||||||||||||||||||||||
For the year ended March 31, 2013, non-trading securities of ¥525,965 million were disposed of resulting in ¥12,050 million of realized gains and ¥1,134 million of realized losses. Total proceeds received from these disposals were ¥536,881 million. For the year ended March 31, 2014, non-trading securities of ¥138,231 million were disposed of resulting in ¥4,405 million of realized gains and ¥81 million of realized losses. Total proceeds received from these disposals were ¥142,554 million. Related gains and losses were computed using the average method. There were no transfers of non-trading securities to trading assets during the year. | |||||||||||||||||||||||||
The following table presents an analysis of the fair value of non-trading debt securities by residual contractual maturity as of March 31, 2014. Actual maturities may differ from contractual maturities as certain securities contain features that allow redemption of the securities prior to their contractual maturity. | |||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||
Years to maturity | |||||||||||||||||||||||||
Total | Less than 1 year | 1 to 5 years | 5 to 10 years | More than 10 years | |||||||||||||||||||||
Non-trading debt securities | ¥ | 275,800 | ¥ | 30,507 | ¥ | 115,757 | ¥ | 98,323 | ¥ | 31,213 | |||||||||||||||
The following tables present the fair value and gross unrealized losses of non-trading securities aggregated by the length of time that individual securities have been in a continuous unrealized loss position as of March 31, 2013 and 2014. | |||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||
Less than 12 months | More than 12 months | Total | |||||||||||||||||||||||
Fair value | Gross | Fair value | Gross | Fair value | Gross | ||||||||||||||||||||
unrealized | unrealized | unrealized | |||||||||||||||||||||||
losses | losses | losses | |||||||||||||||||||||||
Government, agency and municipal securities | ¥ | 56,400 | ¥ | 80 | ¥ | 2,903 | ¥ | 46 | ¥ | 59,303 | ¥ | 126 | |||||||||||||
Other debt securities | 10,404 | 86 | — | — | 10,404 | 86 | |||||||||||||||||||
Equity securities | 1,517 | 109 | — | — | 1,517 | 109 | |||||||||||||||||||
Total | ¥ | 68,321 | ¥ | 275 | ¥ | 2,903 | ¥ | 46 | ¥ | 71,224 | ¥ | 321 | |||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||
Less than 12 months | More than 12 months | Total | |||||||||||||||||||||||
Fair value | Gross | Fair value | Gross | Fair value | Gross | ||||||||||||||||||||
unrealized | unrealized | unrealized | |||||||||||||||||||||||
losses | losses | losses | |||||||||||||||||||||||
Government, agency and municipal securities | ¥ | 54,007 | ¥ | 82 | ¥ | 2,294 | ¥ | 4 | ¥ | 56,301 | ¥ | 86 | |||||||||||||
Other debt securities | 8,106 | 91 | — | — | 8,106 | 91 | |||||||||||||||||||
Equity securities | 498 | 43 | — | — | 498 | 43 | |||||||||||||||||||
Total | ¥ | 62,611 | ¥ | 216 | ¥ | 2,294 | ¥ | 4 | ¥ | 64,905 | ¥ | 220 | |||||||||||||
As of March 31, 2013, the total number of non-trading securities in unrealized loss positions was approximately 80. As of March 31, 2014, the total number of non-trading securities in unrealized loss positions was approximately 60. | |||||||||||||||||||||||||
For the years ended March 31, 2013 and 2014, other-than-temporary impairment losses recognized for non- trading equity securities and reported within Revenue—Other were ¥4,900 million and ¥79 million, respectively. For the year ended March 31, 2013, the credit loss component of other-than-temporary impairment losses recognized for non-trading debt securities was not significant. For the year ended March 31, 2014 the credit loss component of other-than-temporary impairment losses recognized for non-trading debt securities was ¥25 million. For the year ended March 31, 2013 and March 31, 2014, the non-credit loss component of other-than-temporary impairment losses recognized for Government, agency and municipal securities and other debt securities and reported within Other comprehensive income (loss) were ¥7 million and ¥(55) million. For the year ended March 31, 2014, other gross unrealized losses of non-trading securities were considered temporary. |
Securitizations_and_Variable_I
Securitizations and Variable Interest Entities | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Securitizations and Variable Interest Entities | ' | ||||||||||||||||||||||||
Securitizations and Variable Interest Entities | ' | ||||||||||||||||||||||||
8. Securitizations and Variable Interest Entities: | |||||||||||||||||||||||||
Securitizations | |||||||||||||||||||||||||
Nomura utilizes special purpose entities (“SPEs”) to securitize commercial and residential mortgage loans, government agency and corporate securities and other types of financial assets. Those SPEs are incorporated as stock companies, Tokumei kumiai (silent partnerships), Cayman special purpose companies (“SPCs”) or trust accounts. Nomura’s involvement with SPEs includes structuring SPEs, underwriting, distributing and selling debt instruments and beneficial interests issued by SPEs to investors. Nomura accounts for the transfer of financial assets in accordance with ASC 860. This statement requires that Nomura accounts for the transfer of financial assets as a sale when Nomura relinquishes control over the assets. ASC 860 deems control to be relinquished when the following conditions are met: (a) the assets have been isolated from the transferor (even in bankruptcy or other receivership), (b) the transferee has the right to pledge or exchange the assets received, or if the transferee is an entity whose sole purpose is to engage in securitization or asset-backed financing activities, the holders of its beneficial interests have the right to pledge or exchange the beneficial interests, and (c) the transferor has not maintained effective control over the transferred assets. Nomura may retain an interest in the financial assets, including residual interests in the SPEs. Any such interests are accounted for at fair value and reported within Trading assets in Nomura’s consolidated balance sheets, with the change in fair value reported within Revenue-Net gain on trading. Fair value for retained interests in securitized financial assets is determined by using observable prices; or in cases where observable prices are not available for certain retained interests, Nomura estimates fair value based on the present value of expected future cash flows using its best estimates of the key assumptions, including forecasted credit losses, prepayment rates, forward yield curves and discount rates commensurate with the risks involved. Nomura may also enter into derivative transactions in relation to the assets transferred to an SPE. | |||||||||||||||||||||||||
As noted above, Nomura may have continuing involvement with SPEs to which Nomura transferred assets. For the years ended March 31, 2013 and 2014, Nomura received cash proceeds from SPEs in new securitizations of ¥407 billion and ¥365 billion, respectively, and there was no associated profit on sale . For the years ended March 31, 2013 and 2014, Nomura received debt securities issued by these SPEs with an initial fair value of ¥1,783 billion and ¥1,423 billion, respectively, and cash inflows from third parties on the sale of those debt securities of ¥951 billion and ¥830 billion, respectively. The cumulative balance of financial assets transferred to SPEs with which Nomura has continuing involvement was ¥4,109 billion and ¥5,035 billion as of March 31, 2013 and 2014, respectively. Nomura’s retained interests were ¥300 billion and ¥215 billion as of March 31, 2013 and 2014, respectively. For the years ended March 31, 2013 and 2014, Nomura received cash flows of ¥26 billion and ¥40 billion, respectively, from the SPEs on the retained interests held in the SPEs. Nomura had outstanding collateral service agreements and written credit default swap agreements in the amount of ¥18 billion and ¥4 billion as of March 31, 2013 and 2014, respectively. Nomura does not provide financial support to SPEs beyond its contractual obligations. | |||||||||||||||||||||||||
The following tables present the fair value of retained interests which Nomura has continuing involvement in SPEs and their classification in the fair value hierarchy, categorized by the type of transferred assets. | |||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Investment | Other | ||||||||||||||||||||
grade | |||||||||||||||||||||||||
Government, agency and municipal securities | ¥ | — | ¥ | 296 | ¥ | — | ¥ | 296 | ¥ | 296 | ¥ | — | |||||||||||||
Bank and corporate debt securities | — | — | 0 | 0 | — | 0 | |||||||||||||||||||
Mortgage and mortgage-backed securities | — | 2 | 2 | 4 | 2 | 2 | |||||||||||||||||||
Total | ¥ | — | ¥ | 298 | ¥ | 2 | ¥ | 300 | ¥ | 298 | ¥ | 2 | |||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Investment | Other | ||||||||||||||||||||
grade | |||||||||||||||||||||||||
Government, agency and municipal securities | ¥ | — | ¥ | 195 | ¥ | — | ¥ | 195 | ¥ | 195 | ¥ | — | |||||||||||||
Bank and corporate debt securities | — | — | 0 | 0 | — | 0 | |||||||||||||||||||
Mortgage and mortgage-backed securities | — | 19 | 1 | 20 | 1 | 19 | |||||||||||||||||||
Total | ¥ | — | ¥ | 214 | ¥ | 1 | ¥ | 215 | ¥ | 196 | ¥ | 19 | |||||||||||||
The following table presents the key economic assumptions used to determine the fair value of the retained interests and the sensitivity of this fair value to immediate adverse changes of 10% and 20% in those assumptions. | |||||||||||||||||||||||||
Billions of yen, except percentages | |||||||||||||||||||||||||
Material retained interests held(1) | |||||||||||||||||||||||||
as of March 31 | |||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Fair value of retained interests(1) | ¥ | 288 | ¥ | 201 | |||||||||||||||||||||
Weighted-average life (Years) | 6 | 7.5 | |||||||||||||||||||||||
Constant prepayment rate | 10.1 | % | 6.2 | % | |||||||||||||||||||||
Impact of 10% adverse change | (2.6 | ) | (2.3 | ) | |||||||||||||||||||||
Impact of 20% adverse change | (5.0 | ) | (4.0 | ) | |||||||||||||||||||||
Discount rate | 3.6 | % | 5.3 | % | |||||||||||||||||||||
Impact of 10% adverse change | (4.2 | ) | (1.5 | ) | |||||||||||||||||||||
Impact of 20% adverse change | (8.2 | ) | (2.6 | ) | |||||||||||||||||||||
-1 | The sensitivity analysis covers the material retained interests held of ¥288 billion out of ¥300 billion as of March 31, 2013 and ¥201 billion out of ¥215 billion as of March 31, 2014. Nomura considers the amount or the probability of anticipated credit loss from the retained interests which Nomura continuously holds would be minimal. | ||||||||||||||||||||||||
Changes in fair value based on 10% or 20% adverse changes generally cannot be extrapolated since the relationship of the change in assumption to the change in fair value may not be linear. The impact of a change in a particular assumption is calculated holding all other assumptions constant. For this reason, concurrent changes in assumptions may magnify or counteract the sensitivities disclosed above. The sensitivity analyses are hypothetical and do not reflect Nomura’s risk management practices that may be undertaken under those stress scenarios. | |||||||||||||||||||||||||
The following table presents the type and carrying value of financial assets included within Trading assets which have been transferred to SPEs but which do not meet the criteria for derecognition under ASC 860. These transfers are accounted for as secured financing transactions and generally reported within Long-term borrowings. The assets are pledged as collateral of the associated liabilities and cannot be removed unilaterally by Nomura and the liabilities are non-recourse to Nomura. | |||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Trading assets | |||||||||||||||||||||||||
Equities | ¥ | 72 | ¥ | 99 | |||||||||||||||||||||
Debt securities | 86 | 64 | |||||||||||||||||||||||
Mortgage and mortgage-backed securities | 24 | 23 | |||||||||||||||||||||||
Long-term loans receivable | 8 | 7 | |||||||||||||||||||||||
Total | ¥ | 190 | ¥ | 193 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Long-term borrowings | ¥ | 177 | ¥ | 182 | |||||||||||||||||||||
Variable Interest Entities (“VIEs”) | |||||||||||||||||||||||||
In the normal course of business, Nomura acts as a transferor of financial assets to VIEs, and underwriter, distributor, and seller of repackaged financial instruments issued by VIEs in connection with its securitization and equity derivative activities. Nomura retains, purchases and sells variable interests in VIEs in connection with its market-making, investing and structuring activities. | |||||||||||||||||||||||||
If Nomura has an interest in a VIE that provides Nomura with control over the most significant activities of the VIE and the right to receive benefits or the obligation to absorb losses that could be significant to the VIE, Nomura is the primary beneficiary of the VIE and must consolidate the entity, provided that Nomura does not meet separate tests confirming that it is acting as a fiduciary for other interest holders. Nomura’s consolidated VIEs include those that were created to market structured securities to investors by repackaging corporate convertible securities, mortgages and mortgage-backed securities. Certain VIEs used in connection with Nomura’s aircraft leasing business as well as other purposes are consolidated. Nomura also consolidates certain investment funds, which are VIEs, and for which Nomura is the primary beneficiary. | |||||||||||||||||||||||||
The power to make the most significant decisions may take a number of different forms in different types of VIEs. For transactions such as securitizations, investment funds, and CDOs, Nomura considers collateral management and servicing to represent the power to make the most significant decisions. Accordingly, Nomura does not consolidate such types of VIEs for which it does not act as collateral manager or servicer unless Nomura has the right to replace the collateral manager or servicer or to require liquidation of the entity. | |||||||||||||||||||||||||
For many transactions, such as re-securitizations of mortgage backed securities and other asset repackaged notes, there are no significant economic decisions made on an ongoing basis and no single investor has the unilateral ability to liquidate the trust. In these cases, Nomura focuses its analysis on decisions made prior to the closing of the initial transaction. If one or a number of investors share responsibility for the design of the transaction, Nomura does not consolidate the VIE. Nomura has sponsored numerous re-securitization and asset repackaged notes transactions and in many cases has determined that it is not the primary beneficiary on the basis that control over the most significant activities of these entities are shared with investors. In some cases, however, Nomura has consolidated such VIEs, in each case where it was determined that investors did not share in the responsibility for the design of the transactions, as evidenced by less than significant purchases of the resulting securities by investors upon initiation. | |||||||||||||||||||||||||
The following table presents the classification of consolidated VIEs’ assets and liabilities in these consolidated financial statements. The assets of a consolidated VIE may only be used to settle obligations of that VIE. Creditors do not have any recourse to Nomura beyond the assets held in the VIEs. | |||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Consolidated VIE assets | |||||||||||||||||||||||||
Cash and cash equivalents | ¥ | 13 | ¥ | 18 | |||||||||||||||||||||
Trading assets | |||||||||||||||||||||||||
Equities | 353 | 289 | |||||||||||||||||||||||
Debt securities | 200 | 393 | |||||||||||||||||||||||
Mortgage and mortgage-backed securities | 138 | 66 | |||||||||||||||||||||||
Derivatives | 3 | 2 | |||||||||||||||||||||||
Private equity investments | 1 | 1 | |||||||||||||||||||||||
Securities purchased under agreements to resell | 12 | 32 | |||||||||||||||||||||||
Office buildings, land, equipment and facilities | 17 | 12 | |||||||||||||||||||||||
Other(1) | 64 | 70 | |||||||||||||||||||||||
Total | ¥ | 801 | ¥ | 883 | |||||||||||||||||||||
Consolidated VIE liabilities | |||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||
Debt securities | ¥ | 6 | ¥ | 33 | |||||||||||||||||||||
Derivatives | 15 | 9 | |||||||||||||||||||||||
Securities sold under agreements to repurchase | 4 | 23 | |||||||||||||||||||||||
Borrowings | |||||||||||||||||||||||||
Long-term borrowings | 458 | 424 | |||||||||||||||||||||||
Other | 7 | 4 | |||||||||||||||||||||||
Total | ¥ | 490 | ¥ | 493 | |||||||||||||||||||||
-1 | Includes aircraft purchase deposits of ¥16 billion and ¥5 billion as of March 31, 2013 and 2014, respectively. In relation to these aircraft purchase deposits, certain of these SPEs have commitments to purchase aircraft. See Note 23 “Commitments, contingencies and guarantees” for further information. | ||||||||||||||||||||||||
Nomura continuously reassesses its initial evaluation of whether it is the primary beneficiary of a VIE based on current facts and circumstances as long as it has any continuing involvement with the VIE. This determination is based upon an analysis of the design of the VIE, including the VIE’s structure and activities, the power to make significant economic decisions held by Nomura and by other parties, and the variable interests owned by Nomura and other parties. | |||||||||||||||||||||||||
Nomura also holds variable interests in VIEs where Nomura is not the primary beneficiary. Nomura’s variable interests in such VIEs include senior and subordinated debt, residual interests, and equity interests associated with commercial and residential mortgage-backed and other asset-backed securitizations and structured financings, equity interests in VIEs which were formed primarily to acquire high yield leveraged loans and other lower investment grade debt obligations, residual interests in operating leases for aircraft held by VIEs, and loans and investments in VIEs that acquire operating businesses. | |||||||||||||||||||||||||
The following tables present the carrying amount of variable interests of unconsolidated VIEs and maximum exposure to loss associated with these variable interests. Maximum exposure to loss does not reflect Nomura’s estimate of the actual losses that could result from adverse changes, nor does it reflect the economic hedges Nomura enters into to reduce its exposure. The risks associated with VIEs in which Nomura is involved are limited to the amount recorded in the consolidated balance sheets, the amount of commitments and financial guarantees and the notional amount of the derivative instruments. Nomura believes the notional amount of derivative instruments generally exceeds the amount of actual risk. | |||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||
Carrying amount of variable interests | Maximum exposure | ||||||||||||||||||||||||
to loss to | |||||||||||||||||||||||||
Assets | Liabilities | unconsolidated VIEs | |||||||||||||||||||||||
Trading assets and liabilities | |||||||||||||||||||||||||
Equities | ¥ | 65 | ¥ | — | ¥ | 65 | |||||||||||||||||||
Debt securities | 173 | — | 173 | ||||||||||||||||||||||
Mortgage and mortgage-backed securities | 2,843 | — | 2,843 | ||||||||||||||||||||||
Investment trust funds and other | 161 | — | 161 | ||||||||||||||||||||||
Derivatives | 0 | — | 18 | ||||||||||||||||||||||
Private equity investments | 28 | — | 28 | ||||||||||||||||||||||
Loans | |||||||||||||||||||||||||
Short-term loans | 7 | — | 7 | ||||||||||||||||||||||
Long-term loans | 82 | — | 82 | ||||||||||||||||||||||
Other | 4 | — | 4 | ||||||||||||||||||||||
Commitments to extend credit and other guarantees | — | — | 33 | ||||||||||||||||||||||
Total | ¥ | 3,363 | ¥ | — | ¥ | 3,414 | |||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||
Carrying amount of variable interests | Maximum exposure | ||||||||||||||||||||||||
to loss to | |||||||||||||||||||||||||
Assets | Liabilities | unconsolidated VIEs | |||||||||||||||||||||||
Trading assets and liabilities | |||||||||||||||||||||||||
Equities | ¥ | 67 | ¥ | — | ¥ | 67 | |||||||||||||||||||
Debt securities | 211 | — | 211 | ||||||||||||||||||||||
Mortgage and mortgage-backed securities | 2,308 | — | 2,308 | ||||||||||||||||||||||
Investment trust funds and other | 185 | — | 185 | ||||||||||||||||||||||
Derivatives | 0 | — | 4 | ||||||||||||||||||||||
Private equity investments | 25 | — | 25 | ||||||||||||||||||||||
Loans | |||||||||||||||||||||||||
Short-term loans | 11 | — | 11 | ||||||||||||||||||||||
Long-term loans | 164 | — | 164 | ||||||||||||||||||||||
Other | 4 | — | 4 | ||||||||||||||||||||||
Commitments to extend credit and other guarantees | — | — | 49 | ||||||||||||||||||||||
Total | ¥ | 2,975 | ¥ | — | ¥ | 3,028 | |||||||||||||||||||
Financing_receivables
Financing receivables | 12 Months Ended | ||||||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||||||
Financing receivables | ' | ||||||||||||||||||||||||||||||||
Financing receivables | ' | ||||||||||||||||||||||||||||||||
9. Financing receivables: | |||||||||||||||||||||||||||||||||
In the normal course of business, Nomura extends financing to clients primarily in the form of loans and collateralized agreements such as reverse repurchase agreements and securities borrowing transactions. These financing receivables are recognized as assets on Nomura’s consolidated balance sheets and provide a contractual right to receive money either on demand or on future fixed or determinable dates. | |||||||||||||||||||||||||||||||||
Collateralized agreements | |||||||||||||||||||||||||||||||||
Collateralized agreements consist of reverse repurchase agreements disclosed as Securities purchased under agreements to resell and securities borrowing transactions disclosed as Securities borrowed in the consolidated balance sheets, including those executed under Gensaki Repo agreements. Reverse repurchase agreements and securities borrowing transactions principally involve the buying of government and government agency securities from customers under agreements that also require Nomura to resell these securities to those customers. Nomura monitors the value of the underlying securities on a daily basis to the related receivables, including accrued interest, and requests or returns additional collateral when appropriate. Reverse repurchase agreements are generally recognized in the consolidated balance sheets at the amount for which the securities were originally acquired with applicable accrued interest. Securities borrowing transactions are generally recognized in the consolidated balance sheets at the amount of cash collateral advanced. No allowance for credit losses is generally recognized against these transactions due to the strict collateralization requirements. | |||||||||||||||||||||||||||||||||
Loans receivable | |||||||||||||||||||||||||||||||||
The key types of loans receivable recognized by Nomura are loans at banks, short-term secured margin loans, inter-bank money market loans and corporate loans. | |||||||||||||||||||||||||||||||||
Loans at banks include both retail and commercial secured and unsecured loans extended by licensed banking entities within Nomura such as The Nomura Trust & Banking Co., Ltd. and Nomura Bank International plc. For both retail and commercial loans secured by real estate or securities, Nomura is exposed to the risk of a decline in the value of the underlying collateral. Loans at banks also include unsecured commercial loans provided to investment banking clients for relationship purposes. Nomura is exposed to risk of default of the counterparty, although these counterparties usually have high credit ratings. Where loans are secured by guarantees, Nomura is also exposed to the risk of default by the guarantor. | |||||||||||||||||||||||||||||||||
Short-term secured margin loans are loans provided to clients in connection with securities brokerage business. These loans provide funding for clients in order to purchase securities. Nomura requests initial margin in the form of acceptable collateral securities or deposits against these loans and holds the purchased securities as collateral through the life of the loans. If the value of the securities declines by more than specified amounts, Nomura can make additional margin calls in order to maintain a specified ratio of loan-to-value (“LTV”) ratio. For these reasons, the risk to Nomura of providing these loans is limited. | |||||||||||||||||||||||||||||||||
Inter-bank money market loans are loans to financial institutions in the inter-bank money market, where overnight and intra-day financings are traded through money market dealers. The risk to Nomura of making these loans is not significant as only qualified financial institutions can participate in these markets and these loans are usually overnight or short-term in nature. | |||||||||||||||||||||||||||||||||
Corporate loans are primarily commercial loans provided to corporate clients extended by non-licensed banking entities within Nomura. Corporate loans include loans secured by real estate or securities, as well as unsecured commercial loans provided to investment banking clients for relationship purposes. The risk to Nomura of making these loans is similar to those risks arising from commercial loans reported in loans at banks. | |||||||||||||||||||||||||||||||||
In addition to the loans above, Nomura has advances to affiliated companies which are loans provided to related parties of Nomura. As these loans are generally not secured, Nomura is exposed to the risk of default of the counterparty. | |||||||||||||||||||||||||||||||||
The following tables present a summary of loans receivable reported within Loans receivable or Investments in and advances to affiliated companies in the consolidated balance sheets by portfolio segment. | |||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||
Carried at | Carried at | Total | |||||||||||||||||||||||||||||||
amortized cost | fair value(1) | ||||||||||||||||||||||||||||||||
Loans receivable | |||||||||||||||||||||||||||||||||
Loans at banks | ¥ | 263,608 | ¥ | 153 | ¥ | 263,761 | |||||||||||||||||||||||||||
Short-term secured margin loans | 288,574 | — | 288,574 | ||||||||||||||||||||||||||||||
Inter-bank money market loans | 76,968 | — | 76,968 | ||||||||||||||||||||||||||||||
Corporate loans | 422,295 | 523,896 | 946,191 | ||||||||||||||||||||||||||||||
Total loans receivable | ¥ | 1,051,445 | ¥ | 524,049 | ¥ | 1,575,494 | |||||||||||||||||||||||||||
Advances to affiliated companies | 12,376 | — | 12,376 | ||||||||||||||||||||||||||||||
Total | ¥ | 1,063,821 | ¥ | 524,049 | ¥ | 1,587,870 | |||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||
Carried at | Carried at | Total | |||||||||||||||||||||||||||||||
amortized cost | fair value(1) | ||||||||||||||||||||||||||||||||
Loans receivable | |||||||||||||||||||||||||||||||||
Loans at banks | ¥ | 274,966 | ¥ | 44 | ¥ | 275,010 | |||||||||||||||||||||||||||
Short-term secured margin loans | 421,809 | — | 421,809 | ||||||||||||||||||||||||||||||
Inter-bank money market loans | 42,885 | — | 42,885 | ||||||||||||||||||||||||||||||
Corporate loans | 284,259 | 303,912 | 588,171 | ||||||||||||||||||||||||||||||
Total loans receivable | ¥ | 1,023,919 | ¥ | 303,956 | ¥ | 1,327,875 | |||||||||||||||||||||||||||
Advances to affiliated companies | 5,797 | — | 5,797 | ||||||||||||||||||||||||||||||
Total | ¥ | 1,029,716 | ¥ | 303,956 | ¥ | 1,333,672 | |||||||||||||||||||||||||||
-1 | Includes loans receivable and loan commitments carried at fair value through election of the fair value option. | ||||||||||||||||||||||||||||||||
There were no significant purchases or sales of loans receivable and no reclassifications of loans receivable to trading assets during the year ended March 31, 2013. | |||||||||||||||||||||||||||||||||
The amount of purchases of secured corporate loans during the year ended March 31, 2014, was ¥92,760 million. During the same period, there were no significant sales of loans receivable and no reclassifications of loans receivable to trading assets. | |||||||||||||||||||||||||||||||||
Allowance for loan losses | |||||||||||||||||||||||||||||||||
Management establishes an allowance for loan losses for loans carried at amortized cost which reflects management’s best estimate of probable losses incurred. The allowance for loan losses which is reported in the consolidated balance sheets within Allowance for doubtful accounts comprises two components: | |||||||||||||||||||||||||||||||||
• | A specific component for loans which have been individually evaluated for impairment; and | ||||||||||||||||||||||||||||||||
• | A general component for loans which, while not individually evaluated for impairment, have been collectively evaluated for impairment based on historical loss experience. | ||||||||||||||||||||||||||||||||
The specific component of the allowance for loan losses reflects probable losses incurred within loans which have been individually evaluated for impairment. A loan is defined as being impaired when, based on current information and events, it is probable that all amounts due according to the contractual terms of the loan agreement will not be collected. Factors considered by management in determining impairment include an assessment of the ability of borrowers to pay by considering various factors such as the nature of the loan, prior loan loss experience, current economic conditions, the current financial situation of the borrower and the fair value of any underlying collateral. Loans that experience insignificant payment delays or insignificant payment shortfalls are not classified as impaired. The impairment is measured on a loan by loan basis by adjusting the carrying value of the loan to either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s observable market price, or the fair value of the collateral if the loan is collateral dependent. | |||||||||||||||||||||||||||||||||
The general component of the allowance for loan losses is for loans not individually evaluated for impairment and includes judgment about collectability based on available information at the balance sheet date and the uncertainties inherent in those underlying assumptions. The allowance is based on historical loss experience adjusted for qualitative factors such as current economic conditions. | |||||||||||||||||||||||||||||||||
While management has based its estimate of the allowance for loan losses on the best information available, future adjustments to the allowance for loan losses may be necessary as a result of changes in the economic environment or variances between actual results and original assumptions. | |||||||||||||||||||||||||||||||||
Loans are charged-off when Nomura determines that the loans are uncollectible. This determination is based on factors such as the occurrence of significant changes in the borrower’s financial position such that the borrower can no longer pay the obligation or that the proceeds from collateral will not be sufficient to pay the loans. | |||||||||||||||||||||||||||||||||
The following tables present changes in the allowance for losses for the years ended March 31, 2012, 2013 and 2014. | |||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ended March 31, 2012 | |||||||||||||||||||||||||||||||||
Allowance for loan losses | |||||||||||||||||||||||||||||||||
Loans | Short-term | Inter-bank | Corporate | Advances to | Subtotal | Allowance for | Total | ||||||||||||||||||||||||||
at banks | secured | money | loans | affiliated | receivables | allowance | |||||||||||||||||||||||||||
margin | market loans | companies | other than | for doubtful | |||||||||||||||||||||||||||||
loans | loans | accounts | |||||||||||||||||||||||||||||||
Opening balance | ¥ | 339 | ¥ | 37 | ¥ | — | ¥ | 3,422 | ¥ | 11 | ¥ | 3,809 | ¥ | 1,051 | ¥ | 4,860 | |||||||||||||||||
Provision for losses | 213 | (11 | ) | — | (592 | ) | 40 | (350 | ) | 20 | (330 | ) | |||||||||||||||||||||
Charge-offs | — | (2 | ) | — | — | — | (2 | ) | (1 | ) | (3 | ) | |||||||||||||||||||||
Other(1) | — | (0 | ) | — | (72 | ) | — | (72 | ) | 433 | 361 | ||||||||||||||||||||||
Ending balance | ¥ | 552 | ¥ | 24 | ¥ | — | ¥ | 2,758 | ¥ | 51 | ¥ | 3,385 | ¥ | 1,503 | ¥ | 4,888 | |||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ended March 31, 2013 | |||||||||||||||||||||||||||||||||
Allowance for loan losses | |||||||||||||||||||||||||||||||||
Loans | Short-term | Inter-bank | Corporate | Advances to | Subtotal | Allowance for | Total | ||||||||||||||||||||||||||
at banks | secured | money | loans | affiliated | receivables | allowance | |||||||||||||||||||||||||||
margin | market loans | companies | other than | for doubtful | |||||||||||||||||||||||||||||
loans | loans | accounts | |||||||||||||||||||||||||||||||
Opening balance | ¥ | 552 | ¥ | 24 | ¥ | — | ¥ | 2,758 | ¥ | 51 | ¥ | 3,385 | ¥ | 1,503 | ¥ | 4,888 | |||||||||||||||||
Provision for losses | 238 | 13 | — | (2,630 | ) | (22 | ) | (2,401 | ) | (13 | ) | (2,414 | ) | ||||||||||||||||||||
Charge-offs | (1 | ) | (11 | ) | — | (26 | ) | — | (38 | ) | — | (38 | ) | ||||||||||||||||||||
Other(1) | — | 0 | — | (7 | ) | — | (7 | ) | (171 | ) | (178 | ) | |||||||||||||||||||||
Ending balance | ¥ | 789 | ¥ | 26 | ¥ | — | ¥ | 95 | ¥ | 29 | ¥ | 939 | ¥ | 1,319 | ¥ | 2,258 | |||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ended March 31, 2014 | |||||||||||||||||||||||||||||||||
Allowance for loan losses | |||||||||||||||||||||||||||||||||
Loans | Short-term | Inter-bank | Corporate | Advances to | Subtotal | Allowance for | Total | ||||||||||||||||||||||||||
at banks | secured | money | loans | affiliated | receivables | allowance | |||||||||||||||||||||||||||
margin | market loans | companies | other than | for doubtful | |||||||||||||||||||||||||||||
loans | loans | accounts | |||||||||||||||||||||||||||||||
Opening balance | ¥ | 789 | ¥ | 26 | ¥ | — | ¥ | 95 | ¥ | 29 | ¥ | 939 | ¥ | 1,319 | ¥ | 2,258 | |||||||||||||||||
Provision for losses | (109 | ) | 61 | — | (13 | ) | (28 | ) | (89 | ) | 960 | 871 | |||||||||||||||||||||
Charge-offs | (2 | ) | — | — | — | — | (2 | ) | (146 | ) | (148 | ) | |||||||||||||||||||||
Other(1) | (0 | ) | — | — | 0 | — | 0 | 28 | 28 | ||||||||||||||||||||||||
Ending balance | ¥ | 678 | ¥ | 87 | ¥ | — | ¥ | 82 | ¥ | 1 | ¥ | 848 | ¥ | 2,161 | ¥ | 3,009 | |||||||||||||||||
-1 | Includes the effect of foreign exchange movements. | ||||||||||||||||||||||||||||||||
The following tables present the allowance for loan losses and loans by impairment methodology and type of loans as of March 31, 2013 and 2014. | |||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||
Loans at | Short-term | Inter-bank | Corporate | Advances | Total | ||||||||||||||||||||||||||||
banks | secured margin | money | loans | to | |||||||||||||||||||||||||||||
loans | market loans | affiliated | |||||||||||||||||||||||||||||||
companies | |||||||||||||||||||||||||||||||||
Allowance by impairment methodology | |||||||||||||||||||||||||||||||||
Evaluated individually | ¥ | 6 | ¥ | — | ¥ | — | ¥ | 7 | ¥ | — | ¥ | 13 | |||||||||||||||||||||
Evaluated collectively | 783 | 26 | — | 88 | 29 | 926 | |||||||||||||||||||||||||||
Total allowance for loan losses | ¥ | 789 | ¥ | 26 | ¥ | — | ¥ | 95 | ¥ | 29 | ¥ | 939 | |||||||||||||||||||||
Loans by impairment methodology | |||||||||||||||||||||||||||||||||
Evaluated individually | ¥ | 76 | ¥ | 83,399 | ¥ | 76,968 | ¥ | 412,675 | ¥ | 5,595 | ¥ | 578,713 | |||||||||||||||||||||
Evaluated collectively | 263,532 | 205,175 | — | 9,620 | 6,781 | 485,108 | |||||||||||||||||||||||||||
Total loans | ¥ | 263,608 | ¥ | 288,574 | ¥ | 76,968 | ¥ | 422,295 | ¥ | 12,376 | ¥ | 1,063,821 | |||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||
Loans at | Short-term | Inter-bank | Corporate | Advances | Total | ||||||||||||||||||||||||||||
banks | secured margin | money | loans | to | |||||||||||||||||||||||||||||
loans | market loans | affiliated | |||||||||||||||||||||||||||||||
companies | |||||||||||||||||||||||||||||||||
Allowance by impairment methodology | |||||||||||||||||||||||||||||||||
Evaluated individually | ¥ | 3 | ¥ | — | ¥ | — | ¥ | 7 | ¥ | — | ¥ | 10 | |||||||||||||||||||||
Evaluated collectively | 675 | 87 | — | 75 | 1 | 838 | |||||||||||||||||||||||||||
Total allowance for loan losses | ¥ | 678 | ¥ | 87 | ¥ | — | ¥ | 82 | ¥ | 1 | ¥ | 848 | |||||||||||||||||||||
Loans by impairment methodology | |||||||||||||||||||||||||||||||||
Evaluated individually | ¥ | 4,374 | ¥ | 103,345 | ¥ | 42,885 | ¥ | 275,753 | ¥ | 882 | ¥ | 427,239 | |||||||||||||||||||||
Evaluated collectively | 270,592 | 318,464 | — | 8,506 | 4,915 | 602,477 | |||||||||||||||||||||||||||
Total loans | ¥ | 274,966 | ¥ | 421,809 | ¥ | 42,885 | ¥ | 284,259 | ¥ | 5,797 | ¥ | 1,029,716 | |||||||||||||||||||||
Nonaccrual and past due loans | |||||||||||||||||||||||||||||||||
Loans which are individually evaluated as impaired are assessed for nonaccrual status in accordance with Nomura’s policy. When it is determined to suspend interest accrual as a result of an assessment, any accrued but unpaid interest is reversed. Loans are generally only returned to an accrual status if the loan is brought contractually current, i.e. all overdue principal and interest amounts are paid. In limited circumstances, a loan which has not been brought contractually current will also be returned to an accrual status if all principal and interest amounts contractually due are reasonably assured of repayment within a reasonable period of time or there has been a sustained period of repayment performance by the borrower. | |||||||||||||||||||||||||||||||||
As of March 31, 2013, there were ¥5,855 million of loans which were on a nonaccrual status, primarily secured corporate loans. The amount of loans which were 90 days past due was not significant. | |||||||||||||||||||||||||||||||||
As of March 31, 2014, there were ¥6,022 million of loans which were on a nonaccrual status, primarily secured corporate loans. The amount of loans which were 90 days past due was not significant. | |||||||||||||||||||||||||||||||||
Once a loan is impaired and placed on a nonaccrual status, interest income is subsequently recognized using the cash basis method. | |||||||||||||||||||||||||||||||||
Loan impairment and troubled debt restructurings | |||||||||||||||||||||||||||||||||
In the ordinary course of business, Nomura may choose to recognize impairment and also restructure a loan classified as held for investment either because of financial difficulties of the borrower, or simply as a result of market conditions or relationship reasons. A troubled debt restructuring (“TDR”) occurs when Nomura (as lender) for economic or legal reasons related to the borrower’s financial difficulties grants a concession to the borrower that Nomura would not otherwise consider. | |||||||||||||||||||||||||||||||||
Any loan being restructured under a TDR will generally already be identified as impaired with an applicable allowance recognized in the allowance for loan losses. If not (for example if the loan is collectively assessed for impairment with other loans), the restructuring of the loan under a TDR will immediately result in the loan as being classified as impaired. An impairment loss for a loan restructuring under a TDR which only involves modification of the loan’s terms (rather than receipt of assets in full or partial settlement) is calculated in the same way as any other impaired loan. Assets received in full or partial satisfaction of a loan in a TDR are recognized at fair value. | |||||||||||||||||||||||||||||||||
As of March 31, 2013 and 2014, the amount of loans which were classified as impaired but against which no allowance for loan losses had been recognized was not significant. For impaired loans with a related allowance, the amount of recorded investment, the total unpaid principal balance and the related allowance was not significant. | |||||||||||||||||||||||||||||||||
The amount of TDRs which occurred during the years ended March 31, 2013 and 2014 was not significant. | |||||||||||||||||||||||||||||||||
Credit quality indicators | |||||||||||||||||||||||||||||||||
Nomura is exposed to credit risks deriving from a decline in the value of loans or a default caused by deterioration of creditworthiness or bankruptcy of the borrower. Nomura’s risk management framework for such credit risks is based on a risk assessment through an internal credit rating process, in depth pre-financing credit analysis of each individual loan and continuous post-financing monitoring of borrower’s creditworthiness. Loans considered as collateralized transactions are not subject to an internal credit rating process as Nomura monitors the value of posted collateral closely and understands means to prevent potential losses. | |||||||||||||||||||||||||||||||||
The following tables present an analysis of each class of loans not carried at fair value using Nomura’s internal ratings or equivalent credit quality indicators applied by subsidiaries as of March 31, 2013 and 2014. | |||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||
AAA-BBB | BB-CCC | CC-D | Others(1) | Total | |||||||||||||||||||||||||||||
Secured loans at banks | ¥ | 105,199 | ¥ | 30,826 | ¥ | — | ¥ | 33,208 | ¥ | 169,233 | |||||||||||||||||||||||
Unsecured loans at banks | 93,266 | 1,103 | 6 | — | 94,375 | ||||||||||||||||||||||||||||
Short-term secured margin loans | — | — | — | 288,574 | 288,574 | ||||||||||||||||||||||||||||
Secured inter-bank money market loans | 1,968 | — | — | — | 1,968 | ||||||||||||||||||||||||||||
Unsecured inter-bank money market loans | 75,000 | — | — | — | 75,000 | ||||||||||||||||||||||||||||
Secured corporate loans | 220,189 | 164,205 | 7,969 | 3,570 | 395,933 | ||||||||||||||||||||||||||||
Unsecured corporate loans | — | 26,362 | — | — | 26,362 | ||||||||||||||||||||||||||||
Advances to affiliated companies | 6,781 | 527 | — | 5,068 | 12,376 | ||||||||||||||||||||||||||||
Total | ¥ | 502,403 | ¥ | 223,023 | ¥ | 7,975 | ¥ | 330,420 | ¥ | 1,063,821 | |||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||
AAA-BBB | BB-CCC | CC-D | Others(1) | Total | |||||||||||||||||||||||||||||
Secured loans at banks | ¥ | 98,356 | ¥ | 33,669 | ¥ | — | ¥ | 34,740 | ¥ | 166,765 | |||||||||||||||||||||||
Unsecured loans at banks | 108,199 | — | 2 | — | 108,201 | ||||||||||||||||||||||||||||
Short-term secured margin loans | — | — | — | 421,809 | 421,809 | ||||||||||||||||||||||||||||
Secured inter-bank money market loans | 12,885 | — | — | — | 12,885 | ||||||||||||||||||||||||||||
Unsecured inter-bank money market loans | 30,000 | — | — | — | 30,000 | ||||||||||||||||||||||||||||
Secured corporate loans | 136,302 | 107,141 | 5,719 | 1,938 | 251,100 | ||||||||||||||||||||||||||||
Unsecured corporate loans | 3,395 | 26,902 | — | 2,862 | 33,159 | ||||||||||||||||||||||||||||
Advances to affiliated companies | 4,915 | 594 | — | 288 | 5,797 | ||||||||||||||||||||||||||||
Total | ¥ | 394,052 | ¥ | 168,306 | ¥ | 5,721 | ¥ | 461,637 | ¥ | 1,029,716 | |||||||||||||||||||||||
-1 | Relate to collateralized exposures where a specified ratio of LTV is maintained. | ||||||||||||||||||||||||||||||||
Nomura reviews internal counterparty credit ratings at least once a year by using available borrower’s credit information including financial statements and other information. Internal counterparty credit ratings are also reviewed more frequently for high-risk borrowers or problematic exposures and any significant credit event of counterparty will trigger an immediate credit review process. |
Leases
Leases | 12 Months Ended | ||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||
Leases | ' | ||||||||||||||||||||||||||||
Leases | ' | ||||||||||||||||||||||||||||
10. Leases: | |||||||||||||||||||||||||||||
Lessor | |||||||||||||||||||||||||||||
Nomura leases office buildings and aircraft in Japan and overseas. These leases are classified as operating leases and the related assets are stated at cost, net of accumulated depreciation, except for land, which is stated at cost in the consolidated balance sheets and reported within Other assets—Office buildings, land, equipment and facilities. | |||||||||||||||||||||||||||||
A portion of such rentals is paid from Nomura Research Institute, Ltd. (“NRI”), an affiliated company. See Note 22 “Affiliated companies and other equity-method investees” for more information. | |||||||||||||||||||||||||||||
The following table presents the lease deposits and rents received from NRI. | |||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
As of or for the year ended March 31 | |||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||
Lease deposits | ¥ | 11,738 | ¥ | — | ¥ | — | |||||||||||||||||||||||
Rental income | 3,848 | 4,272 | — | ||||||||||||||||||||||||||
The following table presents the types of assets which Nomura leases under operating leases. | |||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||
Cost | Accumulated | Net carrying | |||||||||||||||||||||||||||
depreciation | amount | ||||||||||||||||||||||||||||
Real estate(1) | ¥ | 3,447 | ¥ | (1,334 | ) | ¥ | 2,113 | ||||||||||||||||||||||
Aircraft | 8,269 | (954 | ) | 7,315 | |||||||||||||||||||||||||
Total | ¥ | 11,716 | ¥ | (2,288 | ) | ¥ | 9,428 | ||||||||||||||||||||||
-1 | Cost, accumulated depreciation and net carrying amounts include amounts relating to real estate space utilized by Nomura. | ||||||||||||||||||||||||||||
Nomura recognized rental income of ¥66,180 million, ¥78,667 million and ¥1,579 million for the years ended March 31, 2012, 2013 and 2014, respectively in the consolidated statements of income within Revenue—Other. | |||||||||||||||||||||||||||||
The future minimum lease payments to be received on noncancelable operating leases as of March 31, 2014 were ¥5,449 million and these future minimum lease payments to be received are scheduled as below: | |||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
Total | Years of receipt | ||||||||||||||||||||||||||||
Less than | 1 to 2 | 2 to 3 | 3 to 4 | 4 to 5 | More than | ||||||||||||||||||||||||
1 year | years | years | years | years | 5 years | ||||||||||||||||||||||||
Minimum lease payments to be received | ¥ | 5,449 | ¥ | 887 | ¥ | 814 | ¥ | 813 | ¥ | 489 | ¥ | 486 | ¥ | 1,960 | |||||||||||||||
Lessee | |||||||||||||||||||||||||||||
Nomura leases its office spaces, certain employees’ residential facilities and other facilities in Japan and overseas primarily under cancelable operating lease agreements which are customarily renewed upon expiration. Nomura also leases certain equipment and facilities in Japan and overseas under non-cancelable operating lease agreements. Rental expenses, net of sublease rental income, for the years ended March 31, 2012, 2013 and 2014 were ¥43,536 million, ¥46,975 million and ¥46,600 million, respectively. | |||||||||||||||||||||||||||||
A portion of such rental expenses was paid to Nomura Land and Building Co., Ltd. (“NLB”) that became a consolidated subsidiary of Nomura in May 2011. | |||||||||||||||||||||||||||||
The following table presents lease deposits and rents paid to NLB. | |||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
As of or for the year ended | |||||||||||||||||||||||||||||
31-Mar | |||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||
Lease deposits | ¥ | — | ¥ | — | ¥ | — | |||||||||||||||||||||||
Rental expenses(1) | 622 | — | — | ||||||||||||||||||||||||||
-1 | Rental expenses for the year ended March 31, 2012 were those paid to NLB for the period before NLB was consolidated. | ||||||||||||||||||||||||||||
The following table presents the future minimum lease payments under non-cancelable operating leases with remaining terms exceeding one year as of March 31, 2014: | |||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Total minimum lease payments | ¥ | 149,942 | |||||||||||||||||||||||||||
Less: Sublease rental income | (8,424 | ) | |||||||||||||||||||||||||||
Net minimum lease payments | ¥ | 141,518 | |||||||||||||||||||||||||||
The future minimum lease payments above are scheduled as below as of March 31, 2014: | |||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
Total | Years of payment | ||||||||||||||||||||||||||||
Less than | 1 to 2 | 2 to 3 | 3 to 4 | 4 to 5 | More than | ||||||||||||||||||||||||
1 year | years | years | years | years | 5 years | ||||||||||||||||||||||||
Minimum lease payments | ¥ | 149,942 | ¥ | 18,310 | ¥ | 16,461 | ¥ | 12,456 | ¥ | 11,707 | ¥ | 10,931 | ¥ | 80,077 | |||||||||||||||
Nomura leases certain equipments and facilities office in Japan and overseas under capital lease agreements. If the lease is classified as a capital lease, Nomura recognizes the real estate at the lower of its fair value or present value of minimum lease payments, which is reported within Other Assets—Office buildings, land, equipment and facilities in the consolidated balance sheets. The amounts of capital lease assets as of March 31, 2013 and 2014 were ¥27,624 million and ¥33,294 million, respectively and accumulated depreciations on such capital lease assets as of March 31, 2013 and 2014 were ¥3,454 million and ¥4,579 million, respectively. | |||||||||||||||||||||||||||||
The following table presents the future minimum lease payments under capital leases as of March 31, 2014: | |||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Total minimum lease payments | ¥ | 64,100 | |||||||||||||||||||||||||||
Less: Amount representing interest | (34,131 | ) | |||||||||||||||||||||||||||
Present value of net lease payments | ¥ | 29,969 | |||||||||||||||||||||||||||
The future minimum lease payments above are scheduled as below as of March 31, 2014: | |||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
Years of payment | |||||||||||||||||||||||||||||
Total | Less than | 1 to 2 | 2 to 3 | 3 to 4 | 4 to 5 | More than | |||||||||||||||||||||||
1 year | years | years | years | years | 5 years | ||||||||||||||||||||||||
Minimum lease payments | ¥ | 64,100 | ¥ | 509 | ¥ | 3,585 | ¥ | 4,193 | ¥ | 4,121 | ¥ | 3,994 | ¥ | 47,698 | |||||||||||||||
Certain leases contain renewal options or escalation clauses providing for increased rental payments based upon maintenance, utilities and tax increases. |
Business_combinations
Business combinations | 12 Months Ended | ||||
Mar. 31, 2014 | |||||
Business combinations | ' | ||||
Business combinations | ' | ||||
11. Business combinations: | |||||
For the purpose of streamlining Nomura’s management structure for faster decision-making in relation to reorganization, on May 13, 2011, the Company entered into an agreement with one of its affiliated companies, NLB to implement a share exchange (“Share Exchange Agreement”) effective on July 1, 2011. In advance of the effective date of the Share Exchange Agreement, the Company acquired an additional 39.0% of the issued shares of NLB (“Share Purchases”) as of May 24, 2011. As a result of the Share Purchases, NLB became a consolidated subsidiary of Nomura during the three months ended June 30, 2011. Nomura’s total consideration in relation to the Share Purchases was approximately ¥37,620 million. The difference between the fair value of the acquired net assets of NLB and the acquisition cost was accounted for as a bargain purchase gain of ¥44,963 million which is reported within Revenue—Other in the consolidated statements of income. | |||||
The Share Purchases were accounted for as a step acquisition in these consolidated financial statements, because Nomura held 38.5% of the outstanding shares of NLB prior to the Share Purchases. Nomura remeasured the previously held equity investments in NLB and other companies which were acquired as a result of the Share Purchases at fair value. The change in fair value was a loss of ¥16,555 million which was reported within Revenue—Other in the consolidated statements of income. The remeasurement to fair value was determined primarily based on the cost of the Share Purchases, in which the financial condition and assets of NLB were considered in reference to the valuation results provided by third party appraisers. As of the date of the Share Purchases, the previously held equity investments were remeasured at the fair value of ¥38,379 million. Further, equity investments in NLB previously held by other affiliated companies of Nomura were also remeasured at fair value, resulting in an additional loss of ¥4,109 million which was also reported within Revenue—Other in the consolidated statements of income. | |||||
There were no other material acquisition-related costs incurred in connection with this business combination. | |||||
The operating results of NLB and other companies acquired as a result of the Share Purchases have been included in the consolidated statements of income from May 2011 and revenue generated by NLB and these other companies and net income from them which have been included in the consolidated statements of income were ¥488,536 million, and ¥5,107 million for the year ended March 31, 2012. Such revenues are generally reported in Revenue—Other. | |||||
The following table provides a summary of the fair value of the assets acquired and the liabilities assumed, as of the date of the Share Purchases. | |||||
Millions of yen | |||||
Assets: | |||||
Cash and cash deposits | ¥ | 78,634 | |||
Loans receivable(1) | 54,023 | ||||
Receivables from other than customers | 12,865 | ||||
Office buildings, land, equipment and facilities | 715,683 | ||||
Intangible assets(2) | 60,048 | ||||
Assets other than above(3) | 1,290,121 | ||||
Total assets | 2,211,374 | ||||
Liabilities: | |||||
Short-term borrowings | 82,800 | ||||
Long-term borrowings | 952,932 | ||||
Liabilities other than above | 748,889 | ||||
Total liabilities | 1,784,621 | ||||
Equity attributable to NHI shareholders | 120,962 | ||||
Noncontrolling interests of NLB(4) | 22,397 | ||||
Noncontrolling interests attributable to other than shareholders of NLB(5) | 283,394 | ||||
Acquisition costs and fair value of previously held equity investments | 75,999 | ||||
Goodwill | ¥ (44,963 | ) | |||
-1 | Fair Value is based on the difference between the gross contractual amounts receivable of ¥54,131 million and the estimate of the contractual cash flows not expected to be collected of ¥108 million. | ||||
-2 | Includes finite-lived intangible assets related to client contracts and lease agreements which are amortized based on a weighted-average amortization period of nine years with no estimated residual value. | ||||
-3 | Includes real estate classified as held for sale. | ||||
-4 | Fair Value is based on the acquisition cost of the Share Purchases. | ||||
-5 | Fair Value is based on either the market value or the net asset value as of the date of acquisition. | ||||
Based on the Share Exchange Agreement, 118 common shares of the Company were allotted and delivered for each share of NLB, and NLB became a wholly owned subsidiary of Nomura as of July 1, 2011. On the same day, the Company issued 103,429,360 common shares. In addition, the common shares of NLB which the Company acquired through the Share Exchange Agreement included the shares that had been held by one of Nomura’s subsidiaries, Nomura Asset Management Co., Ltd., and the acquisition of those shares was accounted for as a transaction between entities under common control. | |||||
The following selected (unaudited) pro-forma financial information presents revenue and net income (loss) amounts as if the Share Purchases occurred on April 1, 2010. | |||||
Millions of yen, | |||||
except per share data | |||||
For the year ended | |||||
March 31, 2012 | |||||
Total revenue | ¥ | 1,892,851 | |||
Net income (loss) attributable to NHI shareholders | (13,951 | ) | |||
Basic net income (loss) attributable to NHI shareholders per share | (3.83 | ) | |||
Diluted net income (loss) attributable to NHI shareholders per share | (3.83 | ) | |||
Revenue—Other in the consolidated statements of income for the year ended March 31, 2012 and 2013 include real estate sales of ¥251,377 million and ¥336,858 million generated by Nomura Real Estate Holdings Inc. (“NREH”) which was a subsidiary of NLB. Revenues are recognized when the sales have closed, the buyer’s initial and continuing investments are adequate to demonstrate a commitment to pay for the real estate and Nomura does not have substantial continuing involvement in the real estate. The costs of real estate sales corresponding to these revenues were ¥226,450 million and ¥306,570 million reported within Non-interest expenses—Other in the consolidated statements of income. | |||||
Nomura disposed of part of its investment in NREH in March 2013 and subsequently accounts for its remaining investment using the equity method of accounting. Following deconsolidation of NREH, real estate sales and costs of real estate will no longer be separately reported on a gross basis in the consolidated statements of income within Revenue—Other and Non-interest expenses—Other, respectively and Nomura’s share of net income of NREH will be reported within Revenue—Other. See Note 22 “Affiliated companies and other equity-methodinvestees” for further information regarding NREH. |
Other_assetsOther_Other_liabil
Other assets-Other / Other liabilities | 12 Months Ended | ||||||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||||||
Other assets-Other / Other liabilities | ' | ||||||||||||||||||||||||||||||||
Other assets-Other / Other liabilities | ' | ||||||||||||||||||||||||||||||||
12. Other assets—Other / Other liabilities: | |||||||||||||||||||||||||||||||||
The following table presents Other assets-Other and Other liabilities in the consolidated balance sheets by type. | |||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||||||||||
Other assets—Other: | |||||||||||||||||||||||||||||||||
Securities received as collateral | ¥ | 47,739 | ¥ | 236,808 | |||||||||||||||||||||||||||||
Goodwill and other intangible assets | 115,661 | 115,143 | |||||||||||||||||||||||||||||||
Deferred tax assets | 145,602 | 22,018 | |||||||||||||||||||||||||||||||
Investments in equity securities for other than operating purposes(1) | 71,813 | 133,742 | |||||||||||||||||||||||||||||||
Other | 221,344 | 276,463 | |||||||||||||||||||||||||||||||
Total | ¥ | 602,159 | ¥ | 784,174 | |||||||||||||||||||||||||||||
Other liabilities: | |||||||||||||||||||||||||||||||||
Obligation to return securities received as collateral | ¥ | 47,739 | ¥ | 236,808 | |||||||||||||||||||||||||||||
Accrued income taxes | 56,353 | 31,630 | |||||||||||||||||||||||||||||||
Other accrued expenses and provisions | 402,192 | 396,677 | |||||||||||||||||||||||||||||||
Other(2) | 471,879 | 476,635 | |||||||||||||||||||||||||||||||
Total | ¥ | 978,163 | ¥ | 1,141,750 | |||||||||||||||||||||||||||||
-1 | Includes marketable and non-marketable equity securities held for other than trading or operating purposes. | ||||||||||||||||||||||||||||||||
These investments were comprised of listed equity securities and unlisted equity securities of ¥50,930 million and ¥20,883 million respectively, as of March 31, 2013, and ¥114,582 million and ¥19,160 million respectively, as of March 31, 2014. These securities are carried at fair value, with changes in fair value recognized within Revenue—other in the consolidated statements of income. | |||||||||||||||||||||||||||||||||
-2 | Includes liabilities relating to investment contracts underwritten by Nomura’s insurance subsidiary. As of March 31, 2013 and 2014, carrying values were ¥281,864 million and ¥270,950 million, respectively, and estimated fair values were ¥285,914 million and ¥274,991 million, respectively. Fair value was estimated using DCF valuation technique and using valuation inputs which would be generally classified in Level 3 of the fair value hierarchy. | ||||||||||||||||||||||||||||||||
Goodwill is recognized upon completion of a business combination as the difference between the purchase price and the fair value of the net assets acquired. Subsequent to initial recognition, goodwill is not amortized but is tested for impairment during the fourth quarter of each fiscal year, or more often if events or circumstances, such as adverse changes in the business climate, indicate there may be impairment. | |||||||||||||||||||||||||||||||||
The following table presents changes in goodwill, which are reported in the consolidated balance sheets within Other assets—Other for the years ended March 31, 2013 and 2014. | |||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ended March 31, 2013 | |||||||||||||||||||||||||||||||||
Beginning of year | Changes during year | End of year | |||||||||||||||||||||||||||||||
Gross | Accumulated | Net carrying | Impairment(1) | Other(2) | Gross | Accumulated | Net carrying | ||||||||||||||||||||||||||
carrying | Impairment | amount | carrying | Impairment | amount | ||||||||||||||||||||||||||||
amount | amount | ||||||||||||||||||||||||||||||||
Wholesale | ¥ | 69,846 | ¥ | (1,128 | ) | ¥ | 68,718 | ¥ | (8,293 | ) | ¥ | 7,793 | ¥ | 79,249 | ¥ | (11,031 | ) | ¥ | 68,218 | ||||||||||||||
Other | 5,316 | — | 5,316 | — | 708 | 6,024 | — | 6,024 | |||||||||||||||||||||||||
Total | ¥ | 75,162 | ¥ | (1,128 | ) | ¥ | 74,034 | ¥ | (8,293 | ) | ¥ | 8,501 | ¥ | 85,273 | ¥ | (11,031 | ) | ¥ | 74,242 | ||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ended March 31, 2014 | |||||||||||||||||||||||||||||||||
Beginning of year | Changes during year | End of year | |||||||||||||||||||||||||||||||
Gross | Accumulated | Net carrying | Impairment(1) | Other(2) | Gross | Accumulated | Net carrying | ||||||||||||||||||||||||||
carrying | Impairment | amount | carrying | Impairment | amount | ||||||||||||||||||||||||||||
amount | amount | ||||||||||||||||||||||||||||||||
Wholesale | ¥ | 79,249 | ¥ | (11,031 | ) | ¥ | 68,218 | ¥ | — | ¥ | 5,916 | ¥ | 85,951 | ¥ | (11,817 | ) | ¥ | 74,134 | |||||||||||||||
Other | 6,024 | — | 6,024 | (2,840 | ) | 419 | 6,549 | (2,946 | ) | 3,603 | |||||||||||||||||||||||
Total | ¥ | 85,273 | ¥ | (11,031 | ) | ¥ | 74,242 | ¥ | (2,840 | ) | ¥ | 6,335 | ¥ | 92,500 | ¥ | (14,763 | ) | ¥ | 77,737 | ||||||||||||||
-1 | For the year ended March 31, 2013, Nomura recognized an impairment loss on goodwill of ¥8,293 million within the Wholesale segment. This is due to a decline in fair value of a reporting unit in the Wholesale segment caused by the prolonged economic downturn. For the year ended March 31, 2014, Nomura recognized a impairment loss on goodwill of ¥2,840 million within Other in Nomura’s segment information. This is due to a decline in fair value of a reporting unit caused by the decrease in expected cash flows arising from the changes in the economic environment. These impairment losses were recorded within Non-interest expenses—Other in the consolidated statements of income. The fair values were determined based on a DCF method. | ||||||||||||||||||||||||||||||||
-2 | Includes currency translation adjustments. | ||||||||||||||||||||||||||||||||
The following table presents finite-lived intangible assets by type as of March 31, 2013 and 2014. | |||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2013 | March 31, 2014 | ||||||||||||||||||||||||||||||||
Gross carrying | Accumulated | Net carrying | Gross carrying | Accumulated | Net carrying | ||||||||||||||||||||||||||||
amount | amortization | amount | amount | amortization | amount | ||||||||||||||||||||||||||||
Client relationships | ¥ | 62,586 | ¥ | (30,187 | ) | ¥ | 32,399 | ¥ | 64,214 | ¥ | (35,641 | ) | ¥ | 28,573 | |||||||||||||||||||
Other | 644 | (180 | ) | 464 | 690 | (237 | ) | 453 | |||||||||||||||||||||||||
Total | ¥ | 63,230 | ¥ | (30,367 | ) | ¥ | 32,863 | ¥ | 64,904 | ¥ | (35,878 | ) | ¥ | 29,026 | |||||||||||||||||||
Amortization expenses for the years ended March 31, 2012, 2013 and 2014 were ¥19,129 million, ¥9,976 million and ¥5,423 million, respectively. Estimated amortization expenses for the next five years are shown below. | |||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ending March 31 | Estimated | ||||||||||||||||||||||||||||||||
amortization expense | |||||||||||||||||||||||||||||||||
2015 | ¥ | 5,375 | |||||||||||||||||||||||||||||||
2016 | 4,856 | ||||||||||||||||||||||||||||||||
2017 | 4,550 | ||||||||||||||||||||||||||||||||
2018 | 4,474 | ||||||||||||||||||||||||||||||||
2019 | 3,342 | ||||||||||||||||||||||||||||||||
The amounts of indefinite-lived intangibles, which primarily including trademarks, were ¥8,556 million and ¥8,380 million as of March 31, 2013 and 2014, respectively. |
Borrowings
Borrowings | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Borrowings | ' | ||||||||
Borrowings | ' | ||||||||
13. Borrowings: | |||||||||
Short-term and long-term borrowings of Nomura as of March 31, 2013 and 2014 are shown below. | |||||||||
Millions of yen | |||||||||
March 31 | |||||||||
2013 | 2014 | ||||||||
Short-term borrowings(1): | |||||||||
Commercial paper | ¥ | 296,656 | ¥ | 246,866 | |||||
Bank borrowings | 344,983 | 303,583 | |||||||
Other | 96,806 | 51,682 | |||||||
Total | ¥ | 738,445 | ¥ | 602,131 | |||||
Long-term borrowings: | |||||||||
Long-term borrowings from banks and other financial institutions(2) | ¥ | 2,631,019 | ¥ | 2,787,729 | |||||
Bonds and notes issued(3): | |||||||||
Fixed-rate obligations: | |||||||||
Japanese yen denominated | 1,303,757 | 1,432,388 | |||||||
Non-Japanese yen denominated | 1,079,275 | 1,340,495 | |||||||
Floating-rate obligations: | |||||||||
Japanese yen denominated | 390,261 | 324,279 | |||||||
Non-Japanese yen denominated | 69,286 | 85,805 | |||||||
Index / Equity-linked obligations: | |||||||||
Japanese yen denominated | 1,296,966 | 1,367,051 | |||||||
Non-Japanese yen denominated | 644,414 | 707,754 | |||||||
4,783,959 | 5,257,772 | ||||||||
Subtotal | 7,414,978 | 8,045,501 | |||||||
Trading balances of secured borrowings | 177,390 | 181,562 | |||||||
Total | ¥ | 7,592,368 | ¥ | 8,227,063 | |||||
-1 | Includes secured borrowings of ¥13,779 million as of March 31, 2013 and ¥10,715 million as of March 31, 2014. | ||||||||
-2 | Includes secured borrowings of ¥3,039 million as of March 31, 2013 and ¥139,270 million as of March 31, 2014. | ||||||||
-3 | Includes secured borrowings of ¥458,342 million as of March 31, 2013 and ¥423,994 million as of March 31, 2014. | ||||||||
Trading balances of secured borrowings | |||||||||
These are liabilities recognized when a transfer of a financial asset does not meet the criteria for sales accounting under ASC 860 and therefore the transaction is accounted for as a secured borrowing. These borrowings are part of Nomura’s trading activities intended to generate profits from the distribution of financial products secured by those financial assets. | |||||||||
Long-term borrowings consisted of the following: | |||||||||
Millions of yen | |||||||||
March 31 | |||||||||
2013 | 2014 | ||||||||
Debt issued by the Company | ¥ | 3,509,117 | ¥ | 3,823,410 | |||||
Debt issued by subsidiaries—guaranteed by the Company | 2,207,268 | 2,372,412 | |||||||
Debt issued by subsidiaries—not guaranteed by the Company(1) | 1,875,983 | 2,031,241 | |||||||
Total | ¥ | 7,592,368 | ¥ | 8,227,063 | |||||
-1 | Includes trading balances of secured borrowings. | ||||||||
As of March 31, 2013, fixed-rate long-term borrowings mature between 2013 and 2042 at interest rates ranging from 0.00% to 11.00%. Floating-rate obligations, which are generally based on LIBOR, mature between 2013 and 2052 at interest rates ranging from 0.00% to 5.29%. Index / Equity-linked obligations mature between 2013 and 2043 at interest rates ranging from 0.00% to 42.50%. | |||||||||
As of March 31, 2014, fixed-rate long-term borrowings mature between 2014 and 2043 at interest rates ranging from 0.00% to 12.66%. Floating-rate obligations, which are generally based on LIBOR, mature between 2014 and 2052 at interest rates ranging from 0.00% to 6.18%. Index / Equity-linked obligations mature between 2014 and 2044 at interest rates ranging from 0.00% to 28.50%. | |||||||||
Certain borrowing agreements of subsidiaries contain provisions whereby the borrowings are redeemable at the option of the borrower at specified dates prior to maturity and include various equity-linked or other index-linked instruments. | |||||||||
Nomura enters into swap agreements to manage its exposure to interest rates and foreign exchange rates. Principally, debt securities and notes issued are effectively converted to LIBOR-based floating rate obligations through such swap agreements. The carrying value of the long-term borrowings includes adjustments to reflect fair value hedges. | |||||||||
Following table presents the effective weighted-average interest rates of borrowings, including the effect of fair value hedges as of March 31, 2013 and 2014. | |||||||||
March 31 | |||||||||
2013 | 2014 | ||||||||
Short-term borrowings | 0.61 | % | 0.4 | % | |||||
Long-term borrowings | 1.71 | % | 1.69 | % | |||||
Fixed-rate obligations | 2.39 | % | 2.34 | % | |||||
Floating-rate obligations | 0.91 | % | 0.86 | % | |||||
Index / Equity-linked obligations | 1.72 | % | 1.72 | % | |||||
Maturities of long-term borrowings | |||||||||
The following table presents the aggregate annual maturities of long-term borrowings, including adjustments related to fair value hedges and liabilities measured at fair value, as of March 31, 2014: | |||||||||
Year ending March 31 | Millions of yen | ||||||||
2015 | ¥ | 1,435,789 | |||||||
2016 | 1,123,769 | ||||||||
2017 | 894,524 | ||||||||
2018 | 847,564 | ||||||||
2019 | 1,015,285 | ||||||||
2020 and thereafter | 2,728,570 | ||||||||
Subtotal | 8,045,501 | ||||||||
Trading balances of secured borrowings | 181,562 | ||||||||
Total | ¥ | 8,227,063 | |||||||
Borrowing facilities | |||||||||
As of March 31, 2013 and 2014, Nomura had unutilized borrowing facilities of ¥77,935 million and ¥65,000 million, respectively. The terms for these unutilized borrowing facilities do not significantly differ from existing borrowings. Nomura has structured facilities to ensure that the maturity dates of these facilities are distributed evenly throughout the year in order to prevent excessive maturities of facilities in any given period. These facilities are subject to customary lending conditions and covenants. | |||||||||
Subordinated borrowings | |||||||||
As of March 31, 2013 and 2014, subordinated borrowings were ¥562,137 million and ¥509,210 million, respectively. |
Earnings_per_share
Earnings per share | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Earnings per share | ' | ||||||||||||
Earnings per share | ' | ||||||||||||
14. Earnings per share: | |||||||||||||
Basic and diluted earnings per share (“EPS”) are presented on the face of the consolidated statements of income. Basic EPS is calculated by dividing net income attributable to NHI shareholders by the weighted average number of common shares outstanding during the year. The calculation of diluted EPS is similar to basic EPS, except that the weighted average number of common shares is adjusted to reflect all dilutive instruments where potential common shares are deliverable during the year. In addition, net income attributable to NHI shareholders is adjusted for any change in income or loss that would result from the assumed conversion of dilutive instruments issued by subsidiaries and affiliates. | |||||||||||||
A reconciliation of the amounts and the numbers used in the calculation of net income attributable to NHI shareholders per share (basic and diluted) is as follows. | |||||||||||||
Millions of yen | |||||||||||||
except per share data presented in yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Basic— | |||||||||||||
Net income attributable to NHI shareholders | ¥ | 11,583 | ¥ | 107,234 | ¥ | 213,591 | |||||||
Weighted average number of shares outstanding | 3,643,481,439 | 3,692,795,953 | 3,709,830,989 | ||||||||||
Net income attributable to NHI shareholders per share | ¥ | 3.18 | ¥ | 29.04 | ¥ | 57.57 | |||||||
Diluted— | |||||||||||||
Net income attributable to NHI shareholders | ¥ | 11,561 | ¥ | 107,181 | ¥ | 213,561 | |||||||
Weighted average number of shares outstanding | 3,680,124,235 | 3,777,360,671 | 3,826,496,369 | ||||||||||
Net income attributable to NHI shareholders per share | ¥ | 3.14 | ¥ | 28.37 | ¥ | 55.81 | |||||||
Net income attributable to NHI shareholders was adjusted to reflect the decline in Nomura’s equity share of earnings of subsidiaries and affiliates for the years ended March 31, 2012, 2013 and 2014 arising from options to purchase common shares issued by subsidiaries and affiliates. The weighted average number of shares used in the calculation of diluted EPS reflects the increase in potential issuance of common shares arising from stock-based compensation plans by the Company, which would have minimal impact on EPS for the years ended March 31, 2012, 2013 and 2014. | |||||||||||||
Antidilutive stock options to purchase 24,840,700, 10,880,700 and 8,967,300 common shares were not included in the computation of diluted EPS for the years ended March 31, 2012, 2013 and 2014, respectively. | |||||||||||||
Subsequent Events | |||||||||||||
The Company conducted a share buyback from May 19, 2014 to May 30, 2014. See Note 20 “Shareholders’ equity” for further information. | |||||||||||||
On May 15, 2014, the Company adopted a resolution to issue SARs pursuant to the SAR awards. See Note 16 “Deferred compensation plans” for further information. |
Employee_benefit_plans
Employee benefit plans | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Employee benefit plans | ' | ||||||||||||||||
Employee benefit plans | ' | ||||||||||||||||
15. Employee benefit plans: | |||||||||||||||||
Nomura provides various pension plans and other post-employment benefits which cover certain eligible employees worldwide. In addition, Nomura provides health care benefits to certain active and retired employees through its Nomura Securities Health Insurance Society (“NSHIS”). | |||||||||||||||||
Defined benefit pension plans— | |||||||||||||||||
The Company and certain subsidiaries in Japan (the “Japanese entities”) have contributory funded benefit pension plans for eligible employees. The benefits are paid as annuity payments subsequent to retirement or as lump-sum payments at the time of retirement based on the combination of years of service, age at retirement and employee’s choice. The benefits under the plans are calculated based upon position, years of service and reason for retirement. In addition to the plans described above, certain Japanese entities also have unfunded lump-sum payment plans. Under these plans, employees with at least two years of service are generally entitled to lump-sum payments upon termination of employment. The benefits under the plans are calculated based upon position, years of service and the reason for retirement. Nomura’s funding policy is to contribute annually the amount necessary to satisfy local funding standards. In December 2008, certain contributory funded benefit pension plans and unfunded lump-sum payment plans were amended and “cash balance pension plans” were introduced. Participants receive an annual benefit in their cash balance pension plan account, which is computed based on compensation of the participants, adjusted for changes in Japanese government bond rates. This plan amendment contributed to a reduction in the benefit obligations of the subsidiaries. | |||||||||||||||||
Certain overseas subsidiaries have various local defined benefit plans covering certain employees. Nomura recognized an asset for pension benefits for these plans amounting to ¥9,067 million and ¥10,441 million as of March 31, 2013 and 2014, respectively. | |||||||||||||||||
Net periodic benefit cost | |||||||||||||||||
The net periodic benefit cost of the defined benefit plans includes the following components. Nomura’s measurement date is March 31 for its defined benefit plans for Japanese entities. | |||||||||||||||||
Japanese entities’ plans— | |||||||||||||||||
Millions of yen | |||||||||||||||||
Year ended March 31 | |||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||
Service cost | ¥ | 9,016 | ¥ | 9,322 | ¥ | 8,438 | |||||||||||
Interest cost | 4,649 | 4,302 | 3,441 | ||||||||||||||
Expected return on plan assets | (3,262 | ) | (4,072 | ) | (4,971 | ) | |||||||||||
Amortization of net actuarial losses | 3,687 | 3,630 | 2,767 | ||||||||||||||
Amortization of prior service cost | (1,479 | ) | (1,545 | ) | (1,149 | ) | |||||||||||
Net periodic benefit cost | ¥ | 12,611 | ¥ | 11,637 | ¥ | 8,526 | |||||||||||
The prior service cost is amortized on a straight-line basis over the average remaining service period of active participants. Gains and losses in excess of 10% of the greater of the benefit obligation or the fair value of plan assets are amortized over the average remaining service period (15 years) of active participants. | |||||||||||||||||
Benefit obligations and funded status | |||||||||||||||||
The following table presents a reconciliation of the changes in projected benefit obligation (“PBO”) and the fair value of plan assets, as well as a summary of the funded status. | |||||||||||||||||
Japanese entities’ plans— | |||||||||||||||||
Millions of yen | |||||||||||||||||
As of or for the year ended March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
Change in projected benefit obligation: | |||||||||||||||||
Projected benefit obligation at beginning of year | ¥ | 242,490 | ¥ | 234,399 | |||||||||||||
Service cost | 9,322 | 8,438 | |||||||||||||||
Interest cost | 4,302 | 3,441 | |||||||||||||||
Actuarial gain | 14,874 | (2,697 | ) | ||||||||||||||
Benefits paid | (9,805 | ) | (9,708 | ) | |||||||||||||
Acquisition, divestitures and other | (26,784 | )(1) | 12 | ||||||||||||||
Projected benefit obligation at end of year | ¥ | 234,399 | ¥ | 233,885 | |||||||||||||
Change in plan assets: | |||||||||||||||||
Fair value of plan assets at beginning of year | ¥ | 159,652 | ¥ | 191,674 | |||||||||||||
Actual return on plan assets | 20,915 | 14,317 | |||||||||||||||
Employer contributions | 31,083 | 23,278 | |||||||||||||||
Benefits paid | (8,362 | ) | (8,396 | ) | |||||||||||||
Acquisition and divestitures | (11,614 | )(1) | — | ||||||||||||||
Fair value of plan assets at end of year | ¥ | 191,674 | ¥ | 220,873 | |||||||||||||
Funded status at end of year | (42,725 | ) | (13,012 | ) | |||||||||||||
Amounts recognized in the consolidated balance sheets | ¥ | (42,725 | ) | ¥ | (13,012 | ) | |||||||||||
-1 | Decreased mainly because of a deconsolidation during the period. | ||||||||||||||||
The accumulated benefit obligation (“ABO”) was ¥231,321 million and ¥233,885 million as of March 31, 2013 and 2014, respectively. | |||||||||||||||||
PBO, ABO, and fair value of plan assets for pension plans with ABO and PBO in excess of plan assets as of March 31, 2013 and 2014 are set forth in the tables below. | |||||||||||||||||
Japanese entities’ plans— | |||||||||||||||||
Millions of yen | |||||||||||||||||
March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
Plans with ABO in excess of plan assets: | |||||||||||||||||
PBO | ¥ | 234,399 | ¥ | 27,160 | |||||||||||||
ABO | 231,321 | 27,160 | |||||||||||||||
Fair value of plan assets | 191,674 | — | |||||||||||||||
Plans with PBO in excess of plan assets: | |||||||||||||||||
PBO | ¥ | 234,399 | ¥ | 27,160 | |||||||||||||
ABO | 231,321 | 27,160 | |||||||||||||||
Fair value of plan assets | 191,674 | — | |||||||||||||||
Amounts in accumulated other comprehensive income, pre-tax, that have not yet been recognized as components of net periodic benefit cost consist of as follows. | |||||||||||||||||
Japanese entities’ plans— | |||||||||||||||||
Millions of yen | |||||||||||||||||
For the year ended | |||||||||||||||||
March 31, 2014 | |||||||||||||||||
Net actuarial loss | ¥ | 48,028 | |||||||||||||||
Net prior service cost | (10,649 | ) | |||||||||||||||
Total | ¥ | 37,379 | |||||||||||||||
Amounts in accumulated other comprehensive income, pre-tax, expected to be recognized as components of net periodic benefit cost over the next fiscal year are as follows. | |||||||||||||||||
Japanese entities’ plans— | |||||||||||||||||
Millions of yen | |||||||||||||||||
For the year ending | |||||||||||||||||
March 31, 2015 | |||||||||||||||||
Net actuarial loss | ¥ | 2,191 | |||||||||||||||
Net prior service cost | (1,165 | ) | |||||||||||||||
Total | ¥ | 1,026 | |||||||||||||||
Assumptions | |||||||||||||||||
The following table presents the weighted-average assumptions used to determine projected benefit obligations at year end. | |||||||||||||||||
Japanese entities’ plans— | |||||||||||||||||
March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
Discount rate | 1.5 | % | 1.4 | % | |||||||||||||
Rate of increase in compensation levels | 2.5 | % | 2.5 | % | |||||||||||||
The following table presents the weighted-average assumptions used to determine Japanese entities’ plans net periodic benefit costs for the year. | |||||||||||||||||
Year ended March 31 | |||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||
Discount rate | 1.8 | % | 1.5 | % | 1.4 | % | |||||||||||
Rate of increase in compensation levels | 2.8 | % | 2.5 | % | 2.5 | % | |||||||||||
Expected long-term rate of return on plan assets | 2.6 | % | 2.6 | % | 2.6 | % | |||||||||||
Generally, Nomura determines the discount rates for its defined benefit plans by referencing indices for long-term, high-quality bonds and ensuring that the discount rate does not exceed the yield reported for those indices after adjustment for the duration of the plans’ liabilities. | |||||||||||||||||
Nomura uses the expected long-term rate of return on plan assets to compute the expected return on assets. Nomura’s approach in determining the long-term rate of return on plan assets is primarily based on historical financial market relationships that have existed over time with the presumption that this trend will generally remain constant in the future. | |||||||||||||||||
Plan assets | |||||||||||||||||
Plan assets are managed with an objective to generate sufficient long-term value in order to enable future pension payouts. While targeting a long-term rate of return on plan assets, Nomura aims to minimize short-term volatility by managing the portfolio through diversifying risk. Based on this portfolio policy, the plan assets are invested diversely. | |||||||||||||||||
The plan assets of domestic plans target to invest 17% in equities (including private equity), 45% in debt securities, 20% in life insurance company general accounts, and 18% in other investments. Investment allocations are generally reviewed and revised at the time of the actual revaluation that takes place every five years or when there is a significant change in prerequisites for the portfolio. | |||||||||||||||||
The following tables present information about the fair value of plan assets as of March 31, 2013 and March 31 2014 within the fair value hierarchy. | |||||||||||||||||
For details of the levels of inputs used to measure the fair value of plan assets, see Note 2 “Fair value measurements”. | |||||||||||||||||
Japanese entities’ plans— | |||||||||||||||||
Millions of yen | |||||||||||||||||
March 31, 2013 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Balance as of | ||||||||||||||
March 31, 2013 | |||||||||||||||||
Pension plan assets: | |||||||||||||||||
Equities | ¥ | 30,568 | ¥ | — | ¥ | — | ¥ | 30,568 | |||||||||
Private equity | — | — | 12,323 | 12,323 | |||||||||||||
Japanese government securities | 74,243 | — | — | 74,243 | |||||||||||||
Bank and corporate debt securities | — | 3,667 | — | 3,667 | |||||||||||||
Investment trust funds and other(1) | — | 19,586 | 15,035 | 34,621 | |||||||||||||
Life insurance company general accounts | — | 26,448 | — | 26,448 | |||||||||||||
Other assets | — | 9,804 | — | 9,804 | |||||||||||||
Total | ¥ | 104,811 | ¥ | 59,505 | ¥ | 27,358 | ¥ | 191,674 | |||||||||
Millions of yen | |||||||||||||||||
March 31, 2014 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Balance as of | ||||||||||||||
March 31, 2014 | |||||||||||||||||
Pension plan assets: | |||||||||||||||||
Equities | ¥ | 26,730 | ¥ | — | ¥ | — | ¥ | 26,730 | |||||||||
Private equity | — | — | 12,235 | 12,235 | |||||||||||||
Japanese government securities | 62,088 | — | — | 62,088 | |||||||||||||
Bank and corporate debt securities | 1,842 | 2,312 | — | 4,154 | |||||||||||||
Investment trust funds and other(1) | — | 19,383 | 11,820 | 31,203 | |||||||||||||
Life insurance company general accounts | — | 42,735 | — | 42,735 | |||||||||||||
Other assets | — | 41,728 | — | 41,728 | |||||||||||||
Total | ¥ | 90,660 | ¥ | 106,158 | ¥ | 24,055 | ¥ | 220,873 | |||||||||
-1 | Includes hedge funds and real estate funds. | ||||||||||||||||
The fair value of the non-Japan plan assets as of March 31, 2013 was ¥21 million, ¥25,296 million and ¥6,906 million for Level 1, Level 2 and Level 3, respectively. The fair value of the non-Japan plan assets as of March 31, 2014 was ¥107 million, ¥32,953 million and ¥6,535 million for Level 1, Level 2 and Level 3, respectively. | |||||||||||||||||
Level 1 plan assets primarily include equity securities and government securities. Unadjusted quoted prices in active markets for identical assets that Nomura has the ability to access at the measurement date are classified as Level 1. Level 2 plan assets primarily include investment trust funds, corporate debt securities and investments in life insurance company’s general accounts. Investment trust funds are valued at their net asset values as calculated by the sponsor of the funds. Investments in life insurance company’s general accounts are valued at conversion value. | |||||||||||||||||
The following tables present information about the plan assets for which Nomura has utilized significant Level 3 valuation inputs to estimate fair value. | |||||||||||||||||
Japanese entities’ plans— | |||||||||||||||||
Millions of yen | |||||||||||||||||
Year ended March 31, 2013 | |||||||||||||||||
Balance | Unrealized | Purchases / | Balance | ||||||||||||||
as of | and realized | sales and | as of | ||||||||||||||
April 1, | gains / loss | other | March 31, | ||||||||||||||
2012 | settlement | 2013 | |||||||||||||||
Private equity | ¥ | 9,802 | ¥ | 2,479 | ¥ | 42 | ¥ | 12,323 | |||||||||
Investment trust funds and other | 12,434 | 1,131 | 1,470 | 15,035 | |||||||||||||
Total | ¥ | 22,236 | ¥ | 3,610 | ¥ | 1,512 | ¥ | 27,358 | |||||||||
Millions of yen | |||||||||||||||||
Year ended March 31, 2014 | |||||||||||||||||
Balance | Unrealized | Purchases / | Balance | ||||||||||||||
as of | and realized | sales and | as of | ||||||||||||||
April 1, | gains / loss | other | March 31, | ||||||||||||||
2013 | settlement | 2014 | |||||||||||||||
Private equity | ¥ | 12,323 | ¥ | 1,550 | ¥ | (1,638 | ) | ¥ | 12,235 | ||||||||
Investment trust funds and other | 15,035 | 33 | (3,248 | ) | 11,820 | ||||||||||||
Total | ¥ | 27,358 | ¥ | 1,583 | ¥ | (4,886 | ) | ¥ | 24,055 | ||||||||
The fair value of Level 3 non-Japan plan assets, consisting of real estate funds and annuities, was ¥6,906 million and ¥6,535 million as of March 31, 2013 and 2014, respectively. The amount of sales of Level 3 assets was ¥2,185 million during the year ended March 31, 2014. The amounts of gains and losses, purchases and sales other than above, transfers between Level 1 or Level 2 and Level 3 relating to these assets during the years ended March 31, 2013 and 2014 were not significant. | |||||||||||||||||
Cash Flows | |||||||||||||||||
Nomura expects to contribute approximately ¥7,455 million to Japanese entities’ plans in the year ending March 31, 2015 based upon Nomura’s funding policy to contribute annually the amount necessary to satisfy local funding standards. | |||||||||||||||||
Expected benefit payments for the next five fiscal years and in aggregate for the five fiscal years thereafter are as follows. | |||||||||||||||||
Japanese entities’ plans— | |||||||||||||||||
Year ending March 31 | Millions of yen | ||||||||||||||||
2015 | ¥ | 10,277 | |||||||||||||||
2016 | 10,804 | ||||||||||||||||
2017 | 11,391 | ||||||||||||||||
2018 | 11,724 | ||||||||||||||||
2019 | 12,037 | ||||||||||||||||
2020-2024 | 57,548 | ||||||||||||||||
Defined contribution pension plans— | |||||||||||||||||
In addition to defined benefit pension plans, the Company, NSC and other Japanese and non-Japanese subsidiaries have defined contribution pension plans. | |||||||||||||||||
Nomura contributed ¥3,741 million, ¥3,600 million and ¥3,425 million to defined contribution pension plans for Japanese entities’ plans for the years ended March 31, 2012, 2013 and 2014, respectively. | |||||||||||||||||
The contributions to overseas defined contribution pension plans were ¥7,882 million, ¥7,448 million and ¥8,667 million for the years ended March 31, 2012, 2013 and 2014, respectively. | |||||||||||||||||
Health care benefits— | |||||||||||||||||
The Company and certain subsidiaries provide certain health care benefits to both active and retired employees through NSHIS. The Company and certain subsidiaries also sponsor certain health care benefits to retired employees (“Special Plan”) and who participate in the Special Plan on a pay-all basis, i.e., by requiring a retiree contribution based on the estimated per capita cost of coverage. The Special Plan is a multi-employer post-retirement plan because it is jointly administered by NSHIS and the Japanese government, and the funded status of it is not computed separately. Therefore, although the Company and certain subsidiaries contribute some portion of the cost of retiree health care benefits not covered through retiree contributions, the Company and certain subsidiaries do not reserve for future costs. The health care benefit costs, which are equivalent to the required contribution, amounted to ¥7,614 million, ¥7,434 million and ¥6,834 million for the years ended March 31, 2012, 2013 and 2014, respectively. |
Deferred_compensation_plans
Deferred compensation plans | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Deferred compensation plans | ' | ||||||||||||||||
Deferred compensation plans | ' | ||||||||||||||||
16. Deferred compensation plans: | |||||||||||||||||
Nomura issues compensation awards to senior management and other employees, certain of which are linked to the Company’s share price, in order to retain and motivate key staff. | |||||||||||||||||
These stock-based compensation awards comprise Plan A and Plan B Stock Acquisition Rights (“SARs”), Notional Stock Units (“NSUs”), Collared Notional Stock Units (“CSUs”) and Multi-Year Performance Deferral Awards (“MYPD awards”). SAR Plan A awards are effectively awards of stock options while SAR Plan B awards, NSUs and CSUs are analogous to awards of restricted stock. MYPD awards are performance-based incentive awards for senior management linked to the profitability of Nomura. The Company also issues other deferred compensation awards, namely Notional Index Units (“NIUs”) which are linked to world stock index quoted by Morgan Stanley Capital International. | |||||||||||||||||
Certain new deferred awards granted since May 2013 include “Full Career Retirement” provisions which permit recipients of the awards to continue to vest in the awards upon voluntary termination if certain criteria based on corporate title and length of service within Nomura are met. | |||||||||||||||||
SAR Plan A awards | |||||||||||||||||
The Company issues SAR Plan A awards over the Company’s common stock pursuant to several stock option plans which vest and become exercisable two years after the grant date, and expire approximately seven years after the grant date, subject to forfeiture on termination of employment. The exercise price generally is not less than the fair value of the Company’s common stock on grant date. | |||||||||||||||||
The fair value of these stock options as of grant date is estimated using a Black-Scholes option-pricing model and using the following assumptions: | |||||||||||||||||
• | Expected volatilities based on historical volatility of the Company’s common stock; | ||||||||||||||||
• | Expected dividend yield based on the current dividend rate at the time of grant; | ||||||||||||||||
• | Expected lives of the awards determined based on historical experience; and | ||||||||||||||||
• | The risk-free interest rate-estimate based on yen swap rate with a maturity equal to the expected lives of options. | ||||||||||||||||
The weighted-average grant date fair values of options granted during the years ended March 31, 2012, 2013 and 2014 were ¥48, ¥78 and ¥272 per share, respectively. The weighted-average assumptions used in each of the years were as follows: | |||||||||||||||||
Year ended March 31 | |||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||
Expected volatility | 41.78 | % | 43.11 | % | 45.97 | % | |||||||||||
Expected dividends yield | 3.31 | % | 2.12 | % | 1 | % | |||||||||||
Expected lives (in years) | 6 | 7 | 7 | ||||||||||||||
Risk-free interest rate | 0.63 | % | 0.45 | % | 0.51 | % | |||||||||||
The following table presents activity relating to SAR Plan A awards for the year ended March 31, 2014: | |||||||||||||||||
Outstanding | Weighted-average | Weighted-average | |||||||||||||||
(number of shares) | exercise price | remaining life | |||||||||||||||
until expiry | |||||||||||||||||
(years) | |||||||||||||||||
Outstanding as of March 31, 2013 | 16,545,500 | ¥ | 848 | 3.8 | |||||||||||||
Granted | 2,711,000 | 838 | |||||||||||||||
Exercised | (1,537,700 | ) | 410 | ||||||||||||||
Forfeited | (32,300 | ) | 416 | ||||||||||||||
Expired | (1,727,000 | ) | 1,741 | ||||||||||||||
Outstanding as of March 31, 2014 | 15,959,500 | ¥ | 791 | 3.8 | |||||||||||||
Exercisable as of March 31, 2014 | 10,414,600 | ¥ | 913 | 2.5 | |||||||||||||
No SAR Plan A awards were exercised during the years ended March 31, 2012. The total intrinsic value of SAR Plan A awards exercised during the years ended March 31, 2013 and 2014 were ¥2 million and ¥591 million, respectively. | |||||||||||||||||
The aggregate intrinsic values of SAR Plan A awards outstanding and exercisable as of March 31, 2014 were ¥2,170 million and ¥1,138 million, respectively. | |||||||||||||||||
As of March 31, 2014, there was ¥648 million of total unrecognized compensation cost related to SAR Plan A awards. The cost is expected to be recognized over a weighted average period of 1.5 years. The total fair values of awards vested during the years ended March 31, 2013 and 2014 were ¥0 million and ¥1,403 million, respectively. | |||||||||||||||||
SAR Plan B awards | |||||||||||||||||
The Company issues SAR Plan B awards over the Company’s common stock pursuant to several stock unit plans which vest and become exercisable approximately from one to five years after the grant date, and expire approximately from six to ten years after the grant date. The exercise price is a nominal ¥1 per share. | |||||||||||||||||
The following table presents activity relating to SAR Plan B awards for the year ended March 31, 2014: | |||||||||||||||||
Outstanding | Weighted-Average | Weighted-average | |||||||||||||||
(number of shares) | grant date fair | remaining life | |||||||||||||||
value per share | until expiry | ||||||||||||||||
(years) | |||||||||||||||||
Outstanding as of March 31, 2013 | 117,543,400 | ¥ | 419 | 5.7 | |||||||||||||
Granted | 21,258,700 | 782 | |||||||||||||||
Exercised | (43,152,100 | ) | 477 | ||||||||||||||
Forfeited | (3,013,000 | ) | 437 | ||||||||||||||
Expired | (15,900 | ) | 2,471 | ||||||||||||||
Outstanding as of March 31, 2014 | 92,621,100 | ¥ | 474 | 5.3 | |||||||||||||
Exercisable as of March 31, 2014 | 15,553,400 | ¥ | 587 | 3.5 | |||||||||||||
The weighted-average grant date fair value per share for the years ended March 31, 2012 and 2013 were ¥397 and ¥298, respectively. | |||||||||||||||||
The total intrinsic values of SAR Plan B awards exercised during the years ended March 31, 2012, 2013 and 2014 were ¥3,284 million, ¥15,299 million and ¥33,951 million, respectively. | |||||||||||||||||
The aggregate intrinsic values of SAR Plan B awards outstanding and exercisable as of March 31, 2014 were ¥61,223 million and ¥10,247 million, respectively. | |||||||||||||||||
As of March 31, 2014, total unrecognized compensation cost relating to SAR Plan B awards was ¥7,084 million. The cost is expected to be recognized over a weighted average period of 2.0 years. The total fair values of awards vested during the years ended March 31, 2012, 2013 and 2014 were ¥3,868 million, ¥3,624 million and ¥34,943 million, respectively. | |||||||||||||||||
Total compensation expense recognized within Non-interest expenses—Compensation and benefits in the consolidated statements of income relating to SAR Plan A and SAR Plan B awards for the years ended March 31, 2012, 2013 and 2014 was ¥26,869 million, ¥19,091 million and ¥19,458 million, respectively. | |||||||||||||||||
Cash received from the exercise of SAR Plan A and SAR Plan B awards during the year ended March 31, 2014 was ¥674 million and the tax benefit realized from exercise of these awards was ¥1,243 million. | |||||||||||||||||
NSU and CSU awards | |||||||||||||||||
NSUs and CSUs are cash-settled awards linked to the price of the Company’s common stock which have graded vesting over three to five years from grant date. NSUs replicate the key features of SAR Plan B awards described above but are settled in cash rather than the Company’s common stock. CSUs are similar to NSUs but exposure of the employee to movements in the price of the Company’s common stock is subject to a cap and floor. | |||||||||||||||||
The fair value of NSUs and CSUs are determined using the price of the Company’s common stock. | |||||||||||||||||
The following table presents activity related to NSUs and CSUs for the year ended March 31, 2014: | |||||||||||||||||
NSUs | CSUs | ||||||||||||||||
Outstanding | Stock | Outstanding | Stock | ||||||||||||||
(number of units) | price | (number of units) | price | ||||||||||||||
Outstanding as of March 31, 2013 | 62,531,576 | ¥ | 583 | 70,736,824 | ¥ | 316 | |||||||||||
Granted | 22,580,418 | 733 | (1) | 23,554,780 | 824 | (1) | |||||||||||
Vested | (30,653,904 | ) | 752 | (2) | (41,108,841 | ) | 435 | (2) | |||||||||
Forfeited | (2,762,879 | ) | (2,484,835 | ) | |||||||||||||
Outstanding as of March 31, 2014 | 51,695,211 | ¥ | 652 | (3) | 50,697,928 | ¥ | 429 | (3) | |||||||||
-1 | Weighted-average price of the Company’s common stock used to determine number of awards granted | ||||||||||||||||
-2 | Weighted-average price of the Company’s common stock used to determine the final cash settlement amount of the awards | ||||||||||||||||
-3 | The price of the Company’s common stock used to remeasure the fair value of the remaining outstanding unvested awards as of March 31, 2014 | ||||||||||||||||
Total compensation expense recognized within Non-interest expenses—Compensation and benefits in the consolidated statements of income relating to NSUs and CSUs for the years ended March 31, 2012, 2013 and 2014 were ¥27,257 million, ¥33,286 million and ¥37,396 million, respectively. Total unrecognized compensation cost relating to NSU, based on the fair value of these awards as of March 31, 2014 was ¥4,858 million, which will be recognized through the consolidated statements of income over a remaining weighted-average period of 2.5 years. Total unrecognized compensation cost relating to CSU, based on the fair value of these awards as of March 31, 2014 was ¥6,089 million, which will be recognized through the consolidated statements of income over a remaining weighted-average period of 2.8 years. | |||||||||||||||||
The total fair value of shares relating to NSUs vested during the years ended March 31, 2012, 2013 and 2014 were ¥10,100 million, ¥14,045 million and ¥23,066 million, respectively. | |||||||||||||||||
The total fair value of shares relating to CSUs vested during the years ended March 31, 2012, 2013 and 2014 were ¥6,272 million, ¥10,959 million and ¥17,868 million, respectively. | |||||||||||||||||
MYPD awards | |||||||||||||||||
During the year ended March 2013, Nomura issued MYPD awards, which are new performance-based incentive awards for senior management and other senior employees. Under the terms of the award, employees are granted notional performance units which are linked to the profitability of Nomura and specific business segments over a cumulative two year performance period. At the end of the performance period, depending on the extent to which profitability targets are met, the notional performance units are converted into a pre-determined amount of SAR Plan B awards or NSUs. | |||||||||||||||||
The MYPD awards are classified as equity awards because these are expected to result in the issuance of SARs. Since these awards contain both performances and service conditions, total compensation cost is recognized over the requisite service period of the employee who receives the award, to the extent it is deemed probable that the performance condition will be met. | |||||||||||||||||
The following table presents activity relating to MYPD awards for the year ended March 31, 2014: | |||||||||||||||||
Outstanding | Weighted Average | ||||||||||||||||
(number of shares)(1) | grant date fair | ||||||||||||||||
value per share | |||||||||||||||||
Outstanding as of March 31, 2013 | 27,154,950 | ¥ | 298 | ||||||||||||||
Forfeited | (1,388,700 | ) | 298 | ||||||||||||||
Outstanding as of March 31, 2014 | 25,766,250 | ¥ | 298 | ||||||||||||||
-1 | Based on the probable number of SARs which will be issued on conversion of notional performance units at the end of the performance period. | ||||||||||||||||
Total compensation expense recognized within Non-interest expenses—Compensation and benefits in the consolidated statements of income relating to MYPD awards, based on the current estimate of the extent to which it is probable that the performance conditions within the awards will be met for the year ended March 31, 2013 and 2014 were ¥2,864 million and ¥1,633 million. As of March 31, 2014, total unrecognized compensation cost relating to MYPD awards was ¥3,186 million. This cost is expected to be recognized over a weighted average period of 2.6 years. | |||||||||||||||||
Total related tax benefits recognized in the consolidated statements of income for compensation expenses relating to SAR A plan awards, SAR B plan awards and MYPD for the years ended March 31, 2012, 2013 and 2014 was ¥1,092 million, ¥1,081 million and ¥1,992 million, respectively. The dilutive effect of outstanding compensation plans is included in the weighted average number of shares outstanding used in diluted EPS computations. | |||||||||||||||||
NIU awards | |||||||||||||||||
In addition to the stock-based compensation awards described above, Nomura also grants NIUs to certain senior management and employees. NIUs are cash-settled awards linked to a world stock index quoted by Morgan Stanley Capital International which have graded vesting over three to five years from the grant date. | |||||||||||||||||
The fair value of NIUs is determined using the price of the index. | |||||||||||||||||
The following table presents activity relating to NIUs for the year ended March 31, 2014: | |||||||||||||||||
Outstanding | Index price(1) | ||||||||||||||||
(number of units) | |||||||||||||||||
Outstanding as of March 31, 2013 | 49,760,941 | $ | 3,674 | ||||||||||||||
Granted | 25,208,515 | 3,841 | (2) | ||||||||||||||
Vested | (35,713,017 | ) | 4,097 | (3) | |||||||||||||
Forfeited | (2,153,860 | ) | |||||||||||||||
Outstanding as of March 31, 2014 | 37,102,579 | $ | 4,354 | (4) | |||||||||||||
-1 | The price of each unit is determined using 1/1000th of the index price. | ||||||||||||||||
-2 | Weighted-average index price used to determine number of awards granted. | ||||||||||||||||
-3 | Weighted-average index price used to determine the final cash settlement amount of the awards. | ||||||||||||||||
-4 | Index price used to remeasure the total fair value of the remaining outstanding unvested awards as of March 31, 2014. | ||||||||||||||||
Total compensation expense recognized within Non-interest expenses—Compensation and benefits in the consolidated statements of income relating to NIUs for the year ended March 31, 2012, 2013 and March 31, 2014 were ¥8,819 million, ¥8,266 million and ¥15,388 million respectively. Total unrecognized compensation cost, based on the fair value of these awards as of March 31, 2014 was ¥4,130 million which will be recognized through the consolidated statements of income over a remaining weighted-average period of 2.7 years. | |||||||||||||||||
The total fair value of shares relating to NIUs vested during the years ended March 31, 2012, 2013 and 2014 were ¥4,619 million, ¥8,224 million and ¥14,651 million, respectively. | |||||||||||||||||
Total tax benefits recognized in the consolidated statements of income for compensation expense relating to NSUs, CSUs and NIUs for the years ended March 31, 2012, 2013 and 2014 were ¥2,220 million, ¥1,773 million and ¥1,767 million, respectively. | |||||||||||||||||
Subsequent events | |||||||||||||||||
On May 15, 2014, the Company adopted a resolution to issue SARs to directors, executive officers and employees, etc of the Company and its subsidiaries and has issued SARs on June 5, 2014. The total number of SARs issued was 443,399 for the acquisition of 44,339,900 shares. The exercise price is a nominal ¥1 per share. The vesting period of the SARs range from approximately one to three years from grant date and can be exercised up to five years after vesting date. | |||||||||||||||||
In May 2014, Nomura also granted the issuance of NSUs, CSUs and NIUs to certain senior management and employees. These awards have a total grant date fair value of ¥40 billion and a vesting period of up to three years. |
Restructuring_initiatives
Restructuring initiatives | 12 Months Ended |
Mar. 31, 2014 | |
Restructuring initiatives | ' |
Restructuring initiatives | ' |
17. Restructuring initiatives: | |
During the fiscal year ended March 31, 2012, in anticipation of an ongoing environment of economic uncertainty, Nomura undertook a group-wide restructuring initiative primarily focusing on its Wholesale Division to improve profitability, select accretive businesses aligned with market conditions and to allocate business resources to growth regions accordingly. This initiative completed during the year ended March 31, 2014. | |
As a result of this initial restructuring initiative, Nomura recognized ¥372 million of the restructuring costs in the consolidated statements of income during the year ended March 31, 2013 and, a cumulative total of ¥12,769 million of restructuring costs as of March 31, 2014. These restructuring costs were primarily reported within Non-interest expense—Compensation and benefits in the consolidated statements of income. Outstanding liabilities relating to these restructuring costs including currency translation adjustments were ¥2,148 million as of March 31, 2013 and were generally settled during the year ended March 31, 2014. | |
In addition to the restructuring initiative described above, during the second quarter of the year ended March 31, 2013. Nomura undertook a further restructuring initiative focusing on its Wholesale Division to revise business models and increase business efficiencies. This restructuring initiative was largely completed during the year ended March 31, 2014 and therefore the amount of further restructuring cost to be incurred going forward is not expected to be material. | |
As a result of this restructuring initiative, Nomura recognized ¥15,588 million and ¥2,650 million of the restructuring costs in the consolidated statements of income during the year ended March 31, 2013 and 2014 respectively and a cumulative total of, ¥18,238 million of restructuring costs as of March 31, 2014. These restructuring costs were primarily reported within Non-interest expenses—Compensation and benefits in the consolidated statements of income. Outstanding liabilities relating to these restructuring costs including currency translation adjustments were ¥8,165 million and ¥3,760 million as of March 31, 2013 and 2014 respectively. During the year ended March 31, 2014, ¥6,610 million of these liabilities was settled. |
Income_taxes
Income taxes | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Income taxes | ' | ||||||||||||
Income taxes | ' | ||||||||||||
18. Income taxes: | |||||||||||||
The components of income tax expense reflected in the consolidated statements of income are as follows. | |||||||||||||
Millions of yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Current: | |||||||||||||
Domestic | ¥ | 13,481 | ¥ | 71,918 | ¥ | 21,558 | |||||||
Foreign | 7,650 | 6,164 | 6,546 | ||||||||||
Subtotal | 21,131 | 78,082 | 28,104 | ||||||||||
Deferred: | |||||||||||||
Domestic | 34,274 | 55,257 | 109,037 | ||||||||||
Foreign | 3,498 | (1,300 | ) | 8,024 | |||||||||
Subtotal | 37,772 | 53,957 | 117,061 | ||||||||||
Total | ¥ | 58,903 | ¥ | 132,039 | ¥ | 145,165 | |||||||
The income tax benefit recognized from net operating losses for the years ended March 31, 2012, 2013 and 2014 totaled ¥1,358 million, ¥2,944 million and ¥26,990 million, respectively, included within income tax expense (deferred). | |||||||||||||
The Company and its wholly-owned domestic subsidiaries have adopted the consolidated tax filing system permitted under Japanese tax law. The consolidated tax filing system only imposes a national tax. Since April 1, 2004, Nomura’s domestic effective statutory tax rate had been approximately 41%. Due to the revisions of domestic tax laws during the third quarter ended December 31, 2011 and the fourth quarter ended March 31, 2014, the Company’s effective statutory tax rates are 38% for the fiscal years ended March 31, 2013 and March 31, 2014, and will be 36% thereafter. | |||||||||||||
Foreign subsidiaries are subject to income taxes of the countries in which they operate. The relationship between income tax expense and pretax accounting income (loss) is affected by a number of items, including various tax credits, certain expenses not allowable for income tax purposes and different tax rates applicable to foreign subsidiaries. | |||||||||||||
The following table presents a reconciliation of the effective income tax rate reflected in the consolidated statements of income to Nomura’s effective statutory tax rate for the years ended March 31, 2012, 2013 and 2014. | |||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Our effective statutory tax rate | 41 | % | 38 | % | 38 | % | |||||||
Impact of: | |||||||||||||
Changes in deferred tax valuation allowance | (22.5 | ) | (0.7 | ) | (9.8 | ) | |||||||
Taxable items to be added on financial profit | 3.8 | 1.5 | 0.4 | ||||||||||
Non-deductible expenses | 23.3 | 12.9 | 7.7 | ||||||||||
Non-taxable revenue | (29.7 | ) | (9.3 | ) | (8.0 | ) | |||||||
Dividends from foreign subsidiaries | 0.9 | 0.2 | — | ||||||||||
Tax effect of undistributed earnings of foreign subsidiaries | (1.1 | ) | 0.2 | 3.5 | |||||||||
Different tax rate applicable to income (loss) of foreign subsidiaries | 14.1 | 10 | 6.3 | ||||||||||
Effect of changes in domestic tax laws | 45.7 | 0.9 | 0.6 | ||||||||||
Expiration of loss carryforwards | 2.8 | 1.3 | 0.7 | ||||||||||
Tax benefit recognized on the devaluation of investment in subsidiaries and affiliates | (8.8 | ) | — | 1.4 | |||||||||
Other | (0.2 | ) | 0.5 | (0.7 | ) | ||||||||
Effective tax rate | 69.3 | % | 55.5 | % | 40.1 | % | |||||||
Net deferred tax assets of ¥145,602 million and ¥22,018 million reported within Other assets—Other in the consolidated balance sheets as of March 31, 2013 and 2014, respectively, represent tax effects of the total of the temporary differences and tax loss carryforwards in those tax jurisdictions with net deductible amounts in future years. The net deferred tax liabilities of ¥34,082 million and ¥34,739 million reported within Other liabilities in the consolidated balance sheets as of March 31, 2013 and 2014, respectively, represent the total of the temporary differences in those tax jurisdictions with net taxable amounts in future years. | |||||||||||||
Details of deferred tax assets and liabilities are as follows. | |||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2013 | 2014 | ||||||||||||
Deferred tax assets | |||||||||||||
Depreciation, amortization and valuation of fixed assets | ¥ | 10,043 | ¥ | 12,604 | |||||||||
Investments in subsidiaries and affiliates | 177,175 | 54,678 | |||||||||||
Valuation of financial instruments | 146,800 | 46,321 | |||||||||||
Accrued pension and severance costs | 17,999 | 7,850 | |||||||||||
Other accrued expenses and provisions | 106,436 | 102,922 | |||||||||||
Operating losses | 341,177 | 437,899 | |||||||||||
Other | 5,228 | 3,991 | |||||||||||
Gross deferred tax assets | 804,858 | 666,265 | |||||||||||
Less—Valuation allowance | (522,220 | ) | (490,603 | ) | |||||||||
Total deferred tax assets | 282,638 | 175,662 | |||||||||||
Deferred tax liabilities | |||||||||||||
Investments in subsidiaries and affiliates | 88,631 | 107,020 | |||||||||||
Valuation of financial instruments | 53,367 | 54,524 | |||||||||||
Undistributed earnings of foreign subsidiaries | 2,960 | 736 | |||||||||||
Valuation of fixed assets | 21,950 | 21,204 | |||||||||||
Other | 4,210 | 4,899 | |||||||||||
Total deferred tax liabilities | 171,118 | 188,383 | |||||||||||
Net deferred tax assets (liabilities) | ¥ | 111,520 | ¥ | (12,721 | ) | ||||||||
The valuation allowance mainly relates to deferred tax assets of consolidated subsidiaries with operating loss carryforwards for tax purposes. Based on the cumulative and continuing losses of these subsidiaries, management of Nomura believes that it is more likely than not that the related deferred tax assets will not be realized. The allowances against deferred tax assets are determined based on a review of future realizable value. Changes in the valuation allowance for deferred tax assets are shown below. | |||||||||||||
Millions of yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Balance at beginning of year | ¥ | 461,966 | ¥ | 490,986 | ¥ | 522,220 | |||||||
Net change during the year | 29,020 | (1) | 31,234 | (2) | (31,617 | )(3) | |||||||
Balance at end of year | ¥ | 490,986 | ¥ | 522,220 | ¥ | 490,603 | |||||||
-1 | Includes ¥24,715 million which is mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, ¥20,014 million related to Japanese subsidiaries which is mainly due to the effect of the conversion of Nomura Land and Building Co., Ltd. into a subsidiary of Nomura Holdings, Inc., and negative ¥15,709 million related to the Company which is due mainly to the decrease of allowance for the deferred tax assets previously recorded. In total, ¥29,020 million of allowances increased for the year ended March 31, 2012. | ||||||||||||
-2 | Includes ¥52,862 million which is mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, negative ¥22,903 million related to the de-consolidation of NREH into an equity method affiliate, and ¥1,275 million related to Japanese subsidiaries and the Company, which is determined based on a review of future realizable value. In total, ¥31,234 million of allowances increased for the year ended March 31, 2013. | ||||||||||||
-3 | Includes ¥29,134 million mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, negative ¥47,263 million related to certain foreign subsidiaries which is due mainly to the liquidation and the decrease of allowance for the deferred tax assets previously recorded, and negative ¥13,488 million related to Japanese subsidiaries and the Company, which is determined based on a reassessment of future realizable value and also due to the decrease of allowance for the deferred tax assets previously recorded. In total, ¥31,617 million of allowances decreased for the year ended March 31, 2014. | ||||||||||||
As of March 31, 2014, no deferred income taxes have been provided on undistributed earnings of foreign subsidiaries totaling ¥2,602 million not expected to be remitted in the foreseeable future. It is not practicable to determine the amount of income taxes payable in the event all such foreign earnings are repatriated. | |||||||||||||
As of March 31, 2014, Nomura has net operating loss carryforwards, for income tax purposes, of ¥1,760,459 million mainly resulting from certain U.S. and European subsidiaries. These losses, except for ¥871,928 million, which can be carried forward indefinitely, expire as follows: 2014 through 2023—¥632,673 million, 2024 and thereafter—¥255,858 million. Nomura believes that it is more likely than not that these loss carryforwards, less valuation allowance, will be realized. | |||||||||||||
The total amount of unrecognized tax benefits was not significant as of March 31, 2012, 2013 and 2014. Also there were no significant movements of the gross amounts in unrecognized tax benefits and the amount of interest and penalties recognized due to the unrecognized tax benefits during the years ended March 31, 2012, 2013 and 2014. Nomura recognizes the accrual of interest related to unrecognized tax benefits and penalties related to unrecognized tax benefits within Income tax expense in the consolidated statements of income. | |||||||||||||
Nomura is under continuous examination by the Japanese National Tax Agency and other tax authorities in major operating jurisdictions such as the United Kingdom (“U.K.”) and U.S. Nomura regularly assesses the likelihood of additional assessments in each tax jurisdiction and the impact on the consolidated financial statements. A liability for unrecognized tax benefits are recorded in the amount that is sufficient to cover potential exposure for an additional tax assessment depending on likelihood. It is reasonably possible that there may be a significant increase in unrecognized tax benefits within 12 months of March 31, 2014. Quantification of an estimated range cannot be made at this time due to the uncertainty of the potential outcomes. However, Nomura does not expect that any change in the gross balance of unrecognized tax benefits would have a material effect on its financial condition. | |||||||||||||
Nomura operates in multiple taxing jurisdictions, and faces audits from various tax authorities regarding many issues including but not limited to transfer pricing, deductibility of certain expenses, creditability of foreign taxes, and other matters. The table below summarizes the major jurisdictions in which Nomura operates and the earliest year in which Nomura remains subject to examination. Under Hong Kong Special Administrative Region (“Hong Kong”) tax law, the statute of limitation does not apply if the entity records a tax loss, thus not stated in below table. | |||||||||||||
Jurisdiction | Year | ||||||||||||
Japan | 2009 | (1) | |||||||||||
U.K. | 2013 | ||||||||||||
U.S. | 2011 | ||||||||||||
-1 | For transfer pricing, the earliest year in which Nomura remains subject to examinations is 2008. | ||||||||||||
Revisions of domestic tax laws— | |||||||||||||
On March 31, 2014, the “Act to partially revise the Income Tax Act and Others” (Act No. 10 of 2014) (“Act 10”) was promulgated. Under Act 10, effective from the fiscal year beginning on or after April 1, 2014, the Special Reconstruction Corporate Tax was abolished. As a result, the Company’s effective statutory tax rates are 38% for the fiscal years ended March 31, 2013 and March 31, 2014, and will be 36% thereafter. | |||||||||||||
Due to this change in the statutory tax rates, net deferred tax assets decreased by ¥1,711 million as of March 31, 2014. For the year ended March 31, 2014, income taxes—deferred increased by ¥1,711 million and net income attributable to NHI shareholders decreased by the same amount. |
Other_comprehensive_income_los
Other comprehensive income (loss) | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||
Accumulated other comprehensive income (loss) | ' | ||||||||||||||||||||
Accumulated other comprehensive income (loss) | ' | ||||||||||||||||||||
19. Other comprehensive income (loss): | |||||||||||||||||||||
Changes in accumulated other comprehensive income (loss) are as follows: | |||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
For the year ended March 31, 2014 | |||||||||||||||||||||
Balance at | Other | Reclassifications out of | Net change | Balance at | |||||||||||||||||
beginning | comprehensive | accumulated other | during the | end of period | |||||||||||||||||
of year | income (loss) | comprehensive income | period | ||||||||||||||||||
before | (loss)(1) | ||||||||||||||||||||
reclassifications | |||||||||||||||||||||
Cumulative translation adjustments | ¥ | (38,875 | ) | ¥ | 66,707 | ¥ | (128 | ) | ¥ | 66,579 | ¥ | 27,704 | |||||||||
Pension liability adjustment | (28,518 | ) | 8,708 | 1,001 | 9,709 | (18,809 | ) | ||||||||||||||
Net unrealized gain on non-trading securities | 9,998 | 3,342 | (1,599 | ) | 1,743 | 11,741 | |||||||||||||||
Total | ¥ | (57,395 | ) | ¥ | 78,757 | ¥ | (726 | ) | ¥ | 78,031 | ¥ | 20,636 | |||||||||
-1 | Reclassifications out of accumulated other comprehensive income (loss) are as follows: | ||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
For the year ended March 31, 2014 | |||||||||||||||||||||
Reclassifications out of | Affected line items in consolidated | ||||||||||||||||||||
accumulated other | statements of income | ||||||||||||||||||||
comprehensive income (loss) | |||||||||||||||||||||
Net unrealized gain on non-trading securities: | |||||||||||||||||||||
¥ | 4,220 | Gain (loss) on investments in | |||||||||||||||||||
equity securities | |||||||||||||||||||||
(2,065 | ) | Income tax expense | |||||||||||||||||||
2,155 | Net income | ||||||||||||||||||||
(556 | ) | Net income attributable to | |||||||||||||||||||
noncontrolling interests | |||||||||||||||||||||
¥ | 1,599 | Net income attributable to NHI | |||||||||||||||||||
shareholders | |||||||||||||||||||||
See Note 7 “Non-trading Securities” for further information. |
Shareholders_equity
Shareholders' equity | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Shareholders' equity | ' | ||||||||||||
Shareholders' equity | ' | ||||||||||||
20. Shareholders’ equity: | |||||||||||||
The following table presents changes in shares of common stock outstanding for the years ended March 31, 2012, 2013 and 2014. | |||||||||||||
Number of Shares | |||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Shares outstanding at beginning of year | 3,600,886,932 | 3,663,483,895 | 3,710,960,252 | ||||||||||
New issuances | 103,429,360 | — | — | ||||||||||
Common stock held in treasury: | |||||||||||||
Repurchases of common stock | (50,093,031 | ) | (19,209 | ) | (40,054,831 | ) | |||||||
Sales of common stock | 1,530 | 601 | 1,920,457 | ||||||||||
Common stock issued to employees | 9,271,600 | 47,335,900 | 44,689,800 | ||||||||||
Other net change in treasury stock | (12,496 | ) | 159,065 | 114,784 | |||||||||
Shares outstanding at end of year | 3,663,483,895 | 3,710,960,252 | 3,717,630,462 | ||||||||||
The amount available for dividends and acquisition of treasury stock is subject to the restrictions under the Companies Act. Additional paid-in capital and retained earnings include amounts which the Companies Act prohibits for the use of dividends and acquisition of treasury stock. As of March 31, 2012, 2013 and 2014, the amounts available for distributions were ¥483,126 million, ¥538,021 million and ¥583,354 million, respectively. These amounts are based on the amounts recorded in the Company’s unconsolidated financial statements maintained in accordance with accounting principles and practices prevailing in Japan. U.S. GAAP adjustments incorporated in these consolidated financial statements but not recorded in the Company’s unconsolidated financial statements have no effect on the determination of the amounts available for distributions under the Companies Act. | |||||||||||||
Retained earnings include Nomura’s share of investee undistributed earnings which have been accounted for under the equity method, in the amount of ¥50,922 million, ¥125,944 million and ¥136,112 million as of March 31, 2012, 2013 and 2014, respectively. | |||||||||||||
Change in cumulative translation adjustment, net of tax reported in other comprehensive income (loss) for the year ended March 31, 2013 includes reclassification adjustment of ¥9,844 million relating to a loss incurred following the substantially complete liquidation of an investment in a foreign entity and the amount of income tax benefit allocated to this reclassification adjustment was ¥2,985 million. | |||||||||||||
Dividends on common stock per share were ¥6 for the year ended March 31, 2012, ¥8 for the year ended March 31, 2013 and ¥17 for the year ended March 31, 2014. | |||||||||||||
The Company issued new shares of common stock and repurchased common stock in accordance with NLB becoming a wholly owned subsidiary of Nomura for the year ended March 31, 2012. See Note 11 “Business combinations” for further information. | |||||||||||||
The change in common stock held in treasury includes the change in shares issued to employees under stock-based compensation plans, shares sold to enable shareholders to hold round lots of the 100 share minimum tradable quantity (adding-to-holdings requests) or shares acquired to create round lots or eliminate odd lots. Common stock held in treasury also includes, as of March 31, 2012, 2013 and 2014, 908,498 shares, or ¥1,985 million, 1,257,966 shares, or ¥2,161 million, and 2,119,761 shares, or ¥1,143 million, respectively, held by affiliated companies. | |||||||||||||
Subsequent Events | |||||||||||||
On April 30, 2014, the board of directors approved a resolution to set up a share buyback program, pursuant to the company’s articles of incorporation set out in accordance with Article 459-1 of the Companies Act as follows: (a) total number of shares authorized for repurchase is up to 100,000,000 shares, (b) total value of shares authorized for repurchase is up to ¥70 billion and (c) the share buyback program will run from May 19, 2014, to July 25, 2014. Under this buyback program from May 19, 2014 to May 30, 2014, the Company repurchased 100,000,000 shares of common stock at a cost of ¥65,189 million. This completes the share buyback program. |
Regulatory_requirements
Regulatory requirements | 12 Months Ended |
Mar. 31, 2014 | |
Regulatory requirements | ' |
Regulatory requirements | ' |
21. Regulatory requirements: | |
In April 2011, the Company was assigned as a “Final Designated Parent Company” who must calculate consolidated capital adequacy ratio and since then, our consolidated capital adequacy ratio has been calculated based on Capital Adequacy Notice on Final Designated Parent Company. Note that Capital Adequacy Notice on Final Designated Parent Company has been revised in line with Basel 2.5 and Basel III and we have calculated Basel III-based consolidated capital adequacy ratio since March 2013. | |
In accordance with Article 2 of the Capital Adequacy Notice on Final Designated Parent Company, our consolidated capital adequacy ratio is calculated based on the amounts of common equity Tier 1 capital, Tier 1 capital, total capital, credit risk-weighted assets, market risk and operational risk. As of March 31, 2013 and March 31, 2014, the Company was in compliance with the requirement for common equity Tier1 capital ratio, Tier 1 capital ratio and consolidated capital adequacy ratio as set out in the Capital Adequacy Notice on Final Designated Parent Company (required level as of March 31, 2014 is 4.0% for common equity Tier 1 capital ratio, 5.5% for Tier 1 capital ratio and 8% for consolidated capital adequacy ratio). | |
Under the Financial Instruments and Exchange Act of Japan (the “FIEA”), NSC and Nomura Financial Products & Services, Inc. (“NFPS”) are subject to the capital adequacy rules of the FSA. This rule requires the maintenance of a capital adequacy ratio, which is defined as the ratio of adjusted capital to a quantified total of business risk, of not less than 120%. Adjusted capital is defined as net worth (which includes shareholders’ equity, net unrealized gains and losses on securities held, reserves and subordinated debts) less illiquid assets. The business risks are divided into three categories: (1) market risks, (2) counterparty risks, and (3) basic risks. Under this rule, there are no restrictions on the operations of the companies provided that the resulting net capital adequacy ratio exceeds 120%. As of March 31, 2013 and 2014, the capital adequacy ratio of NSC exceeded 120%. Also, as of March 31, 2013 and 2014, the capital adequacy ratio of NFPS exceeded 120%. | |
Financial Instruments Firms in Japan are required to segregate cash deposited by clients on securities transactions under the FIEA. As of March 31, 2013 and 2014, NSC segregated bonds with a market value of ¥459,037 million and ¥456,070 million and equities with a market value of ¥7,861 million and ¥7,656 million, respectively, which were either included in Trading assets on the accompanying consolidated balance sheets or borrowed under lending and borrowing securities contracts, as a substitute for cash. | |
In the U.S., Nomura Securities International, Inc. (“NSI”) is registered as a broker-dealer under the Securities Exchange Act of 1934 and as a futures commission merchant with the Commodity Futures Trading Commission (“CFTC”). NSI is also regulated by self-regulatory organizations, such as the Financial Industry Regulatory Authority and the Chicago Mercantile Exchange Group as its designated self regulatory organization. NSI is subject to the Securities and Exchange Commission’s Uniform Net Capital Rule (“Rule 15c3-1”) and other related rules, which require net capital, as defined under the alternative method, of not less than the greater of $1,000,000 or 2% of aggregate debit items arising from client transactions. The subsidiary is also subject to CFTC Regulation 1.17 which requires the maintenance of net capital of 8% of the total risk margin requirement, as defined, for all positions carried in client accounts and nonclient accounts or $1,000,000, whichever is greater. The subsidiary is required to maintain net capital in accordance with the SEC, CFTC, or other various exchange requirements, whichever is greater. As of March 31, 2013 and 2014, the subsidiary was in compliance with all applicable regulatory capital adequacy requirements. | |
In Europe, Nomura Europe Holdings plc (“NEHS”) is regulated on a consolidated basis by the Prudential Regulatory Authority in the U.K., which imposes minimum capital adequacy requirements to the NEHS. Nomura International plc (“NIP”), the most significant of NEHS’ subsidiaries, acts as a securities brokerage and dealing business. NIP is regulated and has minimum capital adequacy requirements imposed on it on a standalone basis by the Prudential Regulation Authority in the U.K. Nomura Bank International plc (“NBI”), another subsidiary of NEHS, is also regulated by the Prudential Regulation Authority in the U.K. on a standalone basis. As of March 31, 2013 and 2014, the NEHS, NIP and NBI were in compliance with all relevant regulatory capital related requirements. | |
In Asia, Nomura International (Hong Kong) Limited (“NIHK”) and Nomura Singapore Ltd (“NSL”) are regulated by the respective authorities. NIHK is licensed by the Securities and Futures Commission in Hong Kong to carry out regulated activities including dealing in securities and futures contracts, and advising on securities, futures contracts and corporate finance. NIHK assumed from its fellow subsidiary, Nomura Securities (Hong Kong) Ltd, the roles of the exchange participant and options trading exchange participant at the Stock Exchange of Hong Kong Ltd., the futures commission merchant at the Hong Kong Futures Exchange Ltd. and the clearing participants at the Hong Kong Securities Clearing Co. Ltd., the SEHK Options Clearing House Ltd. and HKFE Clearing Corporation Ltd with effect from April 22, 2013. NIHK has a branch located in Taiwan which is regulated by its local regulators under its respective jurisdictions. Activities of NIHK including its branch are subject to the Securities and Futures (Financial Resources) Rules which require it, at all times, to maintain its liquid capital at a level not less than its required liquid capital. Liquid capital means an amount by which its liquid assets exceed its ranking liabilities. Required liquid capital is calculated in accordance with the provisions laid down in the Securities and Futures (Financial Resources) Rules. NSL is a merchant bank with Asian Currency Unit (“ACU”) license governed by the Monetary Authority of Singapore (“MAS”). NSL carries out its ACU regulated activities including, among others, securities brokerage and dealing business. The regulations require NSL to maintain a minimum capital of SGD15 million. NSL is regulated and has minimum capital adequacy requirements imposed on it on a standalone basis by the MAS in Singapore. As of March 31, 2013 and 2014, NIHK and NSL were in compliance with all relevant regulatory capital related requirements. |
Affiliated_companies_and_other
Affiliated companies and other equity-method investees | 12 Months Ended | ||||||||||||
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22. Affiliated companies and other equity-method investees: | |||||||||||||
Nomura’s significant affiliated companies and other equity-method investees include JAFCO Co., Ltd. (“JAFCO”), NRI and NREH. | |||||||||||||
During the year ended March 31, 2012, NLB was consolidated and Chi-X Europe Limited (“Chi-X Europe”) was disposed of. Both of these companies have historically been reported as significant affiliated companies of Nomura. | |||||||||||||
During the year ended March 31, 2014, Fortress Investment Group LLC (“Fortress”) has repurchased all of Nomura’s ownership stake. Fortress is therefore no longer Nomura’s equity method investee. | |||||||||||||
JAFCO | |||||||||||||
JAFCO, which is a listed company in Japan, manages various venture capital funds and provides private equity-related investment services to portfolio companies. | |||||||||||||
In March 2014, the Company sold 2,200,000 shares of JAFCO. Nomura’s ownership of JAFCO decreased from 24.4% as of March 31, 2013 to 19.4% as a result of the offering. Nomura continues to account for JAFCO under the equity method because Nomura still has the ability to exercise significant influence over operating and financial decisions of JAFCO. | |||||||||||||
As of March 31, 2014, Nomura’s ownership of JAFCO was 19.5% and there was no remaining equity method goodwill included in the carrying amount of the investment. | |||||||||||||
NRI | |||||||||||||
NRI develops and manages computer systems and provides research services and management consulting services. One of the major clients of NRI is Nomura. | |||||||||||||
In May 2011, Nomura indirectly acquired an additional 0.9% equity interest in NRI, when Nomura purchased additional issued shares of NLB and made it a subsidiary. | |||||||||||||
In July 2011, the Company acquired 381,520 shares of NLB from NRI and issued 45,019,360 common shares to NRI as a result of the share exchange. See Note 11 “Business combinations” for further information. | |||||||||||||
As of March 31, 2014, Nomura’s ownership of NRI was 38.0% and the remaining balance of equity method goodwill included in the carrying value of the investment was ¥56,473 million. | |||||||||||||
NLB | |||||||||||||
NLB owns certain of Nomura’s leased office space in Japan. NLB became a consolidated subsidiary of Nomura on May 24, 2011 and is therefore no longer an affiliated company of Nomura. See Note 11 “Business combinations” for further information. In addition, lease transactions with Nomura while NLB was an affiliated company of Nomura is disclosed in Note 10 “Leases”. | |||||||||||||
Fortress | |||||||||||||
Fortress is a global investment management firm. Fortress raises, invests and manages private equity funds, hedge funds and publicly traded alternative investment vehicles. The investment in Fortress is treated as an investment in a limited partnership and is accounted for by the equity method of accounting. | |||||||||||||
On February 13, 2014 Fortress has repurchased all of Nomura’s ownership stake. As a result, Fortress is therefore no longer Nomura’s equity method investee. | |||||||||||||
Chi-X Europe | |||||||||||||
The investment in Chi-X Europe was accounted for by the equity method from December 31, 2009. | |||||||||||||
On February 18, 2011, BATS Global Markets, Inc. (“BATS”) entered into a definitive agreement to acquire 100% of the outstanding stock of Chi-X Europe. After regulatory approval, Nomura exchanged its shares in Chi-X Europe for approximately 7% (fully diluted) of the outstanding stock of BATS. As a result, Chi-X Europe is therefore no longer an affiliated company of Nomura. | |||||||||||||
NREH | |||||||||||||
NREH was a consolidated subsidiary of Nomura until March 2013. In March 2013, Nomura sold 32,040 thousand shares of NREH. As a result, Nomura’s voting interest fell to 34.0%. Since Nomura no longer maintained a controlling financial interest in NREH, NREH was deconsolidated and is now an affiliated company accounted for by the equity method. | |||||||||||||
On deconsolidating NREH, a gain of ¥50,139 million, including unrealized gain of ¥38,468 million from Nomura’s remaining shares, was recognized which is reported in the consolidated statements of income within Revenue—Other. | |||||||||||||
NREH is a listed company in the First Section of the Tokyo Stock Exchange and the fair value of the retained investment in NREH was estimated using a quoted market price. | |||||||||||||
As of March 31, 2014, Nomura’s ownership of NREH was 34.1% and the remaining balance of equity method goodwill included in the carrying value of the investment was ¥11,012 million. | |||||||||||||
Summary financial information— | |||||||||||||
A summary of financial information for JAFCO, NRI, NLB and NREH is as follows. | |||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2013(1)(3) | 2014(1) | ||||||||||||
Total assets | ¥ | 2,307,795 | ¥ | 2,089,844 | |||||||||
Total liabilities | 1,551,699 | 1,247,768 | |||||||||||
Millions of yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012(2) | 2013(3) | 2014 | |||||||||||
Net revenues | ¥ | 161,209 | ¥ | 143,193 | ¥ | 947,213 | |||||||
Non-interest expenses | 105,520 | 69,899 | 779,690 | ||||||||||
Net income attributable to the companies | 31,007 | 48,706 | 87,261 | ||||||||||
-1 | NLB’s assets and liabilities are not included because it was not an affiliated company of Nomura as of March 31, 2013 and 2014. | ||||||||||||
-2 | For NLB, financial information while it was an affiliated company of Nomura is included. | ||||||||||||
-3 | NREH is accounted for by the equity method from March 2013. NREH’s assets and liabilities are included however Net revenues, Non-interest expenses and Net income attributable to NREH are not included. | ||||||||||||
A summary of financial information for Fortress is as follows. | |||||||||||||
Millions of yen | |||||||||||||
March 31, 2013(1) | |||||||||||||
Total assets | ¥ | 203,332 | |||||||||||
Total liabilities | 88,881 | ||||||||||||
Millions of yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012(1) | 2013(1) | 2014(1) | |||||||||||
Net revenues | ¥ | 73,306 | ¥ | 95,356 | ¥ | 144,349 | |||||||
Non-interest expenses | 166,006 | 73,956 | 89,338 | ||||||||||
Net income (loss) attributable to the company | (36,994 | ) | 6,487 | 20,071 | |||||||||
-1 | Financial information for Fortress is as of its fiscal years ended December 31, 2011, 2012 and 2013, respectively. Nomura recognizes its share of Fortress’s earnings on a three-month lag. | ||||||||||||
A summary of balances and transactions with affiliated companies and other equity-method investees, except for lease transactions with NLB and NRI, which are disclosed in Note 10 “Leases”, is presented below. | |||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2013 | 2014 | ||||||||||||
Investments in affiliated companies | ¥ | 333,329 | ¥ | 339,637 | |||||||||
Advances to affiliated companies | 12,376 | 5,797 | |||||||||||
Other receivables from affiliated companies | 8,856 | 6,919 | |||||||||||
Other payables to affiliated companies | 4,270 | 9,344 | |||||||||||
Millions of yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Revenues | ¥ | 5,635 | ¥ | 7,418 | ¥ | 411 | |||||||
Non-interest expenses | 49,810 | 48,755 | 57,687 | ||||||||||
Purchase of software, securities and tangible assets | 22,904 | 55,099 | 26,655 | ||||||||||
The aggregate carrying amount and fair value of investments in affiliated companies and other equity-method investees for which a quoted market price is available are as follows. | |||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2013 | 2014 | ||||||||||||
Carrying amount | ¥ | 322,747 | ¥ | 330,983 | |||||||||
Fair value | 404,967 | 429,854 | |||||||||||
Equity in earnings of equity-method investees, including those above, was a gain of ¥5,716 million, gain of ¥18,597 million and gain of ¥37,805 million for the years ended March 31, 2012, 2013 and 2014, respectively. Equity in earnings of equity-method investees is reported within Revenue—Other in the consolidated statements of income. Dividends from equity-method investees for the years ended March 31, 2012, 2013 and 2014 were ¥4,747 million, ¥5,594 million and ¥8,306 million, respectively. |
Commitments_contingencies_and_
Commitments, contingencies and guarantees | 12 Months Ended | ||||||||||||||||||||||||
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Commitments, contingencies and guarantees | ' | ||||||||||||||||||||||||
23. Commitments, contingencies and guarantees: | |||||||||||||||||||||||||
Commitments— | |||||||||||||||||||||||||
Credit and investment commitments | |||||||||||||||||||||||||
In connection with its banking and financing activities, Nomura provides commitments to extend credit which generally have fixed expiration dates. In connection with its investment banking activities, Nomura enters into agreements with clients under which Nomura commits to underwrite notes that may be issued by the clients. The outstanding commitments under these agreements are included below in commitments to extend credit. | |||||||||||||||||||||||||
Nomura has commitments to invest in various partnerships and other entities, primarily in connection with its merchant banking activities, and also has commitments to provide financing for investments related to these partnerships. The outstanding commitments under these agreements are included in commitments to invest in partnerships. | |||||||||||||||||||||||||
Certain consolidated VIEs which are engaged in the aircraft leasing business have commitments to purchase aircraft. The outstanding commitments under these agreements are included in commitments to purchase aircraft. | |||||||||||||||||||||||||
The following table presents a summary of the key types of outstanding commitments provided by Nomura as of March 31, 2013 and 2014. | |||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Commitments to extend credit | ¥ | 369,988 | ¥ | 479,634 | |||||||||||||||||||||
Commitments to invest in partnerships | 29,974 | 18,460 | |||||||||||||||||||||||
Commitments to purchase aircraft | 30,143 | 4,409 | |||||||||||||||||||||||
As of March 31, 2014, these commitments had the following maturities: | |||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
Total | Years to maturity | ||||||||||||||||||||||||
contractual | |||||||||||||||||||||||||
amount | Less than | 1 to 3 | 3 to 5 | More than | |||||||||||||||||||||
1 year | years | years | 5 years | ||||||||||||||||||||||
Commitments to extend credit | ¥ | 479,634 | ¥ | 85,533 | ¥ | 52,872 | ¥ | 165,623 | ¥ | 175,606 | |||||||||||||||
Commitments to invest in partnerships | 18,460 | 4,305 | 829 | 318 | 13,008 | ||||||||||||||||||||
Commitments to purchase aircraft | 4,409 | 4,409 | — | — | — | ||||||||||||||||||||
The contractual amounts of these commitments to extend credit represent the amounts at risk should the contracts be fully drawn upon, should the counterparties default, and assuming the value of any existing collateral becomes worthless. The total contractual amount of these commitments may not represent future cash requirements since the commitments may expire without being drawn upon. The credit risk associated with these commitments varies depending on the clients’ creditworthiness and the value of collateral held. Nomura evaluates each client’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by Nomura upon extension of credit, is based on credit evaluation of the counterparty. | |||||||||||||||||||||||||
Other commitments | |||||||||||||||||||||||||
Purchase obligations for goods or services that include payments for construction-related, advertising, and computer and telecommunications maintenance agreements amounted to ¥26,228 million as of March 31, 2013 and ¥15,901 million as of March 31, 2014. | |||||||||||||||||||||||||
Nomura has commitments under resale and repurchase agreements including amounts in connection with collateralized agreements, collateralized financing and Gensaki Repo transactions. These commitments amounted to ¥4,103 billion for resale agreements and ¥1,152 billion for repurchase agreements as of March 31, 2013 and ¥2,365 billion for resale agreements and ¥771 billion for repurchase agreements as of March 31, 2014. These amounts include certain types of repurchase agreements and securities transactions which Nomura accounts for as sales rather than collateralized financings in accordance with ASC 860. | |||||||||||||||||||||||||
In Japan, there is a market in which participants lend and borrow debt and equity securities without collateral to and from financial institutions. Under these arrangements, Nomura had obligations to return debt and equity securities borrowed without collateral of ¥340 billion and ¥259 billion as of March 31, 2013 and 2014, respectively. | |||||||||||||||||||||||||
As a member of various securities clearing houses and exchanges, Nomura may be required to assume a certain share of the financial obligations of another member who may default on its obligations to the clearing house or the exchange. These guarantees are generally required under the membership agreements. To mitigate these risks, exchanges and clearing houses often require members to post collateral. The potential for Nomura to make payments under such guarantees is deemed remote. | |||||||||||||||||||||||||
Contingencies | |||||||||||||||||||||||||
Investigations, lawsuits and other legal proceedings | |||||||||||||||||||||||||
In the normal course of business as a global financial services entity, Nomura is involved in investigations, lawsuits and other legal proceedings and, as a result, may suffer loss from any fines, penalties or damages awarded against Nomura, any settlements Nomura chooses to make to resolve a matter, and legal and other advisory costs incurred to support and formulate a defense. | |||||||||||||||||||||||||
The ability to predict the outcome of these actions and proceedings is inherently difficult, particularly where claimants are seeking substantial or indeterminate damages, where investigations and legal proceedings are at an early stage, where the matters present novel legal theories or involve a large number of parties, or which take place in foreign jurisdictions with complex or unclear laws. | |||||||||||||||||||||||||
The Company regularly evaluates each legal proceeding and claim on a case-by-case basis in consultation with external legal counsel to assess whether an estimate of possible loss or range of loss can be made, if recognition of a liability is not appropriate. In accordance with ASC 450 “Contingencies” (“ASC 450”), the Company recognizes a liability for this risk of loss arising on each individual matter when a loss is probable and the amount of such loss or range of loss can be reasonably estimated. The amount recognized as a liability is reviewed at least quarterly and is revised when further information becomes available. If these criteria are not met for an individual matter, such as if an estimated loss is only reasonably possible rather than probable, no liability is recognized. However, where a material loss is reasonably possible, the Company will disclose details of the legal proceeding or claim below. Under ASC 450 an event is defined as reasonably possible if the chance of the loss to the Company is more than remote but less than probable. | |||||||||||||||||||||||||
The most significant actions and proceedings against Nomura are summarized below. The Company believes that, based on current information available as of the date of these consolidated financial statements, the ultimate resolution of these actions and proceedings will not be material to the Company’s financial condition. However, an adverse outcome in certain of these matters could have a material adverse effect on the consolidated statements of income or cash flows in a particular quarter or annual period. | |||||||||||||||||||||||||
For those significant actions and proceedings described below where the counterparty has alleged a specific amount of damages, the Company currently estimates that the reasonably possible loss for the matter would not exceed the amount specified in each case. For each of these matters, the specific amount alleged (which is the Company’s current estimate of the maximum reasonably possible loss) is indicated in the description of the matter below. For certain other significant actions and proceedings, the Company is unable to provide an estimate of the reasonably possible loss or range of reasonably possible losses because, among other reasons, (i) the proceedings are at such an early stage there is not enough information available to assess whether the stated grounds for the claim are viable; (ii) damages have not been identified by the claimant; (iii) damages are unsupported and/or exaggerated; (iv) there is uncertainty as to the outcome of pending appeals or motions; (v) there are significant legal issues to be resolved that may be dispositive, such as the applicability of statutes of limitations; and/or (vi) there are novel or unsettled legal theories underlying the claims. | |||||||||||||||||||||||||
In January 2008, Nomura International plc (“NIP”) was served with a tax notice issued by the tax authorities in Pescara, Italy alleging breaches by NIP of the U.K.-Italy Double Taxation Treaty of 1998 (the “Tax Notice”). The alleged breaches relate to payments to NIP of tax credits on dividends on Italian shares. The Tax Notice not only denies certain payments to which NIP claims to be entitled but also seeks reimbursement of approximately EUR 33.8 million, plus interest, already refunded. NIP continues vigorously to challenge the Pescara Tax Court’s decisions in favor of the local tax authorities. The specified amount alleged is the Company’s current estimate of the maximum reasonably possible loss from this matter. | |||||||||||||||||||||||||
In October 2010 and June 2012, two actions were brought against NIP, seeking recovery of payments allegedly made to NIP by Fairfield Sentry Ltd. and Fairfield Sigma Ltd. (collectively, the “Fairfield Funds”), which are now in liquidation and were feeder funds to Bernard L. Madoff Investment Securities LLC (in liquidation pursuant to the Securities Investor Protection Act in the U.S. since December 2008) (“BLMIS”). The first suit was brought by the liquidators of the Fairfield Funds. It was filed on October 5, 2010 in the Supreme Court of the State of New York, but was subsequently removed to the U.S. Bankruptcy Court, where it is presently pending. The second suit was brought by the Trustee for the liquidation of BLMIS (the “Madoff Trustee”). NIP was added as a defendant in June 2012 when the Madoff Trustee filed an amended complaint in the U.S. Bankruptcy Court. Both actions seek to recover approximately $35 million. The $35 million amount is the Company’s current estimate of the maximum reasonably possible loss from this matter. | |||||||||||||||||||||||||
In March 2011, PT Bank Mutiara Tbk. (“Bank Mutiara”) commenced proceedings in the Commercial Court of the Canton of Zurich against a special purpose entity (“SPE”) established at the request of NIP. These are proceedings to challenge the SPE’s rights over approximately $156 million in an account held in Switzerland. The SPE, which is consolidated by NIP, has a security interest over the money pursuant to a loan facility with Telltop Holdings Limited, a third party company. Telltop Holdings Limited is currently in liquidation. The SPE does not believe that Bank Mutiara has any enforceable security interest over the funds and is seeking release of the monies. Due to the uncertainties involved, the Company cannot currently estimate the maximum reasonably possible loss from this matter but believes it is significantly less than the amount referred to above. | |||||||||||||||||||||||||
In April 2011, the Federal Home Loan Bank of Boston (“FHLB-Boston”) commenced proceedings in the Superior Court of Massachusetts against numerous issuers, sponsors and underwriters of residential mortgage-backed securities (“RMBS”), and their controlling persons, including Nomura Asset Acceptance Corporation (“NAAC”), Nomura Credit & Capital, Inc. (“NCCI”), Nomura Securities International, Inc. (“NSI”) and Nomura Holding America Inc. (“NHA”). The action alleges that FHLB-Boston purchased RMBS issued by NAAC for which the offering materials contained untrue statements or omitted material facts concerning the underwriting standards used by the original lenders and the characteristics of the loans underlying the securities. FHLB-Boston seeks rescission of its purchases or compensatory damages pursuant to state law. FHLB-Boston alleges that it purchased certificates in four offerings issued by NAAC in the original principal amount of approximately $356 million. Due to the lack of information at this early stage of the litigation and the uncertainties involved, the Company cannot provide an estimate of reasonably possible loss related to this matter at this time. | |||||||||||||||||||||||||
In July 2011, the National Credit Union Administration Board (“NCUA”) commenced proceedings in the United States District Court for the Central District of California as liquidating agent of Western Corporate Federal Credit Union (“WesCorp”) against various issuers, sponsors and underwriters of RMBS purchased by WesCorp. The complaint alleges that WesCorp purchased RMBS issued by NAAC and Nomura Home Equity Loan Inc. (“NHEL”), among others, for which the offering materials contained untrue statements or omitted material facts concerning the underwriting standards used by the original lenders. The complaint alleges that WesCorp purchased certificates in two offerings in the original principal amount of approximately $83 million and seeks rescission of its purchases or compensatory damages. The court has dismissed NCUA’s claims against NHEL and NCUA has filed a notice of appeal to the Ninth Circuit and briefing is in progress. NCUA’s claim against NAAC is proceeding. Due to the legal uncertainties involved, as well as very limited discovery concerning the facts, the Company cannot provide an estimate of reasonably possible loss related to this matter at this time. | |||||||||||||||||||||||||
In September 2011, the Federal Housing Finance Agency (“FHFA”), as conservator for the government sponsored enterprises, Federal National Mortgage Association and Federal Home Loan Mortgage Corporation (the “GSEs”), commenced proceedings in the United States District Court for the Southern District of New York against numerous issuers, sponsors and underwriters of RMBS, and their controlling persons, including NAAC, NHEL, NCCI, NSI and NHA, (the Company’s U.S. subsidiaries). The action alleges that the GSEs purchased RMBS issued by NAAC and NHEL for which the offering materials contained untrue statements or omitted material facts concerning the underwriting standards used by the original lenders and the characteristics of the loans underlying the securities. FHFA alleges that the GSEs purchased certificates in seven offerings in the original principal amount of approximately $2,046 million and seeks rescission of its purchases or compensatory damages. The court has denied the motion to dismiss filed by the Company’s U.S. subsidiaries and the parties are involved in the discovery process. Given the lack of any expert discovery at this stage of the litigation and certain legal uncertainties, the Company cannot provide an estimate of reasonably possible loss related to this matter at this time. | |||||||||||||||||||||||||
In October 2011, the NCUA commenced proceedings in the United States District Court for the District of Kansas as liquidating agent of U.S. Central Federal Credit Union (“U.S. Central”) against various issuers, sponsors and underwriters of RMBS purchased by U.S. Central, including NHEL. The complaint alleges that U.S. Central purchased RMBS issued by NHEL, among others, for which the offering materials contained untrue statements or omitted material facts concerning the underwriting standards used by the original lenders. The complaint alleges that U.S. Central purchased a certificate in one offering in the original principal amount of approximately $50 million and seeks rescission of its purchase or compensatory damages. The court denied, in part, motions to dismiss filed by the defendants, and the Tenth Circuit Court of Appeals affirmed the trial court’s holding; the Supreme Court has now vacated that decision and remanded the matter to the Tenth Circuit Court of Appeals for reconsideration in light of recent Supreme Court authority. Due to the legal uncertainties involved, as well as the lack of factual information at this early stage of the litigation, the Company cannot provide an estimate of reasonably possible loss related to this matter at this time. | |||||||||||||||||||||||||
In November 2011, NIP was served with a claim filed by the Madoff Trustee appointed for the liquidation of BLMIS in the United States Bankruptcy Court Southern District of New York. This is a clawback action similar to claims filed by the Madoff Trustee against numerous other institutions. The Madoff Trustee alleges that NIP received redemptions from the BLMIS feeder fund, Harley International (Cayman) Limited in the six years prior to December 11, 2008 (the date proceedings were commenced against BLMIS) and that these are avoidable and recoverable under the U.S. Bankruptcy Code and New York law. The amount that the Madoff Trustee is currently seeking to recover from NIP is approximately $21 million. The specified amount alleged is the Company’s current estimate of the maximum reasonably possible loss from this matter. | |||||||||||||||||||||||||
In August 2012, The Prudential Insurance Company of America and certain of its affiliates filed several complaints in the Superior Court of New Jersey against various issuers, sponsors and underwriters of RMBS, including an action against NHEL, NCCI and NSI. The action against these Nomura subsidiaries has been removed to federal court. The complaint alleges that the plaintiffs purchased over $183 million in RMBS from five different offerings. The plaintiffs allege that the offering materials contained fraudulent misrepresentations regarding the underwriting practices and quality of the loans underlying the securities. The plaintiffs allege causes of action for fraud, aiding and abetting fraud, negligent misrepresentation, and New Jersey Civil RICO, and seek to recover, among other things, compensatory and treble damages. NHEL, NCCI and NSI have filed a motion to dismiss the action which is pending before the court. Due to the lack of factual information at this early stage of the litigation and the legal uncertainties involved, the Company cannot provide an estimate of reasonably possible loss related to this matter at this time. | |||||||||||||||||||||||||
In March 2013, Banca Monte dei Paschi di Siena SpA (“MPS”) issued a claim in the Italian Courts against two former directors of MPS and NIP. MPS alleges that the former directors improperly caused MPS to enter into certain structured financial transactions with NIP in 2009 (the “Transactions”) and alleges that NIP is jointly liable for the unlawful conduct of MPS’s former directors. MPS is claiming damages of not less than EUR700 million. In July 2013, a claim was also issued against the same former directors of MPS, and NIP, by the shareholder group Fondazione Monte dei Paschi di Siena (“FMPS”). The grounds of the FMPS claim are similar to those on which the MPS claim is founded. The level of damages sought by FMPS is not specified. An investigation has also been commenced by the Public Prosecutor’s office in Siena, Italy into various allegations against MPS and certain of its former directors, including in relation to the Transactions. Starting on April 15, 2013, the Public Prosecutor in Siena issued seizure orders in relation to the Transactions seeking to seize the Transactions and approximately EUR 1.9 billion of assets said to be held or receivable in various NIP and Nomura Bank International plc (“NBI”) accounts in, or managed through, Italy and alleging that the Transactions involved offenses under Italian law. To date, these seizure orders have not been validated by the Italian Courts. The Public Prosecutor lodged an appeal against the Italian Courts’ decisions, which was heard at the Supreme Court in Rome on March 25, 2014. The Supreme Court determined that the appeal should be denied in part, but that the case should be sent back to the lower court for further consideration in relation to one element of the case. Additionally, NIP commenced a claim against MPS in the English Courts in March 2013. The claim is for declaratory relief confirming that the Transactions remain valid and contractually binding. MPS filed and served its Defence and Counterclaim to these proceedings in March 2014. MPS alleges in its Counterclaim that NIP is liable to make restitution of a net amount of approximately EUR 1.5 billion, and seeks declarations regarding the illegality and invalidity of the Transactions. NIP filed and served its Reply and Defence to Counterclaim in June 2014 and continues to vigorously defend its position in each of the aforementioned proceedings. It is not possible for the Company to estimate the amount of reasonably possible loss in these proceedings. Numerous legal and factual issues may need to be resolved, including through potentially lengthy discovery and determination of important factual matters, and by addressing novel or unsettled legal questions relevant to the proceedings in question, before the amount of any potential liability can be reasonably estimated for these claims. The Company cannot predict if, how, or when the claims will be resolved or what any eventual settlement, fine, penalty or other relief may be, particularly since the claims are at an early stage in their development and the claimants are seeking substantial damages. | |||||||||||||||||||||||||
Nomura Securities Co., Ltd. (“NSC”) is the leading securities firm in Japan with approximately 5.14 million client accounts. Accordingly, with a significant number of client transactions, NSC is from time to time party to various Japanese civil litigation and other dispute resolution proceedings with clients relating to investment losses. These include an action commenced against NSC in April 2012 by a corporate client seeking ¥5,102 million in damages for losses on the pre-maturity cash out of 16 series of currency-linked structured notes purchased from NSC between 2003 and 2008, and an action commenced against NSC in April 2013 by a corporate client seeking ¥10,247 million in damages for losses on currency derivative transactions and the pre-maturity cash out or redemption of 11 series of equity-linked structured notes purchased from NSC between 2005 and 2011. Although the allegations of the clients involved in such actions include the allegation that NSC’s explanation was insufficient at the time the contracts were entered into, NSC believes these allegations are without merit. The specified amounts alleged are the Company’s current estimate of the maximum reasonably possible loss from these matters. | |||||||||||||||||||||||||
The Company supports the position of its subsidiaries in each of these claims. | |||||||||||||||||||||||||
Other mortgage-related contingencies in the U.S. | |||||||||||||||||||||||||
Certain of the Company’s subsidiaries in the U.S. securitized residential mortgage loans in the form of RMBS. These subsidiaries did not generally originate mortgage loans, but purchased mortgage loans from third-party loan originators (the “originators”). In connection with such purchases, these subsidiaries received loan level representations from the originators. In connection with the securitizations, the relevant subsidiaries provided loan level representations and warranties of the type generally described below, which mirror the representations the subsidiaries received from the originators. | |||||||||||||||||||||||||
The loan level representations made in connection with the securitization of mortgage loans were generally detailed representations applicable to each loan and addressed characteristics of the borrowers and properties. The representations included, but were not limited to, information concerning the borrower’s credit status, the loan-to-value ratio, the owner occupancy status of the property, the lien position, the fact that the loan was originated in accordance with the originator’s guidelines, and the fact that the loan was originated in compliance with applicable laws. Certain of the RMBS issued by the subsidiaries were structured with credit protection provided to specified classes of certificates by monoline insurers. | |||||||||||||||||||||||||
The relevant subsidiaries have received claims demanding the repurchase of certain loans from trustees of various securitization trusts, made at the instance of one or more investors, or from certificate insurers. The Company’s policy called for review of each claim received, and its subsidiaries have contested those claims believed to be without merit or have agreed to repurchase certain loans for those claims that the subsidiaries have determined to have merit. In several instances, following the rejection of repurchase demands, investors have instituted actions through the trustee alleging breach of contract. These breach of contract claims are at early stages and involve substantial legal uncertainty. | |||||||||||||||||||||||||
As at June 10, 2014, the total original principal amount of loans that are the subject of repurchase claims against the relevant subsidiaries is $3,203 million, including claims that are the subject of pending breach of contract actions. It should be noted, however, that the above amount does not include loans with a total original principal balance of $1,816 million that are the subject of repurchase claims rejected by the relevant subsidiaries as time-barred based on current law including a decision by the intermediate appellate court of New York State that claims alleging breach of representation must be brought within six years of the time the representation was made. The decision is currently the subject of a request for leave to appeal by plaintiff, but the Company believes the decision will stand. Due to the many legal and factual uncertainties involved, the Company cannot provide an estimate of reasonably possible loss for repurchase claims that relevant subsidiaries have decided to reject. | |||||||||||||||||||||||||
Guarantees— | |||||||||||||||||||||||||
ASC 460 “Guarantees” specifies the disclosures to be made in regards to obligations under certain issued guarantees and requires a liability to be recognized for the fair value of a guarantee obligation at inception. | |||||||||||||||||||||||||
In the normal course of business, Nomura enters into various guarantee arrangements with counterparties in the form of standby letters of credit and other guarantees, which generally have a fixed expiration date. | |||||||||||||||||||||||||
In addition, Nomura enters into certain derivative contracts that meet the accounting definition of a guarantee, namely derivative contracts that contingently require a guarantor to make payment to a guaranteed party based on changes in an underlying that relate to an asset, liability or equity security held by a guaranteed party. Since Nomura does not track whether its clients enter into these derivative contracts for speculative or hedging purposes, Nomura has disclosed below information about derivative contracts that could meet the accounting definition of guarantees. | |||||||||||||||||||||||||
For information about the maximum potential amount of future payments that Nomura could be required to make under certain derivatives, the notional amount of contracts has been disclosed. However, the maximum potential payout for certain derivative contracts, such as written interest rate caps and written currency options, cannot be estimated, as increases in interest or foreign exchange rates in the future could be theoretically unlimited. | |||||||||||||||||||||||||
Nomura records all derivative contracts at fair value on its consolidated balance sheets. Nomura believes the notional amounts generally overstate its risk exposure. Since the derivative contracts are accounted for at fair value, carrying value is considered the best indication of payment and performance risk for individual contracts. | |||||||||||||||||||||||||
The following table presents information on Nomura’s derivative contracts that could meet the accounting definition of a guarantee and standby letters of credit and other guarantees. | |||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Carrying | Maximum | Carrying | Maximum | ||||||||||||||||||||||
value | potential | value | potential | ||||||||||||||||||||||
payout / | payout / | ||||||||||||||||||||||||
Notional | Notional | ||||||||||||||||||||||||
total | total | ||||||||||||||||||||||||
Derivative contracts(1)(2) | ¥ | 4,510,650 | ¥ | 123,980,481 | ¥ | 5,155,198 | ¥ | 195,466,506 | |||||||||||||||||
Standby letters of credit and other guarantees(3) | 277 | 9,084 | 276 | 11,509 | |||||||||||||||||||||
-1 | Credit derivatives are disclosed in Note 3 “Derivative instruments and hedging activities” and are excluded from derivative contracts. | ||||||||||||||||||||||||
-2 | Derivative contracts primarily consist of equity, interest rate and foreign exchange contracts. | ||||||||||||||||||||||||
-3 | Collaterals held in connection with standby letters of credit and other guarantees as of March 31, 2013 and March 31, 2014 were ¥6,374 million and ¥6,487 million, respectively. | ||||||||||||||||||||||||
The following table presents maturity information on Nomura’s derivative contracts that could meet the accounting definition of a guarantee and standby letters of credit and other guarantees as of March 31, 2014. | |||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
Maximum potential payout/Notional | |||||||||||||||||||||||||
Years to Maturity | |||||||||||||||||||||||||
Carrying | Total | Less than | 1 to 3 years | 3 to 5 years | More than | ||||||||||||||||||||
value | 1 year | 5 years | |||||||||||||||||||||||
Derivative contracts | ¥ | 5,155,198 | ¥ | 195,466,506 | ¥ | 75,949,799 | ¥ | 48,551,110 | ¥ | 16,872,972 | ¥ | 54,092,625 | |||||||||||||
Standby letters of credit and other guarantees | 276 | 11,509 | 334 | 2,668 | 2 | 8,505 |
Segment_and_geographic_informa
Segment and geographic information | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||
Segment and geographic information | ' | ||||||||||||||||||||
Segment and geographic information | ' | ||||||||||||||||||||
24. Segment and geographic information: | |||||||||||||||||||||
Operating segments— | |||||||||||||||||||||
Nomura’s operating management and management reporting are prepared based on the Retail, the Asset Management, and the Wholesale segments. Nomura structures its business segments based upon the nature of its main products and services, its client base and its management structure. | |||||||||||||||||||||
The accounting policies for segment information materially follow U.S. GAAP, except for the impact of unrealized gains/losses on investments in equity securities held for operating purposes, which under U.S. GAAP are included in Income before income taxes, but excluded from segment information. | |||||||||||||||||||||
Revenues and expenses directly associated with each business segment are included in the operating results of each respective segment. Revenues and expenses that are not directly attributable to a particular segment are allocated to each respective business segment or included in “Other”, based upon Nomura’s allocation methodologies as used by management to assess each segment’s performance. | |||||||||||||||||||||
Business segments’ results are shown in the following tables. Net interest revenue is disclosed because management views interest revenue net of interest expense for its operating decisions. Business segments’ information on total assets is not disclosed because management does not utilize such information for its operating decisions and therefore, it is not reported to management. And, in accordance with the realignment in April 2012, certain prior period amounts have been reclassified to confirm with the current fiscal year presentation (Wholesale and “Other”). | |||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
Retail | Asset | Wholesale | Other | Total | |||||||||||||||||
Management | (Incl. elimination) | ||||||||||||||||||||
Year ended March 31, 2012 | |||||||||||||||||||||
Non-interest revenue | ¥ | 347,385 | ¥ | 63,022 | ¥ | 428,738 | ¥ | 572,918 | ¥ | 1,412,063 | |||||||||||
Net interest revenue | 2,873 | 2,778 | 126,311 | (11,973 | ) | 119,989 | |||||||||||||||
Net revenue | 350,258 | 65,800 | 555,049 | 560,945 | 1,532,052 | ||||||||||||||||
Non-interest expenses | 287,128 | 45,281 | 592,701 | 525,792 | 1,450,902 | ||||||||||||||||
Income (loss) before income taxes | ¥ | 63,130 | ¥ | 20,519 | ¥ | (37,652 | ) | ¥ | 35,153 | ¥ | 81,150 | ||||||||||
Year ended March 31, 2013 | |||||||||||||||||||||
Non-interest revenue | ¥ | 394,294 | ¥ | 66,489 | ¥ | 491,773 | ¥ | 695,695 | ¥ | 1,648,251 | |||||||||||
Net interest revenue | 3,631 | 2,448 | 153,083 | (31,467 | ) | 127,695 | |||||||||||||||
Net revenue | 397,925 | 68,937 | 644,856 | 664,228 | 1,775,946 | ||||||||||||||||
Non-interest expenses | 297,297 | 47,768 | 573,199 | 657,637 | 1,575,901 | ||||||||||||||||
Income (loss) before income taxes | ¥ | 100,628 | ¥ | 21,169 | ¥ | 71,657 | ¥ | 6,591 | ¥ | 200,045 | |||||||||||
Year ended March 31, 2014 | |||||||||||||||||||||
Non-interest revenue | ¥ | 505,911 | ¥ | 77,354 | ¥ | 637,987 | ¥ | 183,514 | ¥ | 1,404,766 | |||||||||||
Net interest revenue | 6,005 | 3,126 | 127,110 | 5,335 | 141,576 | ||||||||||||||||
Net revenue | 511,916 | 80,480 | 765,097 | 188,849 | 1,546,342 | ||||||||||||||||
Non-interest expenses | 319,915 | 53,373 | 653,299 | 168,869 | 1,195,456 | ||||||||||||||||
Income (loss) before income taxes | ¥ | 192,001 | ¥ | 27,107 | ¥ | 111,798 | ¥ | 19,980 | ¥ | 350,886 | |||||||||||
Transactions between operating segments are recorded within segment results on commercial terms and conditions and are eliminated in “Other” column. | |||||||||||||||||||||
The following table presents the major components of income (loss) before income taxes in “Other.” | |||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||
Net gain related to economic hedging transactions | ¥ | 8,372 | ¥ | 989 | ¥ | 17,403 | |||||||||||||||
Realized gain on investments in equity securities held for operating purposes | 198 | 1,001 | 4,428 | ||||||||||||||||||
Equity in earnings of affiliates | 10,613 | 14,401 | 28,571 | ||||||||||||||||||
Corporate items(1)(3) | (32,129 | ) | 17,652 | (38,772 | ) | ||||||||||||||||
Other(2)(3) | 48,099 | (27,452 | ) | 8,350 | |||||||||||||||||
Total(3) | ¥ | 35,153 | ¥ | 6,591 | ¥ | 19,980 | |||||||||||||||
-1 | Includes the gain due to the business combination with NLB in Corporate items during the year ended March 31, 2012. | ||||||||||||||||||||
-2 | Includes the impact of Nomura’s own creditworthiness. | ||||||||||||||||||||
-3 | In accordance with the realignment in April 2012, certain prior period amounts of Wholesale and “Other” have been reclassified to conform to the current period presentation. | ||||||||||||||||||||
The table below presents reconciliations of the combined business segments’ results included in the preceding table to Nomura’s reported Net revenue, Non-interest expenses and Income before income taxes in the consolidated statements of income. | |||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||
Net revenue | ¥ | 1,532,052 | ¥ | 1,775,946 | ¥ | 1,546,342 | |||||||||||||||
Unrealized gain (loss) on investments in equity securities held for operating purposes | 3,807 | 37,685 | 10,728 | ||||||||||||||||||
Consolidated net revenue | ¥ | 1,535,859 | ¥ | 1,813,631 | ¥ | 1,557,070 | |||||||||||||||
Non-interest expenses | ¥ | 1,450,902 | ¥ | 1,575,901 | ¥ | 1,195,456 | |||||||||||||||
Unrealized gain (loss) on investments in equity securities held for operating purposes | — | — | — | ||||||||||||||||||
Consolidated non-interest expenses | ¥ | 1,450,902 | ¥ | 1,575,901 | ¥ | 1,195,456 | |||||||||||||||
Income before income taxes | ¥ | 81,150 | ¥ | 200,045 | ¥ | 350,886 | |||||||||||||||
Unrealized gain (loss) on investments in equity securities held for operating purposes | 3,807 | 37,685 | 10,728 | ||||||||||||||||||
Consolidated income before income taxes | ¥ | 84,957 | ¥ | 237,730 | ¥ | 361,614 | |||||||||||||||
Geographic information— | |||||||||||||||||||||
Nomura’s identifiable assets, revenues and expenses are generally allocated based on the country of domicile of the legal entity providing the service. However, because of the integration of the global capital markets and the corresponding global nature of Nomura’s activities and services, it is not always possible to make a precise separation by location. As a result, various assumptions, which are consistent among years, have been made in presenting the following geographic data. | |||||||||||||||||||||
The tables below present a geographic allocation of net revenue and income (loss) before income taxes from operations by geographic areas, and long-lived assets associated with Nomura’s operations. Net revenue in “Americas” and “Europe” substantially represents Nomura’s operations in the U.S. and the U.K., respectively. Net revenue and long-lived assets have been allocated based on transactions with external customers while income (loss) before income taxes has been allocated based on the inclusion of intersegment transactions. | |||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||
Net revenue(1): | |||||||||||||||||||||
Americas | ¥ | 143,350 | ¥ | 208,962 | ¥ | 262,684 | |||||||||||||||
Europe | 195,826 | 172,761 | 232,735 | ||||||||||||||||||
Asia and Oceania | 34,819 | 43,265 | 62,622 | ||||||||||||||||||
Subtotal | 373,995 | 424,988 | 558,041 | ||||||||||||||||||
Japan | 1,161,864 | 1,388,643 | 999,029 | ||||||||||||||||||
Consolidated | ¥ | 1,535,859 | ¥ | 1,813,631 | ¥ | 1,557,070 | |||||||||||||||
Income (loss) before income taxes: | |||||||||||||||||||||
Americas | ¥ | (24,612 | ) | ¥ | 25,730 | ¥ | 29,472 | ||||||||||||||
Europe | (91,544 | ) | (93,099 | ) | (48,911 | ) | |||||||||||||||
Asia and Oceania | (12,937 | ) | (12,063 | ) | (5,247 | ) | |||||||||||||||
Subtotal | (129,093 | ) | (79,432 | ) | (24,686 | ) | |||||||||||||||
Japan | 214,050 | 317,162 | 386,300 | ||||||||||||||||||
Consolidated | ¥ | 84,957 | ¥ | 237,730 | ¥ | 361,614 | |||||||||||||||
March 31 | |||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||
Long-lived assets: | |||||||||||||||||||||
Americas | ¥ | 94,698 | ¥ | 118,302 | ¥ | 133,147 | |||||||||||||||
Europe | 114,195 | 111,381 | 93,111 | ||||||||||||||||||
Asia and Oceania | 23,892 | 20,471 | 16,163 | ||||||||||||||||||
Subtotal | 232,785 | 250,154 | 242,421 | ||||||||||||||||||
Japan | 973,711 | 294,002 | 281,780 | ||||||||||||||||||
Consolidated | ¥ | 1,206,496 | ¥ | 544,156 | ¥ | 524,201 | |||||||||||||||
-1 | There is no revenue derived from transactions with a single major external customer. |
Supplementary_subsidiary_guara
Supplementary subsidiary guarantee information required under SEC rules | 12 Months Ended |
Mar. 31, 2014 | |
Supplementary subsidiary guarantee information required under SEC rules | ' |
Supplementary subsidiary guarantee information required under SEC rules | ' |
25. Supplementary subsidiary guarantee information required under SEC rules: | |
The Company provides several guarantees of debt of its subsidiaries. The Company has fully and unconditionally guaranteed the securities issued or to be issued by Nomura America Finance LLC, which is an indirect, wholly owned finance subsidiary of the Company. |
Summary_of_accounting_policies1
Summary of accounting policies (Policies) | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Summary of accounting policies | ' | ||||||||
Description of business | ' | ||||||||
Description of business— | |||||||||
Nomura Holdings, Inc. (the “Company”) and its broker-dealer, banking and other financial services subsidiaries provide investment, financing and related services to individual, institutional and government clients on a global basis. The Company and other entities in which it has a controlling financial interest are collectively referred to as “Nomura” within these consolidated financial statements. | |||||||||
Nomura operates its business through various divisions based upon the nature of specific products and services, its main client base and its management structure. Nomura reports operating results through three business segments: Retail, Asset Management and Wholesale. | |||||||||
In its Retail segment, Nomura provides investment consultation services mainly to individual clients in Japan. In its Asset Management segment, Nomura develops and manages investment trusts, and provides investment advisory services. In its Wholesale segment, Nomura is engaged in the sales and trading of debt and equity securities, derivatives, and currencies on a global basis to various institutions, provides investment banking services such as the underwriting of debt and equity securities as well as mergers and acquisitions and financial advice and invests in private equity businesses and seeks to maximize returns on these investments by increasing the corporate value of investee companies. | |||||||||
Basis of presentation | ' | ||||||||
Basis of presentation— | |||||||||
The accounting and financial reporting policies of the Company conform to accounting principles generally accepted in the United States (“U.S. GAAP”) as applicable to broker-dealers. | |||||||||
These consolidated financial statements include the accounts of the Company and other entities in which it has a controlling financial interest. The Company initially determines whether it has a controlling financial interest in an entity by evaluating whether the entity is a variable interest entity (“VIE”) under Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”) 810 “Consolidation” (“ASC 810”). VIEs are entities in which equity investors do not have the characteristics of a controlling financial interest or which do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support. The Company consolidates VIEs where Nomura is the primary beneficiary, which is where Nomura holds variable interests that provide power over the most significant activities of the VIE and the right to receive benefits or the obligation to absorb losses meeting a significance test, provided that Nomura is not acting as a fiduciary for other interest holders. For certain VIEs that qualify as investment companies under ASC 946 “Financial Services—Investment Companies” (“ASC 946”) or for which it is industry practice to apply guidance consistent with the measurement principles in ASC 946, Nomura is the primary beneficiary when it holds an interest that will absorb a majority of the expected losses or a majority of the expected residual returns of the entity, or both. | |||||||||
For entities other than VIEs, Nomura is generally determined to have a controlling financial interest in an entity when it owns a majority of the voting interests. | |||||||||
Equity investments in entities in which Nomura has significant influence over operating and financial decisions (generally defined as 20 to 50 percent of the voting stock of a corporate entity, or at least 3 percent of a limited partnership) are accounted for under the equity method of accounting (“equity method investments”) and reported within Other assets—Investments in and advances to affiliated companies or at fair value by electing the fair value option permitted by ASC 825 “Financial Instruments” (“ASC 825”) and reported within Trading assets, Private equity investments or Other assets—Other. Other investments are reported within Trading assets. Equity investments in which Nomura has neither control nor significant influence are carried at fair value, with changes in fair value recognized through the consolidated statements of income or the consolidated statements of comprehensive income. | |||||||||
Certain entities in which Nomura has a financial interest are investment companies under ASC 946. These entities carry all of their investments at fair value, with changes in fair value recognized through the consolidated statements of income. | |||||||||
The Company’s principal subsidiaries include Nomura Securities Co., Ltd. (“NSC”), Nomura Securities International, Inc. (“NSI”) and Nomura International plc (“NIP”). | |||||||||
All material intercompany transactions and balances have been eliminated on consolidation. Certain reclassifications of previously reported amounts have been made to conform to the current year presentation. | |||||||||
Use of estimates | ' | ||||||||
Use of estimates— | |||||||||
In presenting these consolidated financial statements, management makes estimates regarding the valuation of certain financial instruments and investments, the outcome of litigation and tax examinations, the recovery of the carrying value of goodwill, the allowance for doubtful accounts, the realization of deferred tax assets and other matters that affect the reported amounts of assets and liabilities as well as the disclosures in these consolidated financial statements. Estimates, by their nature, are based on judgment and available information. Therefore, actual results may differ from estimates which could have a material impact on these consolidated financial statements, and it is possible that such adjustments could occur in the near term. | |||||||||
Fair value of financial instruments | ' | ||||||||
Fair value of financial instruments— | |||||||||
A significant amount of Nomura’s financial assets and financial liabilities are carried at fair value, with changes in fair value recognized through the consolidated statements of income or the consolidated statements of comprehensive income. Use of fair value is either specifically required under U.S. GAAP or Nomura makes an election to use fair value for certain eligible items under the fair value option. | |||||||||
Other financial assets and financial liabilities are carried at fair value on a nonrecurring basis, where the primary measurement basis is not fair value. Fair value is only used in specific circumstances after initial recognition, such as to measure impairment. | |||||||||
In all cases, fair value is determined in accordance with ASC 820 “Fair Value Measurements and Disclosures” (“ASC 820”) which defines fair value as the amount that would be exchanged to sell a financial asset or transfer a financial liability in an orderly transaction between market participants at the measurement date. It assumes that the transaction occurs in Nomura’s principal market, or in the absence of a principal market, the most advantageous market for the relevant financial asset or financial liability. See Note 2 “Fair value measurements” for further information regarding how Nomura estimates fair value for specific types of financial instruments used in the ordinary course of business. | |||||||||
Private equity business | ' | ||||||||
Private equity business— | |||||||||
Private equity investments are generally carried at fair value, with changes in fair value recognized through the consolidated statements of income. See Note 4 “Private equity business” for further information. | |||||||||
Transfers of financial assets | ' | ||||||||
Transfers of financial assets— | |||||||||
Nomura accounts for the transfer of a financial asset as a sale when Nomura relinquishes control over the asset by meeting the following conditions: (a) the asset has been isolated from the transferor (even in bankruptcy or other receivership), (b) the transferee has the right to pledge or exchange the asset received, or if the transferee is an entity whose sole purpose is to engage in securitization or asset-backed financing activities, if, the holders of its beneficial interests have the right to pledge or exchange the beneficial interests held and (c) the transferor has not maintained effective control over the transferred asset. | |||||||||
In connection with its securitization activities, Nomura utilizes special purpose entities (“SPEs”) to securitize commercial and residential mortgage loans, government and corporate securities and other types of financial assets. Nomura’s involvement with SPEs includes structuring and underwriting, distributing and selling debt instruments and beneficial interests issued by SPEs to investors. Nomura derecognizes financial assets transferred in securitizations provided that Nomura has relinquished control over such assets and does not consolidate the SPE. Nomura may obtain or retain an interest in the financial assets, including residual interests in the SPEs dependent upon prevailing market conditions. Any such interests are accounted for at fair value and reported within Trading assets in the consolidated balance sheets with the change in fair value reported within Revenue—Net gain on trading in the consolidated statements of income. | |||||||||
Foreign currency translation | ' | ||||||||
Foreign currency translation— | |||||||||
The financial statements of the Company’s subsidiaries are measured using their functional currency which is the currency of the primary economic environment in which the entity operates. All assets and liabilities of subsidiaries which have a functional currency other than Japanese yen are translated into Japanese yen at exchange rates in effect at the balance sheet date; all revenue and expenses are translated at the average exchange rates for the respective years and the resulting translation adjustments are accumulated and reported within Accumulated other comprehensive income (loss) in NHI shareholders’ equity. | |||||||||
Foreign currency assets and liabilities are translated at exchange rates in effect at the balance sheet date and the resulting translation gains or losses are credited or charged to the consolidated statements of income. | |||||||||
Fee revenue | ' | ||||||||
Fee revenue— | |||||||||
Revenue—Commissions includes amounts charged for executing brokerage transactions accrued on a trade date basis and are included in current period earnings. Revenue—Fees from investment banking includes securities underwriting fees and other corporate financing services fees. Underwriting fees are recorded when services for underwriting are completed. All other fees are recognized when related services are performed. Revenue—Asset management and portfolio service fees are accrued over the period that the related services are provided or when specified performance requirements are met. | |||||||||
Trading assets and trading liabilities | ' | ||||||||
Trading assets and trading liabilities— | |||||||||
Trading assets and Trading liabilities primarily comprise debt and equity securities, derivatives and loans which are generally recognized on the consolidated balance sheets on a trade date basis and carried at fair value with changes in fair value reported within Revenue—Net gain on trading in the consolidated statements of income. | |||||||||
Collateralized agreements and collateralized financing | ' | ||||||||
Collateralized agreements and collateralized financing— | |||||||||
Collateralized agreements consist of reverse repurchase agreements disclosed as Securities purchased under agreements to resell and securities borrowing transactions disclosed as Securities borrowed. Collateralized financing consists of repurchase agreements disclosed as Securities sold under agreements to repurchase, securities lending transactions disclosed as Securities loaned and other secured borrowings. | |||||||||
Reverse repurchase and repurchase agreements principally involve the buying or selling of securities under agreements with clients to resell or repurchase these securities to or from those clients, respectively. These transactions are generally accounted for as collateralized agreements or collateralized financing transactions and are recognized in the consolidated balance sheets at the amount for which the securities were originally acquired or sold with applicable accrued interest, as appropriate. Certain reverse repurchase and repurchase agreements are carried at fair value through election of the fair value option. No allowance for credit losses is generally recognized against reverse repurchase agreements due to the strict collateralization requirements. | |||||||||
Repurchase agreements where the maturity of the security transferred as collateral matches the maturity of the repurchase agreement (“repurchase-to-maturity transactions”) are accounted for as sales rather than collateralized financings where the criteria for derecognition of the securities transferred under ASC 860 “Transfers and Servicing” (“ASC 860”) are met. There were no securities derecognized from the consolidated balance sheets under repurchase-to-maturity transactions as of March 31, 2013 and 2014, respectively. | |||||||||
In June 2014, the FASB issued new guidance which changes the accounting for repurchase-to-maturity transactions. See “Future accounting developments” below for further information regarding this new guidance. | |||||||||
Nomura also enters into Gensaki Repo transactions which are the standard type of repurchase agreement used in the Japanese financial market. Gensaki Repo transactions contain margin requirements, rights of security substitution, and certain restrictions on the client’s right to sell or repledge the transferred securities. Gensaki Repo transactions are accounted for as collateralized agreements or collateralized financing transactions and are recognized on the consolidated balance sheets at the amount that the securities were originally acquired or sold with applicable accrued interest, as appropriate. | |||||||||
Reverse repurchase agreements and repurchase agreements, securities borrowing and lending transactions with the same counterparty documented under a master netting agreement are offset in the consolidated balance sheets where the specific criteria defined by ASC 210-20 “Balance Sheet—Offsetting” (“ASC 210-20”) are met. These criteria include requirements around the maturity of the transactions, the underlying systems on which the collateral is settled, associated banking arrangements and the legal enforceability of close-out and offsetting rights under the master netting agreement. | |||||||||
Securities borrowing and lending transactions are generally accounted for as collateralized agreements and collateralized financing transactions, respectively. These transactions are generally cash collateralized and are recognized on the consolidated balance sheets at the amount of cash collateral advanced or received. No allowance for credit losses is generally recognized against securities borrowing transactions due to the strict collateralization requirements. | |||||||||
Other secured borrowings consist primarily of secured borrowings from financial institutions and central banks in the inter-bank money market, and are recorded at contractual amounts due. | |||||||||
Trading balances of secured borrowings consist of liabilities related to transfers of financial assets that are accounted for as secured financing transactions rather than sales and are reported in the consolidated balance sheets within Long-term borrowings. The fair value option is generally elected for these transactions, which are carried at fair value on a recurring basis. See Note 8 “Securitizations and Variable Interest Entities” and Note 13 “Borrowings” for further information regarding these transactions. | |||||||||
All Nomura-owned securities pledged to counterparties where the counterparty has the right to sell or repledge the securities, including collateral transferred under Gensaki Repo transactions, are reported parenthetically within Trading assets as Securities pledged as collateral in the consolidated balance sheets. | |||||||||
Derivatives | ' | ||||||||
Derivatives— | |||||||||
Nomura uses a variety of derivative financial instruments, including futures, forwards, swaps and options, for both trading and non-trading purposes. All freestanding derivatives are carried at fair value in the consolidated balance sheets and reported within Trading assets or Trading liabilities depending on whether fair value is positive or negative, respectively. Certain derivatives embedded in hybrid financial instruments such as structured notes and certificates of deposit are bifurcated from the host contract and are also carried at fair value in the consolidated balance sheets and reported within Short-term borrowings or Long-term borrowings depending on the maturity of the underlying host contract. | |||||||||
Changes in fair value are recognized either through the consolidated statements of income or the consolidated statements of comprehensive income depending on the purpose for which the derivatives are used. | |||||||||
Derivative assets and liabilities with the same counterparty documented under a master netting agreement are offset in the consolidated balance sheets where the specific criteria defined by ASC 210-20 and ASC 815 “Derivatives and Hedging” (“ASC 815”) are met. These criteria include requirements around the legal enforceability of such close-out and offset rights under the master netting agreement. In addition, fair value amounts recognized for the right to reclaim cash collateral (a receivable) and the obligation to return cash collateral (a payable) are also offset against net derivative liabilities and net derivative assets, respectively, where certain additional criteria are met. | |||||||||
Trading | |||||||||
Derivative financial instruments used for trading purposes, including bifurcated embedded derivatives, are carried at fair value with changes in fair value reported in the consolidated statements of income within Revenue—Net gain on trading. | |||||||||
Non-trading | |||||||||
In addition to its trading activities, Nomura uses derivative financial instruments for other than trading purposes such as to manage risk exposures arising from recognized assets and liabilities, forecasted transactions and firm commitments. Certain derivatives used for non-trading purposes are formally designated as fair value and net investment hedges under ASC 815. | |||||||||
Nomura designates derivative financial instruments as fair value hedges of interest rate risk arising from specific financial liabilities. These derivatives are effective in reducing the risk associated with the exposure being hedged and they are highly correlated with changes in the fair value of the underlying hedged item, both at inception and throughout the life of the hedge contract. Changes in fair value of the hedging derivatives are reported together with those of the hedged liabilities through the consolidated statements of income within Interest expense. | |||||||||
Derivative financial instruments designated as hedges of the net investment in foreign operations are linked to specific subsidiaries with non-Japanese yen functional currencies. When determining the effectiveness of net investment hedges, the effective portion of the change in fair value of the hedging derivative is determined by changes in spot exchange rates and is reported through NHI shareholders’ equity within Accumulated other comprehensive income (loss). The change in fair value of the hedging derivatives attributable to changes in the difference between the forward rate and spot rate is excluded from the measure of hedge effectiveness and is reported in the consolidated statements of income within Revenue—Other. | |||||||||
See Note 3 “Derivative instruments and hedging activities” for further information. | |||||||||
Loans receivable | ' | ||||||||
Loans receivable— | |||||||||
Loans receivable are loans which management intends to hold for the foreseeable future. Loans receivable are either carried at fair value or at amortized cost. Interest earned on loans receivable is generally reported in the consolidated statements of income within Revenue—Interest and dividends. | |||||||||
Loans receivable carried at fair value | |||||||||
Certain loans which are risk managed on a fair value basis are carried at fair value through election of the fair value option. Nomura makes this election to mitigate volatility in the consolidated statements of income caused by the difference in measurement basis that would otherwise exist between the loans and the derivatives used to risk manage those loans. Changes in the fair value of loans receivable carried at fair value are reported in the consolidated statements of income within Revenue—Net gain on trading. | |||||||||
Loans receivable carried at amortized cost | |||||||||
Loans receivable which are not carried at fair value are carried at amortized cost. Amortized cost represents cost adjusted for deferred fees and costs, unamortized premiums or discounts on purchased loans and after deducting any applicable allowance for loan losses. | |||||||||
Loan origination fees, net of direct origination costs, are amortized to Revenue—Interest and dividends as an adjustment to yield over the life of the loan. Net unamortized deferred fees and costs were ¥406 million and ¥808 million as of March 31, 2013 and March 31, 2014, respectively. | |||||||||
See Note 9 “Financing receivables” for further information. | |||||||||
Other receivables | ' | ||||||||
Other receivables— | |||||||||
Receivables from customers include amounts receivable on client securities transactions and Receivables from other than customers include amounts receivable for securities failed to deliver, margin deposits, cash collateral receivables for derivative transactions commissions, and net receivables arising from unsettled securities transactions. The net receivable arising from unsettled securities transactions reported within Receivables from other than customers was ¥258,604 million and ¥349,573 million as of March 31, 2013 and March 31, 2014, respectively. | |||||||||
These amounts are carried at contractual amounts due less any applicable allowance for credit losses which reflects management’s best estimate of probable losses incurred within these receivables which have been specifically identified as impaired. The allowance for credit losses is reported in the consolidated balance sheets within Allowance for doubtful accounts. | |||||||||
Loan commitments | ' | ||||||||
Loan commitments— | |||||||||
Unfunded loan commitments are accounted for as either off-balance sheet instruments, or are carried at fair value on a recurring basis either as trading instruments or through election of the fair value option. | |||||||||
Loan commitments are generally accounted for in a manner consistent with the accounting for the loan receivable upon funding. Where the loan receivable will be classified as a trading asset or will be elected for the fair value option, the loan commitment is also generally held at fair value, with changes in fair value reported in the consolidated statements of income within Revenue—Net gain on trading. Loan commitment fees are recognized as part of the fair value of the commitment. | |||||||||
For loan commitments where the loan will be held for the foreseeable future, Nomura recognizes an allowance for credit losses which is reported within Other liabilities—other in the consolidated balance sheets which reflects management’s best estimate of probable losses incurred within the loan commitments which have been specifically identified as impaired. Loan commitment fees are generally deferred and recognized over the term of the loan when funded as an adjustment to yield. If drawdown of the loan commitment is considered remote, loan commitment fees are recognized over the commitment period as service revenue. | |||||||||
Payables and deposits | ' | ||||||||
Payables and deposits— | |||||||||
Payables to customers include amounts payable on client securities transactions and are generally measured at contractual amounts due. | |||||||||
Payables to other than customers include payables to brokers and dealers for securities failed to receive, cash collateral payable for derivative transactions and net payables arising from unsettled securities transactions. Amounts are measured at contractual amounts due. | |||||||||
Deposits received at banks represent amounts held on deposit within Nomura’s banking subsidiaries and are measured at contractual amounts due. | |||||||||
Office buildings, land, equipment and facilities | ' | ||||||||
Office buildings, land, equipment and facilities— | |||||||||
Office buildings, land, equipment and facilities, held for use by Nomura are stated at cost, net of accumulated depreciation and amortization, except for land, which is stated at cost. Significant renewals and additions are capitalized at cost. Maintenance, repairs and minor renewals are expensed as incurred in the consolidated statements of income. | |||||||||
The following table presents a breakdown of Office buildings, land, equipment and facilities as of March 31, 2013 and 2014. | |||||||||
Millions of yen | |||||||||
March 31 | |||||||||
2013 | 2014 | ||||||||
Land | ¥ | 93,800 | ¥ | 94,991 | |||||
Office buildings | 104,320 | 109,052 | |||||||
Equipment and facilities | 52,644 | 48,101 | |||||||
Software | 161,469 | 156,717 | |||||||
Construction in progress | 16,008 | 56 | |||||||
Total | ¥ | 428,241 | ¥ | 408,917 | |||||
Depreciation and amortization charges are generally computed using the straight-line method and at rates based on estimated useful lives of each asset according to general class, type of construction and use. The estimated useful lives for significant asset classes are as follows: | |||||||||
Office buildings | 5 to 50 years | ||||||||
Equipment and facilities | 2 to 20 years | ||||||||
Software | Up to 5 years | ||||||||
Depreciation and amortization is reported within Non-interest expenses—Information processing and communications in the amount of ¥54,083 million, ¥55,992 million, ¥57,173 million, and in Non-interest expenses—Occupancy and related depreciation in the amount of ¥46,489 million, and ¥35,501 million, and ¥22,295 million for the years ended March 31, 2012, 2013 and 2014, respectively. | |||||||||
Leases that involve real estate are classified as either operating or capital leases in accordance with ASC 840 “Leases” (“ASC 840”). Rent expense relating to operating leases is recognized over the lease term on a straight-line basis. If the lease is classified as a capital lease, Nomura recognizes the real estate as an asset on the consolidated balance sheets together with a lease obligation. The real estate is initially recognized at the lower of its fair value or present value of minimum lease payments, and subsequently depreciated over its useful life on straight-line basis. Where Nomura has certain involvement in the construction of real estate subject to a lease, Nomura is deemed the owner of the construction project and recognizes the real estate on the consolidated balance sheets until construction is completed. At the end of the construction period the real estate is either derecognized or continues to be recognized on the consolidated balance sheets in accordance with ASC 840, depending on the extent of Nomura’s continued involvement with the real estate. | |||||||||
Long-lived assets, excluding goodwill and indefinite-lived intangible assets, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. If the estimated future undiscounted cash flows generated by the asset is less than the carrying amount of the asset, a loss is recognized to the extent that the carrying value exceeds its fair value. | |||||||||
Nomura recognized impairment charges of ¥3,135 million, and ¥5,455 million, and ¥1,246 million primarily related to write-downs of software, office buildings, land, equipment, facilities, and other assets for the years ended March 31, 2012, 2013 and 2014, respectively. The current year impairment was primarily attributable to a change in use of certain buildings during the year. These losses are reported in the consolidated statements of income within Non-interest expenses—Other and within Other in Nomura’s segment reporting. The revised carrying values of these assets were based on the estimated fair value of the assets. | |||||||||
Investments in equity securities | ' | ||||||||
Investments in equity securities— | |||||||||
Nomura holds minority stakes in the equity securities of unaffiliated Japanese financial institutions and corporations in order to promote existing and potential business relationships. These companies will also often have similar investments in Nomura. Such cross-holdings are a customary business practice in Japan and provide a way for companies to manage shareholder relationships. | |||||||||
These investments, which Nomura refers to as being held for operating purposes, are carried at fair value and reported within Other assets—Investments in equity securities in the consolidated balance sheets, with changes in fair value reported within Revenue—Gain on investments in equity securities in the consolidated statements of income. These investments comprise listed and unlisted equity securities in the amounts of ¥84,739 million and ¥38,751 million, respectively, as of March 31, 2013 and ¥98,736 million and ¥38,004 million, respectively, as of March 31, 2014. | |||||||||
Other non-trading debt and equity securities | ' | ||||||||
Other non-trading debt and equity securities— | |||||||||
Certain non-trading subsidiaries within Nomura and an insurance subsidiary which was acquired during the year ended March 31, 2012 hold debt securities and minority stakes in equity securities for non-trading purposes. Non-trading securities held by non-trading subsidiaries are carried at fair value and reported within Other assets—Non-trading debt securities and Other assets—Other in the consolidated balance sheets with changes in fair value reported within Revenue—Other in the consolidated statements of income. Non-trading securities held by the insurance subsidiary are also carried at fair value within Other assets—Non-trading debt securities and Other assets—Other in the consolidated balance sheets, and unrealized changes in fair value are reported net-of-tax within Other comprehensive income (loss) in the consolidated statements of comprehensive income. Realized gains and losses on non-trading securities are reported within Revenue—Other in the consolidated statements of income. | |||||||||
Where the fair value of non-trading securities held by Nomura’s insurance subsidiary has declined below amortized cost, these are assessed to determine whether the decline in fair value is other-than-temporary in nature. Nomura considers quantitative and qualitative factors including the length of time and extent to which fair value has been less than amortized cost, the financial condition and near-term prospects of the issuer and Nomura’s intent and ability to hold the securities for a period of time sufficient to allow for any anticipated recovery in fair value. If an other-than-temporary impairment loss exists, for equity securities, the security is written down to fair value, with the entire difference between fair value and amortized cost reported within Revenue—Other in the consolidated statements of income. For debt securities, an other-than-temporary impairment loss is also reported within Revenue—Other in the consolidated statements of income if Nomura intends to sell the debt security or it is more-likely-than-not that Nomura will be required to sell the debt security before recovery of amortized cost. If Nomura does not expect to sell or be required to sell the debt security, only the credit loss component of an other-than-temporary impairment loss is reported in the consolidated statements of income and any non-credit loss component reported within Other comprehensive income (loss) in the consolidated statements of comprehensive income. | |||||||||
See Note 7 “Non-trading securities” for further information regarding these securities. | |||||||||
Short-term and long-term borrowings | ' | ||||||||
Short-term and long-term borrowings— | |||||||||
Short-term borrowings are defined as borrowings which are due on demand, which have a contractual maturity of one year or less at issuance date, or which have a longer contractual maturity but which contain features outside of Nomura’s control that allows the investor to demand redemption within one year from original issuance date. Short-term and long-term borrowings primarily consist of commercial paper, bank borrowings, and certain structured notes issued by Nomura and SPEs consolidated by Nomura, and financial liabilities recognized in transfers of financial assets which are accounted for as financings rather than sales under ASC 860 (“secured financing transactions”). Of these financial liabilities, certain structured notes and secured financing transactions are accounted for at fair value on a recurring basis through election of the fair value option. Other short and long-term borrowings are carried at amortized cost. | |||||||||
Structured notes | ' | ||||||||
Structured notes— | |||||||||
Structured notes are debt securities which contain embedded features (often meeting the accounting definition of a derivative) that alter the return to the investor from simply receiving a fixed or floating rate of interest to a return that depends upon some other variable(s) such as an equity or equity index, commodity price, foreign exchange rate, credit rating of a third party or more complex interest rate calculation. | |||||||||
All structured notes issued by Nomura on or after April 1, 2008 are carried at fair value on a recurring basis through election of the fair value option. This blanket election for structured notes is made primarily to mitigate the volatility in the consolidated statements of income caused by differences in the measurement basis for structured notes and the derivatives used to risk manage those positions and to generally simplify the accounting Nomura applies to these financial instruments. | |||||||||
Certain structured notes outstanding as of March 31, 2008 were already measured at fair value but others continue to be accounted for by Nomura by bifurcating the embedded derivative from the associated debt host contract. The embedded derivative is accounted for at fair value and the debt host contract is accounted for at amortized cost. | |||||||||
Changes in the fair value of structured notes elected for the fair value option and bifurcated embedded derivatives are reported within Revenue—Net gain on trading in the consolidated statements of income. | |||||||||
Income taxes | ' | ||||||||
Income taxes— | |||||||||
Deferred tax assets and liabilities are recorded for the expected future tax consequences of tax loss carryforwards and temporary differences between the carrying amounts and the tax bases of assets and liabilities based upon enacted tax laws and tax rates. Nomura recognizes deferred tax assets to the extent it believes that it is more likely than not that a benefit will be realized. A valuation allowance is provided for tax benefits available to Nomura that are not deemed more likely than not to be realized. | |||||||||
Nomura recognizes and measures unrecognized tax benefits based on Nomura’s estimate of the likelihood, based on the technical merits, that tax positions will be sustained upon examination based on the facts and circumstances and information available at the end of each period. Nomura adjusts the level of unrecognized tax benefits when there is more information available, or when an event occurs requiring a change. The reassessment of unrecognized tax benefits could have a material impact on Nomura’s effective tax rate in the period in which it occurs. | |||||||||
Stock-based and other compensation awards | ' | ||||||||
Stock-based and other compensation awards— | |||||||||
Stock-based awards issued by Nomura to senior management and other employees are classified as either equity or liability awards depending on the terms of the award. | |||||||||
Stock-based awards such as Stock Acquisition Rights (“SARs”) which are expected to be settled by the delivery of the Company’s shares are classified as equity awards. For these awards, total compensation cost is generally fixed at the grant date and measured using the grant-date fair value of the award, net of any amount the employee is obligated to pay and estimated forfeitures. | |||||||||
Stock-based awards such as Notional Stock Units (“NSUs”) and Collared Notional Stock Units (“CSUs”) which are expected to be settled in cash are classified as liability awards. Other awards such as Notional Index Units (“NIUs”) which are linked to a world stock index quoted by Morgan Stanley Capital International and which are expected to be cash settled are also effectively classified as liability awards. Liability awards are remeasured to fair value at each balance sheet date, net of estimated forfeitures with the final measurement of cumulative compensation cost equal to the settlement amount. | |||||||||
Multi-year Performance Deferral (“MYPD”) awards which contain performance conditions and are expected to result in the issuance of SARs are classified as equity awards. MYPD awards expected to result in the issuance of NSUs are classified as liability awards. | |||||||||
For both equity and liability awards, fair value is determined either by using option pricing models, the market price of the Company’s shares or the price of the third party index, as appropriate. Compensation cost is recognized in the consolidated statements of income over the requisite service period, which generally is equal to the vesting period. For MYPD awards with performance conditions, compensation expense is also recognized over the requisite service period to the extent it is probable that the performance conditions will be met. Where an award has graded vesting, compensation expense is recognized using the accelerated recognition method. | |||||||||
Certain new deferred awards granted since May 2013 include “Full Career Retirement” provisions which permit recipients of the awards to continue to vest in the awards upon voluntary termination if certain criteria based on corporate title and length of service within Nomura are met. The requisite service period for these awards ends on the date that the recipients become eligible for Full Career Retirement. | |||||||||
See Note 16 “Deferred compensation plans” for further information regarding these awards. | |||||||||
Earnings per share | ' | ||||||||
Earnings per share— | |||||||||
The computation of basic earnings per share is based on the weighted average number of shares outstanding during the year. Diluted earnings per share reflects the assumed conversion of all dilutive securities based on the most advantageous conversion rate or exercise price available to the investors, and assuming conversion of convertible debt under the if-converted method. | |||||||||
Cash and cash equivalents | ' | ||||||||
Cash and cash equivalents— | |||||||||
Nomura defines cash and cash equivalents as cash on hand and demand deposits with banks. | |||||||||
Goodwill and intangible assets | ' | ||||||||
Goodwill and intangible assets— | |||||||||
Goodwill is recognized upon completion of a business combination as the difference between the purchase price and the fair value of the net assets acquired. Subsequent to initial recognition, goodwill is not amortized but is tested for impairment at a reporting unit level during the fourth quarter of each fiscal year, or more frequently during earlier interim periods if events or circumstances indicate there may be impairment. Nomura’s reporting units are at one level below its business segments. | |||||||||
Nomura tests goodwill of each separate reporting unit by initially qualitatively assessing whether events and circumstances indicate that it is more-likely-than-not (i.e. greater than 50%) that a reporting unit’s fair value is less than its carrying amount. If such assessment indicates fair value is not less than the carrying value, the reporting unit is deemed not to be impaired and no further analysis is required. If it is more-likely-than-not that the fair value of the reporting unit is below its carrying value, a quantitative two-step impairment test is then performed. | |||||||||
In the first step, the current estimated fair value of the reporting unit is compared with its carrying value, including goodwill. If the fair value is less than the carrying value, then a second step is performed. In the second step, the implied current fair value of the reporting unit’s goodwill is determined by comparing the fair value of the reporting unit to the fair value of the net assets of the reporting unit, as if the reporting unit were being acquired in a business combination. An impairment loss is recognized if the carrying value of goodwill exceeds its implied current fair value. | |||||||||
Intangible assets not subject to amortization (“indefinite-lived intangible assets”) are also tested for impairment on an individual asset basis during the fourth quarter of each fiscal year, or more frequently during earlier interim periods if events or circumstances indicate there may be impairment. Similar to goodwill, Nomura tests an indefinite-lived intangible asset by initially qualitatively assessing whether events or circumstances indicate that it is more-likely-than-not that the fair value of the intangible asset is less than its carrying amount. If such assessment indicates fair value is not less than the carrying value, the intangible asset is deemed not to be impaired and no further analysis is required. If it is more-likely-than-not that the fair value of the intangible asset is below its carrying value, the current estimated fair value of the intangible asset is compared with its carrying value. An impairment loss is recognized if the carrying value of the intangible asset exceeds its estimated fair value. | |||||||||
Intangible assets with finite lives (“finite-lived intangible assets”) are amortized over their estimated useful lives and tested for impairment either individually or with other assets (“asset group”) when events and circumstances indicate that the carrying value of the intangible asset (or asset group) may not be recoverable. | |||||||||
A finite-lived intangible asset is impaired when its carrying amount or the carrying amount of the asset group exceeds its fair value. An impairment loss is recognized only if the carrying amount of the intangible asset (or asset group) is not recoverable and exceeds its fair value. | |||||||||
For both goodwill and intangible assets, to the extent an impairment loss is recognized, the loss establishes a new cost basis for the asset which cannot be subsequently reversed. | |||||||||
See Note 12 “Other assets—Other/Other liabilities” for further information regarding goodwill and intangible assets. | |||||||||
Nomura’s equity method investments are tested in their entirety for other-than-temporary impairment when there is an indication of impairment. The underlying assets associated with the equity method investments, including goodwill, are not tested separately for impairment. | |||||||||
Restructuring costs | ' | ||||||||
Restructuring costs— | |||||||||
Costs associated with an exit activity are recognized at fair value in the period in which the liability is incurred. Such costs include one-time termination benefits provided to employees, costs to terminate certain contracts and costs to relocate employees. Termination benefits provided to employees as part of ongoing benefit arrangements are recognized as liabilities at the earlier of the date an appropriately detailed restructuring plan is approved by regional executive management or the terms of the involuntary terminations are communicated to employees potentially affected. Contractual termination benefits included in an employee’s contract of employment that is triggered by the occurrence of a specific event are recognized during the period in which it is probable that Nomura has incurred a liability and the amount of the liability can be reasonably estimated. A one-time termination benefit is established by a plan of termination that applies to a specified termination event and is recognized when an appropriately detailed restructuring plan is approved by regional executive management and the terms of the involuntary terminations are communicated to those employees potentially affected by the restructuring. | |||||||||
New accounting pronouncements adopted during the current year | ' | ||||||||
New accounting pronouncements adopted during the current year— | |||||||||
The following new accounting pronouncements relevant to Nomura have been adopted during the year ended March 31, 2014: | |||||||||
Disclosures about offsetting assets and liabilities | |||||||||
In December 2011, the FASB issued amendments to ASC 210-20 through issuance of ASU 2011-11 “Disclosures about Offsetting Assets and Liabilities” (“ASU 2011-11”), and issued a related amendment in January 2013 through ASU 2013-01 “Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities” (“ASU 2013-01”). These amendments require an entity to disclose information about rights of offset and related arrangements to enable users of its financial statements to understand the effect or potential effect of those arrangements on its financial position. | |||||||||
ASU 2011-11 and ASU 2013-01 are effective for fiscal years, and interim periods within those years, beginning on or after January 1, 2013 with required disclosures made retrospectively for all comparative periods presented. | |||||||||
Nomura adopted ASU 2011-11 and ASU 2013-01 from April 1, 2013. Because these amendments only require enhanced disclosures rather than change the guidance around when financial assets and financial liabilities can be offset, they have not had a material impact on these consolidated financial statements. See Note 3 “Derivative instruments and hedging activities” and Note 6 “Collateralized transactions” where the required disclosures have been provided. | |||||||||
Testing indefinite-lived intangible assets for impairment | |||||||||
In July 2012, the FASB issued amendments to ASC 350 “Intangibles—Goodwill and Other” (“ASC 350”) through issuance of ASU 2012-02 “Testing Indefinite-Lived Intangible Assets for Impairment” (“ASU 2012-02”). These amendments simplify indefinite-lived intangible assets impairment testing by permitting an entity to initially assess qualitatively whether it is necessary to perform the current quantitative impairment test required by ASC 350. If an entity determines that it is not more-likely-than-not (i.e. greater than 50%) that an indefinite-lived intangible asset fair value is less than its carrying amount, the quantitative test is not required. | |||||||||
ASU 2012-02 is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012 with early adoption permitted. | |||||||||
Nomura adopted ASU 2012-02 from April 1, 2013. Because these amendments only simplify when a quantitative test is required rather than change the quantitative test itself, ASU 2012-02 has not had a material impact on these consolidated financial statements. | |||||||||
Reporting of amounts reclassified out of accumulated other comprehensive income | |||||||||
In February 2013, the FASB issued amendments to ASC 220-10 “Comprehensive Income—Overall” through issuance of ASU 2013-02 “Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income” (“ASU 2013-02”). The amendments require an entity to disclose additional information about amounts reclassified out of accumulated other comprehensive income, including changes in accumulated other comprehensive income balances by component of accumulated other comprehensive income and information about significant items reclassified out of accumulated other comprehensive income. | |||||||||
ASU 2013-02 supersedes the presentation requirements for reclassifications out of accumulated other comprehensive income in ASU 2011-05 “Presentation of Comprehensive Income” and ASU 2011-12 “Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in Accounting Standards Update No. 2011-05”. ASU 2013-02 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2012, with early adoption permitted. | |||||||||
Nomura adopted ASU 2013-02 from April 1, 2013. Because these amendments only require changes in presentation and disclosure of amounts reclassified out of accumulated other comprehensive income rather than change the guidance regarding recognition of such amounts, they have not had a material impact on these consolidated financial statements. See Note 19 “Other comprehensive income (loss)” where the required disclosures have been provided. | |||||||||
Future accounting developments | ' | ||||||||
Future accounting developments— | |||||||||
The following new accounting pronouncements relevant to Nomura will be adopted in future periods: | |||||||||
Release of cumulative translation adjustment amounts | |||||||||
In March 2013, the FASB issued amendments to ASC 810-10 “Consolidation—Overall” (“ASC 810-10”) and ASC 830-30 “Foreign Currency Matters—Translation of Financial Statements” (“ASC 830-30”) through issuance of ASU 2013-05 “Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity” (“ASU 2013-05”). The amendments resolve diversity in practice about whether guidance in ASC 810-10 or ASC 830-30 applies to the release of cumulative translation adjustment (“CTA”) amounts into earnings when a parent sells part or all of its investment in a foreign entity (or no longer holds a controlling financial interest in a subsidiary). | |||||||||
ASU 2013-05 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013 with early adoption permitted. | |||||||||
Nomura will adopt ASU 2013-05 from April 1, 2014 and does not expect a material impact on these consolidated financial statements. | |||||||||
Investment companies | |||||||||
In June 2013, the FASB issued amendments to ASC 946 through issuance of ASU 2013-08 “Amendments to the Scope, Measurement, and Disclosure Requirements” (“ASU 2013-08”). ASU 2013-08 modifies the guidance under ASC 946 for determining whether an entity is an investment company, which is an entity that is required to measure its investments at fair value, including controlling financial interests in investees that are not investment companies. ASU 2013-08 also requires an investment company to measure noncontrolling ownership interests in other investment companies at fair value rather than using the equity method of accounting, and requires certain additional disclosures including information about financial support provided, or contractually required to be provided, by an investment company to any of its investees. | |||||||||
ASU 2013-08 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013 with early adoption prohibited. | |||||||||
Nomura will adopt ASU 2013-08 from April 1, 2014 and does not expect a material impact on these consolidated financial statements. | |||||||||
Reporting Discontinued Operations | |||||||||
In April 2014, the FASB issued amendments to ASC 205, “Presentation of Financial Statements” (“ASC 205”) and ASC 360 “Property, Plant and Equipment” (“ASC 360”) through issuance of ASU 2014-08, “Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity,” (“ASU 2014-08”). ASU 2014-08 changes the criteria for discontinued operations reporting with the intention of less disposals qualifying and also introduces new presentation and disclosure requirements. | |||||||||
ASU 2014-08 is effective prospectively for all disposals or expected disposals classified as held for sale that occur within annual periods beginning on or after December 15, 2014 and interim periods within those years. Early adoption is permitted, but only for disposals or expected disposals classified as held for sale that have not been reported in financial statements previously issued or available for issue. | |||||||||
Nomura currently plans to adopt ASU 2014-08 from April 1, 2015 and does not expect these amendments to have a material impact on these consolidated financial statements. | |||||||||
Revenue Recognition | |||||||||
In May 2014, the FASB issued ASC 606 “Revenue from Contracts with Customers” (“ASC 606”) as well as amendments to other pronouncements, including ASC 350 “Intangibles—Goodwill and Other”, ASC 360 “Property, Plant, and Equipment”, and ASC 605-35 “Revenue Recognition—Construction-Type and Production-Type Contracts” through issuance of ASU 2014-09 “Revenue from Contracts with Customers” (“ASU 2014-09”). ASU 2014-09 replaces existing revenue recognition guidance in ASC 605 “Revenue Recognition”, replaces certain other industry-specific revenue recognition guidance, specifies the accounting for certain costs to obtain or fulfill a contract with a customer and provides recognition and measurement guidance in relation to sales of non-financial assets. The core principle of ASU 2014-09 is to depict the transfer of goods or services to customers at an amount that reflects the consideration to which an entity expects to be entitled in exchange for those goods or services. It provides guidance on how to achieve this core principle, including how to identify contracts with customers and separate performance obligations in the contract, how to determine and allocate the transaction price to such performance obligations and how to recognize revenue when a performance obligation has been satisfied. | |||||||||
ASU 2014-09 is effective for annual reporting periods, and interim periods within those reporting periods, beginning after December 15, 2016 with early adoption prohibited. | |||||||||
Nomura will adopt ASU 2014-09 from April 1, 2017 and is currently evaluating the potential impact it may have on these consolidated financial statements. | |||||||||
Repurchase agreements and similar transactions | |||||||||
In June 2014, the FASB issued amendments to ASC 860 “Transfers and Servicing” through issuance of ASU 2014-11 “Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures” (“ASU 2014-11”). These amendments change the accounting for repurchase-to-maturity transactions which are repurchase agreements where the maturity of the security transferred as collateral matches the maturity of the repurchase agreement. Under ASU 2014-11, all repurchase-to-maturity transactions will be accounted for as secured borrowing transactions in the same way as other repurchase agreements rather than as sales of a financial asset and forward commitment to repurchase. The amendments also change the accounting for repurchase financing arrangements which are transactions involving the transfer of a financial asset to a counterparty executed contemporaneously with a reverse repurchase agreement with the same counterparty. Under ASU 2014-11, all repurchase financings will now be accounted for separately, which will result in secured lending accounting for the reverse repurchase agreement. ASU 2014-11 also introduces new disclosure requirements regarding repurchase agreements and securities lending transactions as well as certain other transactions which involve the transfer of financial assets accounted for as sales and where the transferor retains substantially all of the exposure to the economic return on the transferred assets. | |||||||||
ASU 2014-11 is effective for interim or annual periods beginning after December 15, 2014 with early adoption prohibited. As of adoption date, the accounting for all outstanding repurchase-to-maturity transactions and repurchase financing arrangements is adjusted by means of a cumulative-effect adjustment to the balance sheet and retained earnings. | |||||||||
Nomura will adopt ASU 2014-11 from January 1, 2015 and is currently evaluating the potential impact it may have on these consolidated financial statements. | |||||||||
Stock compensations | |||||||||
In June 2014, the FASB issued amendments to ASC 718 “Compensation—Stock Compensation” (“ASC 718”) through issuance of ASU 2014-12 “Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period” (“ASU 2014-12”). ASU 2014-12 requires a performance target that affects vesting and that could be achieved after the requisite service period be accounted for as a performance condition based on the existing guidance in ASC 718 rather than as a nonvesting condition that affects the grant-date fair value of the award. | |||||||||
ASU 2014-12 is effective for annual periods, and interim periods within those annual periods, beginning after December 15, 2015 with early adoption permitted. ASU 2014-12 may be applied either by prospectively or retrospectively. | |||||||||
Nomura currently plans to adopt ASU 2014-12 from April 1, 2016 and does not expect these amendments to have a material impact on these consolidated financial statements. |
Summary_of_accounting_policies2
Summary of accounting policies (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Summary of accounting policies | ' | ||||||||
Breakdown of Office buildings, land, equipment and facilities | ' | ||||||||
Millions of yen | |||||||||
March 31 | |||||||||
2013 | 2014 | ||||||||
Land | ¥ | 93,800 | ¥ | 94,991 | |||||
Office buildings | 104,320 | 109,052 | |||||||
Equipment and facilities | 52,644 | 48,101 | |||||||
Software | 161,469 | 156,717 | |||||||
Construction in progress | 16,008 | 56 | |||||||
Total | ¥ | 428,241 | ¥ | 408,917 | |||||
Schedule of estimated useful lives for significant asset classes | ' | ||||||||
Office buildings | 5 to 50 years | ||||||||
Equipment and facilities | 2 to 20 years | ||||||||
Software | Up to 5 years |
Fair_value_measurements_Tables
Fair value measurements (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Fair value measurements | ' | ||||||||||||||||||||||||||||||||||||||||
Fair value of financial assets and financial liabilities measured on recurring basis | ' | ||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Counterparty | Balance as of | |||||||||||||||||||||||||||||||||||||
and | March 31, 2013 | ||||||||||||||||||||||||||||||||||||||||
Cash Collateral | |||||||||||||||||||||||||||||||||||||||||
Netting(1) | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments(2) | |||||||||||||||||||||||||||||||||||||||||
Equities(3) | ¥ | 1,008 | ¥ | 720 | ¥ | 129 | ¥ | — | ¥ | 1,857 | |||||||||||||||||||||||||||||||
Private equity investments(3) | — | — | 87 | — | 87 | ||||||||||||||||||||||||||||||||||||
Japanese government securities | 3,331 | — | — | — | 3,331 | ||||||||||||||||||||||||||||||||||||
Japanese agency and municipal securities | — | 72 | 0 | — | 72 | ||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 3,574 | 1,466 | 91 | — | 5,131 | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | — | 1,375 | 69 | — | 1,444 | ||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | — | 161 | 6 | — | 167 | ||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | — | 2,720 | 4 | — | 2,724 | ||||||||||||||||||||||||||||||||||||
Real estate-backed securities | — | — | 68 | — | 68 | ||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other(4) | — | 138 | 12 | — | 150 | ||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 144 | 45 | 13 | — | 202 | ||||||||||||||||||||||||||||||||||||
Total trading assets and private equity investments | 8,057 | 6,697 | 479 | — | 15,233 | ||||||||||||||||||||||||||||||||||||
Derivative assets(5) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 723 | 1,058 | 76 | — | 1,857 | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | 4 | 21,621 | 148 | — | 21,773 | ||||||||||||||||||||||||||||||||||||
Credit contracts | 0 | 1,706 | 133 | — | 1,839 | ||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | — | 2,094 | 11 | — | 2,105 | ||||||||||||||||||||||||||||||||||||
Commodity contracts | 1 | 0 | 0 | — | 1 | ||||||||||||||||||||||||||||||||||||
Netting | — | — | — | (25,684 | ) | (25,684 | ) | ||||||||||||||||||||||||||||||||||
Total derivative assets | 728 | 26,479 | 368 | (25,684 | ) | 1,891 | |||||||||||||||||||||||||||||||||||
Subtotal | ¥ | 8,785 | ¥ | 33,176 | ¥ | 847 | ¥ | (25,684 | ) | ¥ | 17,124 | ||||||||||||||||||||||||||||||
Loans and receivables(6) | — | 521 | 3 | — | 524 | ||||||||||||||||||||||||||||||||||||
Collateralized agreements(7) | — | 998 | — | — | 998 | ||||||||||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 409 | 508 | 4 | — | 921 | ||||||||||||||||||||||||||||||||||||
Other(3) | 172 | 15 | 60 | — | 247 | ||||||||||||||||||||||||||||||||||||
Total | ¥ | 9,366 | ¥ | 35,218 | ¥ | 914 | ¥ | (25,684 | ) | ¥ | 19,814 | ||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 922 | ¥ | 87 | ¥ | 0 | ¥ | — | ¥ | 1,009 | |||||||||||||||||||||||||||||||
Japanese government securities | 2,151 | — | — | — | 2,151 | ||||||||||||||||||||||||||||||||||||
Japanese agency and municipal securities | — | 0 | — | — | 0 | ||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 2,627 | 477 | — | — | 3,104 | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities | — | 288 | 0 | — | 288 | ||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | — | 1 | — | — | 1 | ||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | — | 1 | — | — | 1 | ||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 40 | 12 | — | — | 52 | ||||||||||||||||||||||||||||||||||||
Total trading liabilities | 5,740 | 866 | 0 | — | 6,606 | ||||||||||||||||||||||||||||||||||||
Derivative liabilities(5) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 827 | 1,118 | 71 | — | 2,016 | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | 2 | 21,312 | 202 | — | 21,516 | ||||||||||||||||||||||||||||||||||||
Credit contracts | 0 | 1,871 | 108 | — | 1,979 | ||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | 0 | 1,994 | 14 | — | 2,008 | ||||||||||||||||||||||||||||||||||||
Commodity contracts | 1 | 1 | 0 | — | 2 | ||||||||||||||||||||||||||||||||||||
Netting | — | — | — | (25,636 | ) | (25,636 | ) | ||||||||||||||||||||||||||||||||||
Total derivative liabilities | 830 | 26,296 | 395 | (25,636 | ) | 1,885 | |||||||||||||||||||||||||||||||||||
Subtotal | ¥ | 6,570 | ¥ | 27,162 | ¥ | 395 | ¥ | (25,636 | ) | ¥ | 8,491 | ||||||||||||||||||||||||||||||
Short-term borrowings(8) | — | 73 | 4 | — | 77 | ||||||||||||||||||||||||||||||||||||
Payables and deposits(9) | — | 0 | 1 | — | 1 | ||||||||||||||||||||||||||||||||||||
Collateralized financing(7) | — | 265 | — | — | 265 | ||||||||||||||||||||||||||||||||||||
Long-term borrowings(8)(10)(11) | 114 | 1,263 | 222 | — | 1,599 | ||||||||||||||||||||||||||||||||||||
Other liabilities(12) | 39 | 11 | 0 | — | 50 | ||||||||||||||||||||||||||||||||||||
Total | ¥ | 6,723 | ¥ | 28,774 | ¥ | 622 | ¥ | (25,636 | ) | ¥ | 10,483 | ||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Counterparty | Balance as of | |||||||||||||||||||||||||||||||||||||
and | March 31, 2014 | ||||||||||||||||||||||||||||||||||||||||
Cash Collateral | |||||||||||||||||||||||||||||||||||||||||
Netting(1) | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments(2) | |||||||||||||||||||||||||||||||||||||||||
Equities(3) | ¥ | 2,176 | ¥ | 655 | ¥ | 68 | ¥ | — | ¥ | 2,899 | |||||||||||||||||||||||||||||||
Private equity investments(3) | — | — | 42 | — | 42 | ||||||||||||||||||||||||||||||||||||
Japanese government securities | 2,587 | — | — | — | 2,587 | ||||||||||||||||||||||||||||||||||||
Japanese agency and municipal securities | — | 192 | — | — | 192 | ||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 4,615 | 1,378 | 26 | — | 6,019 | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | — | 1,735 | 116 | — | 1,851 | ||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | — | 156 | 3 | — | 159 | ||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | — | 2,221 | 3 | — | 2,224 | ||||||||||||||||||||||||||||||||||||
Real estate-backed securities | — | — | 0 | — | 0 | ||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other(4) | — | 170 | 13 | — | 183 | ||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 136 | 87 | 30 | — | 253 | ||||||||||||||||||||||||||||||||||||
Total trading assets and private equity investments | 9,514 | 6,594 | 301 | — | 16,409 | ||||||||||||||||||||||||||||||||||||
Derivative assets(5) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 750 | 1,102 | 70 | — | 1,922 | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | 11 | 19,398 | 112 | — | 19,521 | ||||||||||||||||||||||||||||||||||||
Credit contracts | 4 | 1,268 | 42 | — | 1,314 | ||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | — | 3,293 | 19 | — | 3,312 | ||||||||||||||||||||||||||||||||||||
Commodity contracts | 0 | 0 | 0 | — | 0 | ||||||||||||||||||||||||||||||||||||
Netting | — | — | — | (23,764 | ) | (23,764 | ) | ||||||||||||||||||||||||||||||||||
Total derivative assets | 765 | 25,061 | 243 | (23,764 | ) | 2,305 | |||||||||||||||||||||||||||||||||||
Subtotal | ¥ | 10,279 | ¥ | 31,655 | ¥ | 544 | ¥ | (23,764 | ) | ¥ | 18,714 | ||||||||||||||||||||||||||||||
Loans and receivables(6) | — | 280 | 26 | — | 306 | ||||||||||||||||||||||||||||||||||||
Collateralized agreements(7) | — | 1,087 | — | — | 1,087 | ||||||||||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 406 | 615 | 3 | — | 1,024 | ||||||||||||||||||||||||||||||||||||
Other(3) | 358 | 94 | 56 | — | 508 | ||||||||||||||||||||||||||||||||||||
Total | ¥ | 11,043 | ¥ | 33,731 | ¥ | 629 | ¥ | (23,764 | ) | ¥ | 21,639 | ||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 774 | ¥ | 132 | ¥ | 1 | ¥ | — | ¥ | 907 | |||||||||||||||||||||||||||||||
Japanese government securities | 3,046 | — | — | — | 3,046 | ||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 3,831 | 688 | — | — | 4,519 | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities | — | 396 | 0 | — | 396 | ||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | — | 1 | — | — | 1 | ||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other(4) | — | 0 | — | — | 0 | ||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 76 | 12 | — | — | 88 | ||||||||||||||||||||||||||||||||||||
Total trading liabilities | 7,727 | 1,229 | 1 | — | 8,957 | ||||||||||||||||||||||||||||||||||||
Derivative liabilities(5) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 827 | 1,368 | 59 | — | 2,254 | ||||||||||||||||||||||||||||||||||||
Interest rate contracts | 10 | 19,142 | 151 | — | 19,303 | ||||||||||||||||||||||||||||||||||||
Credit contracts | 4 | 1,582 | 37 | — | 1,623 | ||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | — | 2,926 | 14 | — | 2,940 | ||||||||||||||||||||||||||||||||||||
Commodity contracts | 0 | 0 | 0 | — | 0 | ||||||||||||||||||||||||||||||||||||
Netting | — | — | — | (24,030 | ) | (24,030 | ) | ||||||||||||||||||||||||||||||||||
Total derivative liabilities | 841 | 25,018 | 261 | (24,030 | ) | 2,090 | |||||||||||||||||||||||||||||||||||
Subtotal | ¥ | 8,568 | ¥ | 26,247 | ¥ | 262 | ¥ | (24,030 | ) | ¥ | 11,047 | ||||||||||||||||||||||||||||||
Short-term borrowings(8) | — | 46 | 3 | — | 49 | ||||||||||||||||||||||||||||||||||||
Payables and deposits(9) | — | 0 | 0 | — | 0 | ||||||||||||||||||||||||||||||||||||
Collateralized financing(7) | — | 530 | — | — | 530 | ||||||||||||||||||||||||||||||||||||
Long-term borrowings(8)(10)(11) | 134 | 1,439 | 394 | — | 1,967 | ||||||||||||||||||||||||||||||||||||
Other liabilities(12) | 152 | 86 | — | — | 238 | ||||||||||||||||||||||||||||||||||||
Total | ¥ | 8,854 | ¥ | 28,348 | ¥ | 659 | ¥ | (24,030 | ) | ¥ | 13,831 | ||||||||||||||||||||||||||||||
-1 | Represents the amount offset under counterparty netting of derivative assets and liabilities as well as cash collateral netting against net derivatives. | ||||||||||||||||||||||||||||||||||||||||
-2 | Includes investments in certain funds measured at fair value on the basis of NAV per share as a practical expedient. | ||||||||||||||||||||||||||||||||||||||||
-3 | Includes equity investments that would have been accounted for under the equity method had Nomura not chosen to elect the fair value option. | ||||||||||||||||||||||||||||||||||||||||
-4 | Includes collateralized loan obligations (“CLOs”) and asset-backed securities (“ABS”) such as those secured on credit card loans, auto loans and student loans. | ||||||||||||||||||||||||||||||||||||||||
-5 | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rate contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government debt securities. | ||||||||||||||||||||||||||||||||||||||||
-6 | Includes loans for which the fair value option is elected. | ||||||||||||||||||||||||||||||||||||||||
-7 | Includes collateralized agreements or collateralized financing for which the fair value option is elected. | ||||||||||||||||||||||||||||||||||||||||
-8 | Includes structured notes for which the fair value option is elected. | ||||||||||||||||||||||||||||||||||||||||
-9 | Includes embedded derivatives bifurcated from deposits received at banks. If unrealized gains are greater than unrealized losses, deposits are reduced by the excess amount. | ||||||||||||||||||||||||||||||||||||||||
-10 | Includes embedded derivatives bifurcated from issued structured notes. If unrealized gains are greater than unrealized losses, borrowings are reduced by the excess amount. | ||||||||||||||||||||||||||||||||||||||||
-11 | Includes liabilities recognized from secured financing transactions that are accounted for as financings rather than sales. Nomura elected the fair value option for these liabilities. | ||||||||||||||||||||||||||||||||||||||||
-12 | Includes loan commitments for which the fair value option is elected. | ||||||||||||||||||||||||||||||||||||||||
Schedule of quantitative information regarding significant unobservable inputs and assumptions for certain level 3 financial instruments | ' | ||||||||||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Financial Instrument | Fair value | Valuation | Significant | Range of | Weighted | ||||||||||||||||||||||||||||||||||||
in billions of yen | technique(s) | unobservable inputs | valuation inputs(1) | Average(2) | |||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 129 | DCF | Yields | 7.6 % | 7.6 % | |||||||||||||||||||||||||||||||||||
Liquidity discounts | 25.0 – 38.0 % | 35.4 % | |||||||||||||||||||||||||||||||||||||||
DCM | Capitalization rates | 5.2 – 6.7 % | 6.3 % | ||||||||||||||||||||||||||||||||||||||
Private equity investments | 87 | DCF | WACC | 6.8 % | 6.8 % | ||||||||||||||||||||||||||||||||||||
Growth rates | 0.0 % | 0.0 % | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 25.0 % | 25.0 % | |||||||||||||||||||||||||||||||||||||||
Market multiples | EV/EBITDA ratios | 3.7 – 11.3 x | 11.0 x | ||||||||||||||||||||||||||||||||||||||
PE ratios | 7.7 x | 7.7 x | |||||||||||||||||||||||||||||||||||||||
Price/Book ratios | 0.4 x | 0.4 x | |||||||||||||||||||||||||||||||||||||||
Price/Embedded values | 0.4 x | 0.4 x | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 0.0 – 33.0 % | 25.8 % | |||||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 91 | DCF | Credit spreads | 0.0 – 6.5 % | 0.7 % | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | 69 | DCF | Credit spreads | 0.0 – 24.2 % | 2.6 % | ||||||||||||||||||||||||||||||||||||
Recovery rates | 0.1 – 36.4 % | 28.1 % | |||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 6 | DCF | Yields | 0.0 – 25.0 % | 8.0 % | ||||||||||||||||||||||||||||||||||||
Default probabilities | 100.0 % | 100.0 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 0.0 – 80.0 % | 0.3 % | |||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 4 | DCF | Yields | 0.0 – 40.0 % | 3.3 % | ||||||||||||||||||||||||||||||||||||
Prepayment rates | 0.0 – 8.2 % | 4.5 % | |||||||||||||||||||||||||||||||||||||||
Default probabilities | 0.3 – 17.0 % | 14.7 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 22.0 – 90.0 % | 64.2 % | |||||||||||||||||||||||||||||||||||||||
Real estate-backed securities | 68 | DCF | Yields | 1.8 – 15.0 % | 1.9 % | ||||||||||||||||||||||||||||||||||||
Default probabilities | 24.0 – 65.0 % | 42.6 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 80.0 – 100.0 % | 88.0 % | |||||||||||||||||||||||||||||||||||||||
DCM | Capitalization rates | 6.8 % | 6.8 % | ||||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other | 12 | DCF | Yields | 0.0 – 58.6 % | 17.1 % | ||||||||||||||||||||||||||||||||||||
Prepayment rates | 0.0 – 15.0 % | 13.8 % | |||||||||||||||||||||||||||||||||||||||
Default probabilities | 2.0 – 5.0 % | 2.1 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 30.0 –75.0 % | 45.6 % | |||||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 13 | DCF | Credit spreads | 0.0 – 6.5 % | 0.6 % | ||||||||||||||||||||||||||||||||||||
Correlations | 0.50 – 0.70 | 0.6 | |||||||||||||||||||||||||||||||||||||||
Derivatives, net: | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 5 | Option models | Dividend yield | 0.0 – 11.0 % | — | ||||||||||||||||||||||||||||||||||||
Volatilities | 5.7 – 92.4 % | — | |||||||||||||||||||||||||||||||||||||||
Correlations | (0.77) – 0.99 | — | |||||||||||||||||||||||||||||||||||||||
Interest rate contracts | (54 | ) | DCF/ | Forward FX rates | 62.9 – 121.7 | — | |||||||||||||||||||||||||||||||||||
Option models | Interest rates | 0.6 – 4.2 % | — | ||||||||||||||||||||||||||||||||||||||
Option models | Volatilities | 13.5 –118.1 % | — | ||||||||||||||||||||||||||||||||||||||
Correlations | (0.70) – 0.99 | — | |||||||||||||||||||||||||||||||||||||||
Credit contracts | 25 | DCF/ | Credit spreads | 0.0 – 7.5 % | — | ||||||||||||||||||||||||||||||||||||
Option models | Recovery rates | 15.0 –40.0 % | — | ||||||||||||||||||||||||||||||||||||||
Option models | Volatilities | 10.0 –70.0 % | — | ||||||||||||||||||||||||||||||||||||||
Correlations | 0.33 – 0.90 | — | |||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | (3 | ) | Option models | Volatilities | 1.4 – 20.7 % | — | |||||||||||||||||||||||||||||||||||
DCF | Forward FX rates | 2.7 –12,484.0 | — | ||||||||||||||||||||||||||||||||||||||
Loans and receivables | 3 | DCF | Credit spreads | 3.0 % | 3.0 % | ||||||||||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 4 | DCF | Credit spreads | 0.2 – 2.5 % | 1.7 % | ||||||||||||||||||||||||||||||||||||
Other(3) | 60 | DCF | WACC | 6.8 – 6.8 % | 6.8 % | ||||||||||||||||||||||||||||||||||||
Growth rates | 0.0 – 1.0 % | 0.9 % | |||||||||||||||||||||||||||||||||||||||
Yields | 7.6 % | 7.6 % | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 0.0 – 30.0 % | 8.0 % | |||||||||||||||||||||||||||||||||||||||
Market multiples | EV/EBITDA ratios | 6.9 – 12.5 x | 9.9 x | ||||||||||||||||||||||||||||||||||||||
PE ratios | 7.7 – 44.4 x | 25.8 x | |||||||||||||||||||||||||||||||||||||||
Price/Book ratios | 0.0 – 5.6 x | 1.7 x | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 25.0 –30.0 % | 29.8 % | |||||||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Long-term borrowings | ¥ | 222 | DCF | Volatilities | 13.5 – 118.1 % | — | |||||||||||||||||||||||||||||||||||
Correlations | (0.77) – 0.99 | — | |||||||||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Financial Instrument | Fair value | Valuation | Significant | Range of | Weighted | ||||||||||||||||||||||||||||||||||||
in billions of yen | technique(s) | unobservable inputs | valuation inputs(1) | Average(2) | |||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 68 | DCF | Liquidity discounts | 11.0 – 50.0 % | 18.1 % | |||||||||||||||||||||||||||||||||||
DCM | Capitalization rates | 6.8 – 6.9 % | 6.8 % | ||||||||||||||||||||||||||||||||||||||
Private equity investments | 42 | Market multiples | EV/EBITDA ratios | 4.5 – 11.6 x | 10.0 x | ||||||||||||||||||||||||||||||||||||
Price/Embedded values Liquidity discounts | 0.4 x | 0.4 x | |||||||||||||||||||||||||||||||||||||||
0.0 – 33.0 % | 30.5 % | ||||||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 26 | DCF | Credit spreads | 0.0 – 5.9 % | 0.5 % | ||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | 116 | DCF | Credit spreads | 0.0 – 26.6 % | 4.7 % | ||||||||||||||||||||||||||||||||||||
Recovery rates | 0.0 – 74.0 % | 57.1 % | |||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 3 | DCF | Yields | 6.2 – 30.4 % | 10.1 % | ||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 3 | DCF | Yields | 0.3 – 10.7 % | 3.7 % | ||||||||||||||||||||||||||||||||||||
Prepayment rates | 3.8 – 50.0 % | 12.8 % | |||||||||||||||||||||||||||||||||||||||
Default probabilities | 0.0 – 2.0 % | 2.0 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 0.1 – 87.2 % | 51.2 % | |||||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other | 13 | DCF | Yields | 0.0 – 90.9 % | 11.1 % | ||||||||||||||||||||||||||||||||||||
Prepayment rates | 0.0 – 20.0 % | 18.5 % | |||||||||||||||||||||||||||||||||||||||
Default probabilities | 1.0 – 65.0 % | 3.2 % | |||||||||||||||||||||||||||||||||||||||
Loss severities | 30.0 – 100.0 % | 47.9 % | |||||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 30 | DCF | Credit spreads | 0.0 – 3.5 % | 0.1 % | ||||||||||||||||||||||||||||||||||||
Correlations | 0.50 – 0.71 | 0.61 | |||||||||||||||||||||||||||||||||||||||
Derivatives, net: | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 11 | Option models | Dividend yield | 0.0 – 8.2 % | — | ||||||||||||||||||||||||||||||||||||
Volatilities | 6.9 – 59.9 % | — | |||||||||||||||||||||||||||||||||||||||
Correlations | (0.96) – 0.95 | — | |||||||||||||||||||||||||||||||||||||||
Interest rate contracts | (39 | ) | DCF/ Option models | Interest rates | 0.7 – 5.2 % | — | |||||||||||||||||||||||||||||||||||
Option models | Volatilities | 10.6 – 23.5 % | — | ||||||||||||||||||||||||||||||||||||||
Correlations | (0.45) – 0.99 | — | |||||||||||||||||||||||||||||||||||||||
Credit contracts | 5 | DCF/ | Credit spreads | 0.0 – 20.9 % | — | ||||||||||||||||||||||||||||||||||||
Option models | Recovery rates | 20.0 – 90.0 % | — | ||||||||||||||||||||||||||||||||||||||
Option models | Volatilities | 1.0 – 70.0 % | — | ||||||||||||||||||||||||||||||||||||||
Correlations | 0.26 – 0.95 | — | |||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | 5 | Option models | Volatilities | 11.2 – 19.1 % | — | ||||||||||||||||||||||||||||||||||||
Loans and receivables | 26 | DCF | Credit spreads | 0.0 % | 0.0 % | ||||||||||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 3 | DCF | Credit spreads | 0.1 – 2.5 % | 0.8 % | ||||||||||||||||||||||||||||||||||||
Other(3) | 56 | DCF | WACC | 6.1 % | 6.1 % | ||||||||||||||||||||||||||||||||||||
Growth rates | 1.0 % | 1.0 % | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 0.0 – 30.0 % | 12.7 % | |||||||||||||||||||||||||||||||||||||||
Market multiples | EV/EBITDA ratios | 3.6 – 8.3 x | 4.9 x | ||||||||||||||||||||||||||||||||||||||
PE ratios | 9.6 – 60.1 x | 24.0 x | |||||||||||||||||||||||||||||||||||||||
Price/Book ratios | 0.0 – 5.3 x | 1.0 x | |||||||||||||||||||||||||||||||||||||||
Liquidity discounts | 30.0 % | 30.0 % | |||||||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Short-term borrowings | ¥ | 3 | DCF | Volatilities | 15.3 – 55.5 % | — | |||||||||||||||||||||||||||||||||||
Correlations | (0.78) – 0.94 | — | |||||||||||||||||||||||||||||||||||||||
Long-term borrowings | 394 | DCF | Volatilities | 10.6 – 55.5 % | — | ||||||||||||||||||||||||||||||||||||
Correlations | (0.78) – 0.99 | — | |||||||||||||||||||||||||||||||||||||||
-1 | Range information is provided in percentages, coefficients and multiples and represents the highest and lowest level significant unobservable valuation input used to value that type of financial instrument. A wide dispersion in the range does not necessarily reflect increased uncertainty or subjectivity in the valuation input and is typically just a consequence of the different characteristics of the financial instruments themselves. | ||||||||||||||||||||||||||||||||||||||||
-2 | Weighted average information for non-derivative instruments is calculated by weighting each valuation input by the fair value of the financial instrument. | ||||||||||||||||||||||||||||||||||||||||
-3 | Valuation technique(s) and unobservable inputs represent those equity securities reported within Other assets. | ||||||||||||||||||||||||||||||||||||||||
Increases and decreases of Level 3 assets and liabilities measured at fair value on recurring basis unrealized and realized gain/losses included in revenue | ' | ||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
Year ended March 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Balance | Total gains | Total gains | Purchases | Sales / | Settlements | Foreign | Transfers | Transfers | Balance | ||||||||||||||||||||||||||||||||
as of | (losses) | (losses) | / issues(2) | redemptions(2) | exchange | into | out of | as of | |||||||||||||||||||||||||||||||||
April 1, | recognized | recognized in | movements | Level 3(3) | Level 3(3) | March 31, | |||||||||||||||||||||||||||||||||||
2012 | in net revenue(1) | other | 2013 | ||||||||||||||||||||||||||||||||||||||
comprehensive | |||||||||||||||||||||||||||||||||||||||||
income | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 125 | ¥ | 2 | ¥ | — | ¥ | 38 | ¥ | (22 | ) | ¥ | — | ¥ | 5 | ¥ | 6 | ¥ | (25 | ) | ¥ | 129 | |||||||||||||||||||
Private equity investments | 202 | 9 | — | 4 | (137 | ) | — | 9 | — | — | 87 | ||||||||||||||||||||||||||||||
Japanese agency and municipal securities | 10 | 0 | — | 1 | (11 | ) | — | — | 0 | (0 | ) | 0 | |||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 37 | 39 | — | 728 | (731 | ) | — | 0 | 62 | (44 | ) | 91 | |||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | 62 | 7 | — | 245 | (286 | ) | — | 7 | 69 | (35 | ) | 69 | |||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 8 | 3 | — | 11 | (15 | ) | — | 1 | 4 | (6 | ) | 6 | |||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 5 | 1 | — | 19 | (20 | ) | — | 0 | 2 | (3 | ) | 4 | |||||||||||||||||||||||||||||
Real estate-backed securities | 91 | 2 | — | 1 | (26 | ) | — | 0 | — | — | 68 | ||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other | 20 | (1 | ) | — | 11 | (17 | ) | — | 1 | 3 | (5 | ) | 12 | ||||||||||||||||||||||||||||
Investment trust funds and other | 9 | 2 | — | 2 | (0 | ) | — | 0 | 0 | (0 | ) | 13 | |||||||||||||||||||||||||||||
Total trading assets and private equity investments | 569 | 64 | — | 1,060 | (1,265 | ) | — | 23 | 146 | (118 | ) | 479 | |||||||||||||||||||||||||||||
Derivatives, net(4) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 14 | (9 | ) | — | — | — | (11 | ) | 4 | (1 | ) | 8 | 5 | ||||||||||||||||||||||||||||
Interest rate contracts | (39 | ) | (15 | ) | — | — | — | (1 | ) | (1 | ) | (0 | ) | 2 | (54 | ) | |||||||||||||||||||||||||
Credit contracts | (11 | ) | (16 | ) | — | — | — | 12 | 6 | 15 | 19 | 25 | |||||||||||||||||||||||||||||
Foreign exchange contracts | 18 | (1 | ) | — | — | — | 1 | (1 | ) | (6 | ) | (14 | ) | (3 | ) | ||||||||||||||||||||||||||
Commodity contracts | (0 | ) | 0 | — | — | — | (0 | ) | (0 | ) | 0 | (0 | ) | (0 | ) | ||||||||||||||||||||||||||
Total derivatives, net | (18 | ) | (41 | ) | — | — | — | 1 | 8 | 8 | 15 | (27 | ) | ||||||||||||||||||||||||||||
Subtotal | ¥ | 551 | ¥ | 23 | ¥ | — | ¥ | 1,060 | ¥ | (1,265 | ) | ¥ | 1 | ¥ | 31 | ¥ | 154 | ¥ | (103 | ) | ¥ | 452 | |||||||||||||||||||
Loans and receivables | 11 | (0 | ) | — | 0 | (3 | ) | — | 1 | — | (6 | ) | 3 | ||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 6 | 0 | 0 | 0 | (2 | ) | — | 0 | — | — | 4 | ||||||||||||||||||||||||||||||
Other(5) | 72 | 21 | 0 | 1 | (32 | ) | — | 0 | 0 | (2 | ) | 60 | |||||||||||||||||||||||||||||
Total | ¥ | 640 | ¥ | 44 | ¥ | 0 | ¥ | 1,061 | ¥ | (1,302 | ) | ¥ | 1 | ¥ | 32 | ¥ | 154 | ¥ | (111 | ) | ¥ | 519 | |||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 0 | ¥ | (0 | ) | ¥ | — | ¥ | 0 | ¥ | (0 | ) | ¥ | — | ¥ | 0 | ¥ | 0 | ¥ | — | ¥ | 0 | |||||||||||||||||||
Bank and corporate debt securities | 1 | (0 | ) | — | 0 | (1 | ) | — | 0 | — | (0 | ) | 0 | ||||||||||||||||||||||||||||
Total trading liabilities | ¥ | 1 | ¥ | (0 | ) | ¥ | — | ¥ | 0 | ¥ | (1 | ) | ¥ | — | ¥ | 0 | ¥ | 0 | ¥ | (0 | ) | ¥ | 0 | ||||||||||||||||||
Short-term borrowings | 0 | (0 | ) | — | 6 | (1 | ) | — | — | 1 | (2 | ) | 4 | ||||||||||||||||||||||||||||
Payables and deposits | (0 | ) | (1 | ) | — | (0 | ) | (0 | ) | — | — | — | — | 1 | |||||||||||||||||||||||||||
Long-term borrowings | (13 | ) | (155 | ) | — | 108 | (82 | ) | — | 3 | 110 | (59 | ) | 222 | |||||||||||||||||||||||||||
Other liabilities | — | 0 | — | 0 | (0 | ) | — | 0 | — | (0 | ) | 0 | |||||||||||||||||||||||||||||
Total | ¥ | (12 | ) | ¥ | (156 | ) | ¥ | — | ¥ | 114 | ¥ | (84 | ) | ¥ | — | ¥ | 3 | ¥ | 111 | ¥ | (61 | ) | ¥ | 227 | |||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
Year ended March 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Balance | Total | Total gains | Purchases | Sales / | Settlements | Foreign | Transfers | Transfers | Balance | ||||||||||||||||||||||||||||||||
as of | gains | (losses) | / issues(2) | redemptions(2) | exchange | into | out of | as of | |||||||||||||||||||||||||||||||||
April 1, | (losses) | recognized in | movements | Level 3(3) | Level 3(3) | March 31, | |||||||||||||||||||||||||||||||||||
2013 | recognized | other | 2014 | ||||||||||||||||||||||||||||||||||||||
in net | comprehensive | ||||||||||||||||||||||||||||||||||||||||
revenue(1) | income | ||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 129 | ¥ | 11 | ¥ | — | ¥ | 21 | ¥ | (105 | ) | ¥ | — | ¥ | 6 | ¥ | 7 | ¥ | (1 | ) | ¥ | 68 | |||||||||||||||||||
Private equity investments | 87 | (1 | ) | — | 1 | (11 | ) | — | 6 | — | (40 | ) | 42 | ||||||||||||||||||||||||||||
Japanese agency and municipal securities | 0 | — | — | — | — | — | — | — | (0 | ) | — | ||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 91 | 21 | — | 516 | (540 | ) | — | — | 8 | (70 | ) | 26 | |||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | 69 | 5 | — | 221 | (167 | ) | — | 3 | 32 | (47 | ) | 116 | |||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 6 | (0 | ) | — | 7 | (11 | ) | — | 0 | 2 | (1 | ) | 3 | ||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 4 | (0 | ) | — | 1 | (3 | ) | — | 0 | 3 | (2 | ) | 3 | ||||||||||||||||||||||||||||
Real estate-backed securities | 68 | 1 | — | 0 | (69 | ) | — | 0 | — | — | 0 | ||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other | 12 | (1 | ) | — | 23 | (21 | ) | — | 1 | 6 | (7 | ) | 13 | ||||||||||||||||||||||||||||
Investment trust funds and other | 13 | 0 | — | 24 | (6 | ) | — | 0 | — | (1 | ) | 30 | |||||||||||||||||||||||||||||
Total trading assets and private equity investments | 479 | 36 | — | 814 | (933 | ) | — | 16 | 58 | (169 | ) | 301 | |||||||||||||||||||||||||||||
Derivatives, net(4) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 5 | (8 | ) | — | — | — | (2 | ) | 2 | 7 | 7 | 11 | |||||||||||||||||||||||||||||
Interest rate contracts | (54 | ) | (1 | ) | — | — | — | 19 | (1 | ) | (6 | ) | 4 | (39 | ) | ||||||||||||||||||||||||||
Credit contracts | 25 | (5 | ) | — | — | — | (16 | ) | 3 | 0 | (2 | ) | 5 | ||||||||||||||||||||||||||||
Foreign exchange contracts | (3 | ) | (1 | ) | — | — | — | 13 | 0 | (4 | ) | (0 | ) | 5 | |||||||||||||||||||||||||||
Commodity contracts | (0 | ) | 0 | — | — | — | 0 | (0 | ) | 0 | — | 0 | |||||||||||||||||||||||||||||
Total derivatives, net | (27 | ) | (15 | ) | — | — | — | 14 | 4 | (3 | ) | 9 | (18 | ) | |||||||||||||||||||||||||||
Subtotal | ¥ | 452 | ¥ | 21 | ¥ | — | ¥ | 814 | ¥ | (933 | ) | ¥ | 14 | ¥ | 20 | ¥ | 55 | ¥ | (160 | ) | ¥ | 283 | |||||||||||||||||||
Loans and receivables | 3 | (0 | ) | — | 13 | (2 | ) | — | 1 | 20 | (9 | ) | 26 | ||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 4 | (1 | ) | (0 | ) | — | (0 | ) | — | 0 | — | — | 3 | ||||||||||||||||||||||||||||
Other | 60 | 4 | (0 | ) | 3 | (9 | ) | — | 0 | — | (2 | ) | 56 | ||||||||||||||||||||||||||||
Total | ¥ | 519 | ¥ | 24 | ¥ | (0 | ) | ¥ | 830 | ¥ | (944 | ) | ¥ | 14 | ¥ | 21 | ¥ | 75 | ¥ | (171 | ) | ¥ | 368 | ||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 0 | ¥ | (0 | ) | ¥ | — | ¥ | 1 | ¥ | (0 | ) | ¥ | — | ¥ | 0 | ¥ | 0 | ¥ | (0 | ) | ¥ | 1 | ||||||||||||||||||
Bank and corporate debt securities | 0 | 0 | — | 0 | (0 | ) | — | 0 | 0 | (0 | ) | 0 | |||||||||||||||||||||||||||||
Total trading liabilities | ¥ | 0 | ¥ | (0 | ) | ¥ | — | ¥ | 1 | ¥ | (0 | ) | ¥ | — | ¥ | 0 | ¥ | 0 | ¥ | (0 | ) | ¥ | 1 | ||||||||||||||||||
Short-term borrowings | 4 | (0 | ) | — | 3 | (3 | ) | — | — | 1 | (2 | ) | 3 | ||||||||||||||||||||||||||||
Payables and deposits | 1 | 0 | — | (0 | ) | (1 | ) | — | — | — | (0 | ) | 0 | ||||||||||||||||||||||||||||
Long-term borrowings | 222 | (29 | ) | — | 424 | (259 | ) | — | 3 | 42 | (67 | ) | 394 | ||||||||||||||||||||||||||||
Other liabilities | 0 | — | — | 1 | (1 | ) | — | (0 | ) | — | — | — | |||||||||||||||||||||||||||||
Total | ¥ | 227 | ¥ | (29 | ) | ¥ | — | ¥ | 429 | ¥ | (264 | ) | ¥ | — | ¥ | 3 | ¥ | 43 | ¥ | (69 | ) | ¥ | 398 | ||||||||||||||||||
-1 | Includes gains and losses reported primarily within Net gain on trading, Gain (loss) on private equity investments, and also within Gain (loss) on investments in equity securities, Revenue—Other and Non-interest expenses—Other, Interest and dividends and Interest expense in the consolidated statements of income. | ||||||||||||||||||||||||||||||||||||||||
-2 | Amounts reported in Purchases / issues include increases in trading liabilities while Sales / redemptions include decreases in trading liabilities. | ||||||||||||||||||||||||||||||||||||||||
-3 | If financial instruments move from Level 3 to another Level or move from another Level to Level 3, the amount reported in Transfers into Level 3 and Transfers out of Level 3 are the fair value as of the beginning of the quarter during which the movement occurs. Therefore if financial instruments move from another Level to Level 3, all gains/ (losses) during the quarter are included in the table and if financial instruments move from Level 3 to another Level, all gains/ (losses) during the year are excluded from the table. | ||||||||||||||||||||||||||||||||||||||||
-4 | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rate contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayments rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government debt securities. | ||||||||||||||||||||||||||||||||||||||||
-5 | Includes the impact of the refined fair value measurement of certain investments in unlisted equity securities. | ||||||||||||||||||||||||||||||||||||||||
Fair value, level 3 assets and liabilities measured on recurring basis, unrealized gains (losses) | ' | ||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||||||||||||||||||
Unrealized gains / (losses)(1) | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 1 | ¥ | 7 | |||||||||||||||||||||||||||||||||||||
Private equity investments | (10 | ) | (6 | ) | |||||||||||||||||||||||||||||||||||||
Japanese agency and municipal securities | 0 | 0 | |||||||||||||||||||||||||||||||||||||||
Foreign government, agency and municipal securities | 2 | (1 | ) | ||||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities and loans for trading purposes | (0 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 1 | 1 | |||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 0 | (0 | ) | ||||||||||||||||||||||||||||||||||||||
Real estate-backed securities | (0 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||||
Collateralized debt obligations (“CDOs”) and other | (0 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||||
Investment trust funds and other | 2 | 0 | |||||||||||||||||||||||||||||||||||||||
Total trading assets and private equity investments | (4 | ) | 1 | ||||||||||||||||||||||||||||||||||||||
Derivatives, net(2) | |||||||||||||||||||||||||||||||||||||||||
Equity contracts | 7 | 22 | |||||||||||||||||||||||||||||||||||||||
Interest rate contracts | 24 | (1 | ) | ||||||||||||||||||||||||||||||||||||||
Credit contracts | 12 | 2 | |||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | (4 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||||
Commodity contracts | 0 | (0 | ) | ||||||||||||||||||||||||||||||||||||||
Total derivatives, net | 39 | 23 | |||||||||||||||||||||||||||||||||||||||
Subtotal | ¥ | 35 | ¥ | 24 | |||||||||||||||||||||||||||||||||||||
Loans and receivables | (0 | ) | (1 | ) | |||||||||||||||||||||||||||||||||||||
Other assets | |||||||||||||||||||||||||||||||||||||||||
Non-trading debt securities | 0 | (0 | ) | ||||||||||||||||||||||||||||||||||||||
Other(3) | 24 | 1 | |||||||||||||||||||||||||||||||||||||||
Total | ¥ | 59 | ¥ | 24 | |||||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||||||||||||||||||
Equities | ¥ | 0 | ¥ | — | |||||||||||||||||||||||||||||||||||||
Bank and corporate debt securities | — | (0 | ) | ||||||||||||||||||||||||||||||||||||||
Total trading liabilities | ¥ | 0 | ¥ | (0 | ) | ||||||||||||||||||||||||||||||||||||
Short-term borrowings | (1 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||||
Payables and deposits | (1 | ) | 0 | ||||||||||||||||||||||||||||||||||||||
Long-term borrowings | (162 | ) | (33 | ) | |||||||||||||||||||||||||||||||||||||
Other liabilities | (0 | ) | — | ||||||||||||||||||||||||||||||||||||||
Total | ¥ | (164 | ) | ¥ | (33 | ) | |||||||||||||||||||||||||||||||||||
-1 | Includes gains and losses reported primarily within Net gain on trading, Gain (loss) on private equity investments, and also within Gain (loss) on investments in equity securities, Revenue—Other and Non-interest expenses—Other, Interest and dividends and Interest expense in the consolidated statements of income. | ||||||||||||||||||||||||||||||||||||||||
-2 | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rate contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government debt securities. | ||||||||||||||||||||||||||||||||||||||||
-3 | Includes the impact of the refined fair value measurements of certain investments in unlisted equity securities. | ||||||||||||||||||||||||||||||||||||||||
Information on investments where net asset value per share is calculated | ' | ||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Fair value(1) | Unfunded | Redemption frequency | Redemption notice | ||||||||||||||||||||||||||||||||||||||
commitments(2) | (if currently eligible)(3) | period(4) | |||||||||||||||||||||||||||||||||||||||
Hedge funds | ¥ | 68 | ¥ | 16 | Monthly | Same day-95 days | |||||||||||||||||||||||||||||||||||
Venture capital funds | 4 | 1 | — | — | |||||||||||||||||||||||||||||||||||||
Private equity funds | 63 | 7 | Quarterly | 30 days | |||||||||||||||||||||||||||||||||||||
Real estate funds | 3 | — | — | — | |||||||||||||||||||||||||||||||||||||
Total | ¥ | 138 | ¥ | 24 | |||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Fair value(1) | Unfunded | Redemption frequency | Redemption notice | ||||||||||||||||||||||||||||||||||||||
commitments(2) | (if currently eligible)(3) | period(4) | |||||||||||||||||||||||||||||||||||||||
Hedge funds | ¥ | 66 | ¥ | 0 | Monthly | Same day-95 days | |||||||||||||||||||||||||||||||||||
Venture capital funds | 4 | 1 | — | — | |||||||||||||||||||||||||||||||||||||
Private equity funds | 42 | 17 | Quarterly | 30 days | |||||||||||||||||||||||||||||||||||||
Real estate funds | 3 | — | — | — | |||||||||||||||||||||||||||||||||||||
Total | ¥ | 115 | ¥ | 18 | |||||||||||||||||||||||||||||||||||||
-1 | Fair value generally determined using NAV per share as a practical expedient. | ||||||||||||||||||||||||||||||||||||||||
-2 | The contractual amount of any unfunded commitments Nomura is required to make to the entities in which the investment is held. | ||||||||||||||||||||||||||||||||||||||||
-3 | The range in frequency with which Nomura can redeem investments. | ||||||||||||||||||||||||||||||||||||||||
-4 | The range in notice period required to be provided before redemption is possible. | ||||||||||||||||||||||||||||||||||||||||
Gains (losses) due to changes in fair value for financial instruments measured at fair value using fair value option | ' | ||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||||||||||||||
Gains/(Losses)(1) | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Trading assets and private equity investments(2) | |||||||||||||||||||||||||||||||||||||||||
Trading assets | ¥ | 0 | ¥ | 2 | ¥ | 0 | |||||||||||||||||||||||||||||||||||
Private equity investments | (12 | ) | (10 | ) | (0 | ) | |||||||||||||||||||||||||||||||||||
Loans and receivables | (6 | ) | 19 | 3 | |||||||||||||||||||||||||||||||||||||
Collateralized agreements(3) | 10 | (0 | ) | 4 | |||||||||||||||||||||||||||||||||||||
Other assets(2) | (0 | ) | 1 | 17 | |||||||||||||||||||||||||||||||||||||
Total | ¥ | (8 | ) | ¥ | 12 | ¥ | 24 | ||||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Short-term borrowings(4) | ¥ | (14 | ) | ¥ | (4 | ) | ¥ | 0 | |||||||||||||||||||||||||||||||||
Collateralized financing(3) | (1 | ) | (1 | ) | (3 | ) | |||||||||||||||||||||||||||||||||||
Long-term borrowings(4)(5) | (11 | ) | (51 | ) | 11 | ||||||||||||||||||||||||||||||||||||
Other liabilities(6) | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||
Total | ¥ | (26 | ) | ¥ | (56 | ) | ¥ | 8 | |||||||||||||||||||||||||||||||||
-1 | Includes gains and losses reported primarily within Net gain on trading and Gain (loss) on private equity investments in the consolidated statements of income. As of March 31, 2014, gains of ¥5 billion included in Other assets are reported in Revenue—Other in the consolidated statements of income. | ||||||||||||||||||||||||||||||||||||||||
-2 | Includes equity investments that would have been accounted for under the equity method had Nomura not chosen to elect the fair value option. | ||||||||||||||||||||||||||||||||||||||||
-3 | Includes reverse repurchase and repurchase agreements. | ||||||||||||||||||||||||||||||||||||||||
-4 | Includes structured notes and other financial liabilities. | ||||||||||||||||||||||||||||||||||||||||
-5 | Includes secured financing transactions arising from transfers of financial assets which did not meet the criteria for sales accounting. | ||||||||||||||||||||||||||||||||||||||||
-6 | Includes loan commitments. | ||||||||||||||||||||||||||||||||||||||||
Geographic allocations of trading assets related to government, agency, municipal securities | ' | ||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Japan | U.S. | EU | Other | Total(1) | |||||||||||||||||||||||||||||||||||||
Government, agency and municipal securities | ¥ | 3,403 | ¥ | 1,313 | ¥ | 3,262 | ¥ | 556 | ¥ | 8,534 | |||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Japan | U.S. | EU | Other | Total(1) | |||||||||||||||||||||||||||||||||||||
Government, agency and municipal securities | ¥ | 2,779 | ¥ | 1,666 | ¥ | 3,968 | ¥ | 385 | ¥ | 8,798 | |||||||||||||||||||||||||||||||
-1 | Other than above, there were ¥715 billion and ¥756 billion of government, agency and municipal securities in Other assets—Non-trading debt securities as of March 31, 2013 and 2014, respectively. These securities are primarily Japanese government, agency and municipal securities. | ||||||||||||||||||||||||||||||||||||||||
Carrying values, fair values and classification within the fair value hierarchy for certain classes of financial instrument | ' | ||||||||||||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2013(1) | |||||||||||||||||||||||||||||||||||||||||
Fair value by level | |||||||||||||||||||||||||||||||||||||||||
Carrying | Fair value | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||||||||||
value | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | ¥ | 805 | ¥ | 805 | ¥ | 805 | ¥ | — | ¥ | — | |||||||||||||||||||||||||||||||
Time deposits | 578 | 578 | — | 578 | — | ||||||||||||||||||||||||||||||||||||
Deposits with stock exchanges and other segregated cash | 270 | 270 | — | 270 | — | ||||||||||||||||||||||||||||||||||||
Loans receivable(2) | 1,575 | 1,576 | — | 1,352 | 224 | ||||||||||||||||||||||||||||||||||||
Securities purchased under agreements to resell | 8,295 | 8,295 | — | 8,295 | — | ||||||||||||||||||||||||||||||||||||
Securities borrowed | 5,820 | 5,820 | — | 5,820 | — | ||||||||||||||||||||||||||||||||||||
Total Assets | ¥ | 17,343 | ¥ | 17,344 | ¥ | 805 | ¥ | 16,315 | ¥ | 224 | |||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Short-term borrowings | ¥ | 738 | ¥ | 738 | ¥ | — | ¥ | 734 | ¥ | 4 | |||||||||||||||||||||||||||||||
Deposits received at banks | 1,072 | 1,072 | — | 1,071 | 1 | ||||||||||||||||||||||||||||||||||||
Securities sold under agreements to repurchase | 12,444 | 12,444 | — | 12,440 | 4 | ||||||||||||||||||||||||||||||||||||
Securities loaned | 2,159 | 2,159 | — | 2,159 | — | ||||||||||||||||||||||||||||||||||||
Long-term borrowings | 7,592 | 7,430 | 114 | 7,093 | 223 | ||||||||||||||||||||||||||||||||||||
Total Liabilities | ¥ | 24,005 | ¥ | 23,843 | ¥ | 114 | ¥ | 23,497 | ¥ | 232 | |||||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||||||||||||||
March 31, 2014(1) | |||||||||||||||||||||||||||||||||||||||||
Fair value by level | |||||||||||||||||||||||||||||||||||||||||
Carrying | Fair value | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||||||||||
value | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | ¥ | 1,490 | ¥ | 1,490 | ¥ | 1,490 | ¥ | — | ¥ | — | |||||||||||||||||||||||||||||||
Time deposits | 364 | 364 | — | 364 | — | ||||||||||||||||||||||||||||||||||||
Deposits with stock exchanges and other segregated cash | 336 | 336 | — | 336 | — | ||||||||||||||||||||||||||||||||||||
Loans receivable(2) | 1,327 | 1,326 | — | 1,068 | 258 | ||||||||||||||||||||||||||||||||||||
Securities purchased under agreements to resell | 9,618 | 9,618 | — | 9,618 | — | ||||||||||||||||||||||||||||||||||||
Securities borrowed | 7,729 | 7,729 | — | 7,729 | — | ||||||||||||||||||||||||||||||||||||
Total Assets | ¥ | 20,864 | ¥ | 20,863 | ¥ | 1,490 | ¥ | 19,115 | ¥ | 258 | |||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Short-term borrowings | ¥ | 602 | ¥ | 602 | ¥ | — | ¥ | 599 | ¥ | 3 | |||||||||||||||||||||||||||||||
Deposits received at banks | 1,114 | 1,114 | — | 1,114 | 0 | ||||||||||||||||||||||||||||||||||||
Securities sold under agreements to repurchase | 13,938 | 13,938 | — | 13,938 | 0 | ||||||||||||||||||||||||||||||||||||
Securities loaned | 2,360 | 2,360 | — | 2,360 | — | ||||||||||||||||||||||||||||||||||||
Long-term borrowings | 8,227 | 8,202 | 134 | 7,674 | 394 | ||||||||||||||||||||||||||||||||||||
Total Liabilities | ¥ | 26,241 | ¥ | 26,216 | ¥ | 134 | ¥ | 25,685 | ¥ | 397 | |||||||||||||||||||||||||||||||
-1 | Includes financial instruments which are carried at fair value on a recurring basis. | ||||||||||||||||||||||||||||||||||||||||
-2 | Carrying values are shown after deducting relevant allowances for loan losses. |
Derivative_instruments_and_hed1
Derivative instruments and hedging activities (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||
Derivative instruments and hedging activities | ' | ||||||||||||||||||||||||||||
Concentration of exposures to credit risk in OTC derivatives | ' | ||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||
Gross fair value of | Impact of | Impact of | Net exposure to | ||||||||||||||||||||||||||
derivative assets | master netting | collateral | credit risk | ||||||||||||||||||||||||||
agreements | |||||||||||||||||||||||||||||
Financial institutions | ¥ | 20,169 | ¥ | (18,415 | ) | ¥ | (981 | ) | ¥ | 773 | |||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||
Gross fair value of | Impact of | Impact of | Net exposure to | ||||||||||||||||||||||||||
derivative assets | master netting | collateral | credit risk | ||||||||||||||||||||||||||
agreements | |||||||||||||||||||||||||||||
Financial institutions | ¥ | 20,355 | ¥ | (18,481 | ) | ¥ | (936 | ) | ¥ | 938 | |||||||||||||||||||
Volume of derivative activity in statement of financial position | ' | ||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||
Derivative assets | Derivative liabilities | ||||||||||||||||||||||||||||
Notional | Fair value | Notional(1) | Fair value(1) | ||||||||||||||||||||||||||
Derivatives used for trading and non-trading purposes(2)(3): | |||||||||||||||||||||||||||||
Equity contracts | ¥ | 14,130 | ¥ | 1,857 | ¥ | 14,550 | ¥ | 2,017 | |||||||||||||||||||||
Interest rate contracts | 727,129 | 21,685 | 711,914 | 21,452 | |||||||||||||||||||||||||
Credit contracts | 44,582 | 1,839 | 42,889 | 1,979 | |||||||||||||||||||||||||
Foreign exchange contracts | 81,002 | 2,104 | 80,280 | 2,007 | |||||||||||||||||||||||||
Commodity contracts | 29 | 1 | 39 | 2 | |||||||||||||||||||||||||
Total | ¥ | 866,872 | ¥ | 27,486 | ¥ | 849,672 | ¥ | 27,457 | |||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||||||
Interest rate contracts | ¥ | 1,748 | ¥ | 88 | ¥ | 162 | ¥ | 0 | |||||||||||||||||||||
Foreign exchange contracts | 92 | 1 | 24 | 1 | |||||||||||||||||||||||||
Total | ¥ | 1,840 | ¥ | 89 | ¥ | 186 | ¥ | 1 | |||||||||||||||||||||
Total derivatives | ¥ | 868,712 | ¥ | 27,575 | ¥ | 849,858 | ¥ | 27,458 | |||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||
Derivative assets | Derivative liabilities | ||||||||||||||||||||||||||||
Notional | Fair value | Notional(1) | Fair value(1) | ||||||||||||||||||||||||||
Derivatives used for trading and non-trading purposes(2)(3): | |||||||||||||||||||||||||||||
Equity contracts | ¥ | 15,761 | ¥ | 1,922 | ¥ | 14,911 | ¥ | 2,254 | |||||||||||||||||||||
Interest rate contracts | 1,132,306 | 19,459 | 1,098,406 | 19,249 | |||||||||||||||||||||||||
Credit contracts | 38,136 | 1,314 | 40,310 | 1,623 | |||||||||||||||||||||||||
Foreign exchange contracts | 108,595 | 3,312 | 113,915 | 2,938 | |||||||||||||||||||||||||
Commodity contracts | 46 | 0 | 37 | 0 | |||||||||||||||||||||||||
Total | ¥ | 1,294,844 | ¥ | 26,007 | ¥ | 1,267,579 | ¥ | 26,064 | |||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||||||
Interest rate contracts | ¥ | 2,143 | ¥ | 62 | ¥ | 296 | ¥ | 2 | |||||||||||||||||||||
Foreign exchange contracts | 109 | 0 | 116 | 2 | |||||||||||||||||||||||||
Total | ¥ | 2,252 | ¥ | 62 | ¥ | 412 | ¥ | 4 | |||||||||||||||||||||
Total derivatives | ¥ | 1,297,096 | ¥ | 26,069 | ¥ | 1,267,991 | ¥ | 26,068 | |||||||||||||||||||||
-1 | Includes the amount of embedded derivatives bifurcated in accordance with ASC 815. | ||||||||||||||||||||||||||||
-2 | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rates contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government securities. | ||||||||||||||||||||||||||||
-3 | As of March 31, 2013 and 2014, the amounts reported include derivatives used for non-trading purposes which are not designated as fair value or net investment hedges. These amounts have not been separately presented since such amounts were not significant. | ||||||||||||||||||||||||||||
Offsetting of derivatives instruments and related collateral amounts | ' | ||||||||||||||||||||||||||||
Billions of yen | Billions of yen | ||||||||||||||||||||||||||||
March 31, 2013 | March 31, 2014 | ||||||||||||||||||||||||||||
Derivative | Derivative | Derivative | Derivative | ||||||||||||||||||||||||||
assets | liabilities(1) | assets | liabilities(1) | ||||||||||||||||||||||||||
Equity contracts | |||||||||||||||||||||||||||||
OTC settled bilaterally | ¥ | 1,112 | ¥ | 1,174 | ¥ | 1,162 | ¥ | 1,418 | |||||||||||||||||||||
OTC centrally-cleared | — | — | — | — | |||||||||||||||||||||||||
Exchange-traded | 745 | 843 | 760 | 836 | |||||||||||||||||||||||||
Interest rate contracts | |||||||||||||||||||||||||||||
OTC settled bilaterally | 12,887 | 12,609 | 10,485 | 10,281 | |||||||||||||||||||||||||
OTC centrally-cleared | 8,873 | 8,839 | 9,025 | 8,961 | |||||||||||||||||||||||||
Exchange-traded | 13 | 4 | 11 | 9 | |||||||||||||||||||||||||
Credit contracts | |||||||||||||||||||||||||||||
OTC settled bilaterally | 1,744 | 1,880 | 1,180 | 1,491 | |||||||||||||||||||||||||
OTC centrally-cleared | 95 | 99 | 130 | 128 | |||||||||||||||||||||||||
Exchange-traded | 0 | 0 | 4 | 4 | |||||||||||||||||||||||||
Foreign exchange contracts | |||||||||||||||||||||||||||||
OTC settled bilaterally | 2,097 | 2,002 | 3,296 | 2,923 | |||||||||||||||||||||||||
OTC centrally-cleared | 8 | 6 | 12 | 13 | |||||||||||||||||||||||||
Exchange-traded | — | 0 | 4 | 4 | |||||||||||||||||||||||||
Commodity contracts | |||||||||||||||||||||||||||||
OTC settled bilaterally | 0 | 1 | 0 | 0 | |||||||||||||||||||||||||
OTC centrally-cleared | — | — | — | — | |||||||||||||||||||||||||
Exchange-traded | 1 | 1 | 0 | 0 | |||||||||||||||||||||||||
Total gross derivative balances(2) | ¥ | 27,575 | ¥ | 27,458 | ¥ | 26,069 | ¥ | 26,068 | |||||||||||||||||||||
Less: Amounts offset in the consolidated balance sheets(3) | (25,684 | ) | (25,636 | ) | (23,764 | ) | (24,030 | ) | |||||||||||||||||||||
Total net amounts reported on the face of the consolidated balance sheets(4) | ¥ | 1,891 | ¥ | 1,822 | ¥ | 2,305 | ¥ | 2,038 | |||||||||||||||||||||
Less: Additional amounts not offset in the consolidated balance sheets(5) | |||||||||||||||||||||||||||||
Financial instruments and non-cash collateral | (177 | ) | (138 | ) | (168 | ) | (44 | ) | |||||||||||||||||||||
Cash collateral(6) | — | (2 | ) | (0 | ) | (0 | ) | ||||||||||||||||||||||
Net amount | ¥ | 1,714 | ¥ | 1,682 | ¥ | 2,137 | ¥ | 1,994 | |||||||||||||||||||||
-1 | Includes the amount of embedded derivatives bifurcated in accordance with ASC 815. | ||||||||||||||||||||||||||||
-2 | Includes all gross derivative asset and liability balances irrespective of whether they are transacted under a master netting agreement or whether Nomura has obtained sufficient evidence of enforceability of the master netting agreement. As of March 31, 2013, the gross balance of derivative assets and derivative liabilities which are not documented under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was ¥ 660 billion and ¥855 billion, respectively. As of March 31, 2014, the gross balance of such derivative assets and derivative liabilities was ¥744 billion and ¥808 billion, respectively. | ||||||||||||||||||||||||||||
-3 | Represents amounts offset through counterparty netting of derivative assets and liabilities as well as cash collateral netting against net derivatives under master netting and similar agreements for which Nomura has obtained sufficient evidence of enforceability in accordance with ASC 815. As of March 31, 2013, Nomura offset a total of ¥985 billion of cash collateral receivables against net derivative liabilities and ¥1,033 billion of cash collateral payables against net derivative assets. As of March 31, 2014, Nomura offset a total of ¥1,283 billion of cash collateral receivables against net derivative liabilities and ¥1,017 billion of cash collateral payables against net derivative assets. | ||||||||||||||||||||||||||||
-4 | Net derivative assets and net derivative liabilities are generally reported within Trading assets and private equity investments—Trading assets and Trading liabilities, respectively in the consolidated balance sheet. Bifurcated embedded derivatives are reported within Short-term borrowings or Long-term borrowings depending on the maturity of the underlying host contract. | ||||||||||||||||||||||||||||
-5 | Represents amounts which are not permitted to be offset on the face of the consolidated balance sheets in accordance with ASC 210-20 and ASC 815 but which provide Nomura with a legally enforceable right of offset in the event of counterparty default. Amounts relating to derivative and collateral agreements where Nomura has not yet obtained sufficient evidence of enforceability of such offsetting rights are excluded. | ||||||||||||||||||||||||||||
-6 | As of March 31, 2013, a total of ¥220 billion of cash collateral receivables and ¥497 billion of cash collateral payables, including amounts reported in the table, have not been offset against net derivatives. As of March 31, 2014, a total of ¥203 billion of cash collateral receivables and ¥643 billion of cash collateral payables, including amounts reported in the table, have not been offset against net derivatives. | ||||||||||||||||||||||||||||
Derivative amounts included in consolidated statements of income | ' | ||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||
Derivatives used for trading and non-trading purposes(1)(2): | |||||||||||||||||||||||||||||
Equity contracts | ¥ | (137 | ) | ¥ | (69 | ) | ¥ | (91 | ) | ||||||||||||||||||||
Interest rate contracts | 42 | 65 | 102 | ||||||||||||||||||||||||||
Credit contracts | (73 | ) | (18 | ) | (123 | ) | |||||||||||||||||||||||
Foreign exchange contracts | (67 | ) | (329 | ) | (30 | ) | |||||||||||||||||||||||
Commodity contracts | (4 | ) | (0 | ) | 1 | ||||||||||||||||||||||||
Total | ¥ | (239 | ) | ¥ | (351 | ) | ¥ | (141 | ) | ||||||||||||||||||||
-1 | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rates contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government securities. | ||||||||||||||||||||||||||||
-2 | Includes net gains (losses) on derivatives used for non-trading purposes which are not designated as fair value or net investment hedges. For the years ended March 31, 2012, 2013 and 2014, these amounts have not been separately presented as net gains (losses) for these non-trading derivatives were not significant. | ||||||||||||||||||||||||||||
Fair value hedges | ' | ||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||||||
Interest rate contracts | ¥ | 76 | ¥ | 33 | ¥ | 2 | |||||||||||||||||||||||
Total | ¥ | 76 | ¥ | 33 | ¥ | 2 | |||||||||||||||||||||||
Hedged items: | |||||||||||||||||||||||||||||
Long-term borrowings | ¥ | (76 | ) | ¥ | (33 | ) | ¥ | (2 | ) | ||||||||||||||||||||
Total | ¥ | (76 | ) | ¥ | (33 | ) | ¥ | (2 | ) | ||||||||||||||||||||
Net investment hedges | ' | ||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||
Hedging instruments: | |||||||||||||||||||||||||||||
Foreign exchange contracts | ¥ | (1 | ) | ¥ | (14 | ) | ¥ | (12 | ) | ||||||||||||||||||||
Long-term borrowings | 4 | (15 | ) | — | |||||||||||||||||||||||||
Total | ¥ | 3 | ¥ | (29 | ) | ¥ | (12 | ) | |||||||||||||||||||||
-1 | The portion of the gains (losses) representing the amount of hedge ineffectiveness and the amount excluded from the assessment of hedge effectiveness are recognized within Revenue—Other in the consolidated statements of income. The amount of gains (losses) was not significant during the years ended March 31, 2012, 2013 and 2014. | ||||||||||||||||||||||||||||
Written credit derivatives and purchased credit protection | ' | ||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||
Maximum potential payout/Notional | Notional | ||||||||||||||||||||||||||||
Years to maturity | Purchased | ||||||||||||||||||||||||||||
credit | |||||||||||||||||||||||||||||
Carrying value | Total | Less than | 1 to 3 | 3 to 5 | More than | protection | |||||||||||||||||||||||
(Asset) / Liability(1) | 1 year | years | years | 5 years | |||||||||||||||||||||||||
Single-name credit default swaps | ¥ | 210 | ¥ | 24,659 | ¥ | 4,575 | ¥ | 7,961 | ¥ | 9,877 | ¥ | 2,246 | ¥ | 22,431 | |||||||||||||||
Credit default indices | (16 | ) | 12,722 | 1,482 | 3,555 | 6,815 | 870 | 11,592 | |||||||||||||||||||||
Other credit risk related portfolio products | 230 | 2,586 | 666 | 1,112 | 215 | 593 | 1,710 | ||||||||||||||||||||||
Credit risk related options and swaptions | 0 | 51 | — | — | 27 | 24 | 42 | ||||||||||||||||||||||
Total | ¥ | 424 | ¥ | 40,018 | ¥ | 6,723 | ¥ | 12,628 | ¥ | 16,934 | ¥ | 3,733 | ¥ | 35,775 | |||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||
Maximum potential payout/Notional | Notional | ||||||||||||||||||||||||||||
Years to maturity | Purchased | ||||||||||||||||||||||||||||
credit | |||||||||||||||||||||||||||||
Carrying value | Total | Less than | 1 to 3 | 3 to 5 | More than | protection | |||||||||||||||||||||||
(Asset) / Liability(1) | 1 year | years | years | 5 years | |||||||||||||||||||||||||
Single-name credit default swaps | ¥ | (235 | ) | ¥ | 21,070 | ¥ | 4,167 | ¥ | 8,306 | ¥ | 6,610 | ¥ | 1,987 | ¥ | 18,689 | ||||||||||||||
Credit default indices | (32 | ) | 9,082 | 1,215 | 3,552 | 3,582 | 733 | 7,704 | |||||||||||||||||||||
Other credit risk related portfolio products | 123 | 1,574 | 523 | 398 | 201 | 452 | 1,097 | ||||||||||||||||||||||
Credit risk related options and swaptions | (1 | ) | 676 | — | — | 504 | 172 | 548 | |||||||||||||||||||||
Total | ¥ | (145 | ) | ¥ | 32,402 | ¥ | 5,905 | ¥ | 12,256 | ¥ | 10,897 | ¥ | 3,344 | ¥ | 28,038 | ||||||||||||||
-1 | Carrying value amounts are shown on a gross basis prior to cash collateral or counterparty netting. Asset balances represent positive fair value amounts caused by tightening of credit spreads of underlyings since inception of the credit derivative contracts. | ||||||||||||||||||||||||||||
Written credit derivatives by external credit rating of underlying asset | ' | ||||||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||
Maximum potential payout/Notional | |||||||||||||||||||||||||||||
AAA | AA | A | BBB | BB | Other(1) | Total | |||||||||||||||||||||||
Single-name credit default swaps | ¥ | 2,400 | ¥ | 1,594 | ¥ | 5,945 | ¥ | 8,208 | ¥ | 4,073 | ¥ | 2,439 | ¥ | 24,659 | |||||||||||||||
Credit default indices | 14 | 589 | 6,360 | 3,516 | 1,910 | 333 | 12,722 | ||||||||||||||||||||||
Other credit risk related portfolio products | 77 | 17 | 9 | 127 | 243 | 2,113 | 2,586 | ||||||||||||||||||||||
Credit risk related options and swaptions | — | — | 18 | — | 33 | — | 51 | ||||||||||||||||||||||
Total | ¥ | 2,491 | ¥ | 2,200 | ¥ | 12,332 | ¥ | 11,851 | ¥ | 6,259 | ¥ | 4,885 | ¥ | 40,018 | |||||||||||||||
Billions of yen | |||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||
Maximum potential payout/Notional | |||||||||||||||||||||||||||||
AAA | AA | A | BBB | BB | Other(1) | Total | |||||||||||||||||||||||
Single-name credit default swaps | ¥ | 2,125 | ¥ | 1,331 | ¥ | 5,232 | ¥ | 7,362 | ¥ | 3,231 | ¥ | 1,789 | ¥ | 21,070 | |||||||||||||||
Credit default indices | 86 | 23 | 4,445 | 2,884 | 1,341 | 303 | 9,082 | ||||||||||||||||||||||
Other credit risk related portfolio products | 22 | — | 1 | — | 4 | 1,547 | 1,574 | ||||||||||||||||||||||
Credit risk related options and swaptions | — | — | 387 | 195 | 94 | — | 676 | ||||||||||||||||||||||
Total | ¥ | 2,233 | ¥ | 1,354 | ¥ | 10,065 | ¥ | 10,441 | ¥ | 4,670 | ¥ | 3,639 | ¥ | 32,402 | |||||||||||||||
-1 | “Other” includes credit derivatives where the credit rating of the underlying reference asset is below investment grade or where a rating is unavailable. |
Investment_company_accounting_
Investment company accounting (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Investment company accounting | ' | ||||||||||||
Summary of aggregate fair value and cost of investments | ' | ||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2013 | 2014 | ||||||||||||
Closing cost(1) | ¥ | 24,393 | ¥ | 28,394 | |||||||||
Gross unrealized appreciation | 11,711 | 9,216 | |||||||||||
Gross unrealized depreciation | (7,277 | ) | (5,047 | ) | |||||||||
Closing fair value | ¥ | 28,827 | ¥ | 32,563 | |||||||||
-1 | Cost is defined as the historical cost of each investment (i.e. purchase price) as adjusted for subsequent additional investment. | ||||||||||||
Summary of performance of investments | ' | ||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Opening fair value | ¥ | 208,754 | ¥ | 132,320 | ¥ | 28,827 | |||||||
Purchase / (sales) of investees during the period(1) | (109,724 | ) | (127,396 | ) | 56 | ||||||||
Realized gains during the period(2) | 35,931 | 19,181 | 925 | ||||||||||
Change in unrealized gains / (losses) during the period(3) | (2,641 | ) | 4,722 | 2,755 | |||||||||
Closing fair value | ¥ | 132,320 | ¥ | 28,827 | ¥ | 32,563 | |||||||
-1 | Acquisition cost of new investees and additional investments or sales proceeds of investees disposed of during the period. | ||||||||||||
-2 | Realized gains and losses are calculated as the difference between sales proceeds and the carrying values. | ||||||||||||
-3 | Includes the effect of foreign exchange movements. |
Collateralized_transactions_Ta
Collateralized transactions (Tables) | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Collateralized transactions | ' | ||||||||||||||||
Offsetting of the transactions in the consolidated balance sheets | ' | ||||||||||||||||
Billions of yen | |||||||||||||||||
March 31, 2013 | |||||||||||||||||
Assets | Liabilities | ||||||||||||||||
Reverse | Securities | Repurchase | Securities | ||||||||||||||
repurchase | borrowing | agreements | lending | ||||||||||||||
agreements | transactions | transactions | |||||||||||||||
Total gross balance(1) | ¥ | 22,183 | ¥ | 6,064 | ¥ | 26,332 | ¥ | 2,462 | |||||||||
Less: Amounts offset in the consolidated balance sheets(2) | (13,888 | ) | (256 | ) | (13,888 | ) | (256 | ) | |||||||||
Total net amounts of reported on the face of the consolidated balance sheets(3) | ¥ | 8,295 | ¥ | 5,808 | ¥ | 12,444 | ¥ | 2,206 | |||||||||
Less: Additional amounts not offset in the consolidated balance sheets(4) | |||||||||||||||||
Financial instruments and non-cash collateral | (6,588 | ) | (3,889 | ) | (10,201 | ) | (1,935 | ) | |||||||||
Cash collateral | (1 | ) | — | (0 | ) | — | |||||||||||
Net amount | ¥ | 1,706 | ¥ | 1,919 | ¥ | 2,243 | ¥ | 271 | |||||||||
Billions of yen | |||||||||||||||||
March 31, 2014 | |||||||||||||||||
Assets | Liabilities | ||||||||||||||||
Reverse | Securities | Repurchase | Securities | ||||||||||||||
repurchase | borrowing | agreements | lending | ||||||||||||||
agreements | transactions | transactions | |||||||||||||||
Total gross balance(1) | ¥ | 20,244 | ¥ | 7,729 | ¥ | 24,564 | ¥ | 2,602 | |||||||||
Less: Amounts offset in the consolidated balance sheets(2) | (10,626 | ) | (5 | ) | (10,626 | ) | (5 | ) | |||||||||
Total net amounts of reported on the face of the consolidated balance sheets(3) | ¥ | 9,618 | ¥ | 7,724 | ¥ | 13,938 | ¥ | 2,597 | |||||||||
Less: Additional amounts not offset in the consolidated balance sheets(4) | |||||||||||||||||
Financial instruments and non-cash collateral | (7,930 | ) | (5,725 | ) | (9,867 | ) | (2,235 | ) | |||||||||
Cash collateral | (0 | ) | — | (0 | ) | — | |||||||||||
Net amount | ¥ | 1,688 | ¥ | 1,999 | ¥ | 4,071 | ¥ | 362 | |||||||||
-1 | Includes all recognized balances irrespective of whether they are transacted under a master netting agreement or whether Nomura has obtained sufficient evidence of enforceability of the master netting agreement. Amounts include transactions carried at fair value through election of the fair value option and amounts carried at amortized cost. As of March 31, 2013, the gross balance of reverse repurchase agreements and repurchase agreements which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was ¥ 1,617 billion and ¥ 2,083 billion, respectively. As of March 31, 2013, the gross balance of securities borrowing transactions and securities lending transactions which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was ¥1,679 billion and ¥ 143 billion, respectively. As of March 31, 2014, the gross balance of reverse repurchase agreements and repurchase agreements which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was ¥1,278 billion and ¥3,918 billion, respectively. As of March 31, 2014, the gross balance of securities borrowing transactions and securities lending transactions which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was ¥1,751 billion and ¥137 billion, respectively. | ||||||||||||||||
-2 | Represents amounts offset through counterparty netting under master netting and similar agreements for which Nomura has obtained sufficient evidence of enforceability in accordance with ASC 210-20. Amounts offset include transactions carried at fair value through election of the fair value option and amounts carried at amortized cost. | ||||||||||||||||
-3 | Reverse repurchase agreements and securities borrowing transactions are reported within Collateralized agreements—Securities purchased under agreements to resell and Collateralized agreements—Securities borrowed in the consolidated balance sheets, respectively. Repurchase agreements and securities lending transactions are reported within Collateralized financing—Securities sold under agreements to repurchase and Collateralized financing—Securities loaned in the consolidated balance sheets, respectively. Amounts reported under securities lending transactions also include transactions where Nomura lends securities and receives securities that can be sold or pledged as collateral. Nomura recognizes the securities received at fair value and a liability for the same amount, representing the obligation to return those securities. The liability is reported within Other liabilities in the consolidated balance sheets. | ||||||||||||||||
-4 | Represents amounts which are not permitted to be offset on the face of the balance sheet in accordance with ASC 210-20 but which provide Nomura with the right of offset in the event of counterparty default. Amounts relating to agreements where Nomura has not yet obtained sufficient evidence of enforceability of such offsetting rights are excluded. | ||||||||||||||||
Fair value of securities received as collateral available to sell or repledge | ' | ||||||||||||||||
Billions of yen | |||||||||||||||||
March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
The fair value of securities received as collateral, securities borrowed as collateral and securities borrowed without collateral where Nomura is permitted by contract or custom to sell or repledge the securities | ¥ | 35,281 | ¥ | 35,530 | |||||||||||||
The portion of the above that has been sold (reported within Trading liabilities in the consolidated balance sheets) or repledged | 28,488 | 28,959 | |||||||||||||||
Assets owned, pledged as collateral | ' | ||||||||||||||||
Millions of yen | |||||||||||||||||
March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
Trading assets: | |||||||||||||||||
Equities and convertible securities | ¥ | 86,108 | ¥ | 174,753 | |||||||||||||
Government and government agency securities | 1,314,277 | 991,430 | |||||||||||||||
Bank and corporate debt securities | 161,233 | 150,183 | |||||||||||||||
Commercial mortgage-backed securities (“CMBS”) | 33,723 | 35,671 | |||||||||||||||
Residential mortgage-backed securities (“RMBS”) | 1,674,898 | 1,141,726 | |||||||||||||||
Collateralized debt obligations (“CDOs”) and other(1) | 84,065 | 82,237 | |||||||||||||||
Investment trust funds and other | 16,335 | 18,503 | |||||||||||||||
¥ | 3,370,639 | ¥ | 2,594,503 | ||||||||||||||
Deposits with stock exchanges and other segregated cash | 4,110 | 4,630 | |||||||||||||||
Non-trading debt securities | ¥ | 49,811 | ¥ | 42,087 | |||||||||||||
Investments in and advances to affiliated companies | ¥ | 37,636 | ¥ | 28,642 | |||||||||||||
-1 | Includes CLOs and ABS such as those secured on credit card loans, auto loans and student loans. | ||||||||||||||||
Assets subject to lien | ' | ||||||||||||||||
Millions of yen | |||||||||||||||||
March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
Loans and receivables | ¥ | 706 | ¥ | 141 | |||||||||||||
Trading assets | 1,208,753 | 1,293,036 | |||||||||||||||
Office buildings, land, equipment and facilities | 955 | 5,236 | |||||||||||||||
Non-trading debt securities | 315,781 | 370,239 | |||||||||||||||
Other | 83 | 78 | |||||||||||||||
¥ | 1,526,278 | ¥ | 1,668,730 | ||||||||||||||
Nontrading_securities_Tables
Non-trading securities (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Non-trading securities | ' | ||||||||||||||||||||||||
Non-trading securities reconciliation | ' | ||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||
Cost and/or | Unrealized gains and losses | Fair value | |||||||||||||||||||||||
amortized cost | Gross unrealized gains | Gross unrealized losses | |||||||||||||||||||||||
Government, agency and municipal securities(1) | ¥ | 177,374 | ¥ | 5,294 | ¥ | 126 | ¥ | 182,542 | |||||||||||||||||
Other debt securities(2) | 54,032 | 726 | 86 | 54,672 | |||||||||||||||||||||
Equity securities | 39,997 | 12,923 | 109 | 52,811 | |||||||||||||||||||||
Total | ¥ | 271,403 | ¥ | 18,943 | ¥ | 321 | ¥ | 290,025 | |||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||
Cost and/or | Unrealized gains and losses | Fair value | |||||||||||||||||||||||
amortized cost | Gross unrealized gains | Gross unrealized losses | |||||||||||||||||||||||
Government, agency and municipal securities(1) | ¥ | 138,973 | ¥ | 842 | ¥ | 86 | ¥ | 139,729 | |||||||||||||||||
Other debt securities(2) | 129,311 | 6,851 | 91 | 136,071 | |||||||||||||||||||||
Equity securities | 38,157 | 14,508 | 43 | 52,622 | |||||||||||||||||||||
Total | ¥ | 306,441 | ¥ | 22,201 | ¥ | 220 | ¥ | 328,422 | |||||||||||||||||
-1 | Primarily Japanese government, agency and municipal securities. | ||||||||||||||||||||||||
-2 | Primarily corporate debt securities. | ||||||||||||||||||||||||
Fair value of residual contractual maturity of non-trading debt securities | ' | ||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||
Years to maturity | |||||||||||||||||||||||||
Total | Less than 1 year | 1 to 5 years | 5 to 10 years | More than 10 years | |||||||||||||||||||||
Non-trading debt securities | ¥ | 275,800 | ¥ | 30,507 | ¥ | 115,757 | ¥ | 98,323 | ¥ | 31,213 | |||||||||||||||
Fair value and gross unrealized losses of non-trading securities | ' | ||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||
Less than 12 months | More than 12 months | Total | |||||||||||||||||||||||
Fair value | Gross | Fair value | Gross | Fair value | Gross | ||||||||||||||||||||
unrealized | unrealized | unrealized | |||||||||||||||||||||||
losses | losses | losses | |||||||||||||||||||||||
Government, agency and municipal securities | ¥ | 56,400 | ¥ | 80 | ¥ | 2,903 | ¥ | 46 | ¥ | 59,303 | ¥ | 126 | |||||||||||||
Other debt securities | 10,404 | 86 | — | — | 10,404 | 86 | |||||||||||||||||||
Equity securities | 1,517 | 109 | — | — | 1,517 | 109 | |||||||||||||||||||
Total | ¥ | 68,321 | ¥ | 275 | ¥ | 2,903 | ¥ | 46 | ¥ | 71,224 | ¥ | 321 | |||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||
Less than 12 months | More than 12 months | Total | |||||||||||||||||||||||
Fair value | Gross | Fair value | Gross | Fair value | Gross | ||||||||||||||||||||
unrealized | unrealized | unrealized | |||||||||||||||||||||||
losses | losses | losses | |||||||||||||||||||||||
Government, agency and municipal securities | ¥ | 54,007 | ¥ | 82 | ¥ | 2,294 | ¥ | 4 | ¥ | 56,301 | ¥ | 86 | |||||||||||||
Other debt securities | 8,106 | 91 | — | — | 8,106 | 91 | |||||||||||||||||||
Equity securities | 498 | 43 | — | — | 498 | 43 | |||||||||||||||||||
Total | ¥ | 62,611 | ¥ | 216 | ¥ | 2,294 | ¥ | 4 | ¥ | 64,905 | ¥ | 220 | |||||||||||||
Securitizations_and_Variable_I1
Securitizations and Variable Interest Entities (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Securitizations and Variable Interest Entities | ' | ||||||||||||||||||||||||
Fair value of retained interests | ' | ||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Investment | Other | ||||||||||||||||||||
grade | |||||||||||||||||||||||||
Government, agency and municipal securities | ¥ | — | ¥ | 296 | ¥ | — | ¥ | 296 | ¥ | 296 | ¥ | — | |||||||||||||
Bank and corporate debt securities | — | — | 0 | 0 | — | 0 | |||||||||||||||||||
Mortgage and mortgage-backed securities | — | 2 | 2 | 4 | 2 | 2 | |||||||||||||||||||
Total | ¥ | — | ¥ | 298 | ¥ | 2 | ¥ | 300 | ¥ | 298 | ¥ | 2 | |||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Investment | Other | ||||||||||||||||||||
grade | |||||||||||||||||||||||||
Government, agency and municipal securities | ¥ | — | ¥ | 195 | ¥ | — | ¥ | 195 | ¥ | 195 | ¥ | — | |||||||||||||
Bank and corporate debt securities | — | — | 0 | 0 | — | 0 | |||||||||||||||||||
Mortgage and mortgage-backed securities | — | 19 | 1 | 20 | 1 | 19 | |||||||||||||||||||
Total | ¥ | — | ¥ | 214 | ¥ | 1 | ¥ | 215 | ¥ | 196 | ¥ | 19 | |||||||||||||
Fair value of firm's retained interests and sensitivity of this fair value | ' | ||||||||||||||||||||||||
Billions of yen, except percentages | |||||||||||||||||||||||||
Material retained interests held(1) | |||||||||||||||||||||||||
as of March 31 | |||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Fair value of retained interests(1) | ¥ | 288 | ¥ | 201 | |||||||||||||||||||||
Weighted-average life (Years) | 6 | 7.5 | |||||||||||||||||||||||
Constant prepayment rate | 10.1 | % | 6.2 | % | |||||||||||||||||||||
Impact of 10% adverse change | (2.6 | ) | (2.3 | ) | |||||||||||||||||||||
Impact of 20% adverse change | (5.0 | ) | (4.0 | ) | |||||||||||||||||||||
Discount rate | 3.6 | % | 5.3 | % | |||||||||||||||||||||
Impact of 10% adverse change | (4.2 | ) | (1.5 | ) | |||||||||||||||||||||
Impact of 20% adverse change | (8.2 | ) | (2.6 | ) | |||||||||||||||||||||
-1 | The sensitivity analysis covers the material retained interests held of ¥288 billion out of ¥300 billion as of March 31, 2013 and ¥201 billion out of ¥215 billion as of March 31, 2014. Nomura considers the amount or the probability of anticipated credit loss from the retained interests which Nomura continuously holds would be minimal. | ||||||||||||||||||||||||
Type and carrying value of financial assets | ' | ||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Trading assets | |||||||||||||||||||||||||
Equities | ¥ | 72 | ¥ | 99 | |||||||||||||||||||||
Debt securities | 86 | 64 | |||||||||||||||||||||||
Mortgage and mortgage-backed securities | 24 | 23 | |||||||||||||||||||||||
Long-term loans receivable | 8 | 7 | |||||||||||||||||||||||
Total | ¥ | 190 | ¥ | 193 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Long-term borrowings | ¥ | 177 | ¥ | 182 | |||||||||||||||||||||
Classification of consolidated VIEs' assets and liabilities | ' | ||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Consolidated VIE assets | |||||||||||||||||||||||||
Cash and cash equivalents | ¥ | 13 | ¥ | 18 | |||||||||||||||||||||
Trading assets | |||||||||||||||||||||||||
Equities | 353 | 289 | |||||||||||||||||||||||
Debt securities | 200 | 393 | |||||||||||||||||||||||
Mortgage and mortgage-backed securities | 138 | 66 | |||||||||||||||||||||||
Derivatives | 3 | 2 | |||||||||||||||||||||||
Private equity investments | 1 | 1 | |||||||||||||||||||||||
Securities purchased under agreements to resell | 12 | 32 | |||||||||||||||||||||||
Office buildings, land, equipment and facilities | 17 | 12 | |||||||||||||||||||||||
Other(1) | 64 | 70 | |||||||||||||||||||||||
Total | ¥ | 801 | ¥ | 883 | |||||||||||||||||||||
Consolidated VIE liabilities | |||||||||||||||||||||||||
Trading liabilities | |||||||||||||||||||||||||
Debt securities | ¥ | 6 | ¥ | 33 | |||||||||||||||||||||
Derivatives | 15 | 9 | |||||||||||||||||||||||
Securities sold under agreements to repurchase | 4 | 23 | |||||||||||||||||||||||
Borrowings | |||||||||||||||||||||||||
Long-term borrowings | 458 | 424 | |||||||||||||||||||||||
Other | 7 | 4 | |||||||||||||||||||||||
Total | ¥ | 490 | ¥ | 493 | |||||||||||||||||||||
-1 | Includes aircraft purchase deposits of ¥16 billion and ¥5 billion as of March 31, 2013 and 2014, respectively. In relation to these aircraft purchase deposits, certain of these SPEs have commitments to purchase aircraft. See Note 23 “Commitments, contingencies and guarantees” for further information. | ||||||||||||||||||||||||
Carrying amount of assets and liabilities of unconsolidated VIEs | ' | ||||||||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||
Carrying amount of variable interests | Maximum exposure | ||||||||||||||||||||||||
to loss to | |||||||||||||||||||||||||
Assets | Liabilities | unconsolidated VIEs | |||||||||||||||||||||||
Trading assets and liabilities | |||||||||||||||||||||||||
Equities | ¥ | 65 | ¥ | — | ¥ | 65 | |||||||||||||||||||
Debt securities | 173 | — | 173 | ||||||||||||||||||||||
Mortgage and mortgage-backed securities | 2,843 | — | 2,843 | ||||||||||||||||||||||
Investment trust funds and other | 161 | — | 161 | ||||||||||||||||||||||
Derivatives | 0 | — | 18 | ||||||||||||||||||||||
Private equity investments | 28 | — | 28 | ||||||||||||||||||||||
Loans | |||||||||||||||||||||||||
Short-term loans | 7 | — | 7 | ||||||||||||||||||||||
Long-term loans | 82 | — | 82 | ||||||||||||||||||||||
Other | 4 | — | 4 | ||||||||||||||||||||||
Commitments to extend credit and other guarantees | — | — | 33 | ||||||||||||||||||||||
Total | ¥ | 3,363 | ¥ | — | ¥ | 3,414 | |||||||||||||||||||
Billions of yen | |||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||
Carrying amount of variable interests | Maximum exposure | ||||||||||||||||||||||||
to loss to | |||||||||||||||||||||||||
Assets | Liabilities | unconsolidated VIEs | |||||||||||||||||||||||
Trading assets and liabilities | |||||||||||||||||||||||||
Equities | ¥ | 67 | ¥ | — | ¥ | 67 | |||||||||||||||||||
Debt securities | 211 | — | 211 | ||||||||||||||||||||||
Mortgage and mortgage-backed securities | 2,308 | — | 2,308 | ||||||||||||||||||||||
Investment trust funds and other | 185 | — | 185 | ||||||||||||||||||||||
Derivatives | 0 | — | 4 | ||||||||||||||||||||||
Private equity investments | 25 | — | 25 | ||||||||||||||||||||||
Loans | |||||||||||||||||||||||||
Short-term loans | 11 | — | 11 | ||||||||||||||||||||||
Long-term loans | 164 | — | 164 | ||||||||||||||||||||||
Other | 4 | — | 4 | ||||||||||||||||||||||
Commitments to extend credit and other guarantees | — | — | 49 | ||||||||||||||||||||||
Total | ¥ | 2,975 | ¥ | — | ¥ | 3,028 | |||||||||||||||||||
Financing_receivables_Tables
Financing receivables (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||||||
Financing receivables | ' | ||||||||||||||||||||||||||||||||
Summary of loans receivable reported within loans receivable or investments in and advances to affiliated companies | ' | ||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||
Carried at | Carried at | Total | |||||||||||||||||||||||||||||||
amortized cost | fair value(1) | ||||||||||||||||||||||||||||||||
Loans receivable | |||||||||||||||||||||||||||||||||
Loans at banks | ¥ | 263,608 | ¥ | 153 | ¥ | 263,761 | |||||||||||||||||||||||||||
Short-term secured margin loans | 288,574 | — | 288,574 | ||||||||||||||||||||||||||||||
Inter-bank money market loans | 76,968 | — | 76,968 | ||||||||||||||||||||||||||||||
Corporate loans | 422,295 | 523,896 | 946,191 | ||||||||||||||||||||||||||||||
Total loans receivable | ¥ | 1,051,445 | ¥ | 524,049 | ¥ | 1,575,494 | |||||||||||||||||||||||||||
Advances to affiliated companies | 12,376 | — | 12,376 | ||||||||||||||||||||||||||||||
Total | ¥ | 1,063,821 | ¥ | 524,049 | ¥ | 1,587,870 | |||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||
Carried at | Carried at | Total | |||||||||||||||||||||||||||||||
amortized cost | fair value(1) | ||||||||||||||||||||||||||||||||
Loans receivable | |||||||||||||||||||||||||||||||||
Loans at banks | ¥ | 274,966 | ¥ | 44 | ¥ | 275,010 | |||||||||||||||||||||||||||
Short-term secured margin loans | 421,809 | — | 421,809 | ||||||||||||||||||||||||||||||
Inter-bank money market loans | 42,885 | — | 42,885 | ||||||||||||||||||||||||||||||
Corporate loans | 284,259 | 303,912 | 588,171 | ||||||||||||||||||||||||||||||
Total loans receivable | ¥ | 1,023,919 | ¥ | 303,956 | ¥ | 1,327,875 | |||||||||||||||||||||||||||
Advances to affiliated companies | 5,797 | — | 5,797 | ||||||||||||||||||||||||||||||
Total | ¥ | 1,029,716 | ¥ | 303,956 | ¥ | 1,333,672 | |||||||||||||||||||||||||||
-1 | Includes loans receivable and loan commitments carried at fair value through election of the fair value option. | ||||||||||||||||||||||||||||||||
Changes in allowance for losses for current period | ' | ||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ended March 31, 2012 | |||||||||||||||||||||||||||||||||
Allowance for loan losses | |||||||||||||||||||||||||||||||||
Loans | Short-term | Inter-bank | Corporate | Advances to | Subtotal | Allowance for | Total | ||||||||||||||||||||||||||
at banks | secured | money | loans | affiliated | receivables | allowance | |||||||||||||||||||||||||||
margin | market loans | companies | other than | for doubtful | |||||||||||||||||||||||||||||
loans | loans | accounts | |||||||||||||||||||||||||||||||
Opening balance | ¥ | 339 | ¥ | 37 | ¥ | — | ¥ | 3,422 | ¥ | 11 | ¥ | 3,809 | ¥ | 1,051 | ¥ | 4,860 | |||||||||||||||||
Provision for losses | 213 | (11 | ) | — | (592 | ) | 40 | (350 | ) | 20 | (330 | ) | |||||||||||||||||||||
Charge-offs | — | (2 | ) | — | — | — | (2 | ) | (1 | ) | (3 | ) | |||||||||||||||||||||
Other(1) | — | (0 | ) | — | (72 | ) | — | (72 | ) | 433 | 361 | ||||||||||||||||||||||
Ending balance | ¥ | 552 | ¥ | 24 | ¥ | — | ¥ | 2,758 | ¥ | 51 | ¥ | 3,385 | ¥ | 1,503 | ¥ | 4,888 | |||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ended March 31, 2013 | |||||||||||||||||||||||||||||||||
Allowance for loan losses | |||||||||||||||||||||||||||||||||
Loans | Short-term | Inter-bank | Corporate | Advances to | Subtotal | Allowance for | Total | ||||||||||||||||||||||||||
at banks | secured | money | loans | affiliated | receivables | allowance | |||||||||||||||||||||||||||
margin | market loans | companies | other than | for doubtful | |||||||||||||||||||||||||||||
loans | loans | accounts | |||||||||||||||||||||||||||||||
Opening balance | ¥ | 552 | ¥ | 24 | ¥ | — | ¥ | 2,758 | ¥ | 51 | ¥ | 3,385 | ¥ | 1,503 | ¥ | 4,888 | |||||||||||||||||
Provision for losses | 238 | 13 | — | (2,630 | ) | (22 | ) | (2,401 | ) | (13 | ) | (2,414 | ) | ||||||||||||||||||||
Charge-offs | (1 | ) | (11 | ) | — | (26 | ) | — | (38 | ) | — | (38 | ) | ||||||||||||||||||||
Other(1) | — | 0 | — | (7 | ) | — | (7 | ) | (171 | ) | (178 | ) | |||||||||||||||||||||
Ending balance | ¥ | 789 | ¥ | 26 | ¥ | — | ¥ | 95 | ¥ | 29 | ¥ | 939 | ¥ | 1,319 | ¥ | 2,258 | |||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ended March 31, 2014 | |||||||||||||||||||||||||||||||||
Allowance for loan losses | |||||||||||||||||||||||||||||||||
Loans | Short-term | Inter-bank | Corporate | Advances to | Subtotal | Allowance for | Total | ||||||||||||||||||||||||||
at banks | secured | money | loans | affiliated | receivables | allowance | |||||||||||||||||||||||||||
margin | market loans | companies | other than | for doubtful | |||||||||||||||||||||||||||||
loans | loans | accounts | |||||||||||||||||||||||||||||||
Opening balance | ¥ | 789 | ¥ | 26 | ¥ | — | ¥ | 95 | ¥ | 29 | ¥ | 939 | ¥ | 1,319 | ¥ | 2,258 | |||||||||||||||||
Provision for losses | (109 | ) | 61 | — | (13 | ) | (28 | ) | (89 | ) | 960 | 871 | |||||||||||||||||||||
Charge-offs | (2 | ) | — | — | — | — | (2 | ) | (146 | ) | (148 | ) | |||||||||||||||||||||
Other(1) | (0 | ) | — | — | 0 | — | 0 | 28 | 28 | ||||||||||||||||||||||||
Ending balance | ¥ | 678 | ¥ | 87 | ¥ | — | ¥ | 82 | ¥ | 1 | ¥ | 848 | ¥ | 2,161 | ¥ | 3,009 | |||||||||||||||||
-1 | Includes the effect of foreign exchange movements. | ||||||||||||||||||||||||||||||||
Schedule of allowance for loan losses and loans by impairment methodology and type of loans | ' | ||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||
Loans at | Short-term | Inter-bank | Corporate | Advances | Total | ||||||||||||||||||||||||||||
banks | secured margin | money | loans | to | |||||||||||||||||||||||||||||
loans | market loans | affiliated | |||||||||||||||||||||||||||||||
companies | |||||||||||||||||||||||||||||||||
Allowance by impairment methodology | |||||||||||||||||||||||||||||||||
Evaluated individually | ¥ | 6 | ¥ | — | ¥ | — | ¥ | 7 | ¥ | — | ¥ | 13 | |||||||||||||||||||||
Evaluated collectively | 783 | 26 | — | 88 | 29 | 926 | |||||||||||||||||||||||||||
Total allowance for loan losses | ¥ | 789 | ¥ | 26 | ¥ | — | ¥ | 95 | ¥ | 29 | ¥ | 939 | |||||||||||||||||||||
Loans by impairment methodology | |||||||||||||||||||||||||||||||||
Evaluated individually | ¥ | 76 | ¥ | 83,399 | ¥ | 76,968 | ¥ | 412,675 | ¥ | 5,595 | ¥ | 578,713 | |||||||||||||||||||||
Evaluated collectively | 263,532 | 205,175 | — | 9,620 | 6,781 | 485,108 | |||||||||||||||||||||||||||
Total loans | ¥ | 263,608 | ¥ | 288,574 | ¥ | 76,968 | ¥ | 422,295 | ¥ | 12,376 | ¥ | 1,063,821 | |||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||
Loans at | Short-term | Inter-bank | Corporate | Advances | Total | ||||||||||||||||||||||||||||
banks | secured margin | money | loans | to | |||||||||||||||||||||||||||||
loans | market loans | affiliated | |||||||||||||||||||||||||||||||
companies | |||||||||||||||||||||||||||||||||
Allowance by impairment methodology | |||||||||||||||||||||||||||||||||
Evaluated individually | ¥ | 3 | ¥ | — | ¥ | — | ¥ | 7 | ¥ | — | ¥ | 10 | |||||||||||||||||||||
Evaluated collectively | 675 | 87 | — | 75 | 1 | 838 | |||||||||||||||||||||||||||
Total allowance for loan losses | ¥ | 678 | ¥ | 87 | ¥ | — | ¥ | 82 | ¥ | 1 | ¥ | 848 | |||||||||||||||||||||
Loans by impairment methodology | |||||||||||||||||||||||||||||||||
Evaluated individually | ¥ | 4,374 | ¥ | 103,345 | ¥ | 42,885 | ¥ | 275,753 | ¥ | 882 | ¥ | 427,239 | |||||||||||||||||||||
Evaluated collectively | 270,592 | 318,464 | — | 8,506 | 4,915 | 602,477 | |||||||||||||||||||||||||||
Total loans | ¥ | 274,966 | ¥ | 421,809 | ¥ | 42,885 | ¥ | 284,259 | ¥ | 5,797 | ¥ | 1,029,716 | |||||||||||||||||||||
Analysis of each class of loans not carried at fair value using Nomura's internal ratings or equivalent credit quality indicators | ' | ||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2013 | |||||||||||||||||||||||||||||||||
AAA-BBB | BB-CCC | CC-D | Others(1) | Total | |||||||||||||||||||||||||||||
Secured loans at banks | ¥ | 105,199 | ¥ | 30,826 | ¥ | — | ¥ | 33,208 | ¥ | 169,233 | |||||||||||||||||||||||
Unsecured loans at banks | 93,266 | 1,103 | 6 | — | 94,375 | ||||||||||||||||||||||||||||
Short-term secured margin loans | — | — | — | 288,574 | 288,574 | ||||||||||||||||||||||||||||
Secured inter-bank money market loans | 1,968 | — | — | — | 1,968 | ||||||||||||||||||||||||||||
Unsecured inter-bank money market loans | 75,000 | — | — | — | 75,000 | ||||||||||||||||||||||||||||
Secured corporate loans | 220,189 | 164,205 | 7,969 | 3,570 | 395,933 | ||||||||||||||||||||||||||||
Unsecured corporate loans | — | 26,362 | — | — | 26,362 | ||||||||||||||||||||||||||||
Advances to affiliated companies | 6,781 | 527 | — | 5,068 | 12,376 | ||||||||||||||||||||||||||||
Total | ¥ | 502,403 | ¥ | 223,023 | ¥ | 7,975 | ¥ | 330,420 | ¥ | 1,063,821 | |||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||||||
AAA-BBB | BB-CCC | CC-D | Others(1) | Total | |||||||||||||||||||||||||||||
Secured loans at banks | ¥ | 98,356 | ¥ | 33,669 | ¥ | — | ¥ | 34,740 | ¥ | 166,765 | |||||||||||||||||||||||
Unsecured loans at banks | 108,199 | — | 2 | — | 108,201 | ||||||||||||||||||||||||||||
Short-term secured margin loans | — | — | — | 421,809 | 421,809 | ||||||||||||||||||||||||||||
Secured inter-bank money market loans | 12,885 | — | — | — | 12,885 | ||||||||||||||||||||||||||||
Unsecured inter-bank money market loans | 30,000 | — | — | — | 30,000 | ||||||||||||||||||||||||||||
Secured corporate loans | 136,302 | 107,141 | 5,719 | 1,938 | 251,100 | ||||||||||||||||||||||||||||
Unsecured corporate loans | 3,395 | 26,902 | — | 2,862 | 33,159 | ||||||||||||||||||||||||||||
Advances to affiliated companies | 4,915 | 594 | — | 288 | 5,797 | ||||||||||||||||||||||||||||
Total | ¥ | 394,052 | ¥ | 168,306 | ¥ | 5,721 | ¥ | 461,637 | ¥ | 1,029,716 | |||||||||||||||||||||||
-1 | Relate to collateralized exposures where a specified ratio of LTV is maintained. |
Leases_Tables
Leases (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||
Leases | ' | ||||||||||||||||||||||||||||
Lease deposits and rents received from NRI | ' | ||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
As of or for the year ended March 31 | |||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||
Lease deposits | ¥ | 11,738 | ¥ | — | ¥ | — | |||||||||||||||||||||||
Rental income | 3,848 | 4,272 | — | ||||||||||||||||||||||||||
Assets by type which Nomura leases under operating leases | ' | ||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
March 31, 2014 | |||||||||||||||||||||||||||||
Cost | Accumulated | Net carrying | |||||||||||||||||||||||||||
depreciation | amount | ||||||||||||||||||||||||||||
Real estate(1) | ¥ | 3,447 | ¥ | (1,334 | ) | ¥ | 2,113 | ||||||||||||||||||||||
Aircraft | 8,269 | (954 | ) | 7,315 | |||||||||||||||||||||||||
Total | ¥ | 11,716 | ¥ | (2,288 | ) | ¥ | 9,428 | ||||||||||||||||||||||
-1 | Cost, accumulated depreciation and net carrying amounts include amounts relating to real estate space utilized by Nomura. | ||||||||||||||||||||||||||||
Schedule of future minimum lease payments to be received on non-cancelable operating leases | ' | ||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
Total | Years of receipt | ||||||||||||||||||||||||||||
Less than | 1 to 2 | 2 to 3 | 3 to 4 | 4 to 5 | More than | ||||||||||||||||||||||||
1 year | years | years | years | years | 5 years | ||||||||||||||||||||||||
Minimum lease payments to be received | ¥ | 5,449 | ¥ | 887 | ¥ | 814 | ¥ | 813 | ¥ | 489 | ¥ | 486 | ¥ | 1,960 | |||||||||||||||
Lease deposits and rents paid to NLB | ' | ||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
As of or for the year ended | |||||||||||||||||||||||||||||
31-Mar | |||||||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||||||
Lease deposits | ¥ | — | ¥ | — | ¥ | — | |||||||||||||||||||||||
Rental expenses(1) | 622 | — | — | ||||||||||||||||||||||||||
-1 | Rental expenses for the year ended March 31, 2012 were those paid to NLB for the period before NLB was consolidated. | ||||||||||||||||||||||||||||
Schedule of future minimum lease payments under non-cancelable operating leases with remaining terms exceeding one year | ' | ||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Total minimum lease payments | ¥ | 149,942 | |||||||||||||||||||||||||||
Less: Sublease rental income | (8,424 | ) | |||||||||||||||||||||||||||
Net minimum lease payments | ¥ | 141,518 | |||||||||||||||||||||||||||
Schedule of future minimum lease payments under non-cancelable operating leases | ' | ||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
Total | Years of payment | ||||||||||||||||||||||||||||
Less than | 1 to 2 | 2 to 3 | 3 to 4 | 4 to 5 | More than | ||||||||||||||||||||||||
1 year | years | years | years | years | 5 years | ||||||||||||||||||||||||
Minimum lease payments | ¥ | 149,942 | ¥ | 18,310 | ¥ | 16,461 | ¥ | 12,456 | ¥ | 11,707 | ¥ | 10,931 | ¥ | 80,077 | |||||||||||||||
Schedule of future minimum lease payments under capital leases with remaining terms exceeding one year | ' | ||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||||||
2014 | |||||||||||||||||||||||||||||
Total minimum lease payments | ¥ | 64,100 | |||||||||||||||||||||||||||
Less: Amount representing interest | (34,131 | ) | |||||||||||||||||||||||||||
Present value of net lease payments | ¥ | 29,969 | |||||||||||||||||||||||||||
Schedule of future minimum lease payments under capital leases | ' | ||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||
Years of payment | |||||||||||||||||||||||||||||
Total | Less than | 1 to 2 | 2 to 3 | 3 to 4 | 4 to 5 | More than | |||||||||||||||||||||||
1 year | years | years | years | years | 5 years | ||||||||||||||||||||||||
Minimum lease payments | ¥ | 64,100 | ¥ | 509 | ¥ | 3,585 | ¥ | 4,193 | ¥ | 4,121 | ¥ | 3,994 | ¥ | 47,698 |
Business_combinations_Tables
Business combinations (Tables) | 12 Months Ended | ||||
Mar. 31, 2014 | |||||
Business combinations | ' | ||||
Summary of fair value of assets acquired and liabilities assumed | ' | ||||
Millions of yen | |||||
Assets: | |||||
Cash and cash deposits | ¥ | 78,634 | |||
Loans receivable(1) | 54,023 | ||||
Receivables from other than customers | 12,865 | ||||
Office buildings, land, equipment and facilities | 715,683 | ||||
Intangible assets(2) | 60,048 | ||||
Assets other than above(3) | 1,290,121 | ||||
Total assets | 2,211,374 | ||||
Liabilities: | |||||
Short-term borrowings | 82,800 | ||||
Long-term borrowings | 952,932 | ||||
Liabilities other than above | 748,889 | ||||
Total liabilities | 1,784,621 | ||||
Equity attributable to NHI shareholders | 120,962 | ||||
Noncontrolling interests of NLB(4) | 22,397 | ||||
Noncontrolling interests attributable to other than shareholders of NLB(5) | 283,394 | ||||
Acquisition costs and fair value of previously held equity investments | 75,999 | ||||
Goodwill | ¥ (44,963 | ) | |||
-1 | Fair Value is based on the difference between the gross contractual amounts receivable of ¥54,131 million and the estimate of the contractual cash flows not expected to be collected of ¥108 million. | ||||
-2 | Includes finite-lived intangible assets related to client contracts and lease agreements which are amortized based on a weighted-average amortization period of nine years with no estimated residual value. | ||||
-3 | Includes real estate classified as held for sale. | ||||
-4 | Fair Value is based on the acquisition cost of the Share Purchases. | ||||
-5 | Fair Value is based on either the market value or the net asset value as of the date of acquisition. | ||||
Summary of pro-forma financial information | ' | ||||
Millions of yen, | |||||
except per share data | |||||
For the year ended | |||||
March 31, 2012 | |||||
Total revenue | ¥ | 1,892,851 | |||
Net income (loss) attributable to NHI shareholders | (13,951 | ) | |||
Basic net income (loss) attributable to NHI shareholders per share | (3.83 | ) | |||
Diluted net income (loss) attributable to NHI shareholders per share | (3.83 | ) |
Other_assetsOther_Other_liabil1
Other assets-Other / Other liabilities (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||||||
Other assets-Other / Other liabilities | ' | ||||||||||||||||||||||||||||||||
Schedule of Other assets-Other and Other liabilities | ' | ||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||||||||||
Other assets—Other: | |||||||||||||||||||||||||||||||||
Securities received as collateral | ¥ | 47,739 | ¥ | 236,808 | |||||||||||||||||||||||||||||
Goodwill and other intangible assets | 115,661 | 115,143 | |||||||||||||||||||||||||||||||
Deferred tax assets | 145,602 | 22,018 | |||||||||||||||||||||||||||||||
Investments in equity securities for other than operating purposes(1) | 71,813 | 133,742 | |||||||||||||||||||||||||||||||
Other | 221,344 | 276,463 | |||||||||||||||||||||||||||||||
Total | ¥ | 602,159 | ¥ | 784,174 | |||||||||||||||||||||||||||||
Other liabilities: | |||||||||||||||||||||||||||||||||
Obligation to return securities received as collateral | ¥ | 47,739 | ¥ | 236,808 | |||||||||||||||||||||||||||||
Accrued income taxes | 56,353 | 31,630 | |||||||||||||||||||||||||||||||
Other accrued expenses and provisions | 402,192 | 396,677 | |||||||||||||||||||||||||||||||
Other(2) | 471,879 | 476,635 | |||||||||||||||||||||||||||||||
Total | ¥ | 978,163 | ¥ | 1,141,750 | |||||||||||||||||||||||||||||
-1 | Includes marketable and non-marketable equity securities held for other than trading or operating purposes. | ||||||||||||||||||||||||||||||||
These investments were comprised of listed equity securities and unlisted equity securities of ¥50,930 million and ¥20,883 million respectively, as of March 31, 2013, and ¥114,582 million and ¥19,160 million respectively, as of March 31, 2014. These securities are carried at fair value, with changes in fair value recognized within Revenue—other in the consolidated statements of income. | |||||||||||||||||||||||||||||||||
-2 | Includes liabilities relating to investment contracts underwritten by Nomura’s insurance subsidiary. As of March 31, 2013 and 2014, carrying values were ¥281,864 million and ¥270,950 million, respectively, and estimated fair values were ¥285,914 million and ¥274,991 million, respectively. Fair value was estimated using DCF valuation technique and using valuation inputs which would be generally classified in Level 3 of the fair value hierarchy. | ||||||||||||||||||||||||||||||||
Schedule of changes in goodwill within Other assets-Other | ' | ||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ended March 31, 2013 | |||||||||||||||||||||||||||||||||
Beginning of year | Changes during year | End of year | |||||||||||||||||||||||||||||||
Gross | Accumulated | Net carrying | Impairment(1) | Other(2) | Gross | Accumulated | Net carrying | ||||||||||||||||||||||||||
carrying | Impairment | amount | carrying | Impairment | amount | ||||||||||||||||||||||||||||
amount | amount | ||||||||||||||||||||||||||||||||
Wholesale | ¥ | 69,846 | ¥ | (1,128 | ) | ¥ | 68,718 | ¥ | (8,293 | ) | ¥ | 7,793 | ¥ | 79,249 | ¥ | (11,031 | ) | ¥ | 68,218 | ||||||||||||||
Other | 5,316 | — | 5,316 | — | 708 | 6,024 | — | 6,024 | |||||||||||||||||||||||||
Total | 75,162 | (1,128 | ) | 74,034 | (8,293 | ) | 8,501 | ¥ | 85,273 | ¥ | (11,031 | ) | ¥ | 74,242 | |||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ended March 31, 2014 | |||||||||||||||||||||||||||||||||
Beginning of year | Changes during year | End of year | |||||||||||||||||||||||||||||||
Gross | Accumulated | Net carrying | Impairment(1) | Other(2) | Gross | Accumulated | Net carrying | ||||||||||||||||||||||||||
carrying | Impairment | amount | carrying | Impairment | amount | ||||||||||||||||||||||||||||
amount | amount | ||||||||||||||||||||||||||||||||
Wholesale | ¥ | 79,249 | ¥ | (11,031 | ) | ¥ | 68,218 | ¥ | — | ¥ | 5,916 | ¥ | 85,951 | ¥ | (11,817 | ) | ¥ | 74,134 | |||||||||||||||
Other | 6,024 | — | 6,024 | (2,840 | ) | 419 | 6,549 | (2,946 | ) | 3,603 | |||||||||||||||||||||||
Total | ¥ | 85,273 | ¥ | (11,031 | ) | ¥ | 74,242 | ¥ | (2,840 | ) | ¥ | 6,335 | ¥ | 92,500 | ¥ | (14,763 | ) | ¥ | 77,737 | ||||||||||||||
-1 | For the year ended March 31, 2013, Nomura recognized an impairment loss on goodwill of ¥8,293 million within the Wholesale segment. This is due to a decline in fair value of a reporting unit in the Wholesale segment caused by the prolonged economic downturn. For the year ended March 31, 2014, Nomura recognized a impairment loss on goodwill of ¥2,840 million within Other in Nomura’s segment information. This is due to a decline in fair value of a reporting unit caused by the decrease in expected cash flows arising from the changes in the economic environment. These impairment losses were recorded within Non-interest expenses—Other in the consolidated statements of income. The fair values were determined based on a DCF method. | ||||||||||||||||||||||||||||||||
-2 | Includes currency translation adjustments. | ||||||||||||||||||||||||||||||||
Schedule of finite-lived intangible assets by type | ' | ||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
March 31, 2013 | March 31, 2014 | ||||||||||||||||||||||||||||||||
Gross carrying | Accumulated | Net carrying | Gross carrying | Accumulated | Net carrying | ||||||||||||||||||||||||||||
amount | amortization | amount | amount | amortization | amount | ||||||||||||||||||||||||||||
Client relationships | ¥ | 62,586 | ¥ | (30,187 | ) | ¥ | 32,399 | ¥ | 64,214 | ¥ | (35,641 | ) | ¥ | 28,573 | |||||||||||||||||||
Other | 644 | (180 | ) | 464 | 690 | (237 | ) | 453 | |||||||||||||||||||||||||
Total | ¥ | 63,230 | ¥ | (30,367 | ) | ¥ | 32,863 | ¥ | 64,904 | ¥ | (35,878 | ) | ¥ | 29,026 | |||||||||||||||||||
Estimated amortization expenses for next five years | ' | ||||||||||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||||||||||
Year ending March 31 | Estimated | ||||||||||||||||||||||||||||||||
amortization expense | |||||||||||||||||||||||||||||||||
2015 | ¥ | 5,375 | |||||||||||||||||||||||||||||||
2016 | 4,856 | ||||||||||||||||||||||||||||||||
2017 | 4,550 | ||||||||||||||||||||||||||||||||
2018 | 4,474 | ||||||||||||||||||||||||||||||||
2019 | 3,342 |
Borrowings_Tables
Borrowings (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Borrowings | ' | ||||||||
Short-term and long-term borrowings | ' | ||||||||
Millions of yen | |||||||||
March 31 | |||||||||
2013 | 2014 | ||||||||
Short-term borrowings(1): | |||||||||
Commercial paper | ¥ | 296,656 | ¥ | 246,866 | |||||
Bank borrowings | 344,983 | 303,583 | |||||||
Other | 96,806 | 51,682 | |||||||
Total | ¥ | 738,445 | ¥ | 602,131 | |||||
Long-term borrowings: | |||||||||
Long-term borrowings from banks and other financial institutions(2) | ¥ | 2,631,019 | ¥ | 2,787,729 | |||||
Bonds and notes issued(3): | |||||||||
Fixed-rate obligations: | |||||||||
Japanese yen denominated | 1,303,757 | 1,432,388 | |||||||
Non-Japanese yen denominated | 1,079,275 | 1,340,495 | |||||||
Floating-rate obligations: | |||||||||
Japanese yen denominated | 390,261 | 324,279 | |||||||
Non-Japanese yen denominated | 69,286 | 85,805 | |||||||
Index / Equity-linked obligations: | |||||||||
Japanese yen denominated | 1,296,966 | 1,367,051 | |||||||
Non-Japanese yen denominated | 644,414 | 707,754 | |||||||
4,783,959 | 5,257,772 | ||||||||
Subtotal | 7,414,978 | 8,045,501 | |||||||
Trading balances of secured borrowings | 177,390 | 181,562 | |||||||
Total | ¥ | 7,592,368 | ¥ | 8,227,063 | |||||
-1 | Includes secured borrowings of ¥13,779 million as of March 31, 2013 and ¥10,715 million as of March 31, 2014. | ||||||||
-2 | Includes secured borrowings of ¥3,039 million as of March 31, 2013 and ¥139,270 million as of March 31, 2014. | ||||||||
-3 | Includes secured borrowings of ¥458,342 million as of March 31, 2013 and ¥423,994 million as of March 31, 2014. | ||||||||
Long-term borrowings | ' | ||||||||
Millions of yen | |||||||||
March 31 | |||||||||
2013 | 2014 | ||||||||
Debt issued by the Company | ¥ | 3,509,117 | ¥ | 3,823,410 | |||||
Debt issued by subsidiaries—guaranteed by the Company | 2,207,268 | 2,372,412 | |||||||
Debt issued by subsidiaries—not guaranteed by the Company(1) | 1,875,983 | 2,031,241 | |||||||
Total | ¥ | 7,592,368 | ¥ | 8,227,063 | |||||
-1 | Includes trading balances of secured borrowings. | ||||||||
Effective weighted-average interest rates of borrowings | ' | ||||||||
March 31 | |||||||||
2013 | 2014 | ||||||||
Short-term borrowings | 0.61 | % | 0.4 | % | |||||
Long-term borrowings | 1.71 | % | 1.69 | % | |||||
Fixed-rate obligations | 2.39 | % | 2.34 | % | |||||
Floating-rate obligations | 0.91 | % | 0.86 | % | |||||
Index / Equity-linked obligations | 1.72 | % | 1.72 | % | |||||
Maturities of long-term borrowings | ' | ||||||||
Year ending March 31 | Millions of yen | ||||||||
2015 | ¥ | 1,435,789 | |||||||
2016 | 1,123,769 | ||||||||
2017 | 894,524 | ||||||||
2018 | 847,564 | ||||||||
2019 | 1,015,285 | ||||||||
2020 and thereafter | 2,728,570 | ||||||||
Subtotal | 8,045,501 | ||||||||
Trading balances of secured borrowings | 181,562 | ||||||||
Total | ¥ | 8,227,063 | |||||||
Earnings_per_share_Tables
Earnings per share (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Earnings per share | ' | ||||||||||||
Summary of amounts and numbers used in calculation of net income attributable to NHI shareholders per share (basic and diluted) | ' | ||||||||||||
Millions of yen | |||||||||||||
except per share data presented in yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Basic— | |||||||||||||
Net income attributable to NHI shareholders | ¥ | 11,583 | ¥ | 107,234 | ¥ | 213,591 | |||||||
Weighted average number of shares outstanding | 3,643,481,439 | 3,692,795,953 | 3,709,830,989 | ||||||||||
Net income attributable to NHI shareholders per share | ¥ | 3.18 | ¥ | 29.04 | ¥ | 57.57 | |||||||
Diluted— | |||||||||||||
Net income attributable to NHI shareholders | ¥ | 11,561 | ¥ | 107,181 | ¥ | 213,561 | |||||||
Weighted average number of shares outstanding | 3,680,124,235 | 3,777,360,671 | 3,826,496,369 | ||||||||||
Net income attributable to NHI shareholders per share | ¥ | 3.14 | ¥ | 28.37 | ¥ | 55.81 | |||||||
Employee_benefit_plans_Tables
Employee benefit plans (Tables) | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Employee benefit plans | ' | ||||||||||||||||
Net periodic benefit cost of defined benefit plans | ' | ||||||||||||||||
Millions of yen | |||||||||||||||||
Year ended March 31 | |||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||
Service cost | ¥ | 9,016 | ¥ | 9,322 | ¥ | 8,438 | |||||||||||
Interest cost | 4,649 | 4,302 | 3,441 | ||||||||||||||
Expected return on plan assets | (3,262 | ) | (4,072 | ) | (4,971 | ) | |||||||||||
Amortization of net actuarial losses | 3,687 | 3,630 | 2,767 | ||||||||||||||
Amortization of prior service cost | (1,479 | ) | (1,545 | ) | (1,149 | ) | |||||||||||
Net periodic benefit cost | ¥ | 12,611 | ¥ | 11,637 | ¥ | 8,526 | |||||||||||
Reconciliation of changes in projected benefit obligation and fair value of plan assets | ' | ||||||||||||||||
Millions of yen | |||||||||||||||||
As of or for the year ended March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
Change in projected benefit obligation: | |||||||||||||||||
Projected benefit obligation at beginning of year | ¥ | 242,490 | ¥ | 234,399 | |||||||||||||
Service cost | 9,322 | 8,438 | |||||||||||||||
Interest cost | 4,302 | 3,441 | |||||||||||||||
Actuarial gain | 14,874 | (2,697 | ) | ||||||||||||||
Benefits paid | (9,805 | ) | (9,708 | ) | |||||||||||||
Acquisition, divestitures and other | (26,784 | )(1) | 12 | ||||||||||||||
Projected benefit obligation at end of year | ¥ | 234,399 | ¥ | 233,885 | |||||||||||||
Change in plan assets: | |||||||||||||||||
Fair value of plan assets at beginning of year | ¥ | 159,652 | ¥ | 191,674 | |||||||||||||
Actual return on plan assets | 20,915 | 14,317 | |||||||||||||||
Employer contributions | 31,083 | 23,278 | |||||||||||||||
Benefits paid | (8,362 | ) | (8,396 | ) | |||||||||||||
Acquisition and divestitures | (11,614 | )(1) | — | ||||||||||||||
Fair value of plan assets at end of year | ¥ | 191,674 | ¥ | 220,873 | |||||||||||||
Funded status at end of year | (42,725 | ) | (13,012 | ) | |||||||||||||
Amounts recognized in the consolidated balance sheets | ¥ | (42,725 | ) | ¥ | (13,012 | ) | |||||||||||
-1 | Decreased mainly because of a deconsolidation during the period. | ||||||||||||||||
Projected benefit obligation, accumulated benefit obligation and fair value of plan assets for pension plans with ABO and PBO in excess of plan assets | ' | ||||||||||||||||
Millions of yen | |||||||||||||||||
March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
Plans with ABO in excess of plan assets: | |||||||||||||||||
PBO | ¥ | 234,399 | ¥ | 27,160 | |||||||||||||
ABO | 231,321 | 27,160 | |||||||||||||||
Fair value of plan assets | 191,674 | — | |||||||||||||||
Plans with PBO in excess of plan assets: | |||||||||||||||||
PBO | ¥ | 234,399 | ¥ | 27,160 | |||||||||||||
ABO | 231,321 | 27,160 | |||||||||||||||
Fair value of plan assets | 191,674 | — | |||||||||||||||
Amounts in accumulated other comprehensive income, pre-tax, that have not yet been recognized as components of net periodic benefit cost | ' | ||||||||||||||||
Millions of yen | |||||||||||||||||
For the year ended | |||||||||||||||||
March 31, 2014 | |||||||||||||||||
Net actuarial loss | ¥ | 48,028 | |||||||||||||||
Net prior service cost | (10,649 | ) | |||||||||||||||
Total | ¥ | 37,379 | |||||||||||||||
Amounts in accumulated other comprehensive income, pre-tax, expected to be recognized as components of net periodic benefit cost over next fiscal year | ' | ||||||||||||||||
Millions of yen | |||||||||||||||||
For the year ending | |||||||||||||||||
March 31, 2015 | |||||||||||||||||
Net actuarial loss | ¥ | 2,191 | |||||||||||||||
Net prior service cost | (1,165 | ) | |||||||||||||||
Total | ¥ | 1,026 | |||||||||||||||
Schedule of weighted-average assumptions used to determine PBO | ' | ||||||||||||||||
March 31 | |||||||||||||||||
2013 | 2014 | ||||||||||||||||
Discount rate | 1.5 | % | 1.4 | % | |||||||||||||
Rate of increase in compensation levels | 2.5 | % | 2.5 | % | |||||||||||||
Weighted-average assumptions used to determine net periodic benefit costs | ' | ||||||||||||||||
Year ended March 31 | |||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||
Discount rate | 1.8 | % | 1.5 | % | 1.4 | % | |||||||||||
Rate of increase in compensation levels | 2.8 | % | 2.5 | % | 2.5 | % | |||||||||||
Expected long-term rate of return on plan assets | 2.6 | % | 2.6 | % | 2.6 | % | |||||||||||
Information about plan assets at fair value | ' | ||||||||||||||||
Millions of yen | |||||||||||||||||
March 31, 2013 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Balance as of | ||||||||||||||
March 31, 2013 | |||||||||||||||||
Pension plan assets: | |||||||||||||||||
Equities | ¥ | 30,568 | ¥ | — | ¥ | — | ¥ | 30,568 | |||||||||
Private equity | — | — | 12,323 | 12,323 | |||||||||||||
Japanese government securities | 74,243 | — | — | 74,243 | |||||||||||||
Bank and corporate debt securities | — | 3,667 | — | 3,667 | |||||||||||||
Investment trust funds and other(1) | — | 19,586 | 15,035 | 34,621 | |||||||||||||
Life insurance company general accounts | — | 26,448 | — | 26,448 | |||||||||||||
Other assets | — | 9,804 | — | 9,804 | |||||||||||||
Total | ¥ | 104,811 | ¥ | 59,505 | ¥ | 27,358 | ¥ | 191,674 | |||||||||
Millions of yen | |||||||||||||||||
March 31, 2014 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Balance as of | ||||||||||||||
March 31, 2014 | |||||||||||||||||
Pension plan assets: | |||||||||||||||||
Equities | ¥ | 26,730 | ¥ | — | ¥ | — | ¥ | 26,730 | |||||||||
Private equity | — | — | 12,235 | 12,235 | |||||||||||||
Japanese government securities | 62,088 | — | — | 62,088 | |||||||||||||
Bank and corporate debt securities | 1,842 | 2,312 | — | 4,154 | |||||||||||||
Investment trust funds and other(1) | — | 19,383 | 11,820 | 31,203 | |||||||||||||
Life insurance company general accounts | — | 42,735 | — | 42,735 | |||||||||||||
Other assets | — | 41,728 | — | 41,728 | |||||||||||||
Total | ¥ | 90,660 | ¥ | 106,158 | ¥ | 24,055 | ¥ | 220,873 | |||||||||
-1 | Includes hedge funds and real estate funds. | ||||||||||||||||
Information about plan assets for which Level 3 inputs are utilized to determine fair value | ' | ||||||||||||||||
Millions of yen | |||||||||||||||||
Year ended March 31, 2013 | |||||||||||||||||
Balance | Unrealized | Purchases / | Balance | ||||||||||||||
as of | and realized | sales and | as of | ||||||||||||||
April 1, | gains / loss | other | March 31, | ||||||||||||||
2012 | settlement | 2013 | |||||||||||||||
Private equity | ¥ | 9,802 | ¥ | 2,479 | ¥ | 42 | ¥ | 12,323 | |||||||||
Investment trust funds and other | 12,434 | 1,131 | 1,470 | 15,035 | |||||||||||||
Total | ¥ | 22,236 | ¥ | 3,610 | ¥ | 1,512 | ¥ | 27,358 | |||||||||
Millions of yen | |||||||||||||||||
Year ended March 31, 2014 | |||||||||||||||||
Balance | Unrealized | Purchases / | Balance | ||||||||||||||
as of | and realized | sales and | as of | ||||||||||||||
April 1, | gains / loss | other | March 31, | ||||||||||||||
2013 | settlement | 2014 | |||||||||||||||
Private equity | ¥ | 12,323 | ¥ | 1,550 | ¥ | (1,638 | ) | ¥ | 12,235 | ||||||||
Investment trust funds and other | 15,035 | 33 | (3,248 | ) | 11,820 | ||||||||||||
Total | ¥ | 27,358 | ¥ | 1,583 | ¥ | (4,886 | ) | ¥ | 24,055 | ||||||||
Expected benefit payments | ' | ||||||||||||||||
Year ending March 31 | Millions of yen | ||||||||||||||||
2015 | ¥ | 10,277 | |||||||||||||||
2016 | 10,804 | ||||||||||||||||
2017 | 11,391 | ||||||||||||||||
2018 | 11,724 | ||||||||||||||||
2019 | 12,037 | ||||||||||||||||
2020-2024 | 57,548 |
Deferred_compensation_plans_Ta
Deferred compensation plans (Tables) | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Deferred compensation plans | ' | ||||||||||||||||
SAR Plan A, Weighted-average assumptions | ' | ||||||||||||||||
Year ended March 31 | |||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||
Expected volatility | 41.78 | % | 43.11 | % | 45.97 | % | |||||||||||
Expected dividends yield | 3.31 | % | 2.12 | % | 1 | % | |||||||||||
Expected lives (in years) | 6 | 7 | 7 | ||||||||||||||
Risk-free interest rate | 0.63 | % | 0.45 | % | 0.51 | % | |||||||||||
Activity relating to SAR Plan A | ' | ||||||||||||||||
Outstanding | Weighted-average | Weighted-average | |||||||||||||||
(number of shares) | exercise price | remaining life | |||||||||||||||
until expiry | |||||||||||||||||
(years) | |||||||||||||||||
Outstanding as of March 31, 2013 | 16,545,500 | ¥ | 848 | 3.8 | |||||||||||||
Granted | 2,711,000 | 838 | |||||||||||||||
Exercised | (1,537,700 | ) | 410 | ||||||||||||||
Forfeited | (32,300 | ) | 417 | ||||||||||||||
Expired | (1,727,000 | ) | 1,741 | ||||||||||||||
Outstanding as of March 31, 2014 | 15,959,500 | ¥ | 791 | 3.8 | |||||||||||||
Exercisable as of March 31, 2014 | 10,414,600 | ¥ | 913 | 2.5 | |||||||||||||
Activity relating to SAR Plan B | ' | ||||||||||||||||
Outstanding | Weighted-Average | Weighted-average | |||||||||||||||
(number of shares) | grant date fair | remaining life | |||||||||||||||
value per share | until expiry | ||||||||||||||||
(years) | |||||||||||||||||
Outstanding as of March 31, 2013 | 117,543,400 | ¥ | 419 | 5.7 | |||||||||||||
Granted | 21,258,700 | 782 | |||||||||||||||
Exercised | (43,152,100 | ) | 477 | ||||||||||||||
Forfeited | (3,013,000 | ) | 437 | ||||||||||||||
Expired | (15,900 | ) | 2,471 | ||||||||||||||
Outstanding as of March 31, 2014 | 92,621,100 | ¥ | 474 | 5.3 | |||||||||||||
Exercisable as of March 31, 2014 | 15,553,400 | ¥ | 587 | 3.5 | |||||||||||||
Activity related to NSUs and CSUs | ' | ||||||||||||||||
NSUs | CSUs | ||||||||||||||||
Outstanding | Stock | Outstanding | Stock | ||||||||||||||
(number of units) | price | (number of units) | price | ||||||||||||||
Outstanding as of March 31, 2013 | 62,531,576 | ¥ | 583 | 70,736,824 | ¥ | 316 | |||||||||||
Granted | 22,580,418 | 733 | (1) | 23,554,780 | 824 | (1) | |||||||||||
Vested | (30,653,904 | ) | 752 | (2) | (41,108,841 | ) | 435 | (2) | |||||||||
Forfeited | (2,762,879 | ) | (2,484,835 | ) | |||||||||||||
Outstanding as of March 31, 2014 | 51,695,211 | ¥ | 652 | (3) | 50,697,928 | ¥ | 429 | (3) | |||||||||
-1 | Weighted-average price of the Company’s common stock used to determine number of awards granted | ||||||||||||||||
-2 | Weighted-average price of the Company’s common stock used to determine the final cash settlement amount of the awards | ||||||||||||||||
-3 | The price of the Company’s common stock used to remeasure the fair value of the remaining outstanding unvested awards as of March 31, 2014 | ||||||||||||||||
Activity related to MYPD awards | ' | ||||||||||||||||
Outstanding | Weighted Average | ||||||||||||||||
(number of shares)(1) | grant date fair | ||||||||||||||||
value per share | |||||||||||||||||
Outstanding as of March 31, 2013 | 27,154,950 | ¥ | 298 | ||||||||||||||
Forfeited | (1,388,700 | ) | 298 | ||||||||||||||
Outstanding as of March 31, 2014 | 25,766,250 | ¥ | 298 | ||||||||||||||
-1 | Based on the probable number of SARs which will be issued on conversion of notional performance units at the end of the performance period. | ||||||||||||||||
Activity relating to NIUs | ' | ||||||||||||||||
Outstanding | Index price(1) | ||||||||||||||||
(number of units) | |||||||||||||||||
Outstanding as of March 31, 2013 | 49,760,941 | $ | 3,674 | ||||||||||||||
Granted | 25,208,515 | 3,841 | (2) | ||||||||||||||
Vested | (35,713,017 | ) | 4,097 | (3) | |||||||||||||
Forfeited | (2,153,860 | ) | |||||||||||||||
Outstanding as of March 31, 2014 | 37,102,579 | $ | 4,354 | (4) | |||||||||||||
-1 | The price of each unit is determined using 1/1000th of the index price. | ||||||||||||||||
-2 | Weighted-average index price used to determine number of awards granted. | ||||||||||||||||
-3 | Weighted-average index price used to determine the final cash settlement amount of the awards. | ||||||||||||||||
-4 | Index price used to remeasure the total fair value of the remaining outstanding unvested awards as of March 31, 2014. |
Income_taxes_Tables
Income taxes (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Income taxes | ' | ||||||||||||
Components of income tax expense | ' | ||||||||||||
Millions of yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Current: | |||||||||||||
Domestic | ¥ | 13,481 | ¥ | 71,918 | ¥ | 21,558 | |||||||
Foreign | 7,650 | 6,164 | 6,546 | ||||||||||
Subtotal | 21,131 | 78,082 | 28,104 | ||||||||||
Deferred: | |||||||||||||
Domestic | 34,274 | 55,257 | 109,037 | ||||||||||
Foreign | 3,498 | (1,300 | ) | 8,024 | |||||||||
Subtotal | 37,772 | 53,957 | 117,061 | ||||||||||
Total | ¥ | 58,903 | ¥ | 132,039 | ¥ | 145,165 | |||||||
Effective income tax rate reflected in consolidated statements of income | ' | ||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Our effective statutory tax rate | 41 | % | 38 | % | 38 | % | |||||||
Impact of: | |||||||||||||
Changes in deferred tax valuation allowance | (22.5 | ) | (0.7 | ) | (9.8 | ) | |||||||
Taxable items to be added on financial profit | 3.8 | 1.5 | 0.4 | ||||||||||
Non-deductible expenses | 23.3 | 12.9 | 7.7 | ||||||||||
Non-taxable revenue | (29.7 | ) | (9.3 | ) | (8.0 | ) | |||||||
Dividends from foreign subsidiaries | 0.9 | 0.2 | — | ||||||||||
Tax effect of undistributed earnings of foreign subsidiaries | (1.1 | ) | 0.2 | 3.5 | |||||||||
Different tax rate applicable to income (loss) of foreign subsidiaries | 14.1 | 10 | 6.3 | ||||||||||
Effect of changes in domestic tax laws | 45.7 | 0.9 | 0.6 | ||||||||||
Expiration of loss carryforwards | 2.8 | 1.3 | 0.7 | ||||||||||
Tax benefit recognized on the devaluation of investment in subsidiaries and affiliates | (8.8 | ) | — | 1.4 | |||||||||
Other | (0.2 | ) | 0.5 | (0.7 | ) | ||||||||
Effective tax rate | 69.3 | % | 55.5 | % | 40.1 | % | |||||||
Details of deferred tax assets and liabilities | ' | ||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2013 | 2014 | ||||||||||||
Deferred tax assets | |||||||||||||
Depreciation, amortization and valuation of fixed assets | ¥ | 10,043 | ¥ | 12,604 | |||||||||
Investments in subsidiaries and affiliates | 177,175 | 54,678 | |||||||||||
Valuation of financial instruments | 146,800 | 46,321 | |||||||||||
Accrued pension and severance costs | 17,999 | 7,850 | |||||||||||
Other accrued expenses and provisions | 106,436 | 102,922 | |||||||||||
Operating losses | 341,177 | 437,899 | |||||||||||
Other | 5,228 | 3,991 | |||||||||||
Gross deferred tax assets | 804,858 | 666,265 | |||||||||||
Less—Valuation allowance | (522,220 | ) | (490,603 | ) | |||||||||
Total deferred tax assets | 282,638 | 175,662 | |||||||||||
Deferred tax liabilities | |||||||||||||
Investments in subsidiaries and affiliates | 88,631 | 107,020 | |||||||||||
Valuation of financial instruments | 53,367 | 54,524 | |||||||||||
Undistributed earnings of foreign subsidiaries | 2,960 | 736 | |||||||||||
Valuation of fixed assets | 21,950 | 21,204 | |||||||||||
Other | 4,210 | 4,899 | |||||||||||
Total deferred tax liabilities | 171,118 | 188,383 | |||||||||||
Net deferred tax assets (liabilities) | ¥ | 111,520 | ¥ | (12,721 | ) | ||||||||
Changes in valuation allowance for deferred tax assets | ' | ||||||||||||
Millions of yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Balance at beginning of year | ¥ | 461,966 | ¥ | 490,986 | ¥ | 522,220 | |||||||
Net change during the year | 29,020 | (1) | 31,234 | (2) | (31,617 | )(3) | |||||||
Balance at end of year | ¥ | 490,986 | ¥ | 522,220 | ¥ | 490,603 | |||||||
-1 | Includes ¥24,715 million which is mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, ¥20,014 million related to Japanese subsidiaries which is mainly due to the effect of the conversion of Nomura Land and Building Co., Ltd. into a subsidiary of Nomura Holdings, Inc., and negative ¥15,709 million related to the Company which is due mainly to the decrease of allowance for the deferred tax assets previously recorded. In total, ¥29,020 million of allowances increased for the year ended March 31, 2012. | ||||||||||||
-2 | Includes ¥52,862 million which is mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, negative ¥22,903 million related to the de-consolidation of NREH into an equity method affiliate, and ¥1,275 million related to Japanese subsidiaries and the Company, which is determined based on a review of future realizable value. In total, ¥31,234 million of allowances increased for the year ended March 31, 2013. | ||||||||||||
-3 | Includes ¥29,134 million mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, negative ¥47,263 million related to certain foreign subsidiaries which is due mainly to the liquidation and the decrease of allowance for the deferred tax assets previously recorded, and negative ¥13,488 million related to Japanese subsidiaries and the Company, which is determined based on a reassessment of future realizable value and also due to the decrease of allowance for the deferred tax assets previously recorded. In total, ¥31,617 million of allowances decreased for the year ended March 31, 2014. | ||||||||||||
Summarizes major jurisdictions subject to examination | ' | ||||||||||||
Jurisdiction | Year | ||||||||||||
Japan | 2009 | (1) | |||||||||||
U.K. | 2013 | ||||||||||||
U.S. | 2011 | ||||||||||||
-1 | For transfer pricing, the earliest year in which Nomura remains subject to examinations is 2008. |
Other_comprehensive_income_los1
Other comprehensive income (loss) (Tables) | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||
Accumulated other comprehensive income (loss) | ' | ||||||||||||||||||||
Changes in accumulated other comprehensive income (loss) | ' | ||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
For the year ended March 31, 2014 | |||||||||||||||||||||
Balance at | Other | Reclassifications out of | Net change | Balance at | |||||||||||||||||
beginning | comprehensive | accumulated other | during the | end of period | |||||||||||||||||
of year | income (loss) | comprehensive income | period | ||||||||||||||||||
before | (loss)(1) | ||||||||||||||||||||
reclassifications | |||||||||||||||||||||
Cumulative translation adjustments | ¥ | (38,875 | ) | ¥ | 66,707 | ¥ | (128 | ) | ¥ | 66,579 | ¥ | 27,704 | |||||||||
Pension liability adjustment | (28,518 | ) | 8,708 | 1,001 | 9,709 | (18,809 | ) | ||||||||||||||
Net unrealized gain on non-trading securities | 9,998 | 3,342 | (1,599 | ) | 1,743 | 11,741 | |||||||||||||||
Total | ¥ | (57,395 | ) | ¥ | 78,757 | ¥ | (726 | ) | ¥ | 78,031 | ¥ | 20,636 | |||||||||
-1 | Reclassifications out of accumulated other comprehensive income (loss) are as follows: | ||||||||||||||||||||
Reclassifications out of accumulated other comprehensive income (loss) | ' | ||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
For the year ended March 31, 2014 | |||||||||||||||||||||
Reclassifications out of | Affected line items in consolidated | ||||||||||||||||||||
accumulated other | statements of income | ||||||||||||||||||||
comprehensive income (loss) | |||||||||||||||||||||
Net unrealized gain on non-trading securities: | |||||||||||||||||||||
¥ | 4,220 | Gain (loss) on investments in | |||||||||||||||||||
equity securities | |||||||||||||||||||||
(2,065 | ) | Income tax expense | |||||||||||||||||||
2,155 | Net income | ||||||||||||||||||||
(556 | ) | Net income attributable to | |||||||||||||||||||
noncontrolling interests | |||||||||||||||||||||
¥ | 1,599 | Net income attributable to NHI | |||||||||||||||||||
shareholders | |||||||||||||||||||||
Shareholders_equity_Tables
Shareholders' equity (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Shareholders' equity | ' | ||||||||||||
Changes in shares of common stock outstanding | ' | ||||||||||||
Number of Shares | |||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Shares outstanding at beginning of year | 3,600,886,932 | 3,663,483,895 | 3,710,960,252 | ||||||||||
New issuances | 103,429,360 | — | — | ||||||||||
Common stock held in treasury: | |||||||||||||
Repurchases of common stock | (50,093,031 | ) | (19,209 | ) | (40,054,831 | ) | |||||||
Sales of common stock | 1,530 | 601 | 1,920,457 | ||||||||||
Common stock issued to employees | 9,271,600 | 47,335,900 | 44,689,800 | ||||||||||
Other net change in treasury stock | (12,496 | ) | 159,065 | 114,784 | |||||||||
Shares outstanding at end of year | 3,663,483,895 | 3,710,960,252 | 3,717,630,462 | ||||||||||
Affiliated_companies_and_other1
Affiliated companies and other equity-method investees (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Subsidiary Or Equity Method Investee [Line Items] | ' | ||||||||||||
Summary of balances and transactions with affiliated companies and other equity-method investees | ' | ||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2013 | 2014 | ||||||||||||
Investments in affiliated companies | ¥ | 333,329 | ¥ | 339,637 | |||||||||
Advances to affiliated companies | 12,376 | 5,797 | |||||||||||
Other receivables from affiliated companies | 8,856 | 6,919 | |||||||||||
Other payables to affiliated companies | 4,270 | 9,344 | |||||||||||
Millions of yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Revenues | ¥ | 5,635 | ¥ | 7,418 | ¥ | 411 | |||||||
Non-interest expenses | 49,810 | 48,755 | 57,687 | ||||||||||
Purchase of software, securities and tangible assets | 22,904 | 55,099 | 26,655 | ||||||||||
Summary of aggregate carrying amount and fair value of investments in affiliated companies and other equity-method investees | ' | ||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2013 | 2014 | ||||||||||||
Carrying amount | ¥ | 322,747 | ¥ | 330,983 | |||||||||
Fair value | 404,967 | 429,854 | |||||||||||
JAFCO, NRI, NLB and NREH [Member] | ' | ||||||||||||
Subsidiary Or Equity Method Investee [Line Items] | ' | ||||||||||||
Summary of financial information for subsidiaries | ' | ||||||||||||
Millions of yen | |||||||||||||
March 31 | |||||||||||||
2013(1)(3) | 2014(1) | ||||||||||||
Total assets | ¥ | 2,307,795 | ¥ | 2,089,844 | |||||||||
Total liabilities | 1,551,699 | 1,247,768 | |||||||||||
Millions of yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012(2) | 2013(3) | 2014 | |||||||||||
Net revenues | ¥ | 161,209 | ¥ | 143,193 | ¥ | 947,213 | |||||||
Non-interest expenses | 105,520 | 69,899 | 779,690 | ||||||||||
Net income attributable to the companies | 31,007 | 48,706 | 87,261 | ||||||||||
-1 | NLB’s assets and liabilities are not included because it was not an affiliated company of Nomura as of March 31, 2013 and 2014. | ||||||||||||
-2 | For NLB, financial information while it was an affiliated company of Nomura is included. | ||||||||||||
-3 | NREH is accounted for by the equity method from March 2013. NREH’s assets and liabilities are included however Net revenues, Non-interest expenses and Net income attributable to NREH are not included. | ||||||||||||
Fortress [Member] | ' | ||||||||||||
Subsidiary Or Equity Method Investee [Line Items] | ' | ||||||||||||
Summary of financial information for subsidiaries | ' | ||||||||||||
Millions of yen | |||||||||||||
March 31, 2013(1) | |||||||||||||
Total assets | ¥ | 203,332 | |||||||||||
Total liabilities | 88,881 | ||||||||||||
Millions of yen | |||||||||||||
Year ended March 31 | |||||||||||||
2012(1) | 2013(1) | 2014(1) | |||||||||||
Net revenues | ¥ | 73,306 | ¥ | 95,356 | ¥ | 144,349 | |||||||
Non-interest expenses | 166,006 | 73,956 | 89,338 | ||||||||||
Net income (loss) attributable to the company | (36,994 | ) | 6,487 | 20,071 | |||||||||
-1 | Financial information for Fortress is as of its fiscal years ended December 31, 2011, 2012 and 2013, respectively. Nomura recognizes its share of Fortress’s earnings on a three-month lag. |
Commitments_contingencies_and_1
Commitments, contingencies and guarantees (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Commitments, contingencies and guarantees | ' | ||||||||||||||||||||||||
Commitments outstanding | ' | ||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Commitments to extend credit | ¥ | 369,988 | ¥ | 479,634 | |||||||||||||||||||||
Commitments to invest in partnerships | 29,974 | 18,460 | |||||||||||||||||||||||
Commitments to purchase aircraft | 30,143 | 4,409 | |||||||||||||||||||||||
Maturities of commitments | ' | ||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
Total | Years to maturity | ||||||||||||||||||||||||
contractual | |||||||||||||||||||||||||
amount | Less than | 1 to 3 | 3 to 5 | More than | |||||||||||||||||||||
1 year | years | years | 5 years | ||||||||||||||||||||||
Commitments to extend credit | ¥ | 479,634 | ¥ | 85,533 | ¥ | 52,872 | ¥ | 165,623 | ¥ | 175,606 | |||||||||||||||
Commitments to invest in partnerships | 18,460 | 4,305 | 829 | 318 | 13,008 | ||||||||||||||||||||
Commitments to purchase aircraft | 4,409 | 4,409 | — | — | — | ||||||||||||||||||||
Information on derivative contracts and standby letters of credit and other guarantees | ' | ||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Carrying | Maximum | Carrying | Maximum | ||||||||||||||||||||||
value | potential | value | potential | ||||||||||||||||||||||
payout / | payout / | ||||||||||||||||||||||||
Notional | Notional | ||||||||||||||||||||||||
total | total | ||||||||||||||||||||||||
Derivative contracts(1)(2) | ¥ | 4,510,650 | ¥ | 123,980,481 | ¥ | 5,155,198 | ¥ | 195,466,506 | |||||||||||||||||
Standby letters of credit and other guarantees(3) | 277 | 9,084 | 276 | 11,509 | |||||||||||||||||||||
-1 | Credit derivatives are disclosed in Note 3 “Derivative instruments and hedging activities” and are excluded from derivative contracts. | ||||||||||||||||||||||||
-2 | Derivative contracts primarily consist of equity, interest rate and foreign exchange contracts. | ||||||||||||||||||||||||
-3 | Collaterals held in connection with standby letters of credit and other guarantees as of March 31, 2013 and March 31, 2014 were ¥6,374 million and ¥6,487 million, respectively. | ||||||||||||||||||||||||
Maturity information on derivative contracts and standby letters of credit and other guarantees | ' | ||||||||||||||||||||||||
Millions of yen | |||||||||||||||||||||||||
Maximum potential payout/Notional | |||||||||||||||||||||||||
Years to Maturity | |||||||||||||||||||||||||
Carrying | Total | Less than | 1 to 3 years | 3 to 5 years | More than | ||||||||||||||||||||
value | 1 year | 5 years | |||||||||||||||||||||||
Derivative contracts | ¥ | 5,155,198 | ¥ | 195,466,506 | ¥ | 75,949,799 | ¥ | 48,551,110 | ¥ | 16,872,972 | ¥ | 54,092,625 | |||||||||||||
Standby letters of credit and other guarantees | 276 | 11,509 | 334 | 2,668 | 2 | 8,505 |
Segment_and_geographic_informa1
Segment and geographic information (Tables) | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||
Segment and geographic information | ' | ||||||||||||||||||||
Net interest revenue | ' | ||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
Retail | Asset | Wholesale | Other | Total | |||||||||||||||||
Management | (Incl. elimination) | ||||||||||||||||||||
Year ended March 31, 2012 | |||||||||||||||||||||
Non-interest revenue | ¥ | 347,385 | ¥ | 63,022 | ¥ | 428,738 | ¥ | 572,918 | ¥ | 1,412,063 | |||||||||||
Net interest revenue | 2,873 | 2,778 | 126,311 | (11,973 | ) | 119,989 | |||||||||||||||
Net revenue | 350,258 | 65,800 | 555,049 | 560,945 | 1,532,052 | ||||||||||||||||
Non-interest expenses | 287,128 | 45,281 | 592,701 | 525,792 | 1,450,902 | ||||||||||||||||
Income (loss) before income taxes | ¥ | 63,130 | ¥ | 20,519 | ¥ | (37,652 | ) | ¥ | 35,153 | ¥ | 81,150 | ||||||||||
Year ended March 31, 2013 | |||||||||||||||||||||
Non-interest revenue | ¥ | 394,294 | ¥ | 66,489 | ¥ | 491,773 | ¥ | 695,695 | ¥ | 1,648,251 | |||||||||||
Net interest revenue | 3,631 | 2,448 | 153,083 | (31,467 | ) | 127,695 | |||||||||||||||
Net revenue | 397,925 | 68,937 | 644,856 | 664,228 | 1,775,946 | ||||||||||||||||
Non-interest expenses | 297,297 | 47,768 | 573,199 | 657,637 | 1,575,901 | ||||||||||||||||
Income (loss) before income taxes | ¥ | 100,628 | ¥ | 21,169 | ¥ | 71,657 | ¥ | 6,591 | ¥ | 200,045 | |||||||||||
Year ended March 31, 2014 | |||||||||||||||||||||
Non-interest revenue | ¥ | 505,911 | ¥ | 77,354 | ¥ | 637,987 | ¥ | 183,514 | ¥ | 1,404,766 | |||||||||||
Net interest revenue | 6,005 | 3,126 | 127,110 | 5,335 | 141,576 | ||||||||||||||||
Net revenue | 511,916 | 80,480 | 765,097 | 188,849 | 1,546,342 | ||||||||||||||||
Non-interest expenses | 319,915 | 53,373 | 653,299 | 168,869 | 1,195,456 | ||||||||||||||||
Income (loss) before income taxes | ¥ | 192,001 | ¥ | 27,107 | ¥ | 111,798 | ¥ | 19,980 | ¥ | 350,886 | |||||||||||
Major components of income (loss) before income taxes in "Other" | ' | ||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||
Net gain related to economic hedging transactions | ¥ | 8,372 | ¥ | 989 | ¥ | 17,403 | |||||||||||||||
Realized gain on investments in equity securities held for operating purposes | 198 | 1,001 | 4,428 | ||||||||||||||||||
Equity in earnings of affiliates | 10,613 | 14,401 | 28,571 | ||||||||||||||||||
Corporate items(1)(3) | (32,129 | ) | 17,652 | (38,772 | ) | ||||||||||||||||
Other(2)(3) | 48,099 | (27,452 | ) | 8,350 | |||||||||||||||||
Total(3) | ¥ | 35,153 | ¥ | 6,591 | ¥ | 19,980 | |||||||||||||||
-1 | Includes the gain due to the business combination with NLB in Corporate items during the year ended March 31, 2012. | ||||||||||||||||||||
-2 | Includes the impact of Nomura’s own creditworthiness. | ||||||||||||||||||||
-3 | In accordance with the realignment in April 2012, certain prior period amounts of Wholesale and “Other” have been reclassified to conform to the current period presentation. | ||||||||||||||||||||
Reconciliation of combined business segments' results included in preceding table to reported net revenue, non-interest expenses and income (loss) before income taxes | ' | ||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||
Net revenue | ¥ | 1,532,052 | ¥ | 1,775,946 | ¥ | 1,546,342 | |||||||||||||||
Unrealized gain (loss) on investments in equity securities held for operating purposes | 3,807 | 37,685 | 10,728 | ||||||||||||||||||
Consolidated net revenue | ¥ | 1,535,859 | ¥ | 1,813,631 | ¥ | 1,557,070 | |||||||||||||||
Non-interest expenses | ¥ | 1,450,902 | ¥ | 1,575,901 | ¥ | 1,195,456 | |||||||||||||||
Unrealized gain (loss) on investments in equity securities held for operating purposes | — | — | — | ||||||||||||||||||
Consolidated non-interest expenses | ¥ | 1,450,902 | ¥ | 1,575,901 | ¥ | 1,195,456 | |||||||||||||||
Income before income taxes | ¥ | 81,150 | ¥ | 200,045 | ¥ | 350,886 | |||||||||||||||
Unrealized gain (loss) on investments in equity securities held for operating purposes | 3,807 | 37,685 | 10,728 | ||||||||||||||||||
Consolidated income before income taxes | ¥ | 84,957 | ¥ | 237,730 | ¥ | 361,614 | |||||||||||||||
Geographic allocation of net revenue and income (loss) before income taxes from operations by geographic areas, and long-lived assets | ' | ||||||||||||||||||||
Millions of yen | |||||||||||||||||||||
Year ended March 31 | |||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||
Net revenue(1): | |||||||||||||||||||||
Americas | ¥ | 143,350 | ¥ | 208,962 | ¥ | 262,684 | |||||||||||||||
Europe | 195,826 | 172,761 | 232,735 | ||||||||||||||||||
Asia and Oceania | 34,819 | 43,265 | 62,622 | ||||||||||||||||||
Subtotal | 373,995 | 424,988 | 558,041 | ||||||||||||||||||
Japan | 1,161,864 | 1,388,643 | 999,029 | ||||||||||||||||||
Consolidated | ¥ | 1,535,859 | ¥ | 1,813,631 | ¥ | 1,557,070 | |||||||||||||||
Income (loss) before income taxes: | |||||||||||||||||||||
Americas | ¥ | (24,612 | ) | ¥ | 25,730 | ¥ | 29,472 | ||||||||||||||
Europe | (91,544 | ) | (93,099 | ) | (48,911 | ) | |||||||||||||||
Asia and Oceania | (12,937 | ) | (12,063 | ) | (5,247 | ) | |||||||||||||||
Subtotal | (129,093 | ) | (79,432 | ) | (24,686 | ) | |||||||||||||||
Japan | 214,050 | 317,162 | 386,300 | ||||||||||||||||||
Consolidated | ¥ | 84,957 | ¥ | 237,730 | ¥ | 361,614 | |||||||||||||||
March 31 | |||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||
Long-lived assets: | |||||||||||||||||||||
Americas | ¥ | 94,698 | ¥ | 118,302 | ¥ | 133,147 | |||||||||||||||
Europe | 114,195 | 111,381 | 93,111 | ||||||||||||||||||
Asia and Oceania | 23,892 | 20,471 | 16,163 | ||||||||||||||||||
Subtotal | 232,785 | 250,154 | 242,421 | ||||||||||||||||||
Japan | 973,711 | 294,002 | 281,780 | ||||||||||||||||||
Consolidated | ¥ | 1,206,496 | ¥ | 544,156 | ¥ | 524,201 | |||||||||||||||
-1 | There is no revenue derived from transactions with a single major external customer. |
Summary_of_accounting_policies3
Summary of accounting policies - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Accounting Policy [Line Items] | ' | ' | ' |
Number business segments | 3 | ' | ' |
Net unamortized deferred fees and costs | ¥ 808 | ¥ 406 | ' |
Receivables from other than customers | 349,573 | 258,604 | ' |
Depreciation and amortization | 79,468 | 91,493 | 100,572 |
Impairment charges | 1,246 | 5,455 | 3,135 |
Investments in equity securities | 136,740 | 123,490 | ' |
Listed equity [Member] | ' | ' | ' |
Accounting Policy [Line Items] | ' | ' | ' |
Investments in equity securities | 98,736 | 84,739 | ' |
Unlisted equity [Member] | ' | ' | ' |
Accounting Policy [Line Items] | ' | ' | ' |
Investments in equity securities | 38,004 | 38,751 | ' |
Information processing and communications [Member] | ' | ' | ' |
Accounting Policy [Line Items] | ' | ' | ' |
Depreciation and amortization | 57,173 | 55,992 | 54,083 |
Occupancy and related depreciation [Member] | ' | ' | ' |
Accounting Policy [Line Items] | ' | ' | ' |
Depreciation and amortization | ¥ 22,295 | ¥ 35,501 | ¥ 46,489 |
Minimum [Member] | ' | ' | ' |
Accounting Policy [Line Items] | ' | ' | ' |
Ownership percentage | 20.00% | ' | ' |
Maximum [Member] | ' | ' | ' |
Accounting Policy [Line Items] | ' | ' | ' |
Ownership percentage | 50.00% | ' | ' |
Limited partnership [Member] | Minimum [Member] | ' | ' | ' |
Accounting Policy [Line Items] | ' | ' | ' |
Ownership percentage | 3.00% | ' | ' |
Summary_of_accounting_policies4
Summary of accounting policies - Breakdown of Office Buildings, Land , Equipment and Facilities (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Millions, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Office buildings, land, equipment and facilities | ¥ 408,917 | ¥ 428,241 |
Land [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Office buildings, land, equipment and facilities | 94,991 | 93,800 |
Office buildings [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Office buildings, land, equipment and facilities | 109,052 | 104,320 |
Equipment and facilities [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Office buildings, land, equipment and facilities | 48,101 | 52,644 |
Software [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Office buildings, land, equipment and facilities | 156,717 | 161,469 |
Construction in progress [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Office buildings, land, equipment and facilities | ¥ 56 | ¥ 16,008 |
Summary_of_accounting_policies5
Summary of accounting policies - Schedule of Estimated Life of Significant Assets (Detail) | 12 Months Ended |
Mar. 31, 2014 | |
Minimum [Member] | Office buildings [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Estimated useful lives for significant assets, in years | '5 years |
Minimum [Member] | Equipment and facilities [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Estimated useful lives for significant assets, in years | '2 years |
Maximum [Member] | Office buildings [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Estimated useful lives for significant assets, in years | '50 years |
Maximum [Member] | Equipment and facilities [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Estimated useful lives for significant assets, in years | '20 years |
Maximum [Member] | Software [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Estimated useful lives for significant assets, in years | '5 years |
Fair_value_measurements_Fair_V
Fair value measurements - Fair Value of Financial Assets and Financial Liabilities Measured on Recurring Basis (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
Assets: | ' | ' | ||
Derivative assets | ¥ 26,069,000,000,000 | [1] | ¥ 27,575,000,000,000 | [1] |
Collateralized agreements | 17,347,001,000,000 | 14,115,257,000,000 | ||
Other assets | ' | ' | ||
Non-trading debt securities | 1,023,746,000,000 | 920,611,000,000 | ||
Other | 784,174,000,000 | 602,159,000,000 | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 26,068,000,000,000 | [1],[2] | 27,458,000,000,000 | [1],[2] |
Short-term borrowings | 49,279,000,000 | 77,036,000,000 | ||
Collateralized financing | 17,111,999,000,000 | 15,409,383,000,000 | ||
Long-term borrowings | 1,984,986,000,000 | 1,664,536,000,000 | ||
Netting [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | -23,764,000,000,000 | [3] | -25,684,000,000,000 | [3] |
Liabilities: | ' | ' | ||
Derivative liabilities | -24,030,000,000,000 | [2],[3] | -25,636,000,000,000 | [2],[3] |
Level 1 [Member] | ' | ' | ||
Assets: | ' | ' | ||
Subtotal, Assets | 10,279,000,000,000 | 8,785,000,000,000 | ||
Loans and receivables | ' | ' | ||
Collateralized agreements | ' | ' | ||
Other assets | ' | ' | ||
Non-trading debt securities | 406,000,000,000 | 409,000,000,000 | ||
Other | 358,000,000,000 | [4] | 172,000,000,000 | [4] |
Total Assets | 11,043,000,000,000 | 9,366,000,000,000 | ||
Liabilities: | ' | ' | ||
Subtotal, Liabilities | 8,568,000,000,000 | 6,570,000,000,000 | ||
Short-term borrowings | ' | ' | ||
Payables and deposits | ' | ' | ||
Collateralized financing | ' | ' | ||
Long-term borrowings | 134,000,000,000 | [5],[6],[7] | 114,000,000,000 | [5],[6],[7] |
Other liabilities | 152,000,000,000 | [8] | 39,000,000,000 | [8] |
Total Liabilities | 8,854,000,000,000 | 6,723,000,000,000 | ||
Level 1 [Member] | Trading liabilities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 7,727,000,000,000 | 5,740,000,000,000 | ||
Level 1 [Member] | Trading liabilities [Member] | Equities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 774,000,000,000 | 922,000,000,000 | ||
Level 1 [Member] | Trading liabilities [Member] | Japanese government securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 3,046,000,000,000 | 2,151,000,000,000 | ||
Level 1 [Member] | Trading liabilities [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 1 [Member] | Trading liabilities [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 3,831,000,000,000 | 2,627,000,000,000 | ||
Level 1 [Member] | Trading liabilities [Member] | Bank and corporate debt securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 1 [Member] | Trading liabilities [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 1 [Member] | Trading liabilities [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 1 [Member] | Trading liabilities [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 1 [Member] | Trading liabilities [Member] | Investment trust funds and other [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 76,000,000,000 | 40,000,000,000 | ||
Level 1 [Member] | Derivative liabilities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 841,000,000,000 | 830,000,000,000 | ||
Level 1 [Member] | Derivative liabilities [Member] | Equity contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 827,000,000,000 | [9] | 827,000,000,000 | [9] |
Level 1 [Member] | Derivative liabilities [Member] | Interest rate contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 10,000,000,000 | [9] | 2,000,000,000 | [9] |
Level 1 [Member] | Derivative liabilities [Member] | Credit contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 4,000,000,000 | [9] | 0 | [9] |
Level 1 [Member] | Derivative liabilities [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | ' | 0 | [9] | |
Level 1 [Member] | Derivative liabilities [Member] | Commodity contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 0 | [9] | 1,000,000,000 | [9] |
Level 1 [Member] | Derivative liabilities [Member] | Netting [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | ' | ' | ||
Level 1 [Member] | Trading assets and private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 9,514,000,000,000 | 8,057,000,000,000 | ||
Level 1 [Member] | Trading assets and private equity investments [Member] | Equities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 2,176,000,000,000 | [10],[4] | 1,008,000,000,000 | [10],[4] |
Level 1 [Member] | Trading assets and private equity investments [Member] | Private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Level 1 [Member] | Trading assets and private equity investments [Member] | Japanese government securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 2,587,000,000,000 | [10] | 3,331,000,000,000 | [10] |
Level 1 [Member] | Trading assets and private equity investments [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Level 1 [Member] | Trading assets and private equity investments [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 4,615,000,000,000 | [10] | 3,574,000,000,000 | [10] |
Level 1 [Member] | Trading assets and private equity investments [Member] | Bank and corporate debt securities and loans for trading purposes [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Level 1 [Member] | Trading assets and private equity investments [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Level 1 [Member] | Trading assets and private equity investments [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Level 1 [Member] | Trading assets and private equity investments [Member] | Real estate-backed securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Level 1 [Member] | Trading assets and private equity investments [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Level 1 [Member] | Trading assets and private equity investments [Member] | Investment trust funds and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 136,000,000,000 | [10] | 144,000,000,000 | [10] |
Level 1 [Member] | Derivative assets [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 765,000,000,000 | 728,000,000,000 | ||
Level 1 [Member] | Derivative assets [Member] | Equity contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 750,000,000,000 | [9] | 723,000,000,000 | [9] |
Level 1 [Member] | Derivative assets [Member] | Interest rate contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 11,000,000,000 | [9] | 4,000,000,000 | [9] |
Level 1 [Member] | Derivative assets [Member] | Credit contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 4,000,000,000 | [9] | 0 | [9] |
Level 1 [Member] | Derivative assets [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | ' | ' | ||
Level 1 [Member] | Derivative assets [Member] | Commodity contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 0 | [9] | 1,000,000,000 | [9] |
Level 1 [Member] | Derivative assets [Member] | Netting [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | ' | ' | ||
Level 2 [Member] | ' | ' | ||
Assets: | ' | ' | ||
Subtotal, Assets | 31,655,000,000,000 | 33,176,000,000,000 | ||
Loans and receivables | 280,000,000,000 | [11] | 521,000,000,000 | [11] |
Collateralized agreements | 1,087,000,000,000 | [12] | 998,000,000,000 | [12] |
Other assets | ' | ' | ||
Non-trading debt securities | 615,000,000,000 | 508,000,000,000 | ||
Other | 94,000,000,000 | [4] | 15,000,000,000 | [4] |
Total Assets | 33,731,000,000,000 | 35,218,000,000,000 | ||
Liabilities: | ' | ' | ||
Subtotal, Liabilities | 26,247,000,000,000 | 27,162,000,000,000 | ||
Short-term borrowings | 46,000,000,000 | [5] | 73,000,000,000 | [5] |
Payables and deposits | 0 | [13] | 0 | [13] |
Collateralized financing | 530,000,000,000 | [12] | 265,000,000,000 | [12] |
Long-term borrowings | 1,439,000,000,000 | [5],[6],[7] | 1,263,000,000,000 | [5],[6],[7] |
Other liabilities | 86,000,000,000 | [8] | 11,000,000,000 | [8] |
Total Liabilities | 28,348,000,000,000 | 28,774,000,000,000 | ||
Level 2 [Member] | Trading liabilities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 1,229,000,000,000 | 866,000,000,000 | ||
Level 2 [Member] | Trading liabilities [Member] | Equities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 132,000,000,000 | 87,000,000,000 | ||
Level 2 [Member] | Trading liabilities [Member] | Japanese government securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 2 [Member] | Trading liabilities [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | 0 | ||
Level 2 [Member] | Trading liabilities [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 688,000,000,000 | 477,000,000,000 | ||
Level 2 [Member] | Trading liabilities [Member] | Bank and corporate debt securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 396,000,000,000 | 288,000,000,000 | ||
Level 2 [Member] | Trading liabilities [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | 1,000,000,000 | ||
Level 2 [Member] | Trading liabilities [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 1,000,000,000 | 1,000,000,000 | ||
Level 2 [Member] | Trading liabilities [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 0 | ' | ||
Level 2 [Member] | Trading liabilities [Member] | Investment trust funds and other [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 12,000,000,000 | 12,000,000,000 | ||
Level 2 [Member] | Derivative liabilities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 25,018,000,000,000 | 26,296,000,000,000 | ||
Level 2 [Member] | Derivative liabilities [Member] | Equity contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 1,368,000,000,000 | [9] | 1,118,000,000,000 | [9] |
Level 2 [Member] | Derivative liabilities [Member] | Interest rate contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 19,142,000,000,000 | [9] | 21,312,000,000,000 | [9] |
Level 2 [Member] | Derivative liabilities [Member] | Credit contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 1,582,000,000,000 | [9] | 1,871,000,000,000 | [9] |
Level 2 [Member] | Derivative liabilities [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 2,926,000,000,000 | [9] | 1,994,000,000,000 | [9] |
Level 2 [Member] | Derivative liabilities [Member] | Commodity contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 0 | [9] | 1,000,000,000 | [9] |
Level 2 [Member] | Derivative liabilities [Member] | Netting [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | ' | ' | ||
Level 2 [Member] | Trading assets and private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 6,594,000,000,000 | 6,697,000,000,000 | ||
Level 2 [Member] | Trading assets and private equity investments [Member] | Equities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 655,000,000,000 | [10],[4] | 720,000,000,000 | [10],[4] |
Level 2 [Member] | Trading assets and private equity investments [Member] | Private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Level 2 [Member] | Trading assets and private equity investments [Member] | Japanese government securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Level 2 [Member] | Trading assets and private equity investments [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 192,000,000,000 | [10] | 72,000,000,000 | [10] |
Level 2 [Member] | Trading assets and private equity investments [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 1,378,000,000,000 | [10] | 1,466,000,000,000 | [10] |
Level 2 [Member] | Trading assets and private equity investments [Member] | Bank and corporate debt securities and loans for trading purposes [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 1,735,000,000,000 | [10] | 1,375,000,000,000 | [10] |
Level 2 [Member] | Trading assets and private equity investments [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 156,000,000,000 | [10] | 161,000,000,000 | [10] |
Level 2 [Member] | Trading assets and private equity investments [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 2,221,000,000,000 | [10] | 2,720,000,000,000 | [10] |
Level 2 [Member] | Trading assets and private equity investments [Member] | Real estate-backed securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Level 2 [Member] | Trading assets and private equity investments [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 170,000,000,000 | [10],[14] | 138,000,000,000 | [10],[14] |
Level 2 [Member] | Trading assets and private equity investments [Member] | Investment trust funds and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 87,000,000,000 | [10] | 45,000,000,000 | [10] |
Level 2 [Member] | Derivative assets [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 25,061,000,000,000 | 26,479,000,000,000 | ||
Level 2 [Member] | Derivative assets [Member] | Equity contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 1,102,000,000,000 | [9] | 1,058,000,000,000 | [9] |
Level 2 [Member] | Derivative assets [Member] | Interest rate contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 19,398,000,000,000 | [9] | 21,621,000,000,000 | [9] |
Level 2 [Member] | Derivative assets [Member] | Credit contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 1,268,000,000,000 | [9] | 1,706,000,000,000 | [9] |
Level 2 [Member] | Derivative assets [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 3,293,000,000,000 | [9] | 2,094,000,000,000 | [9] |
Level 2 [Member] | Derivative assets [Member] | Commodity contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 0 | [9] | 0 | [9] |
Level 2 [Member] | Derivative assets [Member] | Netting [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | ' | ' | ||
Level 3 [Member] | ' | ' | ||
Assets: | ' | ' | ||
Subtotal, Assets | 544,000,000,000 | 847,000,000,000 | ||
Loans and receivables | 26,000,000,000 | [11] | 3,000,000,000 | [11] |
Collateralized agreements | ' | ' | ||
Other assets | ' | ' | ||
Non-trading debt securities | 3,000,000,000 | 4,000,000,000 | ||
Other | 56,000,000,000 | [15],[4] | 60,000,000,000 | [15],[4] |
Total Assets | 629,000,000,000 | 914,000,000,000 | ||
Liabilities: | ' | ' | ||
Subtotal, Liabilities | 262,000,000,000 | 395,000,000,000 | ||
Short-term borrowings | 3,000,000,000 | [5] | 4,000,000,000 | [5] |
Payables and deposits | 0 | [13] | 1,000,000,000 | [13] |
Collateralized financing | ' | ' | ||
Long-term borrowings | 394,000,000,000 | [5],[6],[7] | 222,000,000,000 | [5],[6],[7] |
Other liabilities | ' | 0 | [8] | |
Total Liabilities | 659,000,000,000 | 622,000,000,000 | ||
Level 3 [Member] | Trading liabilities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 1,000,000,000 | 0 | ||
Level 3 [Member] | Trading liabilities [Member] | Equities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 1,000,000,000 | 0 | ||
Level 3 [Member] | Trading liabilities [Member] | Japanese government securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 3 [Member] | Trading liabilities [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 3 [Member] | Trading liabilities [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 3 [Member] | Trading liabilities [Member] | Bank and corporate debt securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 0 | 0 | ||
Level 3 [Member] | Trading liabilities [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 3 [Member] | Trading liabilities [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 3 [Member] | Trading liabilities [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 3 [Member] | Trading liabilities [Member] | Investment trust funds and other [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Level 3 [Member] | Derivative liabilities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 261,000,000,000 | 395,000,000,000 | ||
Level 3 [Member] | Derivative liabilities [Member] | Equity contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 59,000,000,000 | [9] | 71,000,000,000 | [9] |
Level 3 [Member] | Derivative liabilities [Member] | Interest rate contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 151,000,000,000 | [9] | 202,000,000,000 | [9] |
Level 3 [Member] | Derivative liabilities [Member] | Credit contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 37,000,000,000 | [9] | 108,000,000,000 | [9] |
Level 3 [Member] | Derivative liabilities [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 14,000,000,000 | [9] | 14,000,000,000 | [9] |
Level 3 [Member] | Derivative liabilities [Member] | Commodity contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 0 | [9] | 0 | [9] |
Level 3 [Member] | Derivative liabilities [Member] | Netting [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | ' | ' | ||
Level 3 [Member] | Trading assets and private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 301,000,000,000 | 479,000,000,000 | ||
Level 3 [Member] | Trading assets and private equity investments [Member] | Equities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 68,000,000,000 | [10],[4] | 129,000,000,000 | [10],[4] |
Level 3 [Member] | Trading assets and private equity investments [Member] | Private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 42,000,000,000 | [10],[4] | 87,000,000,000 | [10],[4] |
Level 3 [Member] | Trading assets and private equity investments [Member] | Japanese government securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Level 3 [Member] | Trading assets and private equity investments [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | 0 | ||
Level 3 [Member] | Trading assets and private equity investments [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 26,000,000,000 | [10] | 91,000,000,000 | [10] |
Level 3 [Member] | Trading assets and private equity investments [Member] | Bank and corporate debt securities and loans for trading purposes [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 116,000,000,000 | [10] | 69,000,000,000 | [10] |
Level 3 [Member] | Trading assets and private equity investments [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 3,000,000,000 | [10] | 6,000,000,000 | [10] |
Level 3 [Member] | Trading assets and private equity investments [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 3,000,000,000 | [10] | 4,000,000,000 | [10] |
Level 3 [Member] | Trading assets and private equity investments [Member] | Real estate-backed securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 0 | [10] | 68,000,000,000 | [10] |
Level 3 [Member] | Trading assets and private equity investments [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 13,000,000,000 | [10],[14] | 12,000,000,000 | [10],[14] |
Level 3 [Member] | Trading assets and private equity investments [Member] | Investment trust funds and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 30,000,000,000 | [10] | 13,000,000,000 | [10] |
Level 3 [Member] | Derivative assets [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 243,000,000,000 | 368,000,000,000 | ||
Level 3 [Member] | Derivative assets [Member] | Equity contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 70,000,000,000 | [9] | 76,000,000,000 | [9] |
Level 3 [Member] | Derivative assets [Member] | Interest rate contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 112,000,000,000 | [9] | 148,000,000,000 | [9] |
Level 3 [Member] | Derivative assets [Member] | Credit contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 42,000,000,000 | [9] | 133,000,000,000 | [9] |
Level 3 [Member] | Derivative assets [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 19,000,000,000 | [9] | 11,000,000,000 | [9] |
Level 3 [Member] | Derivative assets [Member] | Commodity contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 0 | [9] | 0 | [9] |
Level 3 [Member] | Derivative assets [Member] | Netting [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | ' | ' | ||
Assets: | ' | ' | ||
Subtotal, Assets | -23,764,000,000,000 | [16] | -25,684,000,000,000 | [16] |
Loans and receivables | ' | ' | ||
Collateralized agreements | ' | ' | ||
Other assets | ' | ' | ||
Non-trading debt securities | ' | ' | ||
Other | ' | ' | ||
Total Assets | -23,764,000,000,000 | [16] | -25,684,000,000,000 | [16] |
Liabilities: | ' | ' | ||
Subtotal, Liabilities | -24,030,000,000,000 | [16] | -25,636,000,000,000 | [16] |
Short-term borrowings | ' | ' | ||
Payables and deposits | ' | ' | ||
Collateralized financing | ' | ' | ||
Long-term borrowings | ' | ' | ||
Other liabilities | ' | ' | ||
Total Liabilities | -24,030,000,000,000 | [16] | -25,636,000,000,000 | [16] |
Counterparty and Cash Collateral Netting [Member] | Trading liabilities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading liabilities [Member] | Equities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading liabilities [Member] | Japanese government securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading liabilities [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading liabilities [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading liabilities [Member] | Bank and corporate debt securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading liabilities [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading liabilities [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading liabilities [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading liabilities [Member] | Investment trust funds and other [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative liabilities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | -24,030,000,000,000 | [16] | -25,636,000,000,000 | [16] |
Counterparty and Cash Collateral Netting [Member] | Derivative liabilities [Member] | Equity contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative liabilities [Member] | Interest rate contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative liabilities [Member] | Credit contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative liabilities [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative liabilities [Member] | Commodity contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative liabilities [Member] | Netting [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | -24,030,000,000,000 | [16],[9] | -25,636,000,000,000 | [16],[9] |
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | Equities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | Private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | Japanese government securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | Bank and corporate debt securities and loans for trading purposes [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | Real estate-backed securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Trading assets and private equity investments [Member] | Investment trust funds and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative assets [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | -23,764,000,000,000 | [16] | -25,684,000,000,000 | [16] |
Counterparty and Cash Collateral Netting [Member] | Derivative assets [Member] | Equity contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative assets [Member] | Interest rate contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative assets [Member] | Credit contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative assets [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative assets [Member] | Commodity contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | ' | ' | ||
Counterparty and Cash Collateral Netting [Member] | Derivative assets [Member] | Netting [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | -23,764,000,000,000 | [16],[9] | -25,684,000,000,000 | [16],[9] |
Balance of financial instruments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 2,305,000,000,000 | [17] | 1,891,000,000,000 | [17] |
Subtotal, Assets | 18,714,000,000,000 | 17,124,000,000,000 | ||
Loans and receivables | 306,000,000,000 | [11] | 524,000,000,000 | [11] |
Collateralized agreements | 1,087,000,000,000 | [12] | 998,000,000,000 | [12] |
Other assets | ' | ' | ||
Non-trading debt securities | 1,024,000,000,000 | 921,000,000,000 | ||
Other | 508,000,000,000 | [4] | 247,000,000,000 | [4] |
Total Assets | 21,639,000,000,000 | 19,814,000,000,000 | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 2,038,000,000,000 | [17],[2] | 1,822,000,000,000 | [17],[2] |
Subtotal, Liabilities | 11,047,000,000,000 | 8,491,000,000,000 | ||
Short-term borrowings | 49,000,000,000 | [5] | 77,000,000,000 | [5] |
Payables and deposits | 0 | [13] | 1,000,000,000 | [13] |
Collateralized financing | 530,000,000,000 | [12] | 265,000,000,000 | [12] |
Long-term borrowings | 1,967,000,000,000 | [5],[6],[7] | 1,599,000,000,000 | [5],[6],[7] |
Other liabilities | 238,000,000,000 | [8] | 50,000,000,000 | [8] |
Total Liabilities | 13,831,000,000,000 | 10,483,000,000,000 | ||
Balance of financial instruments [Member] | Trading liabilities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 8,957,000,000,000 | 6,606,000,000,000 | ||
Balance of financial instruments [Member] | Trading liabilities [Member] | Equities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 907,000,000,000 | 1,009,000,000,000 | ||
Balance of financial instruments [Member] | Trading liabilities [Member] | Japanese government securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 3,046,000,000,000 | 2,151,000,000,000 | ||
Balance of financial instruments [Member] | Trading liabilities [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | 0 | ||
Balance of financial instruments [Member] | Trading liabilities [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 4,519,000,000,000 | 3,104,000,000,000 | ||
Balance of financial instruments [Member] | Trading liabilities [Member] | Bank and corporate debt securities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 396,000,000,000 | 288,000,000,000 | ||
Balance of financial instruments [Member] | Trading liabilities [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | ' | 1,000,000,000 | ||
Balance of financial instruments [Member] | Trading liabilities [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 1,000,000,000 | 1,000,000,000 | ||
Balance of financial instruments [Member] | Trading liabilities [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 0 | ' | ||
Balance of financial instruments [Member] | Trading liabilities [Member] | Investment trust funds and other [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Trading liabilities | 88,000,000,000 | 52,000,000,000 | ||
Balance of financial instruments [Member] | Derivative liabilities [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 2,090,000,000,000 | 1,885,000,000,000 | ||
Balance of financial instruments [Member] | Derivative liabilities [Member] | Equity contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 2,254,000,000,000 | [9] | 2,016,000,000,000 | [9] |
Balance of financial instruments [Member] | Derivative liabilities [Member] | Interest rate contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 19,303,000,000,000 | [9] | 21,516,000,000,000 | [9] |
Balance of financial instruments [Member] | Derivative liabilities [Member] | Credit contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 1,623,000,000,000 | [9] | 1,979,000,000,000 | [9] |
Balance of financial instruments [Member] | Derivative liabilities [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 2,940,000,000,000 | [9] | 2,008,000,000,000 | [9] |
Balance of financial instruments [Member] | Derivative liabilities [Member] | Commodity contracts [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | 0 | [9] | 2,000,000,000 | [9] |
Balance of financial instruments [Member] | Derivative liabilities [Member] | Netting [Member] | ' | ' | ||
Liabilities: | ' | ' | ||
Derivative liabilities | -24,030,000,000,000 | [9] | -25,636,000,000,000 | [9] |
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 16,409,000,000,000 | 15,233,000,000,000 | ||
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | Equities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 2,899,000,000,000 | [10],[4] | 1,857,000,000,000 | [10],[4] |
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | Private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 42,000,000,000 | [10],[4] | 87,000,000,000 | [10],[4] |
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | Japanese government securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 2,587,000,000,000 | [10] | 3,331,000,000,000 | [10] |
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 192,000,000,000 | [10] | 72,000,000,000 | [10] |
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 6,019,000,000,000 | [10] | 5,131,000,000,000 | [10] |
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | Bank and corporate debt securities and loans for trading purposes [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 1,851,000,000,000 | [10] | 1,444,000,000,000 | [10] |
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 159,000,000,000 | [10] | 167,000,000,000 | [10] |
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 2,224,000,000,000 | [10] | 2,724,000,000,000 | [10] |
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | Real estate-backed securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 0 | [10] | 68,000,000,000 | [10] |
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 183,000,000,000 | [10],[14] | 150,000,000,000 | [10],[14] |
Balance of financial instruments [Member] | Trading assets and private equity investments [Member] | Investment trust funds and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 253,000,000,000 | [10] | 202,000,000,000 | [10] |
Balance of financial instruments [Member] | Derivative assets [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 2,305,000,000,000 | 1,891,000,000,000 | ||
Balance of financial instruments [Member] | Derivative assets [Member] | Equity contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 1,922,000,000,000 | [9] | 1,857,000,000,000 | [9] |
Balance of financial instruments [Member] | Derivative assets [Member] | Interest rate contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 19,521,000,000,000 | [9] | 21,773,000,000,000 | [9] |
Balance of financial instruments [Member] | Derivative assets [Member] | Credit contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 1,314,000,000,000 | [9] | 1,839,000,000,000 | [9] |
Balance of financial instruments [Member] | Derivative assets [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 3,312,000,000,000 | [9] | 2,105,000,000,000 | [9] |
Balance of financial instruments [Member] | Derivative assets [Member] | Commodity contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | 0 | [9] | 1,000,000,000 | [9] |
Balance of financial instruments [Member] | Derivative assets [Member] | Netting [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivative assets | ¥ (23,764,000,000,000) | [9] | ¥ (25,684,000,000,000) | [9] |
[1] | Includes all gross derivative asset and liability balances irrespective of whether they are transacted under a master netting agreement or whether Nomura has obtained sufficient evidence of enforceability of the master netting agreement. As of March 31, 2013, the gross balance of derivative assets and derivative liabilities which are not documented under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was \ 660 billion and \855 billion, respectively. As of March 31, 2014, the gross balance of such derivative assets and derivative liabilities was \744 billion and \808 billion, respectively. | |||
[2] | Includes the amount of embedded derivatives bifurcated in accordance with ASC 815. | |||
[3] | Represents amounts offset through counterparty netting of derivative assets and liabilities as well as cash collateral netting against net derivatives under master netting and similar agreements for which Nomura has obtained sufficient evidence of enforceability in accordance with ASC 815. As of March 31, 2013, Nomura offset a total of \985 billion of cash collateral receivables against net derivative liabilities and \1,033 billion of cash collateral payables against net derivative assets. As of March 31, 2014, Nomura offset a total of \1,283 billion of cash collateral receivables against net derivative liabilities and \1,017 billion of cash collateral payables against net derivative assets. | |||
[4] | Includes equity investments that would have been accounted for under the equity method had Nomura not chosen to elect the fair value option. | |||
[5] | Includes structured notes for which the fair value option is elected. | |||
[6] | Includes embedded derivatives bifurcated from issued structured notes. If unrealized gains are greater than unrealized losses, borrowings are reduced by the excess amount. | |||
[7] | Includes liabilities recognized from secured financing transactions that are accounted for as financings rather than sales. Nomura elected the fair value option for these liabilities. | |||
[8] | Includes loan commitments for which the fair value option is elected. | |||
[9] | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rate contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government debt securities. | |||
[10] | Includes investments in certain funds measured at fair value on the basis of NAV per share as a practical expedient. | |||
[11] | Includes loans for which the fair value option is elected. | |||
[12] | Includes collateralized agreements or collateralized financing for which the fair value option is elected. | |||
[13] | Includes embedded derivatives bifurcated from deposits received at banks. If unrealized gains are greater than unrealized losses, deposits are reduced by the excess amount. | |||
[14] | Includes collateralized loan obligations ("CLOs") and asset-backed securities ("ABS") such as those secured on credit card loans, auto loans and student loans. | |||
[15] | Valuation technique(s) and unobservable inputs represent those equity securities reported within Other assets. | |||
[16] | Represents the amount offset under counterparty netting of derivative assets and liabilities as well as cash collateral netting against net derivatives. | |||
[17] | Net derivative assets and net derivative liabilities are generally reported within Trading assets and private equity investments-Trading assets and Trading liabilities, respectively in the consolidated balance sheet. Bifurcated embedded derivatives are reported within Short-term borrowings or Long-term borrowings depending on the maturity of the underlying host contract. |
Fair_value_measurements_Additi
Fair value measurements - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Amount of discount or liquidity adjustment in inactive markets | ' | ' | ' | ||
Loss from change on the fair value measurements applied to derivatives | ' | 11,000,000,000 | ' | ||
Loss from change on the calculation of the valuation applied to derivatives | 10,000,000,000 | ' | ' | ||
Transfers out of Level 3, assets | 171,000,000,000 | [1] | 111,000,000,000 | [1] | ' |
Transfers out of Level 3, liabilities | 69,000,000,000 | 61,000,000,000 | [1] | ' | |
Transfers into Level 3, Assets | 75,000,000,000 | [1] | 154,000,000,000 | [1] | ' |
Transfers into Level 3, liabilities | 43,000,000,000 | [1] | 111,000,000,000 | ' | |
Total revenue | 1,831,844,000,000 | 2,079,943,000,000 | 1,851,760,000,000 | ||
Net income | 216,449,000,000 | 105,691,000,000 | 26,054,000,000 | ||
Total assets | 43,520,314,000,000 | 37,942,439,000,000 | ' | ||
Total liabilities | 40,967,101,000,000 | 35,623,456,000,000 | ' | ||
Gains (losses) from changes in fair value of the financial liabilities for which the fair value option was elected, attributable to the change in creditworthiness | -9,000,000,000 | -31,000,000,000 | 17,000,000,000 | ||
Differences between the fair value of the aggregate unpaid principal balance (which is contractually principally protected) of loans and receivables, more (less) than the principal balance of such loans and receivables | 1,000,000,000 | 1,000,000,000 | ' | ||
Differences between the fair value of the aggregate unpaid principal balance (which is contractually principally protected) of long-term borrowings more (less) than the principal balance of such long-term borrowings | 17,000,000,000 | 20,000,000,000 | ' | ||
Concentrations of credit risk, percentage | 20.00% | 22.00% | ' | ||
Goodwill, written down to fair value | 3,000,000,000 | ' | ' | ||
Ashikaga Holdings Co., Ltd. [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Percentage of ownership of common stock | 37.10% | 47.00% | 47.00% | ||
Total revenue | 108,000,000,000 | 99,000,000,000 | 101,000,000,000 | ||
Total expense | 80,000,000,000 | 80,000,000,000 | 84,000,000,000 | ||
Net income | 24,000,000,000 | 15,000,000,000 | 17,000,000,000 | ||
Total assets | 5,612,000,000,000 | 5,434,000,000,000 | 5,354,000,000,000 | ||
Total liabilities | 5,371,000,000,000 | 5,155,000,000,000 | 5,097,000,000,000 | ||
Derivative liabilities [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer out of Level 3, net derivative assets (liabilities) | 9,000,000,000 | 15,000,000,000 | ' | ||
Derivative liabilities [Member] | Equity contracts [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer out of Level 3, net derivative assets (liabilities) | 7,000,000,000 | 8,000,000,000 | ' | ||
Derivative liabilities [Member] | Credit contracts [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer out of Level 3, net derivative assets (liabilities) | ' | 19,000,000,000 | ' | ||
Derivative liabilities [Member] | Foreign exchange contracts [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer out of Level 3, net derivative assets (liabilities) | ' | 14,000,000,000 | ' | ||
Derivative assets [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer into of Level 3, net derivative assets (liabilities) | 3,000,000,000 | 8,000,000,000 | ' | ||
Derivative assets [Member] | Interest rate contracts [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer into of Level 3, net derivative assets (liabilities) | 6,000,000,000 | ' | ' | ||
Derivative assets [Member] | Equity contracts [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer into of Level 3, net derivative assets (liabilities) | 7,000,000,000 | ' | ' | ||
Recognized losses when the transfer into Level 3 occurred | 7,000,000,000 | ' | ' | ||
Derivative assets [Member] | Credit contracts [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer into of Level 3, net derivative assets (liabilities) | ' | 15,000,000,000 | ' | ||
Derivative assets [Member] | Foreign exchange contracts [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer into of Level 3, net derivative assets (liabilities) | ' | 6,000,000,000 | ' | ||
Structured notes [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Adjustment to reflect own creditworthiness | -1,000,000,000 | 8,000,000,000 | ' | ||
Financial assets (excluding derivative assets) [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer from Level 1 to Level 2 | 492,000,000,000 | 631,000,000,000 | ' | ||
Transfer from Level 2 to Level 1 | 856,000,000,000 | 455,000,000,000 | ' | ||
Transfers out of Level 3, assets | 180,000,000,000 | 126,000,000,000 | ' | ||
Transfers into Level 3, Assets | 78,000,000,000 | 146,000,000,000 | ' | ||
Equities [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer from Level 1 to Level 2 | 479,000,000,000 | 361,000,000,000 | ' | ||
Transfer from Level 2 to Level 1 | 832,000,000,000 | 441,000,000,000 | ' | ||
Transfers out of Level 3, assets | ' | 25,000,000,000 | ' | ||
Transfers into Level 3, Assets | 7,000,000,000 | 6,000,000,000 | ' | ||
Non-trading debt securities [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer from Level 1 to Level 2 | ' | 249,000,000,000 | ' | ||
Exchange traded funds [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer from Level 1 to Level 2 | ' | 15,000,000,000 | ' | ||
Transfer from Level 2 to Level 1 | 19,000,000,000 | 5,000,000,000 | ' | ||
Equity securities [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer from Level 1 to Level 2 | 5,000,000,000 | 6,000,000,000 | ' | ||
Transfer from Level 2 to Level 1 | 5,000,000,000 | 7,000,000,000 | ' | ||
Financial liabilities (excluding derivative liabilities) [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer from Level 1 to Level 2 | 38,000,000,000 | 80,000,000,000 | ' | ||
Transfer from Level 2 to Level 1 | 92,000,000,000 | 391,000,000,000 | ' | ||
Transfers out of Level 3, liabilities | 69,000,000,000 | 61,000,000,000 | ' | ||
Transfers into Level 3, liabilities | ' | 111,000,000,000 | ' | ||
Short sales of equities [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer from Level 1 to Level 2 | 36,000,000,000 | 72,000,000,000 | ' | ||
Transfer from Level 2 to Level 1 | 90,000,000,000 | 388,000,000,000 | ' | ||
Short sales of exchange traded funds [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfer from Level 1 to Level 2 | ' | 8,000,000,000 | ' | ||
Bank and corporate debt securities and loans for trading purposes [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfers out of Level 3, assets | 47,000,000,000 | 35,000,000,000 | ' | ||
Transfers into Level 3, Assets | 32,000,000,000 | 69,000,000,000 | ' | ||
Long-term borrowings [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfers out of Level 3, liabilities | 67,000,000,000 | 59,000,000,000 | ' | ||
Transfers into Level 3, liabilities | 42,000,000,000 | 110,000,000,000 | ' | ||
Recognized losses when the transfer into Level 3 occurred | ' | 7,000,000,000 | ' | ||
Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfers out of Level 3, assets | ' | 6,000,000,000 | ' | ||
Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfers out of Level 3, assets | 7,000,000,000 | 5,000,000,000 | ' | ||
Transfers into Level 3, Assets | 6,000,000,000 | ' | ' | ||
Loans and receivables [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfers out of Level 3, assets | 9,000,000,000 | 6,000,000,000 | ' | ||
Transfers into Level 3, Assets | 20,000,000,000 | ' | ' | ||
Foreign government, agency and municipal securities [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfers out of Level 3, assets | 70,000,000,000 | 44,000,000,000 | ' | ||
Transfers into Level 3, Assets | 8,000,000,000 | 62,000,000,000 | ' | ||
Recognized gains when the transfer into Level 3 occurred | ' | 9,000,000,000 | ' | ||
Private equity investments [Member] | ' | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ' | ||
Transfers out of Level 3, assets | ¥ 40,000,000,000 | ' | ' | ||
[1] | If financial instruments move from Level 3 to another Level or move from another Level to Level 3, the amount reported in Transfers into Level 3 and Transfers out of Level 3 are the fair value as of the beginning of the quarter during which the movement occurs. Therefore if financial instruments move from another Level to Level 3, all gains/ (losses) during the quarter are included in the table and if financial instruments move from Level 3 to another Level, all gains/ (losses) during the year are excluded from the table. |
Fair_value_measurements_Schedu
Fair value measurements - Schedule of Quantitative Information Regarding Significant Unobservable Inputs and Assumptions for Certain Level 3 Financial Instruments (Detail) (JPY ¥) | 12 Months Ended | |||
Mar. 31, 2014 | Mar. 31, 2013 | |||
Other assets | ' | ' | ||
Non-trading debt securities | 1,023,746,000,000 | 920,611,000,000 | ||
Other | 784,174,000,000 | 602,159,000,000 | ||
Liabilities: | ' | ' | ||
Short-term borrowings | 49,279,000,000 | 77,036,000,000 | ||
Long-term borrowings | 1,984,986,000,000 | 1,664,536,000,000 | ||
Equity contracts [Member] | Option models [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Dividend yield | 0.00% | [1] | 0.00% | [1] |
Volatilities | 6.90% | [1] | 5.70% | [1] |
Correlations | -0.96 | [1] | -0.77 | [1] |
Equity contracts [Member] | Option models [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Dividend yield | 8.20% | [1] | 11.00% | [1] |
Volatilities | 59.90% | [1] | 92.40% | [1] |
Correlations | 0.95 | [1] | 0.99 | [1] |
Equity contracts [Member] | Option models [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Dividend yield | ' | ' | ||
Volatilities | ' | ' | ||
Correlations | ' | ' | ||
Interest rate contracts [Member] | Option models [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | 10.60% | [1] | 13.50% | [1] |
Correlations | -0.45 | [1] | -0.7 | [1] |
Interest rate contracts [Member] | Option models [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | 23.50% | [1] | 118.10% | [1] |
Correlations | 0.99 | [1] | 0.99 | [1] |
Interest rate contracts [Member] | Option models [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | ' | ' | ||
Correlations | ' | ' | ||
Interest rate contracts [Member] | DCF / Option models [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Forward FX rates | ' | 62.9 | [1] | |
Interest rates | 0.70% | [1] | 0.60% | [1] |
Interest rate contracts [Member] | DCF / Option models [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Forward FX rates | ' | 121.7 | [1] | |
Interest rates | 5.20% | [1] | 4.20% | [1] |
Interest rate contracts [Member] | DCF / Option models [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Forward FX rates | ' | ' | ||
Interest rates | ' | ' | ||
Credit contracts [Member] | Option models [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | 1.00% | [1] | 10.00% | [1] |
Correlations | 0.26 | [1] | 0.33 | [1] |
Credit contracts [Member] | Option models [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | 70.00% | [1] | 70.00% | [1] |
Correlations | 0.95 | [1] | 0.9 | [1] |
Credit contracts [Member] | Option models [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | ' | ' | ||
Correlations | ' | ' | ||
Credit contracts [Member] | DCF / Option models [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 0.00% | [1] | 0.00% | [1] |
Recovery rates | 20.00% | [1] | 15.00% | [1] |
Credit contracts [Member] | DCF / Option models [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 20.90% | [1] | 7.50% | [1] |
Recovery rates | 90.00% | [1] | 40.00% | [1] |
Credit contracts [Member] | DCF / Option models [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | ' | ' | ||
Recovery rates | ' | ' | ||
Foreign exchange contracts [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Forward FX rates | ' | 2.7 | [1] | |
Foreign exchange contracts [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Forward FX rates | ' | 12,484 | [1] | |
Foreign exchange contracts [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Forward FX rates | ' | ' | ||
Foreign exchange contracts [Member] | Option models [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | 11.20% | [1] | 1.40% | [1] |
Foreign exchange contracts [Member] | Option models [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | 19.10% | [1] | 20.70% | [1] |
Foreign exchange contracts [Member] | Option models [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | ' | ' | ||
Equities [Member] | DCF [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | ' | 7.60% | [1] | |
Equities [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Liquidity discounts | 11.00% | [1] | 25.00% | [1] |
Equities [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Liquidity discounts | 50.00% | [1] | 38.00% | [1] |
Equities [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | ' | 7.60% | [2] | |
Liquidity discounts | 18.10% | [2] | 35.40% | [2] |
Equities [Member] | DCM [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Capitalization rates | 6.80% | [1] | 5.20% | [1] |
Equities [Member] | DCM [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Capitalization rates | 6.90% | [1] | 6.70% | [1] |
Equities [Member] | DCM [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Capitalization rates | 6.80% | [2] | 6.30% | [2] |
Private equity investments [Member] | DCF [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
WACC | ' | 6.80% | [1] | |
Growth rates | ' | 0.00% | [1] | |
Liquidity discounts | ' | 25.00% | [1] | |
Private equity investments [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
WACC | ' | 6.80% | [2] | |
Growth rates | ' | 0.00% | [2] | |
Liquidity discounts | ' | 25.00% | [2] | |
Private equity investments [Member] | Market multiples [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
PE ratios | ' | 7.7 | [1] | |
Price/Embedded values | 0.4 | [1] | 0.4 | [1] |
Price/Book ratios | ' | 0.4 | [1] | |
Private equity investments [Member] | Market multiples [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
EV/EBITDA ratios | 4.5 | [1] | 3.7 | [1] |
Liquidity discounts | 0.00% | [1] | 0.00% | [1] |
Private equity investments [Member] | Market multiples [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
EV/EBITDA ratios | 11.6 | [1] | 11.3 | [1] |
Liquidity discounts | 33.00% | [1] | 33.00% | [1] |
Private equity investments [Member] | Market multiples [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
EV/EBITDA ratios | 10 | [2] | 11 | [2] |
PE ratios | ' | 7.7 | [2] | |
Price/Embedded values | 0.4 | [2] | 0.4 | [2] |
Price/Book ratios | ' | 0.4 | [2] | |
Liquidity discounts | 30.50% | [2] | 25.80% | [2] |
Foreign government, agency and municipal securities [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 0.00% | [1] | 0.00% | [1] |
Foreign government, agency and municipal securities [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 5.90% | [1] | 6.50% | [1] |
Foreign government, agency and municipal securities [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 0.50% | [2] | 0.70% | [2] |
Bank and corporate debt securities and loans for trading purposes [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 0.00% | [1] | 0.00% | [1] |
Recovery rates | 0.00% | [1] | 0.10% | [1] |
Bank and corporate debt securities and loans for trading purposes [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 26.60% | [1] | 24.20% | [1] |
Recovery rates | 74.00% | [1] | 36.40% | [1] |
Bank and corporate debt securities and loans for trading purposes [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 4.70% | [2] | 2.60% | [2] |
Recovery rates | 57.10% | [2] | 28.10% | [2] |
Commercial mortgage-backed securities ("CMBS") [Member] | DCF [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Default probabilities | ' | 100.00% | [1] | |
Commercial mortgage-backed securities ("CMBS") [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | 6.20% | [1] | 0.00% | [1] |
Loss severities | ' | 0.00% | [1] | |
Commercial mortgage-backed securities ("CMBS") [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | 30.40% | [1] | 25.00% | [1] |
Loss severities | ' | 80.00% | [1] | |
Commercial mortgage-backed securities ("CMBS") [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | 10.10% | [2] | 8.00% | [2] |
Default probabilities | ' | 100.00% | [2] | |
Loss severities | ' | 0.30% | [2] | |
Residential mortgage-backed securities ("RMBS") [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | 0.30% | [1] | 0.00% | [1] |
Prepayment rates | 3.80% | [1] | 0.00% | [1] |
Default probabilities | 0.00% | [1] | 0.30% | [1] |
Loss severities | 0.10% | [1] | 22.00% | [1] |
Residential mortgage-backed securities ("RMBS") [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | 10.70% | [1] | 40.00% | [1] |
Prepayment rates | 50.00% | [1] | 8.20% | [1] |
Default probabilities | 2.00% | [1] | 17.00% | [1] |
Loss severities | 87.20% | [1] | 90.00% | [1] |
Residential mortgage-backed securities ("RMBS") [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | 3.70% | [2] | 3.30% | [2] |
Prepayment rates | 12.80% | [2] | 4.50% | [2] |
Default probabilities | 2.00% | [2] | 14.70% | [2] |
Loss severities | 51.20% | [2] | 64.20% | [2] |
Real estate-backed securities [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | ' | 1.80% | [1] | |
Default probabilities | ' | 24.00% | [1] | |
Loss severities | ' | 80.00% | [1] | |
Real estate-backed securities [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | ' | 15.00% | [1] | |
Default probabilities | ' | 65.00% | [1] | |
Loss severities | ' | 100.00% | [1] | |
Real estate-backed securities [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | ' | 1.90% | [2] | |
Default probabilities | ' | 42.60% | [2] | |
Loss severities | ' | 88.00% | [2] | |
Real estate-backed securities [Member] | DCM [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Capitalization rates | ' | 6.80% | [1] | |
Real estate-backed securities [Member] | DCM [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Capitalization rates | ' | 6.80% | [2] | |
Collateralized debt obligations ("CDOs") and other [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | 0.00% | [1] | 0.00% | [1] |
Prepayment rates | 0.00% | [1] | 0.00% | [1] |
Default probabilities | 1.00% | [1] | 2.00% | [1] |
Loss severities | 30.00% | [1] | 30.00% | [1] |
Collateralized debt obligations ("CDOs") and other [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | 90.90% | [1] | 58.60% | [1] |
Prepayment rates | 20.00% | [1] | 15.00% | [1] |
Default probabilities | 65.00% | [1] | 5.00% | [1] |
Loss severities | 100.00% | [1] | 75.00% | [1] |
Collateralized debt obligations ("CDOs") and other [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | 11.10% | [2] | 17.10% | [2] |
Prepayment rates | 18.50% | [2] | 13.80% | [2] |
Default probabilities | 3.20% | [2] | 2.10% | [2] |
Loss severities | 47.90% | [2] | 45.60% | [2] |
Investment trust funds and other [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 0.00% | [1] | 0.00% | [1] |
Correlations | 0.5 | [1] | 0.5 | [1] |
Investment trust funds and other [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 3.50% | [1] | 6.50% | [1] |
Correlations | 0.71 | [1] | 0.7 | [1] |
Investment trust funds and other [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 0.10% | [2] | 0.60% | [2] |
Correlations | 0.61 | [2] | 0.6 | [2] |
Short-term borrowings [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | 15.30% | [1] | ' | |
Correlations | -0.78 | [1] | ' | |
Short-term borrowings [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | 55.50% | [1] | ' | |
Correlations | 0.94 | [1] | ' | |
Short-term borrowings [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | ' | ' | ||
Correlations | ' | ' | ||
Long-term borrowings [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | 10.60% | [1] | 13.50% | [1] |
Correlations | -0.78 | [1] | -0.77 | [1] |
Long-term borrowings [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | 55.50% | [1] | 118.10% | [1] |
Correlations | 0.99 | [1] | 0.99 | [1] |
Long-term borrowings [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Volatilities | ' | ' | ||
Correlations | ' | ' | ||
Loans and receivables [Member] | DCF [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 0.00% | [1] | 3.00% | [1] |
Loans and receivables [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 0.00% | [2] | 3.00% | [2] |
Non-trading debt securities [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 0.10% | [1] | 0.20% | [1] |
Non-trading debt securities [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 2.50% | [1] | 2.50% | [1] |
Non-trading debt securities [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Credit spreads | 0.80% | [2] | 1.70% | [2] |
Other [Member] | DCF [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | ' | 7.60% | [1],[3] | |
WACC | 6.10% | [1],[3] | ' | |
Growth rates | 1.00% | [1],[3] | ' | |
Other [Member] | DCF [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
WACC | ' | 6.80% | [1],[3] | |
Growth rates | ' | 0.00% | [1],[3] | |
Liquidity discounts | 0.00% | [1],[3] | 0.00% | [1],[3] |
Other [Member] | DCF [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
WACC | ' | 6.80% | [1],[3] | |
Growth rates | ' | 1.00% | [1],[3] | |
Liquidity discounts | 30.00% | [1],[3] | 30.00% | [1],[3] |
Other [Member] | DCF [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Yields | ' | 7.60% | [2],[3] | |
WACC | 6.10% | [2],[3] | 6.80% | [2],[3] |
Growth rates | 1.00% | [2],[3] | 0.90% | [2],[3] |
Liquidity discounts | 12.70% | [2],[3] | 8.00% | [2],[3] |
Other [Member] | Market multiples [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
Liquidity discounts | 30.00% | [1],[3] | ' | |
Other [Member] | Market multiples [Member] | Minimum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
EV/EBITDA ratios | 3.6 | [1],[3] | 6.9 | [1],[3] |
PE ratios | 9.6 | [1],[3] | 7.7 | [1],[3] |
Price/Book ratios | 0 | [1],[3] | 0 | [1],[3] |
Liquidity discounts | ' | 25.00% | [1],[3] | |
Other [Member] | Market multiples [Member] | Maximum [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
EV/EBITDA ratios | 8.3 | [1],[3] | 12.5 | [1],[3] |
PE ratios | 60.1 | [1],[3] | 44.4 | [1],[3] |
Price/Book ratios | 5.3 | [1],[3] | 5.6 | [1],[3] |
Liquidity discounts | ' | 30.00% | [1],[3] | |
Other [Member] | Market multiples [Member] | Weighted average [Member] | ' | ' | ||
Significant unobservable inputs | ' | ' | ||
EV/EBITDA ratios | 4.9 | [2],[3] | 9.9 | [2],[3] |
PE ratios | 24 | [2],[3] | 25.8 | [2],[3] |
Price/Book ratios | 1 | [2],[3] | 1.7 | [2],[3] |
Liquidity discounts | 30.00% | [2],[3] | 29.80% | [2],[3] |
Fair Value Inputs Level 3 [Member] | ' | ' | ||
Assets: | ' | ' | ||
Loans and receivables | 26,000,000,000 | [4] | 3,000,000,000 | [4] |
Other assets | ' | ' | ||
Non-trading debt securities | 3,000,000,000 | 4,000,000,000 | ||
Other | 56,000,000,000 | [3],[5] | 60,000,000,000 | [3],[5] |
Liabilities: | ' | ' | ||
Short-term borrowings | 3,000,000,000 | [6] | 4,000,000,000 | [6] |
Long-term borrowings | 394,000,000,000 | [6],[7],[8] | 222,000,000,000 | [6],[7],[8] |
Fair Value Inputs Level 3 [Member] | Trading assets and private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 301,000,000,000 | 479,000,000,000 | ||
Fair Value Inputs Level 3 [Member] | Trading assets and private equity investments [Member] | Equities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 68,000,000,000 | [5],[9] | 129,000,000,000 | [5],[9] |
Fair Value Inputs Level 3 [Member] | Trading assets and private equity investments [Member] | Private equity investments [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 42,000,000,000 | [5],[9] | 87,000,000,000 | [5],[9] |
Fair Value Inputs Level 3 [Member] | Trading assets and private equity investments [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 26,000,000,000 | [9] | 91,000,000,000 | [9] |
Fair Value Inputs Level 3 [Member] | Trading assets and private equity investments [Member] | Bank and corporate debt securities and loans for trading purposes [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 116,000,000,000 | [9] | 69,000,000,000 | [9] |
Fair Value Inputs Level 3 [Member] | Trading assets and private equity investments [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 3,000,000,000 | [9] | 6,000,000,000 | [9] |
Fair Value Inputs Level 3 [Member] | Trading assets and private equity investments [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 3,000,000,000 | [9] | 4,000,000,000 | [9] |
Fair Value Inputs Level 3 [Member] | Trading assets and private equity investments [Member] | Real estate-backed securities [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 0 | [9] | 68,000,000,000 | [9] |
Fair Value Inputs Level 3 [Member] | Trading assets and private equity investments [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 13,000,000,000 | [10],[9] | 12,000,000,000 | [10],[9] |
Fair Value Inputs Level 3 [Member] | Trading assets and private equity investments [Member] | Investment trust funds and other [Member] | ' | ' | ||
Assets: | ' | ' | ||
Trading assets and private equity investments | 30,000,000,000 | [9] | 13,000,000,000 | [9] |
Fair Value Inputs Level 3 [Member] | Derivatives, net [Member] | Equity contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivatives, net | 11,000,000,000 | 5,000,000,000 | ||
Fair Value Inputs Level 3 [Member] | Derivatives, net [Member] | Interest rate contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivatives, net | -39,000,000,000 | -54,000,000,000 | ||
Fair Value Inputs Level 3 [Member] | Derivatives, net [Member] | Credit contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivatives, net | 5,000,000,000 | 25,000,000,000 | ||
Fair Value Inputs Level 3 [Member] | Derivatives, net [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Assets: | ' | ' | ||
Derivatives, net | 5,000,000,000 | -3,000,000,000 | ||
[1] | Range information is provided in percentages, coefficients and multiples and represents the highest and lowest level significant unobservable valuation input used to value that type of financial instrument. A wide dispersion in the range does not necessarily reflect increased uncertainty or subjectivity in the valuation input and is typically just a consequence of the different characteristics of the financial instruments themselves. | |||
[2] | Weighted average information for non-derivative instruments is calculated by weighting each valuation input by the fair value of the financial instrument. | |||
[3] | Valuation technique(s) and unobservable inputs represent those equity securities reported within Other assets. | |||
[4] | Includes loans for which the fair value option is elected. | |||
[5] | Includes equity investments that would have been accounted for under the equity method had Nomura not chosen to elect the fair value option. | |||
[6] | Includes structured notes for which the fair value option is elected. | |||
[7] | Includes embedded derivatives bifurcated from issued structured notes. If unrealized gains are greater than unrealized losses, borrowings are reduced by the excess amount. | |||
[8] | Includes liabilities recognized from secured financing transactions that are accounted for as financings rather than sales. Nomura elected the fair value option for these liabilities. | |||
[9] | Includes investments in certain funds measured at fair value on the basis of NAV per share as a practical expedient. | |||
[10] | Includes collateralized loan obligations ("CLOs") and asset-backed securities ("ABS") such as those secured on credit card loans, auto loans and student loans. |
Fair_value_measurements_Increa
Fair value measurements - Increases and Decreases of Level 3 Assets and Liabilities Measured at Fair Value on Recurring Basis Unrealized and Realized Gain/Losses Included in Revenue (Detail) (JPY ¥) | 12 Months Ended | |||
In Billions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | ¥ 519 | ¥ 640 | ||
Total gains (losses) recognized in net revenue, Assets | 24 | [1] | 44 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | 0 | 0 | ||
Purchases/ issues, Assets | 830 | [2] | 1,061 | [2] |
Sales/ redemptions, Assets | -944 | [2] | -1,302 | [2] |
Settlements, Assets | 14 | 1 | ||
Foreign exchange movements, Assets | 21 | 32 | ||
Transfers into Level 3, Assets | 75 | [3] | 154 | [3] |
Transfers out of Level 3, Assets | -171 | [3] | -111 | [3] |
Assets, ending balance | 368 | 519 | ||
Liabilities [Abstract] | ' | ' | ||
Liabilities beginning balance | 227 | -12 | ||
Total gains (losses) recognized in net revenue, Liabilities | -29 | -156 | [1] | |
Total gains (losses) recognized in other comprehensive income, Liabilities | ' | ' | ||
Purchases/ issues, Liabilities | 429 | [2] | 114 | [2] |
Sales/ redemptions, Liabilities | -264 | [2] | -84 | [2] |
Settlements, Liabilities | ' | ' | ||
Foreign exchange movements, Liabilities | 3 | 3 | ||
Transfers into Level 3, liabilities | 43 | [3] | 111 | |
Transfers out of Level 3, Liabilities | -69 | -61 | [3] | |
Liabilities ending balance | 398 | 227 | ||
Equities [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Transfers into Level 3, Assets | 7 | 6 | ||
Transfers out of Level 3, Assets | ' | -25 | ||
Private equity investments [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Transfers out of Level 3, Assets | -40 | ' | ||
Foreign government, agency and municipal securities [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Transfers into Level 3, Assets | 8 | 62 | ||
Transfers out of Level 3, Assets | -70 | -44 | ||
Bank and corporate debt securities and loans for trading purposes [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Transfers into Level 3, Assets | 32 | 69 | ||
Transfers out of Level 3, Assets | -47 | -35 | ||
Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Transfers out of Level 3, Assets | ' | -6 | ||
Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Transfers into Level 3, Assets | 6 | ' | ||
Transfers out of Level 3, Assets | -7 | -5 | ||
Trading liabilities [Member] | ' | ' | ||
Liabilities [Abstract] | ' | ' | ||
Liabilities beginning balance | 0 | 1 | ||
Total gains (losses) recognized in net revenue, Liabilities | 0 | [1] | 0 | [1] |
Total gains (losses) recognized in other comprehensive income, Liabilities | ' | ' | ||
Purchases/ issues, Liabilities | 1 | [2] | 0 | [2] |
Sales/ redemptions, Liabilities | 0 | [2] | -1 | [2] |
Settlements, Liabilities | ' | ' | ||
Foreign exchange movements, Liabilities | 0 | 0 | ||
Transfers into Level 3, liabilities | 0 | [3] | 0 | [3] |
Transfers out of Level 3, Liabilities | 0 | [3] | 0 | [3] |
Liabilities ending balance | 1 | 0 | ||
Trading liabilities [Member] | Equities [Member] | ' | ' | ||
Liabilities [Abstract] | ' | ' | ||
Liabilities beginning balance | 0 | 0 | ||
Total gains (losses) recognized in net revenue, Liabilities | 0 | [1] | 0 | [1] |
Total gains (losses) recognized in other comprehensive income, Liabilities | ' | ' | ||
Purchases/ issues, Liabilities | 1 | [2] | 0 | [2] |
Sales/ redemptions, Liabilities | 0 | [2] | 0 | [2] |
Settlements, Liabilities | ' | ' | ||
Foreign exchange movements, Liabilities | 0 | 0 | ||
Transfers into Level 3, liabilities | 0 | [3] | 0 | [3] |
Transfers out of Level 3, Liabilities | 0 | [3] | ' | |
Liabilities ending balance | 1 | 0 | ||
Trading liabilities [Member] | Bank and corporate debt securities [Member] | ' | ' | ||
Liabilities [Abstract] | ' | ' | ||
Liabilities beginning balance | 0 | 1 | ||
Total gains (losses) recognized in net revenue, Liabilities | 0 | [1] | 0 | [1] |
Total gains (losses) recognized in other comprehensive income, Liabilities | ' | ' | ||
Purchases/ issues, Liabilities | 0 | [2] | 0 | [2] |
Sales/ redemptions, Liabilities | 0 | [2] | -1 | [2] |
Settlements, Liabilities | ' | ' | ||
Foreign exchange movements, Liabilities | 0 | 0 | ||
Transfers into Level 3, liabilities | 0 | [3] | ' | |
Transfers out of Level 3, Liabilities | 0 | [3] | 0 | [3] |
Liabilities ending balance | 0 | 0 | ||
Short-term borrowings [Member] | ' | ' | ||
Liabilities [Abstract] | ' | ' | ||
Liabilities beginning balance | 4 | 0 | ||
Total gains (losses) recognized in net revenue, Liabilities | 0 | [1] | 0 | [1] |
Total gains (losses) recognized in other comprehensive income, Liabilities | ' | ' | ||
Purchases/ issues, Liabilities | 3 | [2] | 6 | [2] |
Sales/ redemptions, Liabilities | -3 | [2] | -1 | [2] |
Settlements, Liabilities | ' | ' | ||
Foreign exchange movements, Liabilities | ' | ' | ||
Transfers into Level 3, liabilities | 1 | [3] | 1 | [3] |
Transfers out of Level 3, Liabilities | -2 | [3] | -2 | [3] |
Liabilities ending balance | 3 | 4 | ||
Payables and deposits [Member] | ' | ' | ||
Liabilities [Abstract] | ' | ' | ||
Liabilities beginning balance | 1 | 0 | ||
Total gains (losses) recognized in net revenue, Liabilities | 0 | [1] | -1 | [1] |
Total gains (losses) recognized in other comprehensive income, Liabilities | ' | ' | ||
Purchases/ issues, Liabilities | 0 | [2] | 0 | [2] |
Sales/ redemptions, Liabilities | -1 | [2] | 0 | [2] |
Settlements, Liabilities | ' | ' | ||
Foreign exchange movements, Liabilities | ' | ' | ||
Transfers into Level 3, liabilities | ' | ' | ||
Transfers out of Level 3, Liabilities | 0 | [3] | ' | |
Liabilities ending balance | 0 | 1 | ||
Long-term borrowings [Member] | ' | ' | ||
Liabilities [Abstract] | ' | ' | ||
Liabilities beginning balance | 222 | -13 | ||
Total gains (losses) recognized in net revenue, Liabilities | -29 | [1] | -155 | [1] |
Total gains (losses) recognized in other comprehensive income, Liabilities | ' | ' | ||
Purchases/ issues, Liabilities | 424 | [2] | 108 | [2] |
Sales/ redemptions, Liabilities | -259 | [2] | -82 | [2] |
Settlements, Liabilities | ' | ' | ||
Foreign exchange movements, Liabilities | 3 | 3 | ||
Transfers into Level 3, liabilities | 42 | [3] | 110 | [3] |
Transfers out of Level 3, Liabilities | -67 | [3] | -59 | [3] |
Liabilities ending balance | 394 | 222 | ||
Other liabilities [Member] | ' | ' | ||
Liabilities [Abstract] | ' | ' | ||
Liabilities beginning balance | 0 | ' | ||
Total gains (losses) recognized in net revenue, Liabilities | ' | 0 | [1] | |
Total gains (losses) recognized in other comprehensive income, Liabilities | ' | ' | ||
Purchases/ issues, Liabilities | 1 | [2] | 0 | [2] |
Sales/ redemptions, Liabilities | -1 | [2] | 0 | [2] |
Settlements, Liabilities | ' | ' | ||
Foreign exchange movements, Liabilities | 0 | 0 | ||
Transfers into Level 3, liabilities | ' | ' | ||
Transfers out of Level 3, Liabilities | ' | 0 | [3] | |
Liabilities ending balance | ' | 0 | ||
Trading assets and private equity investments [Member] | Equities [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 129 | 125 | ||
Total gains (losses) recognized in net revenue, Assets | 11 | [1] | 2 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 21 | [2] | 38 | [2] |
Sales/ redemptions, Assets | -105 | [2] | -22 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 6 | 5 | ||
Transfers into Level 3, Assets | 7 | [3] | 6 | [3] |
Transfers out of Level 3, Assets | -1 | [3] | -25 | [3] |
Assets, ending balance | 68 | 129 | ||
Trading assets and private equity investments [Member] | Private equity investments [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 87 | 202 | ||
Total gains (losses) recognized in net revenue, Assets | -1 | [1] | 9 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 1 | [2] | 4 | [2] |
Sales/ redemptions, Assets | -11 | [2] | -137 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 6 | 9 | ||
Transfers into Level 3, Assets | ' | ' | ||
Transfers out of Level 3, Assets | -40 | [3] | ' | |
Assets, ending balance | 42 | 87 | ||
Trading assets and private equity investments [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 0 | 10 | ||
Total gains (losses) recognized in net revenue, Assets | ' | 0 | [1] | |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | ' | 1 | [2] | |
Sales/ redemptions, Assets | ' | -11 | [2] | |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | ' | ' | ||
Transfers into Level 3, Assets | ' | 0 | [3] | |
Transfers out of Level 3, Assets | 0 | [3] | 0 | [3] |
Assets, ending balance | ' | 0 | ||
Trading assets and private equity investments [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 91 | 37 | ||
Total gains (losses) recognized in net revenue, Assets | 21 | [1] | 39 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 516 | [2] | 728 | [2] |
Sales/ redemptions, Assets | -540 | [2] | -731 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | ' | 0 | ||
Transfers into Level 3, Assets | 8 | [3] | 62 | [3] |
Transfers out of Level 3, Assets | -70 | [3] | -44 | [3] |
Assets, ending balance | 26 | 91 | ||
Trading assets and private equity investments [Member] | Bank and corporate debt securities and loans for trading purposes [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 69 | 62 | ||
Total gains (losses) recognized in net revenue, Assets | 5 | [1] | 7 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 221 | [2] | 245 | [2] |
Sales/ redemptions, Assets | -167 | [2] | -286 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 3 | 7 | ||
Transfers into Level 3, Assets | 32 | [3] | 69 | [3] |
Transfers out of Level 3, Assets | -47 | [3] | -35 | [3] |
Assets, ending balance | 116 | 69 | ||
Trading assets and private equity investments [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 6 | 8 | ||
Total gains (losses) recognized in net revenue, Assets | 0 | [1] | 3 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 7 | [2] | 11 | [2] |
Sales/ redemptions, Assets | -11 | [2] | -15 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 0 | 1 | ||
Transfers into Level 3, Assets | 2 | [3] | 4 | [3] |
Transfers out of Level 3, Assets | -1 | [3] | -6 | [3] |
Assets, ending balance | 3 | 6 | ||
Trading assets and private equity investments [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 4 | 5 | ||
Total gains (losses) recognized in net revenue, Assets | 0 | [1] | 1 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 1 | [2] | 19 | [2] |
Sales/ redemptions, Assets | -3 | [2] | -20 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 0 | 0 | ||
Transfers into Level 3, Assets | 3 | [3] | 2 | [3] |
Transfers out of Level 3, Assets | -2 | [3] | -3 | [3] |
Assets, ending balance | 3 | 4 | ||
Trading assets and private equity investments [Member] | Real estate-backed securities [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 68 | 91 | ||
Total gains (losses) recognized in net revenue, Assets | 1 | [1] | 2 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 0 | [2] | 1 | [2] |
Sales/ redemptions, Assets | -69 | [2] | -26 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 0 | 0 | ||
Transfers into Level 3, Assets | ' | ' | ||
Transfers out of Level 3, Assets | ' | ' | ||
Assets, ending balance | 0 | 68 | ||
Trading assets and private equity investments [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 12 | 20 | ||
Total gains (losses) recognized in net revenue, Assets | -1 | [1] | -1 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 23 | [2] | 11 | [2] |
Sales/ redemptions, Assets | -21 | [2] | -17 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 1 | 1 | ||
Transfers into Level 3, Assets | 6 | [3] | 3 | [3] |
Transfers out of Level 3, Assets | -7 | [3] | -5 | [3] |
Assets, ending balance | 13 | 12 | ||
Trading assets and private equity investments [Member] | Investment trust funds and other [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 13 | 9 | ||
Total gains (losses) recognized in net revenue, Assets | 0 | [1] | 2 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 24 | [2] | 2 | [2] |
Sales/ redemptions, Assets | -6 | [2] | 0 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 0 | 0 | ||
Transfers into Level 3, Assets | ' | 0 | [3] | |
Transfers out of Level 3, Assets | -1 | [3] | 0 | [3] |
Assets, ending balance | 30 | 13 | ||
Trading assets and private equity investments [Member] | Total trading assets and private equity investments [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 479 | 569 | ||
Total gains (losses) recognized in net revenue, Assets | 36 | [1] | 64 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 814 | [2] | 1,060 | [2] |
Sales/ redemptions, Assets | -933 | [2] | -1,265 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 16 | 23 | ||
Transfers into Level 3, Assets | 58 | [3] | 146 | [3] |
Transfers out of Level 3, Assets | -169 | [3] | -118 | [3] |
Assets, ending balance | 301 | 479 | ||
Derivatives, net [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | -27 | -18 | ||
Total gains (losses) recognized in net revenue, Assets | -15 | [1] | -41 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | ' | ' | ||
Sales/ redemptions, Assets | ' | ' | ||
Settlements, Assets | 14 | 1 | ||
Foreign exchange movements, Assets | 4 | 8 | ||
Transfers into Level 3, Assets | -3 | [3] | 8 | [3] |
Transfers out of Level 3, Assets | 9 | [3] | 15 | [3] |
Assets, ending balance | -18 | -27 | ||
Derivatives, net [Member] | Equity contracts [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 5 | [4] | 14 | [4] |
Total gains (losses) recognized in net revenue, Assets | -8 | [1],[4] | -9 | [1],[4] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | ' | ' | ||
Sales/ redemptions, Assets | ' | ' | ||
Settlements, Assets | -2 | [4] | -11 | [4] |
Foreign exchange movements, Assets | 2 | [4] | 4 | [4] |
Transfers into Level 3, Assets | 7 | [3],[4] | -1 | [3],[4] |
Transfers out of Level 3, Assets | 7 | [3],[4] | 8 | [3],[4] |
Assets, ending balance | 11 | [4] | 5 | [4] |
Derivatives, net [Member] | Interest rate contracts [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | -54 | [4] | -39 | [4] |
Total gains (losses) recognized in net revenue, Assets | -1 | [1],[4] | -15 | [1],[4] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | ' | ' | ||
Sales/ redemptions, Assets | ' | ' | ||
Settlements, Assets | 19 | [4] | -1 | [4] |
Foreign exchange movements, Assets | -1 | [4] | -1 | [4] |
Transfers into Level 3, Assets | -6 | [3],[4] | 0 | [3],[4] |
Transfers out of Level 3, Assets | 4 | [3],[4] | 2 | [3],[4] |
Assets, ending balance | -39 | [4] | -54 | [4] |
Derivatives, net [Member] | Credit contracts [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 25 | [4] | -11 | [4] |
Total gains (losses) recognized in net revenue, Assets | -5 | [1],[4] | -16 | [1],[4] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | ' | ' | ||
Sales/ redemptions, Assets | ' | ' | ||
Settlements, Assets | -16 | [4] | 12 | [4] |
Foreign exchange movements, Assets | 3 | [4] | 6 | [4] |
Transfers into Level 3, Assets | 0 | [3],[4] | 15 | [3],[4] |
Transfers out of Level 3, Assets | -2 | [3],[4] | 19 | [3],[4] |
Assets, ending balance | 5 | [4] | 25 | [4] |
Derivatives, net [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | -3 | [4] | 18 | [4] |
Total gains (losses) recognized in net revenue, Assets | -1 | [1],[4] | -1 | [1],[4] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | ' | ' | ||
Sales/ redemptions, Assets | ' | ' | ||
Settlements, Assets | 13 | [4] | 1 | [4] |
Foreign exchange movements, Assets | 0 | [4] | -1 | [4] |
Transfers into Level 3, Assets | -4 | [3],[4] | -6 | [3],[4] |
Transfers out of Level 3, Assets | 0 | [3],[4] | -14 | [3],[4] |
Assets, ending balance | 5 | [4] | -3 | [4] |
Derivatives, net [Member] | Commodity contracts [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 0 | [4] | 0 | [4] |
Total gains (losses) recognized in net revenue, Assets | 0 | [1],[4] | 0 | [1],[4] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | ' | ' | ||
Sales/ redemptions, Assets | ' | ' | ||
Settlements, Assets | 0 | [4] | 0 | [4] |
Foreign exchange movements, Assets | 0 | [4] | 0 | [4] |
Transfers into Level 3, Assets | 0 | [3],[4] | 0 | [3],[4] |
Transfers out of Level 3, Assets | ' | 0 | [3],[4] | |
Assets, ending balance | 0 | [4] | 0 | [4] |
Subtotal Assets [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 452 | 551 | ||
Total gains (losses) recognized in net revenue, Assets | 21 | [1] | 23 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 814 | [2] | 1,060 | [2] |
Sales/ redemptions, Assets | -933 | [2] | -1,265 | [2] |
Settlements, Assets | 14 | 1 | ||
Foreign exchange movements, Assets | 20 | 31 | ||
Transfers into Level 3, Assets | 55 | [3] | 154 | [3] |
Transfers out of Level 3, Assets | -160 | [3] | -103 | [3] |
Assets, ending balance | 283 | 452 | ||
Loans and receivables [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 3 | 11 | ||
Total gains (losses) recognized in net revenue, Assets | 0 | [1] | 0 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | ' | ' | ||
Purchases/ issues, Assets | 13 | [2] | 0 | [2] |
Sales/ redemptions, Assets | -2 | [2] | -3 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 1 | 1 | ||
Transfers into Level 3, Assets | 20 | [3] | ' | |
Transfers out of Level 3, Assets | -9 | [3] | -6 | [3] |
Assets, ending balance | 26 | 3 | ||
Non-trading debt securities [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 4 | 6 | ||
Total gains (losses) recognized in net revenue, Assets | -1 | [1] | 0 | [1] |
Total gains (losses) recognized in other comprehensive income, Assets | 0 | 0 | ||
Purchases/ issues, Assets | ' | 0 | [2] | |
Sales/ redemptions, Assets | 0 | [2] | -2 | [2] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 0 | 0 | ||
Transfers into Level 3, Assets | ' | ' | ||
Transfers out of Level 3, Assets | ' | ' | ||
Assets, ending balance | 3 | 4 | ||
Other [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Assets, beginning balance | 60 | 72 | [5] | |
Total gains (losses) recognized in net revenue, Assets | 4 | [1] | 21 | [1],[5] |
Total gains (losses) recognized in other comprehensive income, Assets | 0 | 0 | [5] | |
Purchases/ issues, Assets | 3 | [2] | 1 | [2],[5] |
Sales/ redemptions, Assets | -9 | [2] | -32 | [2],[5] |
Settlements, Assets | ' | ' | ||
Foreign exchange movements, Assets | 0 | 0 | [5] | |
Transfers into Level 3, Assets | ' | 0 | [3],[5] | |
Transfers out of Level 3, Assets | -2 | [3] | -2 | [3],[5] |
Assets, ending balance | ¥ 56 | ¥ 60 | ||
[1] | Includes gains and losses reported primarily within Net gain on trading, Gain (loss) on private equity investments, and also within Gain (loss) on investments in equity securities, Revenue-Other and Non-interest expenses-Other, Interest and dividends and Interest expense in the consolidated statements of income. | |||
[2] | Amounts reported in Purchases / issues include increases in trading liabilities while Sales / redemptions include decreases in trading liabilities. | |||
[3] | If financial instruments move from Level 3 to another Level or move from another Level to Level 3, the amount reported in Transfers into Level 3 and Transfers out of Level 3 are the fair value as of the beginning of the quarter during which the movement occurs. Therefore if financial instruments move from another Level to Level 3, all gains/ (losses) during the quarter are included in the table and if financial instruments move from Level 3 to another Level, all gains/ (losses) during the year are excluded from the table. | |||
[4] | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rate contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayments rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government debt securities. | |||
[5] | Includes the impact of the refined fair value measurement of certain investments in unlisted equity securities. |
Fair_value_measurements_Fair_V1
Fair value measurements - Fair Value, Level 3 Assets and liabilities Measured on Recurring Basis, Unrealized Gains (Losses) (Detail) (JPY ¥) | 12 Months Ended | |||
In Billions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | ¥ 24 | [1] | ¥ 59 | [1] |
Unrealized gains / (losses), Liabilities | -33 | [1] | -164 | [1] |
Trading liabilities [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Liabilities | 0 | [1] | 0 | [1] |
Trading liabilities [Member] | Equities [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Liabilities | ' | 0 | [1] | |
Trading liabilities [Member] | Bank and corporate debt securities [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Liabilities | 0 | [1] | ' | |
Total trading liabilities [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Liabilities | 0 | [1] | 0 | |
Short-term borrowings [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Liabilities | 0 | [1] | -1 | [1] |
Payables and deposits [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Liabilities | 0 | [1] | -1 | [1] |
Long-term borrowings [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Liabilities | -33 | [1] | -162 | [1] |
Other liabilities [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Liabilities | ' | 0 | [1] | |
Trading assets and private equity investments [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 1 | [1] | -4 | [1] |
Trading assets and private equity investments [Member] | Equities [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 7 | [1] | 1 | [1] |
Trading assets and private equity investments [Member] | Private equity investments [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | -6 | [1] | -10 | [1] |
Trading assets and private equity investments [Member] | Japanese agency and municipal securities [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 0 | [1] | 0 | [1] |
Trading assets and private equity investments [Member] | Foreign government, agency and municipal securities [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | -1 | [1] | 2 | [1] |
Trading assets and private equity investments [Member] | Bank and corporate debt securities and loans for trading purposes [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 0 | [1] | 0 | [1] |
Trading assets and private equity investments [Member] | Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 1 | [1] | 1 | [1] |
Trading assets and private equity investments [Member] | Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 0 | [1] | 0 | [1] |
Trading assets and private equity investments [Member] | Real estate-backed securities [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 0 | [1] | 0 | [1] |
Trading assets and private equity investments [Member] | Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 0 | [1] | 0 | [1] |
Trading assets and private equity investments [Member] | Investment trust funds and other [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 0 | [1] | 2 | [1] |
Derivatives, net [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 23 | [1] | 39 | [1] |
Derivatives, net [Member] | Equity contracts [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 22 | [1],[2] | 7 | [1],[2] |
Derivatives, net [Member] | Interest rate contracts [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | -1 | [1],[2] | 24 | [1],[2] |
Derivatives, net [Member] | Credit contracts [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 2 | [1],[2] | 12 | [1],[2] |
Derivatives, net [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 0 | [1],[2] | -4 | [1],[2] |
Derivatives, net [Member] | Commodity contracts [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 0 | [1],[2] | 0 | [1],[2] |
Subtotal Assets [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 24 | [1] | 35 | [1] |
Loans and receivables [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | -1 | [1] | 0 | [1] |
Non-trading debt securities [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | 0 | [1] | 0 | [1] |
Other [Member] | ' | ' | ||
Fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation [Line items] | ' | ' | ||
Unrealized gains / (losses), Assets | ¥ 1 | [1],[3] | ¥ 24 | [1],[3] |
[1] | Includes gains and losses reported primarily within Net gain on trading, Gain (loss) on private equity investments, and also within Gain (loss) on investments in equity securities, Revenue-Other and Non-interest expenses-Other, Interest and dividends and Interest expense in the consolidated statements of income. | |||
[2] | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rate contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government debt securities. | |||
[3] | Includes the impact of the refined fair value measurements of certain investments in unlisted equity securities. |
Fair_value_measurements_Inform
Fair value measurements - Information on Investments Where Net Asset Value Per Share is Calculated (Detail) (JPY ¥) | 12 Months Ended | |||
In Billions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ||
Fair value | ¥ 115 | [1] | ¥ 138 | [1] |
Unfunded commitments | 18 | [2] | 24 | [2] |
Hedge funds [Member] | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ||
Fair value | 66 | [1] | 68 | [1] |
Unfunded commitments | 0 | [2] | 16 | [2] |
Redemption frequency (if currently eligible) | 'Monthly | [3] | 'Monthly | [3] |
Redemption notice period | 'Same day-95 days | [4] | 'Same day-95 days | [4] |
Venture capital funds [Member] | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ||
Fair value | 4 | [1] | 4 | [1] |
Unfunded commitments | 1 | [2] | 1 | [2] |
Redemption frequency (if currently eligible) | ' | ' | ||
Redemption notice period | ' | ' | ||
Private equity funds [Member] | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ||
Fair value | 42 | [1] | 63 | [1] |
Unfunded commitments | 17 | [2] | 7 | [2] |
Redemption frequency (if currently eligible) | 'Quarterly | [3] | 'Quarterly | [3] |
Redemption notice period | '30 days | [4] | '30 days | [4] |
Real estate funds [Member] | ' | ' | ||
Fair value, balance sheet grouping, financial statement captions [Line Items] | ' | ' | ||
Fair value | 3 | [1] | 3 | [1] |
Unfunded commitments | ' | ' | ||
Redemption frequency (if currently eligible) | ' | ' | ||
Redemption notice period | ' | ' | ||
[1] | Fair value generally determined using NAV per share as a practical expedient. | |||
[2] | The contractual amount of any unfunded commitments Nomura is required to make to the entities in which the investment is held. | |||
[3] | The range in frequency with which Nomura can redeem investments. | |||
[4] | The range in notice period required to be provided before redemption is possible. |
Fair_value_measurements_Gains_
Fair value measurements - Gains (Losses) Due to Changes in Fair Value for Financial Instruments Measured at Fair Value Using Fair Value Option (Detail) (JPY ¥) | 12 Months Ended | |||||
In Billions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Short-term borrowings [Member] | ' | ' | ' | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | ' | ' | ' | |||
Gains/(Losses) | ¥ 0 | [1],[2] | ¥ (4) | [1],[2] | ¥ (14) | [1],[2] |
Collateralized financing [Member] | ' | ' | ' | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | ' | ' | ' | |||
Gains/(Losses) | -3 | [1],[3] | -1 | [1],[3] | -1 | [1],[3] |
Long-term borrowings [Member] | ' | ' | ' | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | ' | ' | ' | |||
Gains/(Losses) | 11 | [1],[2],[4] | -51 | [1],[2],[4] | -11 | [1],[2],[4] |
Other liabilities [Member] | ' | ' | ' | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | ' | ' | ' | |||
Gains/(Losses) | 0 | [1],[5] | 0 | [1],[5] | 0 | [1],[5] |
Total | ' | ' | ' | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | ' | ' | ' | |||
Gains/(Losses) | 8 | [1] | -56 | [1] | -26 | [1] |
Trading Assets And Private Equity Investments [Member] | Trading assets [Member] | ' | ' | ' | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | ' | ' | ' | |||
Gains/(Losses) | 0 | [1],[6] | 2 | [1],[6] | 0 | [1],[6] |
Trading Assets And Private Equity Investments [Member] | Private equity investments [Member] | ' | ' | ' | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | ' | ' | ' | |||
Gains/(Losses) | 0 | [1],[6] | -10 | [1],[6] | -12 | [1],[6] |
Loans and receivables [Member] | ' | ' | ' | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | ' | ' | ' | |||
Gains/(Losses) | 3 | [1] | 19 | [1] | -6 | [1] |
Collateralized agreements [Member] | ' | ' | ' | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | ' | ' | ' | |||
Gains/(Losses) | 4 | [1],[3] | 0 | [1],[3] | 10 | [1],[3] |
Other assets [Member] | ' | ' | ' | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | ' | ' | ' | |||
Gains/(Losses) | 17 | [1],[6] | 1 | [1],[6] | 0 | [1],[6] |
Total | ' | ' | ' | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | ' | ' | ' | |||
Gains/(Losses) | ¥ 24 | [1] | ¥ 12 | [1] | ¥ (8) | [1] |
[1] | Includes gains and losses reported primarily within Net gain on trading and Gain (loss) on private equity investments in the consolidated statements of income. As of March 31, 2014, gains of \5 billion included in Other assets are reported in Revenue-Other in the consolidated statements of income. | |||||
[2] | Includes structured notes and other financial liabilities. | |||||
[3] | Includes reverse repurchase and repurchase agreements. | |||||
[4] | Includes secured financing transactions arising from transfers of financial assets which did not meet the criteria for sales accounting. | |||||
[5] | Includes loan commitments. | |||||
[6] | Includes equity investments that would have been accounted for under the equity method had Nomura not chosen to elect the fair value option. |
Fair_value_measurements_Gains_1
Fair value measurements - Gains (Losses) Due to Changes in Fair Value for Financial Instruments Measured at Fair Value Using Fair Value Option (Parenthetical) (Detail) (JPY ¥) | 12 Months Ended |
In Billions, unless otherwise specified | Mar. 31, 2014 |
Fair value measurements | ' |
Gains in Revenue-Other, including in Other assets | ¥ 5 |
Fair_value_measurements_Geogra
Fair value measurements - Geographic Allocations of Nomura's Trading Assets Related to Government, State, Municipal, and Government Agency Securities (Detail) (Government, agency and municipal securities [Member], JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Billions, unless otherwise specified | ||||
Fair value, concentration of credit risk [Line items] | ' | ' | ||
Trading assets | ¥ 8,798 | [1] | ¥ 8,534 | [1] |
Japan [Member] | ' | ' | ||
Fair value, concentration of credit risk [Line items] | ' | ' | ||
Trading assets | 2,779 | 3,403 | ||
U.S. [Member] | ' | ' | ||
Fair value, concentration of credit risk [Line items] | ' | ' | ||
Trading assets | 1,666 | 1,313 | ||
EU [Member] | ' | ' | ||
Fair value, concentration of credit risk [Line items] | ' | ' | ||
Trading assets | 3,968 | 3,262 | ||
Other [Member] | ' | ' | ||
Fair value, concentration of credit risk [Line items] | ' | ' | ||
Trading assets | ¥ 385 | ¥ 556 | ||
[1] | Other than above, there were \715 billion and \756 billion of government, agency and municipal securities in Other assets-Non-trading debt securities as of March 31, 2013 and 2014, respectively. These securities are primarily Japanese government, agency and municipal securities. |
Fair_value_measurements_Geogra1
Fair value measurements - Geographic Allocations of Nomura's Trading Assets Related to Government, State, Municipal, and Government Agency Securities (Parenthetical) (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Millions, unless otherwise specified | ||
Fair value, concentration of credit risk [Line items] | ' | ' |
Non-trading debt securities | ¥ 1,023,746 | ¥ 920,611 |
Government, agency and municipal securities [Member] | ' | ' |
Fair value, concentration of credit risk [Line items] | ' | ' |
Non-trading debt securities | ¥ 756,000 | ¥ 715,000 |
Fair_value_measurements_Estima
Fair value measurements - Estimated Fair Value of Financial Instruments Not Carried at Fair Value (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Billions, unless otherwise specified | ||||
Carrying value [Member] | ' | ' | ||
Assets: | ' | ' | ||
Cash and cash equivalents | ¥ 1,490 | [1] | ¥ 805 | [1] |
Time deposits | 364 | [1] | 578 | [1] |
Deposits with stock exchanges and other segregated cash | 336 | [1] | 270 | [1] |
Loans receivable | 1,327 | [1],[2] | 1,575 | [1],[2] |
Securities purchased under agreements to resell | 9,618 | [1] | 8,295 | [1] |
Securities borrowed | 7,729 | [1] | 5,820 | [1] |
Total Assets | 20,864 | [1] | 17,343 | [1] |
Liabilities: | ' | ' | ||
Short-term borrowings | 602 | [1] | 738 | [1] |
Deposits received at banks | 1,114 | [1] | 1,072 | [1] |
Securities sold under agreements to repurchase | 13,938 | [1] | 12,444 | [1] |
Securities loaned | 2,360 | [1] | 2,159 | [1] |
Long-term borrowings | 8,227 | [1] | 7,592 | [1] |
Total Liabilities | 26,241 | [1] | 24,005 | [1] |
Fair value [Member] | ' | ' | ||
Assets: | ' | ' | ||
Cash and cash equivalents | 1,490 | [1] | 805 | [1] |
Time deposits | 364 | [1] | 578 | [1] |
Deposits with stock exchanges and other segregated cash | 336 | [1] | 270 | [1] |
Loans receivable | 1,326 | [1],[2] | 1,576 | [1],[2] |
Securities purchased under agreements to resell | 9,618 | [1] | 8,295 | [1] |
Securities borrowed | 7,729 | [1] | 5,820 | [1] |
Total Assets | 20,863 | [1] | 17,344 | [1] |
Liabilities: | ' | ' | ||
Short-term borrowings | 602 | [1] | 738 | [1] |
Deposits received at banks | 1,114 | [1] | 1,072 | [1] |
Securities sold under agreements to repurchase | 13,938 | [1] | 12,444 | [1] |
Securities loaned | 2,360 | [1] | 2,159 | [1] |
Long-term borrowings | 8,202 | [1] | 7,430 | [1] |
Total Liabilities | 26,216 | [1] | 23,843 | [1] |
Fair value [Member] | Level 1 [Member] | ' | ' | ||
Assets: | ' | ' | ||
Cash and cash equivalents | 1,490 | [1] | 805 | [1] |
Time deposits | ' | ' | ||
Deposits with stock exchanges and other segregated cash | ' | ' | ||
Loans receivable | ' | ' | ||
Securities purchased under agreements to resell | ' | ' | ||
Securities borrowed | ' | ' | ||
Total Assets | 1,490 | [1] | 805 | [1] |
Liabilities: | ' | ' | ||
Short-term borrowings | ' | ' | ||
Deposits received at banks | ' | ' | ||
Securities sold under agreements to repurchase | ' | ' | ||
Securities loaned | ' | ' | ||
Long-term borrowings | 134 | [1] | 114 | [1] |
Total Liabilities | 134 | [1] | 114 | [1] |
Fair value [Member] | Level 2 [Member] | ' | ' | ||
Assets: | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Time deposits | 364 | [1] | 578 | [1] |
Deposits with stock exchanges and other segregated cash | 336 | [1] | 270 | [1] |
Loans receivable | 1,068 | [1],[2] | 1,352 | [1],[2] |
Securities purchased under agreements to resell | 9,618 | [1] | 8,295 | [1] |
Securities borrowed | 7,729 | [1] | 5,820 | [1] |
Total Assets | 19,115 | [1] | 16,315 | [1] |
Liabilities: | ' | ' | ||
Short-term borrowings | 599 | [1] | 734 | [1] |
Deposits received at banks | 1,114 | [1] | 1,071 | [1] |
Securities sold under agreements to repurchase | 13,938 | [1] | 12,440 | [1] |
Securities loaned | 2,360 | [1] | 2,159 | [1] |
Long-term borrowings | 7,674 | [1] | 7,093 | [1] |
Total Liabilities | 25,685 | [1] | 23,497 | [1] |
Fair value [Member] | Level 3 [Member] | ' | ' | ||
Assets: | ' | ' | ||
Cash and cash equivalents | ' | ' | ||
Time deposits | ' | ' | ||
Deposits with stock exchanges and other segregated cash | ' | ' | ||
Loans receivable | 258 | [1],[2] | 224 | [1],[2] |
Securities purchased under agreements to resell | ' | ' | ||
Securities borrowed | ' | ' | ||
Total Assets | 258 | [1] | 224 | [1] |
Liabilities: | ' | ' | ||
Short-term borrowings | 3 | [1] | 4 | [1] |
Deposits received at banks | 0 | [1] | 1 | [1] |
Securities sold under agreements to repurchase | 0 | [1] | 4 | [1] |
Securities loaned | ' | ' | ||
Long-term borrowings | 394 | [1] | 223 | [1] |
Total Liabilities | ¥ 397 | [1] | ¥ 232 | [1] |
[1] | Includes financial instruments which are carried at fair value on a recurring basis. | |||
[2] | Carrying values are shown after deducting relevant allowances for loan losses. |
Derivative_instruments_and_hed2
Derivative instruments and hedging activities - Additional Information (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Billions, unless otherwise specified | ||
Derivative instruments and hedging activities | ' | ' |
Derivative liability position with credit-risk-related contingent features | ¥ 973 | ¥ 960 |
Collateral pledged for derivative instruments with credit-risk-related contingent features that are in a liability position | 747 | 754 |
Additional collateral required to be posted, aggregate fair value | ¥ 102 | ¥ 102 |
Derivative_instruments_and_hed3
Derivative instruments and hedging activities - Concentration of Exposures to Credit Risk in OTC Derivatives (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Billions, unless otherwise specified | ||||
Derivative [Line Items] | ' | ' | ||
Gross fair value of derivative assets, Financial institutions | ¥ 26,069 | [1] | ¥ 27,575 | [1] |
OTC derivatives with financial institutions [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Gross fair value of derivative assets, Financial institutions | 20,355 | 20,169 | ||
Impact of master netting agreements, Financial institutions | -18,481 | -18,415 | ||
Impact of collateral, Financial institutions | -936 | -981 | ||
Net exposure to credit risk, Financial institutions | ¥ 938 | ¥ 773 | ||
[1] | Includes all gross derivative asset and liability balances irrespective of whether they are transacted under a master netting agreement or whether Nomura has obtained sufficient evidence of enforceability of the master netting agreement. As of March 31, 2013, the gross balance of derivative assets and derivative liabilities which are not documented under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was \ 660 billion and \855 billion, respectively. As of March 31, 2014, the gross balance of such derivative assets and derivative liabilities was \744 billion and \808 billion, respectively. |
Derivative_instruments_and_hed4
Derivative instruments and hedging activities - Volume of Derivative Activity in Statement of Financial Position (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Billions, unless otherwise specified | ||||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Notional | ¥ 1,297,096 | ¥ 868,712 | ||
Derivative assets, Fair value | 26,069 | [1] | 27,575 | [1] |
Derivative liabilities, Notional | 1,267,991 | [2] | 849,858 | [2] |
Derivative liabilities, Fair value | 26,068 | [1],[2] | 27,458 | [1],[2] |
Derivatives used for trading and non-trading purposes [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Notional | 1,294,844 | 866,872 | ||
Derivative assets, Fair value | 26,007 | 27,486 | ||
Derivative liabilities, Notional | 1,267,579 | [2] | 849,672 | [2] |
Derivative liabilities, Fair value | 26,064 | [2] | 27,457 | [2] |
Derivatives used for trading and non-trading purposes [Member] | Equity contracts [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Notional | 15,761 | [3],[4] | 14,130 | [3],[4] |
Derivative assets, Fair value | 1,922 | [3],[4] | 1,857 | [3],[4] |
Derivative liabilities, Notional | 14,911 | [2],[3],[4] | 14,550 | [2],[3],[4] |
Derivative liabilities, Fair value | 2,254 | [2],[3],[4] | 2,017 | [2],[3],[4] |
Derivatives used for trading and non-trading purposes [Member] | Interest rate contracts [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Notional | 1,132,306 | [3],[4] | 727,129 | [3],[4] |
Derivative assets, Fair value | 19,459 | [3],[4] | 21,685 | [3],[4] |
Derivative liabilities, Notional | 1,098,406 | [2],[3],[4] | 711,914 | [2],[3],[4] |
Derivative liabilities, Fair value | 19,249 | [2],[3],[4] | 21,452 | [2],[3],[4] |
Derivatives used for trading and non-trading purposes [Member] | Credit contracts [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Notional | 38,136 | [3],[4] | 44,582 | [3],[4] |
Derivative assets, Fair value | 1,314 | [3],[4] | 1,839 | [3],[4] |
Derivative liabilities, Notional | 40,310 | [2],[3],[4] | 42,889 | [2],[3],[4] |
Derivative liabilities, Fair value | 1,623 | [2],[3],[4] | 1,979 | [2],[3],[4] |
Derivatives used for trading and non-trading purposes [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Notional | 108,595 | [3],[4] | 81,002 | [3],[4] |
Derivative assets, Fair value | 3,312 | [3],[4] | 2,104 | [3],[4] |
Derivative liabilities, Notional | 113,915 | [2],[3],[4] | 80,280 | [2],[3],[4] |
Derivative liabilities, Fair value | 2,938 | [2],[3],[4] | 2,007 | [2],[3],[4] |
Derivatives used for trading and non-trading purposes [Member] | Commodity contracts [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Notional | 46 | [3],[4] | 29 | [3],[4] |
Derivative assets, Fair value | 0 | [3],[4] | 1 | [3],[4] |
Derivative liabilities, Notional | 37 | [2],[3],[4] | 39 | [2],[3],[4] |
Derivative liabilities, Fair value | 0 | [2],[3],[4] | 2 | [2],[3],[4] |
Derivatives designated as hedging instruments [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Notional | 2,252 | 1,840 | ||
Derivative assets, Fair value | 62 | 89 | ||
Derivative liabilities, Notional | 412 | [2] | 186 | [2] |
Derivative liabilities, Fair value | 4 | [2] | 1 | [2] |
Derivatives designated as hedging instruments [Member] | Interest rate contracts [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Notional | 2,143 | 1,748 | ||
Derivative assets, Fair value | 62 | 88 | ||
Derivative liabilities, Notional | 296 | [2] | 162 | [2] |
Derivative liabilities, Fair value | 2 | [2] | 0 | [2] |
Derivatives designated as hedging instruments [Member] | Foreign exchange contracts [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Notional | 109 | 92 | ||
Derivative assets, Fair value | 0 | 1 | ||
Derivative liabilities, Notional | 116 | [2] | 24 | [2] |
Derivative liabilities, Fair value | ¥ 2 | [2] | ¥ 1 | [2] |
[1] | Includes all gross derivative asset and liability balances irrespective of whether they are transacted under a master netting agreement or whether Nomura has obtained sufficient evidence of enforceability of the master netting agreement. As of March 31, 2013, the gross balance of derivative assets and derivative liabilities which are not documented under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was \ 660 billion and \855 billion, respectively. As of March 31, 2014, the gross balance of such derivative assets and derivative liabilities was \744 billion and \808 billion, respectively. | |||
[2] | Includes the amount of embedded derivatives bifurcated in accordance with ASC 815. | |||
[3] | As of March 31, 2013 and 2014, the amounts reported include derivatives used for non-trading purposes which are not designated as fair value or net investment hedges. These amounts have not been separately presented since such amounts were not significant. | |||
[4] | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rates contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government securities. |
Derivative_instruments_and_hed5
Derivative instruments and hedging activities - Offsetting of derivative instruments and related collateral amounts (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Billions, unless otherwise specified | ||||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | ¥ 26,069 | [1] | ¥ 27,575 | [1] |
Derivative liabilities, Fair value | 26,068 | [1],[2] | 27,458 | [1],[2] |
Financial instruments and non-cash collateral [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | -168 | [3] | -177 | [3] |
Derivative liabilities, Fair value | -44 | [2],[3] | -138 | [2],[3] |
Cash collateral [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 0 | [3],[4] | ' | |
Derivative liabilities, Fair value | 0 | [2],[3],[4] | -2 | [2],[3],[4] |
Net amount [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 2,137 | 1,714 | ||
Derivative liabilities, Fair value | 1,994 | [2] | 1,682 | [2] |
Total net amounts reported on the face of the consolidated balance sheets | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 2,305 | [5] | 1,891 | [5] |
Derivative liabilities, Fair value | 2,038 | [2],[5] | 1,822 | [2],[5] |
Equity contracts [Member] | OTC settled bilaterally [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 1,162 | 1,112 | ||
Derivative liabilities, Fair value | 1,418 | [2] | 1,174 | [2] |
Equity contracts [Member] | OTC centrally-cleared [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | ' | ' | ||
Derivative liabilities, Fair value | ' | ' | ||
Equity contracts [Member] | Exchange-traded [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 760 | 745 | ||
Derivative liabilities, Fair value | 836 | [2] | 843 | [2] |
Interest rate contracts [Member] | OTC settled bilaterally [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 10,485 | 12,887 | ||
Derivative liabilities, Fair value | 10,281 | [2] | 12,609 | [2] |
Interest rate contracts [Member] | OTC centrally-cleared [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 9,025 | 8,873 | ||
Derivative liabilities, Fair value | 8,961 | [2] | 8,839 | [2] |
Interest rate contracts [Member] | Exchange-traded [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 11 | 13 | ||
Derivative liabilities, Fair value | 9 | [2] | 4 | [2] |
Credit contracts [Member] | OTC settled bilaterally [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 1,180 | 1,744 | ||
Derivative liabilities, Fair value | 1,491 | [2] | 1,880 | [2] |
Credit contracts [Member] | OTC centrally-cleared [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 130 | 95 | ||
Derivative liabilities, Fair value | 128 | [2] | 99 | [2] |
Credit contracts [Member] | Exchange-traded [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 4 | 0 | ||
Derivative liabilities, Fair value | 4 | [2] | 0 | [2] |
Foreign exchange contracts [Member] | OTC settled bilaterally [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 3,296 | 2,097 | ||
Derivative liabilities, Fair value | 2,923 | [2] | 2,002 | [2] |
Foreign exchange contracts [Member] | OTC centrally-cleared [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 12 | 8 | ||
Derivative liabilities, Fair value | 13 | [2] | 6 | [2] |
Foreign exchange contracts [Member] | Exchange-traded [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 4 | ' | ||
Derivative liabilities, Fair value | 4 | [2] | 0 | [2] |
Commodity contracts [Member] | OTC settled bilaterally [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 0 | 0 | ||
Derivative liabilities, Fair value | 0 | [2] | 1 | [2] |
Commodity contracts [Member] | OTC centrally-cleared [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | ' | ' | ||
Derivative liabilities, Fair value | ' | ' | ||
Commodity contracts [Member] | Exchange-traded [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | 0 | 1 | ||
Derivative liabilities, Fair value | 0 | [2] | 1 | [2] |
Less: Amounts offset in the consolidated balance sheets [Member] | ' | ' | ||
Derivative [Line Items] | ' | ' | ||
Derivative assets, Fair value | -23,764 | [6] | -25,684 | [6] |
Derivative liabilities, Fair value | ¥ (24,030) | [2],[6] | ¥ (25,636) | [2],[6] |
[1] | Includes all gross derivative asset and liability balances irrespective of whether they are transacted under a master netting agreement or whether Nomura has obtained sufficient evidence of enforceability of the master netting agreement. As of March 31, 2013, the gross balance of derivative assets and derivative liabilities which are not documented under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was \ 660 billion and \855 billion, respectively. As of March 31, 2014, the gross balance of such derivative assets and derivative liabilities was \744 billion and \808 billion, respectively. | |||
[2] | Includes the amount of embedded derivatives bifurcated in accordance with ASC 815. | |||
[3] | Represents amounts which are not permitted to be offset on the face of the consolidated balance sheets in accordance with ASC 210-20 and ASC 815 but which provide Nomura with a legally enforceable right of offset in the event of counterparty default. Amounts relating to derivative and collateral agreements where Nomura has not yet obtained sufficient evidence of enforceability of such offsetting rights are excluded. | |||
[4] | As of March 31, 2013, a total of \220 billion of cash collateral receivables and \497 billion of cash collateral payables, including amounts reported in the table, have not been offset against net derivatives. As of March 31, 2014, a total of \203 billion of cash collateral receivables and \643 billion of cash collateral payables, including amounts reported in the table, have not been offset against net derivatives. | |||
[5] | Net derivative assets and net derivative liabilities are generally reported within Trading assets and private equity investments-Trading assets and Trading liabilities, respectively in the consolidated balance sheet. Bifurcated embedded derivatives are reported within Short-term borrowings or Long-term borrowings depending on the maturity of the underlying host contract. | |||
[6] | Represents amounts offset through counterparty netting of derivative assets and liabilities as well as cash collateral netting against net derivatives under master netting and similar agreements for which Nomura has obtained sufficient evidence of enforceability in accordance with ASC 815. As of March 31, 2013, Nomura offset a total of \985 billion of cash collateral receivables against net derivative liabilities and \1,033 billion of cash collateral payables against net derivative assets. As of March 31, 2014, Nomura offset a total of \1,283 billion of cash collateral receivables against net derivative liabilities and \1,017 billion of cash collateral payables against net derivative assets. |
Derivative_instruments_and_hed6
Derivative instruments and hedging activities - Offsetting of derivative instruments and related collateral amounts (Parenthetical) (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Billions, unless otherwise specified | ||
Derivative instruments and hedging activities | ' | ' |
Gross balances of derivative assets, not subject to enforceable master netting arrangements or similar agreements | ¥ 744 | ¥ 660 |
Gross balances of derivative liabilities, not subject to enforceable master netting arrangements or similar agreements | 808 | 855 |
Cash collateral receivables against net derivative liabilities | 1,283 | 985 |
Cash collateral payables against net derivative assets | 1,017 | 1,033 |
Cash collateral receivables, not being offset against net derivatives | 203 | 220 |
Cash collateral payables, not being offset against net derivatives | ¥ 643 | ¥ 497 |
Derivative_instruments_and_hed7
Derivative instruments and hedging activities - Derivative Amounts Included in Consolidated Statements of Income (Detail) (Derivatives used for trading and non-trading purposes [Member], JPY ¥) | 12 Months Ended | |||||
In Billions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Derivative [Line Items] | ' | ' | ' | |||
Net gain (loss) on trading derivatives | ¥ (141) | ¥ (351) | ¥ (239) | |||
Equity contracts [Member] | ' | ' | ' | |||
Derivative [Line Items] | ' | ' | ' | |||
Net gain (loss) on trading derivatives | -91 | [1],[2] | -69 | [1],[2] | -137 | [1],[2] |
Interest rate contracts [Member] | ' | ' | ' | |||
Derivative [Line Items] | ' | ' | ' | |||
Net gain (loss) on trading derivatives | 102 | [1],[2] | 65 | [1],[2] | 42 | [1],[2] |
Credit contracts [Member] | ' | ' | ' | |||
Derivative [Line Items] | ' | ' | ' | |||
Net gain (loss) on trading derivatives | -123 | [1],[2] | -18 | [1],[2] | -73 | [1],[2] |
Foreign exchange contracts [Member] | ' | ' | ' | |||
Derivative [Line Items] | ' | ' | ' | |||
Net gain (loss) on trading derivatives | -30 | [1],[2] | -329 | [1],[2] | -67 | [1],[2] |
Commodity contracts [Member] | ' | ' | ' | |||
Derivative [Line Items] | ' | ' | ' | |||
Net gain (loss) on trading derivatives | ¥ 1 | [1],[2] | ¥ 0 | [1],[2] | ¥ (4) | [1],[2] |
[1] | Each derivative classification includes derivatives referencing multiple risk components. For example, interest rates contracts include complex derivatives referencing interest rate risk as well as foreign exchange risk or other factors such as prepayment rates. Credit contracts include credit default swaps as well as derivatives referencing corporate and government securities. | |||||
[2] | Includes net gains (losses) on derivatives used for non-trading purposes which are not designated as fair value or net investment hedges. For the years ended March 31, 2012, 2013 and 2014, these amounts have not been separately presented as net gains (losses) for these non-trading derivatives were not significant. |
Derivative_instruments_and_hed8
Derivative instruments and hedging activities - Fair Value Hedges (Detail) (JPY ¥) | 12 Months Ended | ||
In Billions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Derivatives designated as hedging instruments [Member] | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Interest revenue / Interest expense | ¥ 2 | ¥ 33 | ¥ 76 |
Derivatives designated as hedging instruments [Member] | Interest rate contracts [Member] | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Interest revenue / Interest expense | 2 | 33 | 76 |
Hedged items [Member] | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Interest revenue / Interest expense | -2 | -33 | -76 |
Hedged items [Member] | Long-term borrowings [Member] | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Interest revenue / Interest expense | ¥ (2) | ¥ (33) | ¥ (76) |
Derivative_instruments_and_hed9
Derivative instruments and hedging activities - Net Investment Hedges (Detail) (Net investment hedges [Member], JPY ¥) | 12 Months Ended | |||||
In Billions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Derivative [Line Items] | ' | ' | ' | |||
Gains (losses) from derivatives and non-derivatives designated as net investment hedges | ¥ (12) | [1] | ¥ (29) | [1] | ¥ 3 | [1] |
Long-term borrowings [Member] | ' | ' | ' | |||
Derivative [Line Items] | ' | ' | ' | |||
Gains (losses) from derivatives and non-derivatives designated as net investment hedges | ' | -15 | [1] | 4 | [1] | |
Foreign exchange contracts [Member] | ' | ' | ' | |||
Derivative [Line Items] | ' | ' | ' | |||
Gains (losses) from derivatives and non-derivatives designated as net investment hedges | ¥ (12) | [1] | ¥ (14) | [1] | ¥ (1) | [1] |
[1] | The portion of the gains (losses) representing the amount of hedge ineffectiveness and the amount excluded from the assessment of hedge effectiveness are recognized within Revenue-Other in the consolidated statements of income. The amount of gains (losses) was not significant during the years ended March 31, 2012, 2013 and 2014. |
Recovered_Sheet1
Derivative instruments and hedging activities - Written Credit Derivatives and Purchased Credit Protection (Detail) (JPY ¥) | 12 Months Ended | |||
In Billions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | ||
Credit Derivatives [Line Items] | ' | ' | ||
Carrying value (Asset) / Liability | ¥ (145) | [1] | ¥ 424 | [1] |
Maximum potential payout / Notional | 32,402 | 40,018 | ||
Notional Purchased credit protection | 28,038 | 35,775 | ||
Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Carrying value (Asset) / Liability | -235 | [1] | 210 | [1] |
Maximum potential payout / Notional | 21,070 | 24,659 | ||
Notional Purchased credit protection | 18,689 | 22,431 | ||
Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Carrying value (Asset) / Liability | -32 | [1] | -16 | [1] |
Maximum potential payout / Notional | 9,082 | 12,722 | ||
Notional Purchased credit protection | 7,704 | 11,592 | ||
Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Carrying value (Asset) / Liability | 123 | [1] | 230 | [1] |
Maximum potential payout / Notional | 1,574 | 2,586 | ||
Notional Purchased credit protection | 1,097 | 1,710 | ||
Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Carrying value (Asset) / Liability | -1 | [1] | 0 | [1] |
Maximum potential payout / Notional | 676 | 51 | ||
Notional Purchased credit protection | 548 | 42 | ||
Less than 1 year [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 5,905 | 6,723 | ||
Less than 1 year [Member] | Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 4,167 | 4,575 | ||
Less than 1 year [Member] | Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 1,215 | 1,482 | ||
Less than 1 year [Member] | Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 523 | 666 | ||
Less than 1 year [Member] | Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | ' | ' | ||
1 to 3 years [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 12,256 | 12,628 | ||
1 to 3 years [Member] | Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 8,306 | 7,961 | ||
1 to 3 years [Member] | Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 3,552 | 3,555 | ||
1 to 3 years [Member] | Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 398 | 1,112 | ||
1 to 3 years [Member] | Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | ' | ' | ||
3 to 5 years [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 10,897 | 16,934 | ||
3 to 5 years [Member] | Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 6,610 | 9,877 | ||
3 to 5 years [Member] | Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 3,582 | 6,815 | ||
3 to 5 years [Member] | Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 201 | 215 | ||
3 to 5 years [Member] | Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 504 | 27 | ||
More than 5 years [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 3,344 | 3,733 | ||
More than 5 years [Member] | Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 1,987 | 2,246 | ||
More than 5 years [Member] | Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 733 | 870 | ||
More than 5 years [Member] | Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 452 | 593 | ||
More than 5 years [Member] | Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | ¥ 172 | ¥ 24 | ||
[1] | Carrying value amounts are shown on a gross basis prior to cash collateral or counterparty netting. Asset balances represent positive fair value amounts caused by tightening of credit spreads of underlyings since inception of the credit derivative contracts. |
Recovered_Sheet2
Derivative instruments and hedging activities - Written Credit Derivatives by External Credit Rating of Underlying Asset (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Billions, unless otherwise specified | ||||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | ¥ 32,402 | ¥ 40,018 | ||
Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 21,070 | 24,659 | ||
Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 9,082 | 12,722 | ||
Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 1,574 | 2,586 | ||
Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 676 | 51 | ||
AAA Rating [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 2,233 | 2,491 | ||
AAA Rating [Member] | Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 2,125 | 2,400 | ||
AAA Rating [Member] | Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 86 | 14 | ||
AAA Rating [Member] | Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 22 | 77 | ||
AAA Rating [Member] | Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | ' | ' | ||
AA Rating [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 1,354 | 2,200 | ||
AA Rating [Member] | Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 1,331 | 1,594 | ||
AA Rating [Member] | Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 23 | 589 | ||
AA Rating [Member] | Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | ' | 17 | ||
AA Rating [Member] | Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | ' | ' | ||
A Rating [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 10,065 | 12,332 | ||
A Rating [Member] | Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 5,232 | 5,945 | ||
A Rating [Member] | Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 4,445 | 6,360 | ||
A Rating [Member] | Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 1 | 9 | ||
A Rating [Member] | Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 387 | 18 | ||
BBB Rating [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 10,441 | 11,851 | ||
BBB Rating [Member] | Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 7,362 | 8,208 | ||
BBB Rating [Member] | Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 2,884 | 3,516 | ||
BBB Rating [Member] | Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | ' | 127 | ||
BBB Rating [Member] | Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 195 | ' | ||
BB Rating [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 4,670 | 6,259 | ||
BB Rating [Member] | Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 3,231 | 4,073 | ||
BB Rating [Member] | Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 1,341 | 1,910 | ||
BB Rating [Member] | Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 4 | 243 | ||
BB Rating [Member] | Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 94 | 33 | ||
Other Rating [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 3,639 | [1] | 4,885 | [1] |
Other Rating [Member] | Single-name credit default swaps [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 1,789 | [1] | 2,439 | [1] |
Other Rating [Member] | Credit default indices [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 303 | [1] | 333 | [1] |
Other Rating [Member] | Other credit risk related portfolio products [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | 1,547 | [1] | 2,113 | [1] |
Other Rating [Member] | Credit risk related options and swaptions [Member] | ' | ' | ||
Credit Derivatives [Line Items] | ' | ' | ||
Maximum potential payout / Notional | ' | ' | ||
[1] | "Other" includes credit derivatives where the credit rating of the underlying reference asset is below investment grade or where a rating is unavailable. |
Private_equity_business_Additi
Private equity business - Additional Information (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2011 |
In Millions, unless otherwise specified | ||||
Schedule Of Private Equity Investments [Line Items] | ' | ' | ' | ' |
Investment at fair value | ¥ 32,563 | ¥ 28,827 | ¥ 132,320 | ¥ 208,754 |
Investments | 41,996 | 87,158 | ' | ' |
Ashikaga Holdings [Member] | ' | ' | ' | ' |
Schedule Of Private Equity Investments [Line Items] | ' | ' | ' | ' |
Ownership percentage | 37.10% | ' | ' | ' |
Terra Firma Investments [Member] | ' | ' | ' | ' |
Schedule Of Private Equity Investments [Line Items] | ' | ' | ' | ' |
Investment at fair value | ' | ' | 102,649 | ' |
TFCP II [Member] | ' | ' | ' | ' |
Schedule Of Private Equity Investments [Line Items] | ' | ' | ' | ' |
Ownership percentage | 10.00% | ' | ' | ' |
Investments | 274,000 | ' | ' | ' |
Total commitment | 27,445 | ' | ' | ' |
Total commitment after recyclable distributions | 51 | ' | ' | ' |
TFCP III [Member] | ' | ' | ' | ' |
Schedule Of Private Equity Investments [Line Items] | ' | ' | ' | ' |
Ownership percentage | 2.00% | ' | ' | ' |
Investments | 731,000 | ' | ' | ' |
Total commitment | 13,854 | ' | ' | ' |
Drawn down for investments | ¥ 13,536 | ' | ' | ' |
Investment_company_accounting_1
Investment company accounting - Summary of Aggregate Fair Value and Cost of Investments (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2011 | ||
In Millions, unless otherwise specified | ||||||
Investment company accounting | ' | ' | ' | ' | ||
Closing cost | ¥ 28,394 | [1] | ¥ 24,393 | [1] | ' | ' |
Gross unrealized appreciation | 9,216 | 11,711 | ' | ' | ||
Gross unrealized depreciation | -5,047 | -7,277 | ' | ' | ||
Closing fair value | ¥ 32,563 | ¥ 28,827 | ¥ 132,320 | ¥ 208,754 | ||
[1] | Cost is defined as the historical cost of each investment (i.e. purchase price) as adjusted for subsequent additional investment. |
Investment_company_accounting_2
Investment company accounting - Summary of Performance of Investments (Detail) (JPY ¥) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Investment company accounting | ' | ' | ' | |||
Opening fair value | ¥ 28,827 | ¥ 132,320 | ¥ 208,754 | |||
Purchase / (sales) of investees during the period | 56 | [1] | -127,396 | [1] | -109,724 | [1] |
Realized gains during the period | 925 | [2] | 19,181 | [2] | 35,931 | [2] |
Change in unrealized gains / (losses) during the period | 2,755 | [3] | 4,722 | [3] | -2,641 | [3] |
Closing fair value | ¥ 32,563 | ¥ 28,827 | ¥ 132,320 | |||
[1] | Acquisition cost of new investees and additional investments or sales proceeds of investees disposed of during the period. | |||||
[2] | Realized gains and losses are calculated as the difference between sales proceeds and the carrying values. | |||||
[3] | Includes the effect of foreign exchange movements. |
Collateralized_transactions_Of
Collateralized transactions - Offsetting of the transactions in the consolidated balance sheets (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
Assets [Abstract] | ' | ' | ||
Securities borrowing transactions | ¥ 7,729,326,000,000 | ¥ 5,819,885,000,000 | ||
Financial instruments and non-cash collateral [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Reverse repurchase agreements | -7,930,000,000,000 | [1] | -6,588,000,000,000 | [1] |
Securities borrowing transactions | -5,725,000,000,000 | [1] | -3,889,000,000,000 | [1] |
Liabilities [Abstract] | ' | ' | ||
Repurchase agreements | -9,867,000,000,000 | [1] | -10,201,000,000,000 | [1] |
Securities lending transactions | -2,235,000,000,000 | [1] | -1,935,000,000,000 | [1] |
Cash collateral [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Reverse repurchase agreements | 0 | [1] | -1,000,000,000 | [1] |
Securities borrowing transactions | ' | ' | ||
Liabilities [Abstract] | ' | ' | ||
Repurchase agreements | 0 | [1] | 0 | [1] |
Securities lending transactions | ' | ' | ||
Net amount [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Reverse repurchase agreements | 1,688,000,000,000 | 1,706,000,000,000 | ||
Securities borrowing transactions | 1,999,000,000,000 | 1,919,000,000,000 | ||
Liabilities [Abstract] | ' | ' | ||
Repurchase agreements | 4,071,000,000,000 | 2,243,000,000,000 | ||
Securities lending transactions | 362,000,000,000 | 271,000,000,000 | ||
Total gross balance [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Reverse repurchase agreements | 20,244,000,000,000 | [2] | 22,183,000,000,000 | [2] |
Securities borrowing transactions | 7,729,000,000,000 | [2] | 6,064,000,000,000 | [2] |
Liabilities [Abstract] | ' | ' | ||
Repurchase agreements | 24,564,000,000,000 | [2] | 26,332,000,000,000 | [2] |
Securities lending transactions | 2,602,000,000,000 | [2] | 2,462,000,000,000 | [2] |
Less: Amounts offset in the consolidated balance sheets [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Reverse repurchase agreements | -10,626,000,000,000 | [3] | -13,888,000,000,000 | [3] |
Securities borrowing transactions | -5,000,000,000 | [3] | -256,000,000,000 | [3] |
Liabilities [Abstract] | ' | ' | ||
Repurchase agreements | -10,626,000,000,000 | [3] | -13,888,000,000,000 | [3] |
Securities lending transactions | -5,000,000,000 | [3] | -256,000,000,000 | [3] |
Total net amounts reported on the face of the consolidated balance sheets | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Reverse repurchase agreements | 9,618,000,000,000 | [4] | 8,295,000,000,000 | [4] |
Securities borrowing transactions | 7,724,000,000,000 | [4] | 5,808,000,000,000 | [4] |
Liabilities [Abstract] | ' | ' | ||
Repurchase agreements | 13,938,000,000,000 | [4] | 12,444,000,000,000 | [4] |
Securities lending transactions | ¥ 2,597,000,000,000 | [4] | ¥ 2,206,000,000,000 | [4] |
[1] | Represents amounts which are not permitted to be offset on the face of the balance sheet in accordance with ASC 210-20 but which provide Nomura with the right of offset in the event of counterparty default. Amounts relating to agreements where Nomura has not yet obtained sufficient evidence of enforceability of such offsetting rights are excluded. | |||
[2] | Includes all recognized balances irrespective of whether they are transacted under a master netting agreement or whether Nomura has obtained sufficient evidence of enforceability of the master netting agreement. Amounts include transactions carried at fair value through election of the fair value option and amounts carried at amortized cost. As of March 31, 2013, the gross balance of reverse repurchase agreements and repurchase agreements which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was \ 1,617 billion and \ 2,083 billion, respectively. As of March 31, 2013, the gross balance of securities borrowing transactions and securities lending transactions which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was \1,679 billion and \ 143 billion, respectively. As of March 31, 2014, the gross balance of reverse repurchase agreements and repurchase agreements which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was \1,278 billion and \3,918 billion, respectively. As of March 31, 2014, the gross balance of securities borrowing transactions and securities lending transactions which were not transacted under master netting agreements or are documented under master netting agreements for which Nomura has not yet obtained sufficient evidence of enforceability was \1,751 billion and \137 billion, respectively. | |||
[3] | Represents amounts offset through counterparty netting under master netting and similar agreements for which Nomura has obtained sufficient evidence of enforceability in accordance with ASC 210-20. Amounts offset include transactions carried at fair value through election of the fair value option and amounts carried at amortized cost. | |||
[4] | Reverse repurchase agreements and securities borrowing transactions are reported within Collateralized agreements-Securities purchased under agreements to resell and Collateralized agreements-Securities borrowed in the consolidated balance sheets, respectively. Repurchase agreements and securities lending transactions are reported within Collateralized financing-Securities sold under agreements to repurchase and Collateralized financing-Securities loaned in the consolidated balance sheets, respectively. Amounts reported under securities lending transactions also include transactions where Nomura lends securities and receives securities that can be sold or pledged as collateral. Nomura recognizes the securities received at fair value and a liability for the same amount, representing the obligation to return those securities. The liability is reported within Other liabilities in the consolidated balance sheets. |
Collateralized_transactions_Of1
Collateralized transactions - Offsetting of the transactions in the consolidated balance sheets (Parenthetical) (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Billions, unless otherwise specified | ||
Collateralized transactions | ' | ' |
Gross balances of reverse repurchase agreements, not subject to enforceable master netting arrangements or similar agreements | ¥ 1,278 | ¥ 1,617 |
Gross balances of repurchase agreements, not subject to enforceable master netting arrangements or similar agreements | 3,918 | 2,083 |
Gross balances of securities borrowing transactions, not subject to enforceable master netting arrangements or similar agreements | 1,751 | 1,679 |
Gross balances of securities lending transactions, not subject to enforceable master netting arrangements or similar agreements | ¥ 137 | ¥ 143 |
Collateralized_transactions_Fa
Collateralized transactions - Fair Value of Securities Received as Collateral Available to Sell or Repledge (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Billions, unless otherwise specified | ||
Collateralized transactions | ' | ' |
The fair value of securities received as collateral, securities borrowed as collateral and securities borrowed without collateral where Nomura is permitted by contract or custom to sell or repledge the securities | ¥ 35,530 | ¥ 35,281 |
The portion of the above that has been sold (reported within Trading liabilities in the consolidated balance sheets) or repledged | ¥ 28,959 | ¥ 28,488 |
Collateralized_transactions_As
Collateralized transactions - Assets Owned, Pledged as Collateral (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ' | ' | ||
Trading assets (without right to sell or repledge) | ¥ 2,594,503 | ¥ 3,370,639 | ||
Deposits with stock exchanges and other segregated cash | 4,630 | 4,110 | ||
Non-trading debt securities | 42,087 | 49,811 | ||
Investments in and advances to affiliated companies | 28,642 | 37,636 | ||
Equities and convertible securities [Member] | ' | ' | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ' | ' | ||
Trading assets (without right to sell or repledge) | 174,753 | 86,108 | ||
Government and government agency securities [Member] | ' | ' | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ' | ' | ||
Trading assets (without right to sell or repledge) | 991,430 | 1,314,277 | ||
Bank and corporate debt securities [Member] | ' | ' | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ' | ' | ||
Trading assets (without right to sell or repledge) | 150,183 | 161,233 | ||
Commercial mortgage-backed securities ("CMBS") [Member] | ' | ' | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ' | ' | ||
Trading assets (without right to sell or repledge) | 35,671 | 33,723 | ||
Residential mortgage-backed securities ("RMBS") [Member] | ' | ' | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ' | ' | ||
Trading assets (without right to sell or repledge) | 1,141,726 | 1,674,898 | ||
Collateralized debt obligations ("CDOs") and other [Member] | ' | ' | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ' | ' | ||
Trading assets (without right to sell or repledge) | 82,237 | [1] | 84,065 | [1] |
Investment trust funds and other [Member] | ' | ' | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ' | ' | ||
Trading assets (without right to sell or repledge) | ¥ 18,503 | ¥ 16,335 | ||
[1] | Includes CLOs and ABS such as those secured on credit card loans, auto loans and student loans. |
Collateralized_transactions_As1
Collateralized transactions - Assets Subject to Lien (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Millions, unless otherwise specified | ||
Collateralized Transactions Assets Subject To Lien [Line Items] | ' | ' |
Assets subject to lien, amount | ¥ 1,668,730 | ¥ 1,526,278 |
Loans and receivables [Member] | ' | ' |
Collateralized Transactions Assets Subject To Lien [Line Items] | ' | ' |
Assets subject to lien, amount | 141 | 706 |
Trading assets [Member] | ' | ' |
Collateralized Transactions Assets Subject To Lien [Line Items] | ' | ' |
Assets subject to lien, amount | 1,293,036 | 1,208,753 |
Office buildings, land, equipment and facilities [Member] | ' | ' |
Collateralized Transactions Assets Subject To Lien [Line Items] | ' | ' |
Assets subject to lien, amount | 5,236 | 955 |
Non-trading debt securities [Member] | ' | ' |
Collateralized Transactions Assets Subject To Lien [Line Items] | ' | ' |
Assets subject to lien, amount | 370,239 | 315,781 |
Other [Member] | ' | ' |
Collateralized Transactions Assets Subject To Lien [Line Items] | ' | ' |
Assets subject to lien, amount | ¥ 78 | ¥ 83 |
Nontrading_securities_NonTradi
Non-trading securities - Non-Trading securities Reconciliation (Detail) (Insurance subsidiary [Member], JPY ¥) | 12 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | ||
Non-trading debt securities [Line Items] | ' | ' | ||
Cost and/or amortized cost | ¥ 306,441 | ¥ 271,403 | ||
Gross unrealized gains | 22,201 | 18,943 | ||
Gross unrealized losses | 220 | 321 | ||
Fair value | 328,422 | 290,025 | ||
Government, agency and municipal securities [Member] | ' | ' | ||
Non-trading debt securities [Line Items] | ' | ' | ||
Cost and/or amortized cost | 138,973 | [1] | 177,374 | [1] |
Gross unrealized gains | 842 | [1] | 5,294 | [1] |
Gross unrealized losses | 86 | [1] | 126 | [1] |
Fair value | 139,729 | [1] | 182,542 | [1] |
Other debt securities [Member] | ' | ' | ||
Non-trading debt securities [Line Items] | ' | ' | ||
Cost and/or amortized cost | 129,311 | [2] | 54,032 | [2] |
Gross unrealized gains | 6,851 | [2] | 726 | [2] |
Gross unrealized losses | 91 | [2] | 86 | [2] |
Fair value | 136,071 | [2] | 54,672 | [2] |
Equity securities [Member] | ' | ' | ||
Non-trading debt securities [Line Items] | ' | ' | ||
Cost and/or amortized cost | 38,157 | 39,997 | ||
Gross unrealized gains | 14,508 | 12,923 | ||
Gross unrealized losses | 43 | 109 | ||
Fair value | ¥ 52,622 | ¥ 52,811 | ||
[1] | Primarily Japanese government, agency and municipal securities. | |||
[2] | Primarily corporate debt securities. |
Nontrading_securities_Addition
Non-trading securities - Additional Information (Detail) (Insurance subsidiary [Member], JPY ¥) | 12 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Insurance subsidiary [Member] | ' | ' |
Non-trading debt securities [Line Items] | ' | ' |
Non-trading securities disposed | ¥ 138,231 | ¥ 525,965 |
Non-trading securities realized gain | 4,405 | 12,050 |
Non-trading securities realized loss | 81 | 1,134 |
Total proceeds received from disposals | 142,554 | 536,881 |
Total number of non-trading securities that are in an unrealized loss positions | 60 | 80 |
Other-than-temporary impairment loss recognized for non-trading debt securities | 79 | 4,900 |
Credit loss component of other-than-temporary impairment losses recognized for non-trading debt securities | 25 | ' |
Other-than-temporary impairment loss recognized within other comprehensive income (loss) | ¥ (55) | ¥ 7 |
Nontrading_securities_Fair_Val
Non-trading securities - Fair Value of Residual contractual Maturity of Non-trading Securities (Detail) (Insurance subsidiary [Member], JPY ¥) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Insurance subsidiary [Member] | ' |
Non-trading debt securities [Line Items] | ' |
Total | ¥ 275,800 |
Less than 1 year | 30,507 |
1 to 5 years | 115,757 |
5 to 10 years | 98,323 |
More than 10 years | ¥ 31,213 |
Nontrading_securities_Fair_Val1
Non-trading securities - Fair Value and Unrealized Losses of Non-Trading Securities (Detail) (Insurance subsidiary [Member], JPY ¥) | 12 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Non-trading debt securities [Line Items] | ' | ' |
Less than 12 months, Fair value | ¥ 62,611 | ¥ 68,321 |
Less than 12 months, Gross unrealized losses | 216 | 275 |
More than 12 months, Fair value | 2,294 | 2,903 |
More than 12 months, Gross unrealized losses | 4 | 46 |
Total, Fair value | 64,905 | 71,224 |
Total, Gross unrealized losses | 220 | 321 |
Government, agency and municipal securities [Member] | ' | ' |
Non-trading debt securities [Line Items] | ' | ' |
Less than 12 months, Fair value | 54,007 | 56,400 |
Less than 12 months, Gross unrealized losses | 82 | 80 |
More than 12 months, Fair value | 2,294 | 2,903 |
More than 12 months, Gross unrealized losses | 4 | 46 |
Total, Fair value | 56,301 | 59,303 |
Total, Gross unrealized losses | 86 | 126 |
Other debt securities [Member] | ' | ' |
Non-trading debt securities [Line Items] | ' | ' |
Less than 12 months, Fair value | 8,106 | 10,404 |
Less than 12 months, Gross unrealized losses | 91 | 86 |
More than 12 months, Fair value | ' | ' |
More than 12 months, Gross unrealized losses | ' | ' |
Total, Fair value | 8,106 | 10,404 |
Total, Gross unrealized losses | 91 | 86 |
Equity securities [Member] | ' | ' |
Non-trading debt securities [Line Items] | ' | ' |
Less than 12 months, Fair value | 498 | 1,517 |
Less than 12 months, Gross unrealized losses | 43 | 109 |
More than 12 months, Fair value | ' | ' |
More than 12 months, Gross unrealized losses | ' | ' |
Total, Fair value | 498 | 1,517 |
Total, Gross unrealized losses | ¥ 43 | ¥ 109 |
Securitizations_and_Variable_I2
Securitizations and Variable Interest Entities - Additional Information (Detail) (JPY ¥) | 12 Months Ended | |
In Billions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Variable Interest Entity [Line Items] | ' | ' |
Cash proceeds from SPEs in new securitizations | ¥ 365 | ¥ 407 |
Debt securities issued by SPEs with an initial fair value | 1,423 | 1,783 |
Cash inflows from third parties on the sale of debt securities | 830 | 951 |
Cumulative balance of financial assets transferred to SPEs | 5,035 | 4,109 |
Retained interests | 215 | 300 |
Interests held in SPEs | 40 | 26 |
Outstanding collateral service agreements and written credit default swap agreements | ¥ 4 | ¥ 18 |
Minimum [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Percentage of changes in fair value based on adverse effect | 10.00% | 10.00% |
Maximum [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Percentage of changes in fair value based on adverse effect | 20.00% | 20.00% |
Securitizations_and_Variable_I3
Securitizations and Variable Interest Entities - Fair Value of Retained Interests (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Billions, unless otherwise specified | ||
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | ¥ 215 | ¥ 300 |
Government, agency and municipal securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 195 | 296 |
Bank and corporate debt securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 0 | 0 |
Mortgage and mortgage-backed securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 20 | 4 |
Level 1 [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | ' | ' |
Level 1 [Member] | Government, agency and municipal securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | ' | ' |
Level 1 [Member] | Bank and corporate debt securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | ' | ' |
Level 1 [Member] | Mortgage and mortgage-backed securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | ' | ' |
Level 2 [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 214 | 298 |
Level 2 [Member] | Government, agency and municipal securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 195 | 296 |
Level 2 [Member] | Bank and corporate debt securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | ' | ' |
Level 2 [Member] | Mortgage and mortgage-backed securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 19 | 2 |
Level 3 [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 1 | 2 |
Level 3 [Member] | Government, agency and municipal securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | ' | ' |
Level 3 [Member] | Bank and corporate debt securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 0 | 0 |
Level 3 [Member] | Mortgage and mortgage-backed securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 1 | 2 |
Investment grade [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 196 | 298 |
Investment grade [Member] | Government, agency and municipal securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 195 | 296 |
Investment grade [Member] | Bank and corporate debt securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | ' | ' |
Investment grade [Member] | Mortgage and mortgage-backed securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 1 | 2 |
Other SPE [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 19 | 2 |
Other SPE [Member] | Government, agency and municipal securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | ' | ' |
Other SPE [Member] | Bank and corporate debt securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | 0 | 0 |
Other SPE [Member] | Mortgage and mortgage-backed securities [Member] | ' | ' |
Schedule of fair value of retained interests [Line Items] | ' | ' |
Type of transferred assets | ¥ 19 | ¥ 2 |
Securitizations_and_Variable_I4
Securitizations and Variable Interest Entities - Fair Value of Firm's Retained Interests and Sensitivity of This Fair Value (Detail) (JPY ¥) | 12 Months Ended | |||
In Billions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | ||
Variable Interest Entity [Line Items] | ' | ' | ||
Fair value of retained interests | ¥ 215 | ¥ 300 | ||
Material retained interests held [Member] | ' | ' | ||
Variable Interest Entity [Line Items] | ' | ' | ||
Fair value of retained interests | 201 | [1] | 288 | [1] |
Weighted-average life (Years) | '7 years 6 months | '6 years | ||
Constant prepayment rate | 6.20% | 10.10% | ||
Impact of 10% adverse change | -2.3 | -2.6 | ||
Impact of 20% adverse change | -4 | -5 | ||
Discount rate | 5.30% | 3.60% | ||
Impact of 10% adverse change | -1.5 | -4.2 | ||
Impact of 20% adverse change | ¥ (2.6) | ¥ (8.2) | ||
[1] | The sensitivity analysis covers the material retained interests held of \288 billion out of \300 billion as of March 31, 2013 and \201 billion out of \215 billion as of March 31, 2014. Nomura considers the amount or the probability of anticipated credit loss from the retained interests which Nomura continuously holds would be minimal. |
Securitizations_and_Variable_I5
Securitizations and Variable Interest Entities - Fair Value of Firm's Retained Interests and Sensitivity of This Fair Value (Parenthetical) (Detail) (JPY ¥) | 12 Months Ended | |
In Billions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Variable Interest Entity [Line Items] | ' | ' |
Sensitivity analysis for material retained interest | 201 | 288 |
Retained interests | 215 | 300 |
Minimum [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Percentage of changes in fair value based on adverse effect | 10.00% | 10.00% |
Maximum [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Percentage of changes in fair value based on adverse effect | 20.00% | 20.00% |
Securitizations_and_Variable_I6
Securitizations and Variable Interest Entities - Type and Carrying Value of Financial Assets (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
Liabilities [Abstract] | ' | ' |
Long-term borrowings | ¥ 8,227,063,000,000 | ¥ 7,592,368,000,000 |
Transferred to SPEs [Member] | ' | ' |
Trading assets | ' | ' |
Equities | 99,000,000,000 | 72,000,000,000 |
Debt securities | 64,000,000,000 | 86,000,000,000 |
Mortgage and mortgage-backed securities | 23,000,000,000 | 24,000,000,000 |
Long-term loans receivable | 7,000,000,000 | 8,000,000,000 |
Total | 193,000,000,000 | 190,000,000,000 |
Liabilities [Abstract] | ' | ' |
Long-term borrowings | ¥ 182,000,000,000 | ¥ 177,000,000,000 |
Securitizations_and_Variable_I7
Securitizations and Variable Interest Entities - Classification of Consolidated VIEs' Assets and Liabilities (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2011 | ||
Assets | ' | ' | ' | ' | ||
Cash and cash equivalents | ¥ 1,489,792,000,000 | ¥ 805,087,000,000 | ¥ 1,070,520,000,000 | ¥ 1,620,340,000,000 | ||
Trading assets | ' | ' | ' | ' | ||
Private equity investments | 41,996,000,000 | 87,158,000,000 | ' | ' | ||
Securities purchased under agreements to resell | 9,617,675,000,000 | 8,295,372,000,000 | ' | ' | ||
Office buildings, land, equipment and facilities | 408,917,000,000 | 428,241,000,000 | ' | ' | ||
Other | 784,174,000,000 | 602,159,000,000 | ' | ' | ||
Trading liabilities | ' | ' | ' | ' | ||
Securities sold under agreements to repurchase | 13,937,690,000,000 | 12,444,317,000,000 | ' | ' | ||
Borrowings | ' | ' | ' | ' | ||
Long-term borrowings | 8,227,063,000,000 | 7,592,368,000,000 | ' | ' | ||
Variable Interest Entity, primary beneficiary [Member] | ' | ' | ' | ' | ||
Assets | ' | ' | ' | ' | ||
Cash and cash equivalents | 18,000,000,000 | 13,000,000,000 | ' | ' | ||
Trading assets | ' | ' | ' | ' | ||
Equities | 289,000,000,000 | 353,000,000,000 | ' | ' | ||
Debt securities | 393,000,000,000 | 200,000,000,000 | ' | ' | ||
Mortgage and mortgage-backed securities | 66,000,000,000 | 138,000,000,000 | ' | ' | ||
Derivatives | 2,000,000,000 | 3,000,000,000 | ' | ' | ||
Private equity investments | 1,000,000,000 | 1,000,000,000 | ' | ' | ||
Securities purchased under agreements to resell | 32,000,000,000 | 12,000,000,000 | ' | ' | ||
Office buildings, land, equipment and facilities | 12,000,000,000 | 17,000,000,000 | ' | ' | ||
Other | 70,000,000,000 | [1] | 64,000,000,000 | [1] | ' | ' |
Total | 883,000,000,000 | 801,000,000,000 | ' | ' | ||
Trading liabilities | ' | ' | ' | ' | ||
Debt securities | 33,000,000,000 | 6,000,000,000 | ' | ' | ||
Derivatives | 9,000,000,000 | 15,000,000,000 | ' | ' | ||
Securities sold under agreements to repurchase | 23,000,000,000 | 4,000,000,000 | ' | ' | ||
Borrowings | ' | ' | ' | ' | ||
Long-term borrowings | 424,000,000,000 | 458,000,000,000 | ' | ' | ||
Other | 4,000,000,000 | 7,000,000,000 | ' | ' | ||
Total | ¥ 493,000,000,000 | ¥ 490,000,000,000 | ' | ' | ||
[1] | Includes aircraft purchase deposits of \16 billion and \5 billion as of March 31, 2013 and 2014, respectively. In relation to these aircraft purchase deposits, certain of these SPEs have commitments to purchase aircraft. See Note 23 "Commitments, contingencies and guarantees" for further information. |
Securitizations_and_Variable_I8
Securitizations and Variable Interest Entities - Classification of Consolidated VIEs' Assets and Liabilities (Parenthetical) (Detail) (Variable Interest Entity, primary beneficiary [Member], JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Billions, unless otherwise specified | ||
Variable Interest Entity, primary beneficiary [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Aircraft purchase deposits | ¥ 5 | ¥ 16 |
Securitizations_and_Variable_I9
Securitizations and Variable Interest Entities - Carrying Amount of Assets and Liabilities of Unconsolidated VIEs (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Billions, unless otherwise specified | ||
Variable Interest Entity [Line Items] | ' | ' |
Carrying amount of variable interests, Assets | ¥ 2,975 | ¥ 3,363 |
Carrying amount of variable interests, Liabilities | ' | ' |
Maximum exposure to loss to unconsolidated VIEs | 3,028 | 3,414 |
Equities [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Carrying amount of variable interests, Assets | 67 | 65 |
Carrying amount of variable interests, Liabilities | ' | ' |
Maximum exposure to loss to unconsolidated VIEs | 67 | 65 |
Debt securities [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Carrying amount of variable interests, Assets | 211 | 173 |
Carrying amount of variable interests, Liabilities | ' | ' |
Maximum exposure to loss to unconsolidated VIEs | 211 | 173 |
Mortgage and mortgage-backed securities [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Carrying amount of variable interests, Assets | 2,308 | 2,843 |
Carrying amount of variable interests, Liabilities | ' | ' |
Maximum exposure to loss to unconsolidated VIEs | 2,308 | 2,843 |
Investment trust funds and other [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Carrying amount of variable interests, Assets | 185 | 161 |
Carrying amount of variable interests, Liabilities | ' | ' |
Maximum exposure to loss to unconsolidated VIEs | 185 | 161 |
Derivatives [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Carrying amount of variable interests, Assets | 0 | 0 |
Carrying amount of variable interests, Liabilities | ' | ' |
Maximum exposure to loss to unconsolidated VIEs | 4 | 18 |
Private equity investments [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Carrying amount of variable interests, Assets | 25 | 28 |
Carrying amount of variable interests, Liabilities | ' | ' |
Maximum exposure to loss to unconsolidated VIEs | 25 | 28 |
Short-term loans [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Carrying amount of variable interests, Assets | 11 | 7 |
Carrying amount of variable interests, Liabilities | ' | ' |
Maximum exposure to loss to unconsolidated VIEs | 11 | 7 |
Long-term loans [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Carrying amount of variable interests, Assets | 164 | 82 |
Carrying amount of variable interests, Liabilities | ' | ' |
Maximum exposure to loss to unconsolidated VIEs | 164 | 82 |
Other assets [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Carrying amount of variable interests, Assets | 4 | 4 |
Carrying amount of variable interests, Liabilities | ' | ' |
Maximum exposure to loss to unconsolidated VIEs | 4 | 4 |
Commitments to extend credit and other guarantees [Member] | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Carrying amount of variable interests, Assets | ' | ' |
Carrying amount of variable interests, Liabilities | ' | ' |
Maximum exposure to loss to unconsolidated VIEs | ¥ 49 | ¥ 33 |
Financing_receivables_Summary_
Financing receivables - Summary of Loans Receivable Reported Within Loans Receivable or Investments in and Advances to Affiliated Companies (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Schedule Of Financing Receivables [Line Items] | ' | ' | ||
Carried at amortized cost | ¥ 1,023,919 | ¥ 1,051,445 | ||
Carried at fair value | 303,956 | [1] | 524,049 | [1] |
Total | 1,327,875 | 1,575,494 | ||
Affiliated companies | ' | ' | ||
Schedule Of Financing Receivables [Line Items] | ' | ' | ||
Carried at amortized cost | 5,797 | 12,376 | ||
Carried at fair value | ' | ' | ||
Total | 5,797 | 12,376 | ||
Total | ' | ' | ||
Schedule Of Financing Receivables [Line Items] | ' | ' | ||
Carried at amortized cost | 1,029,716 | 1,063,821 | ||
Carried at fair value | 303,956 | [1] | 524,049 | [1] |
Total | 1,333,672 | 1,587,870 | ||
Loans at banks [Member] | ' | ' | ||
Schedule Of Financing Receivables [Line Items] | ' | ' | ||
Carried at amortized cost | 274,966 | 263,608 | ||
Carried at fair value | 44 | [1] | 153 | [1] |
Total | 275,010 | 263,761 | ||
Short-term secured margin loans [Member] | ' | ' | ||
Schedule Of Financing Receivables [Line Items] | ' | ' | ||
Carried at amortized cost | 421,809 | 288,574 | ||
Carried at fair value | ' | ' | ||
Total | 421,809 | 288,574 | ||
Inter-bank money market loans [Member] | ' | ' | ||
Schedule Of Financing Receivables [Line Items] | ' | ' | ||
Carried at amortized cost | 42,885 | 76,968 | ||
Carried at fair value | ' | ' | ||
Total | 42,885 | 76,968 | ||
Corporate loans [Member] | ' | ' | ||
Schedule Of Financing Receivables [Line Items] | ' | ' | ||
Carried at amortized cost | 284,259 | 422,295 | ||
Carried at fair value | 303,912 | [1] | 523,896 | [1] |
Total | ¥ 588,171 | ¥ 946,191 | ||
[1] | Includes loans receivable and loan commitments carried at fair value through election of the fair value option. |
Financing_receivables_Addition
Financing receivables - Additional Information (Detail) (JPY ¥) | 12 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Financing receivables | ' | ' |
Purchases of secured corporate loans | ¥ 92,760 | ' |
Amount of nonaccrual status loan | ¥ 6,022 | ¥ 5,855 |
Financing_receivables_Changes_
Financing receivables - Changes in Allowance for Losses for Current Period (Detail) (JPY ¥) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | |||
Allowance for loan losses, Balance at beginning of year | ¥ 939 | ¥ 3,385 | ¥ 3,809 | |||
Allowance for loan losses, Provision for losses | -89 | -2,401 | -350 | |||
Allowance for loan losses, Charge-offs | -2 | -38 | -2 | |||
Allowance for loan losses, Other | 0 | [1] | -7 | [1] | -72 | [1] |
Allowance for loan losses, Balance at end of year | 848 | 939 | 3,385 | |||
Allowance for receivables other than loans, Balance at beginning of year | 1,319 | 1,503 | 1,051 | |||
Allowance for receivables other than loans, Provision for losses | 960 | -13 | 20 | |||
Allowance for receivables other than loans, Charge-offs | -146 | ' | -1 | |||
Allowance for receivables other than loans, Other | 28 | [1] | -171 | [1] | 433 | [1] |
Allowance for receivables other than loans, Balance at end of year | 2,161 | 1,319 | 1,503 | |||
Total allowance for doubtful accounts, Balance at beginning of year | 2,258 | 4,888 | 4,860 | |||
Total allowance for doubtful accounts, Provision for losses | 871 | -2,414 | -330 | |||
Total allowance for doubtful accounts, Charge-offs | -148 | -38 | -3 | |||
Total allowance for doubtful accounts, Other | 28 | [1] | -178 | [1] | 361 | [1] |
Total allowance for doubtful accounts, Balance at end of year | 3,009 | 2,258 | 4,888 | |||
Loans at banks [Member] | ' | ' | ' | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | |||
Allowance for loan losses, Balance at beginning of year | 789 | 552 | 339 | |||
Allowance for loan losses, Provision for losses | -109 | 238 | 213 | |||
Allowance for loan losses, Charge-offs | -2 | -1 | ' | |||
Allowance for loan losses, Other | 0 | [1] | ' | ' | ||
Allowance for loan losses, Balance at end of year | 678 | 789 | 552 | |||
Short-term secured margin loans [Member] | ' | ' | ' | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | |||
Allowance for loan losses, Balance at beginning of year | 26 | 24 | 37 | |||
Allowance for loan losses, Provision for losses | 61 | 13 | -11 | |||
Allowance for loan losses, Charge-offs | ' | -11 | -2 | |||
Allowance for loan losses, Other | ' | 0 | [1] | 0 | [1] | |
Allowance for loan losses, Balance at end of year | 87 | 26 | 24 | |||
Inter-bank money market loans [Member] | ' | ' | ' | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | |||
Allowance for loan losses, Balance at beginning of year | ' | ' | ' | |||
Allowance for loan losses, Provision for losses | ' | ' | ' | |||
Allowance for loan losses, Charge-offs | ' | ' | ' | |||
Allowance for loan losses, Other | ' | ' | ' | |||
Allowance for loan losses, Balance at end of year | ' | ' | ' | |||
Corporate loans [Member] | ' | ' | ' | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | |||
Allowance for loan losses, Balance at beginning of year | 95 | 2,758 | 3,422 | |||
Allowance for loan losses, Provision for losses | -13 | -2,630 | -592 | |||
Allowance for loan losses, Charge-offs | ' | -26 | ' | |||
Allowance for loan losses, Other | 0 | [1] | -7 | [1] | -72 | [1] |
Allowance for loan losses, Balance at end of year | 82 | 95 | 2,758 | |||
Advances to affiliated companies [Member] | ' | ' | ' | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | |||
Allowance for loan losses, Balance at beginning of year | 29 | 51 | 11 | |||
Allowance for loan losses, Provision for losses | -28 | -22 | 40 | |||
Allowance for loan losses, Charge-offs | ' | ' | ' | |||
Allowance for loan losses, Other | ' | ' | ' | |||
Allowance for loan losses, Balance at end of year | ¥ 1 | ¥ 29 | ¥ 51 | |||
[1] | Includes the effect of foreign exchange movements. |
Financing_receivables_Schedule
Financing receivables - Schedule of Allowance for Loan Losses and Loans by Impairment Methodology and Type of Loans (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2011 |
In Millions, unless otherwise specified | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Allowance by impairment methodology, Evaluated individually | ¥ 10 | ¥ 13 | ' | ' |
Allowance by impairment methodology, Evaluated collectively | 838 | 926 | ' | ' |
Total allowance for loan losses | 848 | 939 | 3,385 | 3,809 |
Loans by impairment methodology, Evaluated individually | 427,239 | 578,713 | ' | ' |
Loans by impairment methodology, Evaluated collectively | 602,477 | 485,108 | ' | ' |
Total loans | 1,029,716 | 1,063,821 | ' | ' |
Loans at banks [Member] | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Allowance by impairment methodology, Evaluated individually | 3 | 6 | ' | ' |
Allowance by impairment methodology, Evaluated collectively | 675 | 783 | ' | ' |
Total allowance for loan losses | 678 | 789 | 552 | 339 |
Loans by impairment methodology, Evaluated individually | 4,374 | 76 | ' | ' |
Loans by impairment methodology, Evaluated collectively | 270,592 | 263,532 | ' | ' |
Total loans | 274,966 | 263,608 | ' | ' |
Short-term secured margin loans [Member] | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Allowance by impairment methodology, Evaluated individually | ' | ' | ' | ' |
Allowance by impairment methodology, Evaluated collectively | 87 | 26 | ' | ' |
Total allowance for loan losses | 87 | 26 | 24 | 37 |
Loans by impairment methodology, Evaluated individually | 103,345 | 83,399 | ' | ' |
Loans by impairment methodology, Evaluated collectively | 318,464 | 205,175 | ' | ' |
Total loans | 421,809 | 288,574 | ' | ' |
Inter-bank money market loans [Member] | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Allowance by impairment methodology, Evaluated individually | ' | ' | ' | ' |
Allowance by impairment methodology, Evaluated collectively | ' | ' | ' | ' |
Total allowance for loan losses | ' | ' | ' | ' |
Loans by impairment methodology, Evaluated individually | 42,885 | 76,968 | ' | ' |
Loans by impairment methodology, Evaluated collectively | ' | ' | ' | ' |
Total loans | 42,885 | 76,968 | ' | ' |
Corporate loans [Member] | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Allowance by impairment methodology, Evaluated individually | 7 | 7 | ' | ' |
Allowance by impairment methodology, Evaluated collectively | 75 | 88 | ' | ' |
Total allowance for loan losses | 82 | 95 | 2,758 | 3,422 |
Loans by impairment methodology, Evaluated individually | 275,753 | 412,675 | ' | ' |
Loans by impairment methodology, Evaluated collectively | 8,506 | 9,620 | ' | ' |
Total loans | 284,259 | 422,295 | ' | ' |
Advances to affiliated companies [Member] | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' |
Allowance by impairment methodology, Evaluated individually | ' | ' | ' | ' |
Allowance by impairment methodology, Evaluated collectively | 1 | 29 | ' | ' |
Total allowance for loan losses | 1 | 29 | 51 | 11 |
Loans by impairment methodology, Evaluated individually | 882 | 5,595 | ' | ' |
Loans by impairment methodology, Evaluated collectively | 4,915 | 6,781 | ' | ' |
Total loans | ¥ 5,797 | ¥ 12,376 | ' | ' |
Financing_receivables_Analysis
Financing receivables - Analysis of Each Class of Loans Not Carried at Fair Value Using Nomura's Internal Ratings or Equivalent Credit Quality Indicators (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ¥ 1,029,716 | ¥ 1,063,821 | ||
Secured loans at banks [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 166,765 | 169,233 | ||
Unsecured loans at banks [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 108,201 | 94,375 | ||
Short-term secured margin loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 421,809 | 288,574 | ||
Secured inter-bank money market loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 12,885 | 1,968 | ||
Unsecured inter-bank money market loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 30,000 | 75,000 | ||
Secured corporate loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 251,100 | 395,933 | ||
Unsecured corporate loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 33,159 | 26,362 | ||
Advances to affiliated companies [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 5,797 | 12,376 | ||
AAA-BBB [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 394,052 | 502,403 | ||
AAA-BBB [Member] | Secured loans at banks [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 98,356 | 105,199 | ||
AAA-BBB [Member] | Unsecured loans at banks [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 108,199 | 93,266 | ||
AAA-BBB [Member] | Short-term secured margin loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
AAA-BBB [Member] | Secured inter-bank money market loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 12,885 | 1,968 | ||
AAA-BBB [Member] | Unsecured inter-bank money market loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 30,000 | 75,000 | ||
AAA-BBB [Member] | Secured corporate loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 136,302 | 220,189 | ||
AAA-BBB [Member] | Unsecured corporate loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 3,395 | ' | ||
AAA-BBB [Member] | Advances to affiliated companies [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 4,915 | 6,781 | ||
BB-CCC [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 168,306 | 223,023 | ||
BB-CCC [Member] | Secured loans at banks [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 33,669 | 30,826 | ||
BB-CCC [Member] | Unsecured loans at banks [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | 1,103 | ||
BB-CCC [Member] | Short-term secured margin loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
BB-CCC [Member] | Secured inter-bank money market loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
BB-CCC [Member] | Unsecured inter-bank money market loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
BB-CCC [Member] | Secured corporate loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 107,141 | 164,205 | ||
BB-CCC [Member] | Unsecured corporate loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 26,902 | 26,362 | ||
BB-CCC [Member] | Advances to affiliated companies [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 594 | 527 | ||
CC-D [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 5,721 | 7,975 | ||
CC-D [Member] | Secured loans at banks [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
CC-D [Member] | Unsecured loans at banks [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 2 | 6 | ||
CC-D [Member] | Short-term secured margin loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
CC-D [Member] | Secured inter-bank money market loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
CC-D [Member] | Unsecured inter-bank money market loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
CC-D [Member] | Secured corporate loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 5,719 | 7,969 | ||
CC-D [Member] | Unsecured corporate loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
CC-D [Member] | Advances to affiliated companies [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
Others [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 461,637 | [1] | 330,420 | [1] |
Others [Member] | Secured loans at banks [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 34,740 | [1] | 33,208 | [1] |
Others [Member] | Unsecured loans at banks [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
Others [Member] | Short-term secured margin loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 421,809 | [1] | 288,574 | [1] |
Others [Member] | Secured inter-bank money market loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
Others [Member] | Unsecured inter-bank money market loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ' | ' | ||
Others [Member] | Secured corporate loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 1,938 | [1] | 3,570 | [1] |
Others [Member] | Unsecured corporate loans [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | 2,862 | [1] | ' | |
Others [Member] | Advances to affiliated companies [Member] | ' | ' | ||
Financing receivable, recorded investment [Line items] | ' | ' | ||
Loans receivable gross | ¥ 288 | [1] | ¥ 5,068 | [1] |
[1] | Relate to collateralized exposures where a specified ratio of LTV is maintained. |
Leases_Lease_Deposits_and_Rent
Leases - Lease Deposits and Rents Received from NRI (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Leases | ' | ' | ' |
Lease deposits | ' | ' | ¥ 11,738 |
Rental income | ' | ¥ 4,272 | ¥ 3,848 |
Leases_Assets_by_Type_Which_No
Leases - Assets by Type Which Nomura Leases on Operating Leases (Detail) (JPY ¥) | Mar. 31, 2014 | |
In Millions, unless otherwise specified | ||
Leases [Line Items] | ' | |
Cost | ¥ 11,716 | |
Accumulated depreciation | -2,288 | |
Net carrying amount | 9,428 | |
Real estate [Member] | ' | |
Leases [Line Items] | ' | |
Cost | 3,447 | [1] |
Accumulated depreciation | -1,334 | [1] |
Net carrying amount | 2,113 | [1] |
Aircraft [Member] | ' | |
Leases [Line Items] | ' | |
Cost | 8,269 | |
Accumulated depreciation | -954 | |
Net carrying amount | ¥ 7,315 | |
[1] | Cost, accumulated depreciation and net carrying amounts include amounts relating to real estate space utilized by Nomura. |
Leases_Additional_Information_
Leases - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Leases | ' | ' | ' |
Recognized rental income | ¥ 1,579 | ¥ 78,667 | ¥ 66,180 |
Future minimum lease payments to be received | 5,449 | ' | ' |
Rental expenses, net of sublease rental income | 46,600 | 46,975 | 43,536 |
Capital lease assets | 33,294 | 27,624 | ' |
Accumulated depreciation on capital lease assets | ¥ 4,579 | ¥ 3,454 | ' |
Leases_Schedule_of_Future_Mini
Leases - Schedule of Future Minimum Lease Payments to be Received on Non-Cancelable Operating Leases (Detail) (JPY ¥) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Leases | ' |
Minimum lease payments to be received, Total | ¥ 5,449 |
Minimum lease payments to be received, Less than 1 year | 887 |
Minimum lease payments to be received, 1 to 2 years | 814 |
Minimum lease payments to be received, 2 to 3 years | 813 |
Minimum lease payments to be received, 3 to 4 years | 489 |
Minimum lease payments to be received, 4 to 5 years | 486 |
Minimum lease payments to be received, More than 5 years | ¥ 1,960 |
Leases_Lease_Deposits_and_Rent1
Leases - Lease Deposits and Rents Paid to NLB (Detail) (JPY ¥) | 12 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Leases | ' | ' | ' | |
Lease deposits | ' | ' | ' | |
Rental expenses | ' | ' | ¥ 622 | [1] |
[1] | Rental expenses for the year ended March 31, 2012 were those paid to NLB for the period before NLB was consolidated. |
Leases_Schedule_of_Future_Mini1
Leases - Schedule of Future Minimum Lease Payments under Non-Cancelable Operating Leases with Remaining Terms Exceeding One Year (Detail) (JPY ¥) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Leases | ' |
Total minimum lease payments | ¥ 149,942 |
Less: Sublease rental income | -8,424 |
Net minimum lease payments | ¥ 141,518 |
Leases_Schedule_of_Future_Mini2
Leases - Schedule of Future Minimum Lease Payments under Non-Cancelable Operating Leases for Current Period (Detail) (JPY ¥) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Leases | ' |
Minimum lease payments, Total | ¥ 149,942 |
Minimum lease payments, Less than 1 year | 18,310 |
Minimum lease payments, 1 to 2 years | 16,461 |
Minimum lease payments, 2 to 3 years | 12,456 |
Minimum lease payments, 3 to 4 years | 11,707 |
Minimum lease payments, 4 to 5 years | 10,931 |
Minimum lease payments, More than 5 years | ¥ 80,077 |
Leases_Schedule_of_Future_Mini3
Leases - Schedule of Future Minimum Lease Payments under Capital Leases (Detail) (JPY ¥) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Leases | ' |
Total minimum lease payments | ¥ 64,100 |
Less: Amount representing interest | -34,131 |
Present value of net lease payments | ¥ 29,969 |
Leases_Schedule_of_Future_Mini4
Leases - Schedule of Future Minimum Lease Payments under Capital Leases for Current Period (Detail) (JPY ¥) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Leases | ' |
Minimum lease payments, Total | ¥ 64,100 |
Minimum lease payments, Less than 1 year | 509 |
Minimum lease payments, 1 to 2 years | 3,585 |
Minimum lease payments, 2 to 3 years | 4,193 |
Minimum lease payments, 3 to 4 years | 4,121 |
Minimum lease payments, 4 to 5 years | 3,994 |
Minimum lease payments, More than 5 years | ¥ 47,698 |
Business_combinations_Addition
Business combinations - Additional Information (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2012 |
In Millions, except Share data, unless otherwise specified | Nomura Land and Building Co., Ltd. [Member] | Nomura Land and Building Co., Ltd. [Member] | ||
Business Acquisition [Line Items] | ' | ' | ' | ' |
Agreement entered, date | ' | ' | ' | 13-May-11 |
Effective date of Share Exchange Agreement | ' | ' | ' | 1-Jul-11 |
Acquired additional issued shares, percentage | ' | ' | ' | 39.00% |
Date of Share Purchases | ' | ' | ' | 24-May-11 |
Total payment in relation to Share Purchases | ' | ' | ' | ¥ 37,620 |
Gain from bargain purchase | ' | ' | ' | 44,963 |
Percentage of outstanding shares | ' | ' | ' | 38.50% |
Loss from change in fair value of equity investments | ' | ' | ' | 16,555 |
Equity investments remeasured at fair value | ' | ' | ' | 38,379 |
Loss from equity investments remeasured at fair value | ' | ' | ' | 4,109 |
Revenues generated | ' | ' | ' | 488,536 |
Net income (loss) on Share Purchases | ' | ' | ' | 5,107 |
Common shares allotted for each share | ' | ' | ' | 118 |
Common shares issued | 3,822,562,601 | 3,822,562,601 | ' | 103,429,360 |
Revenues from real estate sales | ' | ' | 336,858 | 251,377 |
Costs of real estate sales | ' | ' | ¥ 306,570 | ¥ 226,450 |
Business_combinations_Summary_
Business combinations - Summary of Fair Value of Assets Acquired and Liabilities Assumed (Detail) (JPY ¥) | Mar. 31, 2012 | |
In Millions, unless otherwise specified | ||
Assets | ' | |
Cash and cash deposits | ¥ 78,634 | |
Loans receivable | 54,023 | [1] |
Receivables from other than customers | 12,865 | |
Office buildings, land, equipment and facilities | 715,683 | |
Intangible assets | 60,048 | [2] |
Assets other than above | 1,290,121 | [3] |
Total assets | 2,211,374 | |
Liabilities: | ' | |
Short-term borrowings | 82,800 | |
Long-term borrowings | 952,932 | |
Liabilities other than above | 748,889 | |
Total liabilities | 1,784,621 | |
Equity attributable to NHI shareholders | 120,962 | |
Noncontrolling interests of NLB | 22,397 | [4] |
Noncontrolling interests attributable to other than shareholders of NLB | 283,394 | [5] |
Acquisition costs and fair value of previously held equity investments | 75,999 | |
Goodwill | ¥ (44,963) | |
[1] | Fair Value is based on the difference between the gross contractual amounts receivable of \54,131 million and the estimate of the contractual cash flows not expected to be collected of \108 million. | |
[2] | Includes finite-lived intangible assets related to client contracts and lease agreements which are amortized based on a weighted-average amortization period of nine years with no estimated residual value. | |
[3] | Includes real estate classified as held for sale. | |
[4] | Fair Value is based on the acquisition cost of the Share Purchases. | |
[5] | Fair Value is based on either the market value or the net asset value as of the date of acquisition. |
Business_combinations_Summary_1
Business combinations - Summary of Fair Value of Assets Acquired and Liabilities Assumed (Parenthetical) (Detail) (JPY ¥) | 12 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2012 |
Business combinations | ' |
Gross contractual amounts receivable | ¥ 54,131 |
Estimate of the contractual cash flows not expected to be collected | ¥ 108 |
Weighted-average amortization period of intangible assets | '9 years |
Business_combinations_Summary_2
Business combinations - Summary of Pro-Forma Financial Information (Detail) (JPY ¥) | 12 Months Ended |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2012 |
Business combinations | ' |
Total revenue | ¥ 1,892,851 |
Net income (loss) attributable to NHI shareholders | ¥ (13,951) |
Basic net income (loss) attributable to NHI shareholders per share | ¥ (3.83) |
Diluted net income (loss) attributable to NHI shareholders per share | ¥ (3.83) |
Other_assetsOther_Other_liabil2
Other assets-Other / Other liabilities - Schedule of Other Assets-Other and Other Liabilities (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Other assets-Other: | ' | ' | ||
Securities received as collateral | ¥ 236,808 | ¥ 47,739 | ||
Goodwill and other intangible assets | 115,143 | 115,661 | ||
Deferred tax assets | 22,018 | 145,602 | ||
Investments in equity securities for other than operating purposes | 133,742 | [1] | 71,813 | [1] |
Other | 276,463 | 221,344 | ||
Other assets-Other, Total | 784,174 | 602,159 | ||
Other liabilities: | ' | ' | ||
Obligation to return securities received as collateral | 236,808 | 47,739 | ||
Accrued income taxes | 31,630 | 56,353 | ||
Other accrued expenses and provisions | 396,677 | 402,192 | ||
Other | 476,635 | [2] | 471,879 | [2] |
Other liabilities, Total | ¥ 1,141,750 | ¥ 978,163 | ||
[1] | Includes marketable and non-marketable equity securities held for other than trading or operating purposes. These investments were comprised of listed equity securities and unlisted equity securities of \50,930 million and \20,883 million respectively, as of March 31, 2013, and \114,582 million and \19,160 million respectively, as of March 31, 2014. These securities are carried at fair value, with changes in fair value recognized within Revenue-other in the consolidated statements of income. | |||
[2] | Includes liabilities relating to investment contracts underwritten by Nomura's insurance subsidiary. As of March 31, 2013 and 2014, carrying values were \281,864 million and \270,950 million, respectively, and estimated fair values were \285,914 million and \274,991 million, respectively. Fair value was estimated using DCF valuation technique and using valuation inputs which would be generally classified in Level 3 of the fair value hierarchy. |
Other_assetsOther_Other_liabil3
Other assets-Other / Other liabilities - Schedule of Other Assets-Other and Other Liabilities (Parenthetical) (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Other Assets Other And Other Liabilities [Line Items] | ' | ' | ||
Investments in equity securities for other than operating purposes | ¥ 133,742 | [1] | ¥ 71,813 | [1] |
Carrying value of investment contracts underwritten | 270,950 | 281,864 | ||
Estimated fair value of investment contracts underwritten | 274,991 | 285,914 | ||
Listed equity securities [Member] | ' | ' | ||
Other Assets Other And Other Liabilities [Line Items] | ' | ' | ||
Investments in equity securities for other than operating purposes | 114,582 | 50,930 | ||
Unlisted equity securities [Member] | ' | ' | ||
Other Assets Other And Other Liabilities [Line Items] | ' | ' | ||
Investments in equity securities for other than operating purposes | ¥ 19,160 | ¥ 20,883 | ||
[1] | Includes marketable and non-marketable equity securities held for other than trading or operating purposes. These investments were comprised of listed equity securities and unlisted equity securities of \50,930 million and \20,883 million respectively, as of March 31, 2013, and \114,582 million and \19,160 million respectively, as of March 31, 2014. These securities are carried at fair value, with changes in fair value recognized within Revenue-other in the consolidated statements of income. |
Other_assetsOther_Other_liabil4
Other assets-Other / Other liabilities - Schedule of Changes In Goodwill Within Other Assets-Other (Detail) (JPY ¥) | 12 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | ||
Goodwill [Line Items] | ' | ' | ||
Gross carrying amount, Beginning of year | ¥ 85,273 | ¥ 75,162 | ||
Accumulated Impairment, Beginning of year | -11,031 | -1,128 | ||
Net carrying amount, Beginning of year | 74,242 | 74,034 | ||
Impairment, Changes during year | -2,840 | [1] | -8,293 | [1] |
Other, Changes during year | 6,335 | [2] | 8,501 | [2] |
Gross carrying amount, End of year | 92,500 | 85,273 | ||
Accumulated Impairment, End of year | -14,763 | -11,031 | ||
Net carrying amount, End of year | 77,737 | 74,242 | ||
Wholesale [Member] | ' | ' | ||
Goodwill [Line Items] | ' | ' | ||
Gross carrying amount, Beginning of year | 79,249 | 69,846 | ||
Accumulated Impairment, Beginning of year | -11,031 | -1,128 | ||
Net carrying amount, Beginning of year | 68,218 | 68,718 | ||
Impairment, Changes during year | ' | -8,293 | [1] | |
Other, Changes during year | 5,916 | [2] | 7,793 | [2] |
Gross carrying amount, End of year | 85,951 | 79,249 | ||
Accumulated Impairment, End of year | -11,817 | -11,031 | ||
Net carrying amount, End of year | 74,134 | 68,218 | ||
Other [Member] | ' | ' | ||
Goodwill [Line Items] | ' | ' | ||
Gross carrying amount, Beginning of year | 6,024 | 5,316 | ||
Accumulated Impairment, Beginning of year | ' | ' | ||
Net carrying amount, Beginning of year | 6,024 | 5,316 | ||
Impairment, Changes during year | -2,840 | [1] | ' | |
Other, Changes during year | 419 | [2] | 708 | [2] |
Gross carrying amount, End of year | 6,549 | 6,024 | ||
Accumulated Impairment, End of year | -2,946 | ' | ||
Net carrying amount, End of year | ¥ 3,603 | ¥ 6,024 | ||
[1] | For the year ended March 31, 2013, Nomura recognized an impairment loss on goodwill of \8,293 million within the Wholesale segment. This is due to a decline in fair value of a reporting unit in the Wholesale segment caused by the prolonged economic downturn. For the year ended March 31, 2014, Nomura recognized a impairment loss on goodwill of \2,840 million within Other in Nomura's segment information. This is due to a decline in fair value of a reporting unit caused by the decrease in expected cash flows arising from the changes in the economic environment. These impairment losses were recorded within Non-interest expenses-Other in the consolidated statements of income. The fair values were determined based on a DCF method. | |||
[2] | Includes currency translation adjustments. |
Other_assetsOther_Other_liabil5
Other assets-Other / Other liabilities - Schedule of Changes In Goodwill Within Other Assets-Other (Parenthetical) (Detail) (JPY ¥) | 12 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' | ||
Impairment loss on goodwill within Non-interest expenses-Other | ¥ 2,840 | [1] | ¥ 8,293 | [1] |
Wholesale [Member] | ' | ' | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' | ||
Impairment loss on goodwill within Non-interest expenses-Other | ' | 8,293 | [1] | |
Other [Member] | ' | ' | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' | ||
Impairment loss on goodwill within Non-interest expenses-Other | ¥ 2,840 | [1] | ' | |
[1] | For the year ended March 31, 2013, Nomura recognized an impairment loss on goodwill of \8,293 million within the Wholesale segment. This is due to a decline in fair value of a reporting unit in the Wholesale segment caused by the prolonged economic downturn. For the year ended March 31, 2014, Nomura recognized a impairment loss on goodwill of \2,840 million within Other in Nomura's segment information. This is due to a decline in fair value of a reporting unit caused by the decrease in expected cash flows arising from the changes in the economic environment. These impairment losses were recorded within Non-interest expenses-Other in the consolidated statements of income. The fair values were determined based on a DCF method. |
Other_assetsOther_Other_liabil6
Other assets-Other / Other liabilities - Schedule of finite-lived intangible assets by type (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Millions, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross carrying amount | ¥ 64,904 | ¥ 63,230 |
Accumulated amortization | -35,878 | -30,367 |
Net carrying amount | 29,026 | 32,863 |
Client relationships [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross carrying amount | 64,214 | 62,586 |
Accumulated amortization | -35,641 | -30,187 |
Net carrying amount | 28,573 | 32,399 |
Other [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross carrying amount | 690 | 644 |
Accumulated amortization | -237 | -180 |
Net carrying amount | ¥ 453 | ¥ 464 |
Other_assetsOther_Other_liabil7
Other assets-Other / Other liabilities - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Other assets-Other / Other liabilities | ' | ' | ' |
Amortization expenses | ¥ 5,423 | ¥ 9,976 | ¥ 19,129 |
Indefinite-lived intangibles | ¥ 8,380 | ¥ 8,556 | ' |
Other_assetsOther_Other_liabil8
Other assets-Other / Other liabilities - Estimated Amortization Expenses for Next Five Years (Detail) (JPY ¥) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Other assets-Other / Other liabilities | ' |
2015 | ¥ 5,375 |
2016 | 4,856 |
2017 | 4,550 |
2018 | 4,474 |
2019 | ¥ 3,342 |
Borrowings_ShortTerm_and_LongT
Borrowings - Short-Term and Long-Term Borrowings (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Short-term borrowings [Abstract] | ' | ' | ||
Total | ¥ 602,131 | [1] | ¥ 738,445 | [1] |
Long-term borrowings [Abstract] | ' | ' | ||
Long-term borrowings from banks and other financial institutions | 2,787,729 | [2] | 2,631,019 | [2] |
Bonds and notes issued | 5,257,772 | [3] | 4,783,959 | [3] |
Subtotal | 8,045,501 | 7,414,978 | ||
Trading balances of secured borrowings | 181,562 | 177,390 | ||
Total | 8,227,063 | 7,592,368 | ||
Fixed-rate obligations [Member] | Japanese yen denominated [Member] | ' | ' | ||
Long-term borrowings [Abstract] | ' | ' | ||
Bonds and notes issued | 1,432,388 | [3] | 1,303,757 | [3] |
Fixed-rate obligations [Member] | Non-Japanese yen denominated [Member] | ' | ' | ||
Long-term borrowings [Abstract] | ' | ' | ||
Bonds and notes issued | 1,340,495 | [3] | 1,079,275 | [3] |
Floating-rate obligations [Member] | Japanese yen denominated [Member] | ' | ' | ||
Long-term borrowings [Abstract] | ' | ' | ||
Bonds and notes issued | 324,279 | [3] | 390,261 | [3] |
Floating-rate obligations [Member] | Non-Japanese yen denominated [Member] | ' | ' | ||
Long-term borrowings [Abstract] | ' | ' | ||
Bonds and notes issued | 85,805 | [3] | 69,286 | [3] |
Index / Equity-linked obligations [Member] | Japanese yen denominated [Member] | ' | ' | ||
Long-term borrowings [Abstract] | ' | ' | ||
Bonds and notes issued | 1,367,051 | [3] | 1,296,966 | [3] |
Index / Equity-linked obligations [Member] | Non-Japanese yen denominated [Member] | ' | ' | ||
Long-term borrowings [Abstract] | ' | ' | ||
Bonds and notes issued | 707,754 | [3] | 644,414 | [3] |
Short-term borrowings [Member] | ' | ' | ||
Short-term borrowings [Abstract] | ' | ' | ||
Commercial paper | 246,866 | [1] | 296,656 | [1] |
Bank borrowings | 303,583 | [1] | 344,983 | [1] |
Other | ¥ 51,682 | [1] | ¥ 96,806 | [1] |
[1] | Includes secured borrowings of \13,779 million as of March 31, 2013 and \10,715 million as of March 31, 2014. | |||
[2] | Includes secured borrowings of \3,039 million as of March 31, 2013 and \139,270 million as of March 31, 2014. | |||
[3] | Includes secured borrowings of \458,342 million as of March 31, 2013 and \423,994 million as of March 31, 2014. |
Borrowings_ShortTerm_and_LongT1
Borrowings - Short-Term and Long-Term Borrowings (Parenthetical) (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Millions, unless otherwise specified | ||
Long-term borrowings from banks and other financial institutions [Member] | ' | ' |
Schedule of Borrowings [Line Items] | ' | ' |
Secured borrowings | ¥ 139,270 | ¥ 3,039 |
Bonds and notes issued [Member] | ' | ' |
Schedule of Borrowings [Line Items] | ' | ' |
Secured borrowings | 423,994 | 458,342 |
Short-term borrowings [Member] | ' | ' |
Schedule of Borrowings [Line Items] | ' | ' |
Secured borrowings | ¥ 10,715 | ¥ 13,779 |
Borrowings_LongTerm_Borrowings
Borrowings - Long-Term Borrowings (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Borrowings | ' | ' | ||
Debt issued by the Company | ¥ 3,823,410 | ¥ 3,509,117 | ||
Debt issued by subsidiaries-guaranteed by the Company | 2,372,412 | 2,207,268 | ||
Debt issued by subsidiaries-not guaranteed by the Company | 2,031,241 | [1] | 1,875,983 | [1] |
Total | ¥ 8,227,063 | ¥ 7,592,368 | ||
[1] | Includes trading balances of secured borrowings. |
Borrowings_Additional_Informat
Borrowings - Additional Information (Detail) (JPY ¥) | 12 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Schedule of Borrowings [Line Items] | ' | ' |
Unutilized borrowing facilities | 65,000 | 77,935 |
Subordinated borrowings | 509,210 | 562,137 |
Fixed-rate obligations [Member] | ' | ' |
Schedule of Borrowings [Line Items] | ' | ' |
Long-term borrowings, Maturities start period | '2014 | '2013 |
Long-term borrowings, Maturities end period | '2043 | '2042 |
Long-term borrowings, Minimum interest rate | 0.00% | 0.00% |
Long-term borrowings, Maximum interest rate | 12.66% | 11.00% |
Floating-rate obligations [Member] | ' | ' |
Schedule of Borrowings [Line Items] | ' | ' |
Long-term borrowings, Maturities start period | '2014 | '2013 |
Long-term borrowings, Maturities end period | '2052 | '2052 |
Long-term borrowings, Minimum interest rate | 0.00% | 0.00% |
Long-term borrowings, Maximum interest rate | 6.18% | 5.29% |
Index / Equity-linked obligations [Member] | ' | ' |
Schedule of Borrowings [Line Items] | ' | ' |
Long-term borrowings, Maturities start period | '2014 | '2013 |
Long-term borrowings, Maturities end period | '2044 | '2043 |
Long-term borrowings, Minimum interest rate | 0.00% | 0.00% |
Long-term borrowings, Maximum interest rate | 28.50% | 42.50% |
Borrowings_Effective_WeightedA
Borrowings - Effective Weighted-Average Interest Rates of Borrowings (Detail) | Mar. 31, 2014 | Mar. 31, 2013 |
Schedule of Borrowings [Line Items] | ' | ' |
Short-term borrowings | 0.40% | 0.61% |
Long-term borrowings | 1.69% | 1.71% |
Fixed-rate obligations [Member] | ' | ' |
Schedule of Borrowings [Line Items] | ' | ' |
Long-term borrowings | 2.34% | 2.39% |
Floating-rate obligations [Member] | ' | ' |
Schedule of Borrowings [Line Items] | ' | ' |
Long-term borrowings | 0.86% | 0.91% |
Index / Equity-linked obligations [Member] | ' | ' |
Schedule of Borrowings [Line Items] | ' | ' |
Long-term borrowings | 1.72% | 1.72% |
Borrowings_Maturities_of_LongT
Borrowings - Maturities of Long-Term Borrowings (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Millions, unless otherwise specified | ||
Borrowings | ' | ' |
2015 | ¥ 1,435,789 | ' |
2016 | 1,123,769 | ' |
2017 | 894,524 | ' |
2018 | 847,564 | ' |
2019 | 1,015,285 | ' |
2020 and thereafter | 2,728,570 | ' |
Subtotal | 8,045,501 | 7,414,978 |
Trading balances of secured borrowings | 181,562 | 177,390 |
Total | ¥ 8,227,063 | ¥ 7,592,368 |
Earnings_per_share_Summary_of_
Earnings per share - Summary of Amounts and Numbers Used in Calculation of Net Income Attributable to NHI Shareholders Per Share (Basic and Diluted) (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Earnings per share | ' | ' | ' |
Basic-Net income attributable to NHI shareholders | ¥ 213,591 | ¥ 107,234 | ¥ 11,583 |
Basic-Weighted average number of shares outstanding | 3,709,830,989 | 3,692,795,953 | 3,643,481,439 |
Basic-Net income attributable to NHI shareholders per share | ¥ 57.57 | ¥ 29.04 | ¥ 3.18 |
Diluted-Net income attributable to NHI shareholders | ¥ 213,561 | ¥ 107,181 | ¥ 11,561 |
Diluted-Weighted average number of shares outstanding | 3,826,496,369 | 3,777,360,671 | 3,680,124,235 |
Diluted-Net income attributable to NHI shareholders per share | ¥ 55.81 | ¥ 28.37 | ¥ 3.14 |
Earnings_per_share_Additional_
Earnings per share - Additional Information (Detail) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Earnings per share | ' | ' | ' |
Antidilutive stock options to purchase common shares | 8,967,300 | 10,880,700 | 24,840,700 |
Employee_benefit_plans_Additio
Employee benefit plans - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Y | |||
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Number of years required for payment | 2 | ' | ' |
Recognized asset for pension benefits | ¥ 10,441 | ¥ 9,067 | ' |
Excess percentage of the greater of the benefit obligation or the fair value of plan assets | 10.00% | ' | ' |
Average remaining service period of active participants | '15 years | ' | ' |
Accumulated benefit obligation | 233,885 | 231,321 | ' |
Fair value of plan assets | 220,873 | 191,674 | 159,652 |
Expected contributions to plans | 7,455 | ' | ' |
Contributions to the defined contribution pension plans | 3,425 | 3,600 | 3,741 |
Contributions to overseas defined contribution pension plans | 8,667 | 7,448 | 7,882 |
Health care benefit cost | 6,834 | 7,434 | 7,614 |
Level 1 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | 90,660 | 104,811 | ' |
Level 2 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | 106,158 | 59,505 | ' |
Level 3 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | 24,055 | 27,358 | 22,236 |
Equities [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Plan assets of domestic plans investments | 17.00% | ' | ' |
Fair value of plan assets | 26,730 | 30,568 | ' |
Equities [Member] | Level 1 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | 26,730 | 30,568 | ' |
Equities [Member] | Level 2 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | ' | ' | ' |
Equities [Member] | Level 3 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | ' | ' | ' |
Debt securities [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Plan assets of domestic plans investments | 45.00% | ' | ' |
Life insurance company general accounts [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Plan assets of domestic plans investments | 20.00% | ' | ' |
Fair value of plan assets | 42,735 | 26,448 | ' |
Life insurance company general accounts [Member] | Level 1 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | ' | ' | ' |
Life insurance company general accounts [Member] | Level 2 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | 42,735 | 26,448 | ' |
Life insurance company general accounts [Member] | Level 3 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | ' | ' | ' |
Other investments [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Plan assets of domestic plans investments | 18.00% | ' | ' |
Fair value of plan assets | 41,728 | 9,804 | ' |
Other investments [Member] | Level 1 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | ' | ' | ' |
Other investments [Member] | Level 2 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | 41,728 | 9,804 | ' |
Other investments [Member] | Level 3 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | ' | ' | ' |
Non-Japan plan [Member] | Level 1 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | 107 | 21 | ' |
Non-Japan plan [Member] | Level 2 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | 32,953 | 25,296 | ' |
Non-Japan plan [Member] | Level 3 [Member] | ' | ' | ' |
Pension Plans Postretirement And Other Employee Benefits [Line Items] | ' | ' | ' |
Fair value of plan assets | 6,535 | 6,906 | ' |
Fair value of real estate funds and annuities | 6,535 | 6,906 | ' |
Amount of sales of Level 3 assets | ¥ 2,185 | ' | ' |
Employee_benefit_plans_Net_Per
Employee benefit plans - Net Periodic Benefit Cost of Defined Benefit Plans (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Employee benefit plans | ' | ' | ' |
Service cost | ¥ 8,438 | ¥ 9,322 | ¥ 9,016 |
Interest cost | 3,441 | 4,302 | 4,649 |
Expected return on plan assets | -4,971 | -4,072 | -3,262 |
Amortization of net actuarial losses | 2,767 | 3,630 | 3,687 |
Amortization of prior service cost | -1,149 | -1,545 | -1,479 |
Net periodic benefit cost | ¥ 8,526 | ¥ 11,637 | ¥ 12,611 |
Employee_benefit_plans_Reconci
Employee benefit plans - Reconciliation of Changes in Projected Benefit Obligation and Fair Value of Plan Assets (Detail) (JPY ¥) | 12 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Change in projected benefit obligation: | ' | ' | ' | |
Projected benefit obligation at beginning of year | ¥ 234,399 | ¥ 242,490 | ' | |
Service cost | 8,438 | 9,322 | 9,016 | |
Interest cost | 3,441 | 4,302 | 4,649 | |
Actuarial gain | -2,697 | 14,874 | ' | |
Benefits paid | -9,708 | -9,805 | ' | |
Acquisition, divestitures and other | 12 | -26,784 | [1] | ' |
Projected benefit obligation at end of year | 233,885 | 234,399 | 242,490 | |
Change in plan assets: | ' | ' | ' | |
Fair value of plan assets at beginning of year | 191,674 | 159,652 | ' | |
Actual return on plan assets | 14,317 | 20,915 | ' | |
Employer contributions | 23,278 | 31,083 | ' | |
Benefits paid | -8,396 | -8,362 | ' | |
Acquisition and divestitures | ' | -11,614 | [1] | ' |
Fair value of plan assets at end of year | 220,873 | 191,674 | 159,652 | |
Funded status at end of year | -13,012 | -42,725 | ' | |
Amounts recognized in the consolidated balance sheets | ¥ (13,012) | ¥ (42,725) | ' | |
[1] | Decreased mainly because of a deconsolidation during the period. |
Employee_benefit_plans_Project
Employee benefit plans - Projected Benefit Obligation, Accumulated Benefit Obligation and Fair Value of Plan Assets for Pension Plans with ABO and PBO in Excess of Plan Assets (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Millions, unless otherwise specified | ||
Plans with ABO in excess of plan assets: | ' | ' |
PBO | ¥ 27,160 | ¥ 234,399 |
ABO | 27,160 | 231,321 |
Fair value of plan assets | ' | 191,674 |
Plans with PBO in excess of plan assets: | ' | ' |
PBO | 27,160 | 234,399 |
ABO | 27,160 | 231,321 |
Fair value of plan assets | ' | ¥ 191,674 |
Employee_benefit_plans_Amounts
Employee benefit plans - Amounts in Accumulated Other Comprehensive Income, Pre-Tax, That Have Not Yet Been Recognized as Components of Net Periodic Benefit Cost (Detail) (JPY ¥) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Employee benefit plans | ' |
Net actuarial loss | ¥ 48,028 |
Net prior service cost | -10,649 |
Total | ¥ 37,379 |
Employee_benefit_plans_Amounts1
Employee benefit plans - Amounts in Accumulated Other Comprehensive Income, Pre-Tax, Expected to be Recognized as Components of Net Periodic Benefit Cost Over Next Fiscal Year (Detail) (JPY ¥) | 12 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Employee benefit plans | ' |
Net actuarial loss | ¥ 2,191 |
Net prior service cost | -1,165 |
Total | ¥ 1,026 |
Employee_benefit_plans_Schedul
Employee benefit plans - Schedule of Weighted-Average Assumptions Used to Determine PBO (Detail) | Mar. 31, 2014 | Mar. 31, 2013 |
Employee benefit plans | ' | ' |
Discount rate | 1.40% | 1.50% |
Rate of increase in compensation levels | 2.50% | 2.50% |
Employee_benefit_plans_Weighte
Employee benefit plans - Weighted-Average Assumptions Used to Determine Net Periodic Benefit Costs (Detail) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Employee benefit plans | ' | ' | ' |
Discount rate | 1.40% | 1.50% | 1.80% |
Rate of increase in compensation levels | 2.50% | 2.50% | 2.80% |
Expected long-term rate of return on plan assets | 2.60% | 2.60% | 2.60% |
Employee_benefit_plans_Informa
Employee benefit plans - Information about Plan Assets at Fair Value (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | ||
In Millions, unless otherwise specified | |||||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ¥ 220,873 | ¥ 191,674 | ¥ 159,652 | ||
Equities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 26,730 | 30,568 | ' | ||
Private equity [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 12,235 | 12,323 | ' | ||
Japanese government securities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 62,088 | 74,243 | ' | ||
Bank and corporate debt securities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 4,154 | 3,667 | ' | ||
Investment trust funds and other [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 31,203 | [1] | 34,621 | [1] | ' |
Life insurance company general accounts [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 42,735 | 26,448 | ' | ||
Other assets [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 41,728 | 9,804 | ' | ||
Level 1 [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 90,660 | 104,811 | ' | ||
Level 1 [Member] | Equities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 26,730 | 30,568 | ' | ||
Level 1 [Member] | Private equity [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
Level 1 [Member] | Japanese government securities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 62,088 | 74,243 | ' | ||
Level 1 [Member] | Bank and corporate debt securities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 1,842 | ' | ' | ||
Level 1 [Member] | Investment trust funds and other [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
Level 1 [Member] | Life insurance company general accounts [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
Level 1 [Member] | Other assets [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
Level 2 [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 106,158 | 59,505 | ' | ||
Level 2 [Member] | Equities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
Level 2 [Member] | Private equity [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
Level 2 [Member] | Japanese government securities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
Level 2 [Member] | Bank and corporate debt securities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 2,312 | 3,667 | ' | ||
Level 2 [Member] | Investment trust funds and other [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 19,383 | [1] | 19,586 | [1] | ' |
Level 2 [Member] | Life insurance company general accounts [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 42,735 | 26,448 | ' | ||
Level 2 [Member] | Other assets [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 41,728 | 9,804 | ' | ||
Level 3 [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 24,055 | 27,358 | 22,236 | ||
Level 3 [Member] | Equities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
Level 3 [Member] | Private equity [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 12,235 | 12,323 | 9,802 | ||
Level 3 [Member] | Japanese government securities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
Level 3 [Member] | Bank and corporate debt securities [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
Level 3 [Member] | Investment trust funds and other [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | 11,820 | [1] | 15,035 | [1] | 12,434 |
Level 3 [Member] | Life insurance company general accounts [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
Level 3 [Member] | Other assets [Member] | ' | ' | ' | ||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ||
Fair value of plan assets | ' | ' | ' | ||
[1] | Includes hedge funds and real estate funds. |
Employee_benefit_plans_Informa1
Employee benefit plans - Information about Plan Assets for Which Level 3 Inputs are Utilized to Determine Fair Value (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | ||||
In Millions, unless otherwise specified | Private equity [Member] | Private equity [Member] | Investment trust funds and other [Member] | Investment trust funds and other [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | |||||||
Private equity [Member] | Private equity [Member] | Investment trust funds and other [Member] | Investment trust funds and other [Member] | ||||||||||||||
Pension plans, postretirement and other employee benefits [Line items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Fair value of plan assets at beginning of year | ¥ 220,873 | ¥ 191,674 | ¥ 159,652 | ¥ 12,235 | ¥ 12,323 | ¥ 31,203 | [1] | ¥ 34,621 | [1] | ¥ 27,358 | ¥ 22,236 | ¥ 12,323 | ¥ 9,802 | ¥ 15,035 | [1] | ¥ 12,434 | |
Unrealized and realized gains / loss | ' | ' | ' | ' | ' | ' | ' | 1,583 | 3,610 | 1,550 | 2,479 | 33 | 1,131 | ||||
Purchases / sales and other settlement | ' | ' | ' | ' | ' | ' | ' | -4,886 | 1,512 | -1,638 | 42 | -3,248 | 1,470 | ||||
Fair value of plan assets at end of year | ¥ 220,873 | ¥ 191,674 | ¥ 159,652 | ¥ 12,235 | ¥ 12,323 | ¥ 31,203 | [1] | ¥ 34,621 | [1] | ¥ 24,055 | ¥ 27,358 | ¥ 12,235 | ¥ 12,323 | ¥ 11,820 | [1] | ¥ 15,035 | [1] |
[1] | Includes hedge funds and real estate funds. |
Employee_benefit_plans_Expecte
Employee benefit plans - Expected Benefit Payments (Detail) (JPY ¥) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Employee benefit plans | ' |
2015 | ¥ 10,277 |
2016 | 10,804 |
2017 | 11,391 |
2018 | 11,724 |
2019 | 12,037 |
2020-2024 | ¥ 57,548 |
Deferred_compensation_plans_Ad
Deferred compensation plans - Additional Information (Detail) (JPY ¥) | 0 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | |||||||||||||||||||||||||||||||
30-May-14 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | 31-May-14 | 31-May-14 | 31-May-14 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | 31-May-14 | 31-May-14 | |
Subsequent event [Member] | SAR Plan A [Member] | SAR Plan A [Member] | SAR Plan A [Member] | SAR Plan B [Member] | SAR Plan B [Member] | SAR Plan B [Member] | SAR Plan B [Member] | SAR Plan B [Member] | SAR Plan A and SAR Plan B [Member] | SAR Plan A and SAR Plan B [Member] | SAR Plan A and SAR Plan B [Member] | SAR Plan A and SAR Plan B [Member] | SAR Plan A and SAR Plan B [Member] | SAR Plan A and SAR Plan B [Member] | NSUs and CSUs [Member] | NSUs and CSUs [Member] | NSUs and CSUs [Member] | NSUs and CSUs [Member] | NSUs and CSUs [Member] | NSUs [Member] | NSUs [Member] | NSUs [Member] | CSUs [Member] | CSUs [Member] | CSUs [Member] | MYPD awards [Member] | MYPD awards [Member] | SAR Plan A, SAR Plan B and MYPD awards [Member] | SAR Plan A, SAR Plan B and MYPD awards [Member] | SAR Plan A, SAR Plan B and MYPD awards [Member] | NIUs [Member] | NIUs [Member] | NIUs [Member] | NSUs, CSUs and NIUs [Member] | NSUs, CSUs and NIUs [Member] | NSUs, CSUs and NIUs [Member] | NSUs, CSUs and NIUs [Member] | NSUs, CSUs and NIUs [Member] | |
Minimum [Member] | Maximum [Member] | Subsequent event [Member] | Minimum [Member] | Maximum [Member] | Minimum [Member] | Maximum [Member] | Subsequent event [Member] | Maximum [Member] | |||||||||||||||||||||||||||||||
Subsequent event [Member] | Subsequent event [Member] | Subsequent event [Member] | |||||||||||||||||||||||||||||||||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock option plans exercisable after grant date | ' | '2 years | ' | ' | ' | ' | ' | '1 year | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock option plans expire after grant date | ' | '7 years | ' | ' | ' | ' | ' | '6 years | '10 years | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average amounts on the grant date fair value of options granted | ' | ¥ 272 | ¥ 78 | ¥ 48 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total intrinsic values, exercised | ' | ¥ 591,000,000 | ¥ 2,000,000 | ' | ¥ 33,951,000,000 | ¥ 15,299,000,000 | ¥ 3,284,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate intrinsic values, outstanding | ' | 2,170,000,000 | ' | ' | 61,223,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate intrinsic values, exercisable | ' | 1,138,000,000 | ' | ' | 10,247,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total unrecognized compensation cost, based on fair value | ' | 648,000,000 | ' | ' | 7,084,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,858,000,000 | ' | ' | 6,089,000,000 | ' | ' | 3,186,000,000 | ' | ' | ' | ' | 4,130,000,000 | ' | ' | ' | ' | ' | ' | ' |
Weighted-average period for recognizing unrecognized compensation cost (in years) | ' | '1 year 6 months | ' | ' | '2 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years 6 months | ' | ' | '2 years 10 months | ' | ' | '2 years 7 months | ' | ' | ' | ' | '2 years 8 months | ' | ' | ' | ' | ' | ' | ' |
Exercise price per share | ' | ' | ' | ' | ¥ 1 | ' | ' | ' | ' | ' | ' | ' | ¥ 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average grant date fair value per share | ' | ' | ' | ' | ' | ¥ 298 | ¥ 397 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total fair value of awards vested | ' | 1,403,000,000 | 0 | ' | 34,943,000,000 | 3,624,000,000 | 3,868,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 23,066,000,000 | 14,045,000,000 | 10,100,000,000 | 17,868,000,000 | 10,959,000,000 | 6,272,000,000 | ' | ' | ' | ' | ' | ' | 8,224,000,000 | 4,619,000,000 | ' | ' | ' | ' | ' |
Total compensation expense recognized within Non-interest expenses-Compensation and benefits | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19,458,000,000 | 19,091,000,000 | 26,869,000,000 | ' | ' | ' | 37,396,000,000 | 33,286,000,000 | 27,257,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | 1,633,000,000 | 2,864,000,000 | ' | ' | ' | 15,388,000,000 | 8,266,000,000 | 8,819,000,000 | ' | ' | ' | ' | ' |
Tax benefits recognized in earnings for compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,992,000,000 | 1,081,000,000 | 1,092,000,000 | ' | ' | ' | 1,767,000,000 | 1,773,000,000 | 2,220,000,000 | ' | ' |
Cash received from exercise of compensation plans | ' | ' | ' | ' | ' | ' | ' | ' | ' | 674,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Tax benefit realized from exercise of deferred compensation | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,243,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred compensation arrangement by share-based payment award, award vesting period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Subsequent Event, Date | 30-Apr-14 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5-Jun-14 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total number of SARs issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 443,399 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total number of SARs issued, shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 44,339,900 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total grant date fair value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ¥ 40,000,000,000 | ' |
Vesting period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years |
Deferred_compensation_plans_SA
Deferred compensation plans - SAR Plan A, Weighted-Average Assumptions (Detail) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Deferred compensation plans | ' | ' | ' |
Expected volatility | 45.97% | 43.11% | 41.78% |
Expected dividends yield | 1.00% | 2.12% | 3.31% |
Expected lives (in years) | '7 years | '7 years | '6 years |
Risk-free interest rate | 0.51% | 0.45% | 0.63% |
Deferred_compensation_plans_Ac
Deferred compensation plans - Activity Relating to SAR Plan A (Detail) (SAR Plan A [Member], JPY ¥) | 12 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
SAR Plan A [Member] | ' | ' |
Outstanding | ' | ' |
Outstanding (number of shares), Outstanding, Beginning | 16,545,500 | ' |
Outstanding (number of shares), Granted | 2,711,000 | ' |
Outstanding (number of shares), Exercised | -1,537,700 | ' |
Outstanding (number of shares), Forfeited | -32,300 | ' |
Outstanding (number of shares), Expired | -1,727,000 | ' |
Outstanding (number of shares), Outstanding, Ending | 15,959,500 | 16,545,500 |
Outstanding (number of shares), Exercisable, Ending | 10,414,600 | ' |
Weighted-average exercise price | ' | ' |
Weighted-average exercise price, Outstanding, Beginning | ¥ 848 | ' |
Weighted-average exercise price, Granted | ¥ 838 | ' |
Weighted-average exercise price, Exercised | ¥ 410 | ' |
Weighted-average exercise price, Forfeited | ¥ 416 | ' |
Weighted-average exercise price, Expired | ¥ 1,741 | ' |
Weighted-average exercise price, Outstanding, Ending | ¥ 791 | ¥ 848 |
Weighted-average exercise price, Exercisable, Ending | ¥ 913 | ' |
Weighted-average remaining life until expiry (years) | ' | ' |
Weighted-average remaining life until expiry (years), Outstanding | '3 years 10 months | '3 years 10 months |
Weighted-average remaining life until expiry (years), Exercisable | '2 years 6 months | ' |
Deferred_compensation_plans_Ac1
Deferred compensation plans - Activity Relating to SAR Plan B (Detail) (SAR Plan B [Member], JPY ¥) | 12 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
SAR Plan B [Member] | ' | ' |
Outstanding | ' | ' |
Outstanding (number of shares), Outstanding, Beginning | 117,543,400 | ' |
Outstanding (number of shares), Granted | 21,258,700 | ' |
Outstanding (number of shares), Exercised | -43,152,100 | ' |
Outstanding (number of shares), Forfeited | -3,013,000 | ' |
Outstanding (number of shares), Expired | -15,900 | ' |
Outstanding (number of shares), Outstanding, Ending | 92,621,100 | 117,543,400 |
Outstanding (number of shares), Exercisable, Ending | 15,553,400 | ' |
Weighted-Average grant date fair value per share | ' | ' |
Weighted-average grant date fair value per share, Outstanding, Beginning | ¥ 419 | ' |
Weighted-average grant date fair value per share, Granted | ¥ 782 | ' |
Weighted-average grant date fair value per share, Exercised | ¥ 477 | ' |
Weighted-average grant date fair value per share, Forfeited | ¥ 437 | ' |
Weighted-average grant date fair value per share, Expired | ¥ 2,471 | ' |
Weighted-average grant date fair value per share, Outstanding, Ending | ¥ 474 | ¥ 419 |
Weighted-average grant date fair value per share, Exercisable, Ending | ¥ 587 | ' |
Weighted-average remaining life until expiry (years) | ' | ' |
Weighted-average remaining life until expiry (years), Outstanding | '5 years 4 months | '5 years 8 months |
Weighted-average remaining life until expiry (years), Exercisable | '3 years 6 months | ' |
Deferred_compensation_plans_Ac2
Deferred compensation plans - Activity Related to NSUs and CSUs (Detail) (JPY ¥) | 12 Months Ended | |
Mar. 31, 2014 | ||
NSUs [Member] | ' | |
Outstanding | ' | |
Outstanding (number of units), Beginning | 62,531,576 | |
Outstanding (number of units), Granted | 22,580,418 | |
Outstanding (number of units), Vested | -30,653,904 | |
Outstanding (number of units), Forfeited | -2,762,879 | |
Outstanding (number of units), Ending | 51,695,211 | |
Stock price | ' | |
Stock price, Beginning | ¥ 583 | |
Stock price, Granted | ¥ 733 | [1] |
Stock price, Vested | ¥ 752 | [2] |
Stock price, Ending | ¥ 652 | [3] |
CSUs [Member] | ' | |
Outstanding | ' | |
Outstanding (number of units), Beginning | 70,736,824 | |
Outstanding (number of units), Granted | 23,554,780 | |
Outstanding (number of units), Vested | -41,108,841 | |
Outstanding (number of units), Forfeited | -2,484,835 | |
Outstanding (number of units), Ending | 50,697,928 | |
Stock price | ' | |
Stock price, Beginning | ¥ 316 | |
Stock price, Granted | ¥ 824 | [1] |
Stock price, Vested | ¥ 435 | [2] |
Stock price, Ending | ¥ 429 | [3] |
[1] | Weighted-average price of the Company's common stock used to determine number of awards granted | |
[2] | Weighted-average price of the Company's common stock used to determine the final cash settlement amount of the awards | |
[3] | The price of the Company's common stock used to remeasure the fair value of the remaining outstanding unvested awards as of March 31, 2014 |
Deferred_compensation_plans_Ac3
Deferred compensation plans - Activity Related to MYPD Awards (Detail) (MYPD awards [Member], JPY ¥) | 12 Months Ended | |||
Mar. 31, 2014 | Mar. 31, 2013 | |||
MYPD awards [Member] | ' | ' | ||
Outstanding | ' | ' | ||
Outstanding (number of shares), Outstanding, Beginning | 27,154,950 | [1] | ' | |
Outstanding (number of shares), Forfeited | -1,388,700 | [1] | ' | |
Outstanding (number of shares), Outstanding, Ending | 25,766,250 | [1] | 27,154,950 | [1] |
Weighted Average grant date fair value per share | ' | ' | ||
Weighted Average grant date fair value per share, Beginning | ¥ 298 | ¥ 298 | ||
Weighted Average grant date fair value per share, Forfeited | ¥ 298 | ' | ||
Weighted Average grant date fair value per share, Ending | ¥ 298 | ¥ 298 | ||
[1] | Based on the probable number of SARs which will be issued on conversion of notional performance units at the end of the performance period. |
Deferred_compensation_plans_Ac4
Deferred compensation plans - Activity Relating to NIUs (Detail) (NIUs [Member], USD $) | 12 Months Ended | |
Mar. 31, 2014 | ||
NIUs [Member] | ' | |
Outstanding | ' | |
Outstanding (number of units), Beginning | 49,760,941 | |
Outstanding (number of units), Granted | 25,208,515 | |
Outstanding (number of units), Vested | -35,713,017 | |
Outstanding (number of units), Forfeited | -2,153,860 | |
Outstanding (number of units), Ending | 37,102,579 | |
Index price | ' | |
Index price, Beginning | $3,674 | [1] |
Index price, Granted | $3,841 | [1],[2] |
Index price, Vested | $4,097 | [1],[3] |
Index price, Ending | $4,354 | [1],[4] |
[1] | The price of each unit is determined using 1/1000th of the index price. | |
[2] | Weighted-average index price used to determine number of awards granted. | |
[3] | Weighted-average index price used to determine the final cash settlement amount of the awards. | |
[4] | Index price used to remeasure the total fair value of the remaining outstanding unvested awards as of March 31, 2014. |
Deferred_compensation_plans_Ac5
Deferred compensation plans - Activity Relating to NIUs (Parenthetical) (Detail) | Mar. 31, 2014 |
Deferred compensation plans | ' |
Indicator of determination of price of the each units | 0.10% |
Restructuring_initiatives_Addi
Restructuring initiatives - Additional Information (Detail) (JPY ¥) | 12 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Group-wide restructuring initiatives primarily focusing on the Wholesale Division [Member] | ' | ' |
Restructuring Initiatives [Line Items] | ' | ' |
Restructuring costs | ¥ 12,679 | ¥ 372 |
Liabilities relating to restructuring costs including currency translation adjustments | ' | 2,148 |
Wholesale division [Member] | ' | ' |
Restructuring Initiatives [Line Items] | ' | ' |
Restructuring costs | 2,650 | 15,588 |
Restructuring costs in total | 18,238 | ' |
Liabilities relating to restructuring costs including currency translation adjustments | 3,760 | 8,165 |
Restructuring costs settled | ¥ 6,610 | ' |
Income_Taxes_Components_of_Inc
Income Taxes - Components of Income Tax Expense (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Current | ' | ' | ' |
Domestic, Current | ¥ 21,558 | ¥ 71,918 | ¥ 13,481 |
Foreign, Current | 6,546 | 6,164 | 7,650 |
Subtotal, Current | 28,104 | 78,082 | 21,131 |
Deferred | ' | ' | ' |
Domestic, Deferred | 109,037 | 55,257 | 34,274 |
Foreign, Deferred | 8,024 | -1,300 | 3,498 |
Subtotal, Deferred | 117,061 | 53,957 | 37,772 |
Total, Income Tax Expense (Benefit) | ¥ 145,165 | ¥ 132,039 | ¥ 58,903 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Income Taxes [Line Items] | ' | ' | ' |
Income tax benefit recognized from net operating losses | ¥ 26,990 | ¥ 2,944 | ¥ 1,358 |
Domestic effective statutory tax rate | 38.00% | 38.00% | 41.00% |
Net deferred tax assets included in Other assets-Other | 22,018 | 145,602 | ' |
Net deferred tax liabilities included in Other liabilities | 34,739 | 34,082 | ' |
Undistributed earnings, No deferred tax provided | 2,602 | ' | ' |
Decrease in net deferred tax assets | 1,711 | ' | ' |
Increase in income tax expenses | 1,711 | ' | ' |
U.S. and European subsidiaries [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Operating loss carryforwards | 1,760,459 | ' | ' |
Between April 1 2004 to March 31 2012 [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Domestic effective statutory tax rate | 41.00% | ' | ' |
Between April 1 2012 to March 31 2014 [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Domestic effective statutory tax rate | 38.00% | ' | ' |
April 1 2014 and thereafter [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Domestic effective statutory tax rate | 36.00% | ' | ' |
Indefinitely [Member] | U.S. and European subsidiaries [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Operating loss carryforwards | 871,928 | ' | ' |
Initial term [Member] | U.S. and European subsidiaries [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Operating loss carryforwards | 632,673 | ' | ' |
Initial term [Member] | U.S. and European subsidiaries [Member] | Minimum [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Expiration year | '2014 | ' | ' |
Initial term [Member] | U.S. and European subsidiaries [Member] | Maximum [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Expiration year | '2023 | ' | ' |
Next term [Member] | U.S. and European subsidiaries [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Operating loss carryforwards | ¥ 255,858 | ' | ' |
Next term [Member] | U.S. and European subsidiaries [Member] | Minimum [Member] | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Expiration year | '2024 | ' | ' |
Income_Taxes_Effective_Income_
Income Taxes - Effective Income Tax Rate Reflected in Consolidated Statements of Income (Detail) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Income taxes | ' | ' | ' |
Our effective statutory tax rate | 38.00% | 38.00% | 41.00% |
Changes in deferred tax valuation allowance | -9.80% | -0.70% | -22.50% |
Taxable items to be added on financial profit | 0.40% | 1.50% | 3.80% |
Non-deductible expenses | 7.70% | 12.90% | 23.30% |
Non-taxable revenue | -8.00% | -9.30% | -29.70% |
Dividends from foreign subsidiaries | ' | 0.20% | 0.90% |
Tax effect of undistributed earnings of foreign subsidiaries | 3.50% | 0.20% | -1.10% |
Different tax rate applicable to income (loss) of foreign subsidiaries | 6.30% | 10.00% | 14.10% |
Effect of changes in domestic tax laws | 0.60% | 0.90% | 45.70% |
Expiration of loss carryforwards | 0.70% | 1.30% | 2.80% |
Tax benefit recognized on the devaluation of investment in subsidiaries and affiliates | 1.40% | ' | -8.80% |
Other | -0.70% | 0.50% | -0.20% |
Effective tax rate | 40.10% | 55.50% | 69.30% |
Income_Taxes_Details_of_Deferr
Income Taxes - Details of Deferred Tax Assets and Liabilities (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2011 |
In Millions, unless otherwise specified | ||||
Income taxes | ' | ' | ' | ' |
Depreciation, amortization and valuation of fixed assets | ¥ 12,604 | ¥ 10,043 | ' | ' |
Investments in subsidiaries and affiliates | 54,678 | 177,175 | ' | ' |
Valuation of financial instruments | 46,321 | 146,800 | ' | ' |
Accrued pension and severance costs | 7,850 | 17,999 | ' | ' |
Other accrued expenses and provisions | 102,922 | 106,436 | ' | ' |
Operating losses | 437,899 | 341,177 | ' | ' |
Other | 3,991 | 5,228 | ' | ' |
Gross deferred tax assets | 666,265 | 804,858 | ' | ' |
Less-Valuation allowance | -490,603 | -522,220 | -490,986 | -461,966 |
Total deferred tax assets | 175,662 | 282,638 | ' | ' |
Investments in subsidiaries and affiliates | 107,020 | 88,631 | ' | ' |
Valuation of financial instruments | 54,524 | 53,367 | ' | ' |
Undistributed earnings of foreign subsidiaries | 736 | 2,960 | ' | ' |
Valuation of fixed assets | 21,204 | 21,950 | ' | ' |
Other | 4,899 | 4,210 | ' | ' |
Total deferred tax liabilities | 188,383 | 171,118 | ' | ' |
Net deferred tax assets (liabilities) | ¥ (12,721) | ¥ 111,520 | ' | ' |
Income_Taxes_Changes_in_Valuat
Income Taxes - Changes in Valuation Allowance for Deferred Tax Assets (Detail) (JPY ¥) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Income taxes | ' | ' | ' | |||
Balance at beginning of year | ¥ 522,220 | ¥ 490,986 | ¥ 461,966 | |||
Net change during the year | -31,617 | [1] | 31,234 | [2] | 29,020 | [3] |
Balance at end of year | ¥ 490,603 | ¥ 522,220 | ¥ 490,986 | |||
[1] | Includes \29,134 million mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, negative \47,263 million related to certain foreign subsidiaries which is due mainly to the liquidation of a certain subsidiary and the decrease of allowance for the deferred tax assets previously recorded, and negative \13,488 million related to Japanese subsidiaries and the Company, which is determined based on a reassessment of future realizable value and also due to the decrease of allowance for the deferred tax assets previously recorded. In total, \31,617 million of allowances decreased for the year ended March 31, 2014. | |||||
[2] | Includes \52,862 million which is mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, negative \22,903 million related to the de-consolidation of NREH into an equity method affiliate, and \1,275 million related to Japanese subsidiaries and the Company, which is determined based on a review of future realizable value. In total, \31,234 million of allowances increased for the year ended March 31, 2013. | |||||
[3] | Includes \24,715 million which is mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, \20,014 million related to Japanese subsidiaries which is mainly due to the effect of the conversion of Nomura Land and Building Co., Ltd. into a subsidiary of Nomura Holdings, Inc., and negative \15,709 million related to the Company which is due mainly to the decrease of allowance for the deferred tax assets previously recorded. In total, \29,020 million of allowances increased for the year ended March 31, 2012. |
Income_Taxes_Changes_in_Valuat1
Income Taxes - Changes in Valuation Allowance for Deferred Tax Assets (Parenthetical) (Detail) (JPY ¥) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Valuation Allowance [Line Items] | ' | ' | ' | |||
Net change during the year | ¥ (31,617) | [1] | ¥ 31,234 | [2] | ¥ 29,020 | [3] |
Foreign subsidiaries [Member] | ' | ' | ' | |||
Valuation Allowance [Line Items] | ' | ' | ' | |||
Net change during the year | 29,134 | 52,862 | 24,515 | |||
Japanese subsidiaries [Member] | ' | ' | ' | |||
Valuation Allowance [Line Items] | ' | ' | ' | |||
Net change during the year | -47,263 | -22,903 | 20,014 | |||
Japanese subsidiaries and Nomura Holdings, Inc. [Member] | ' | ' | ' | |||
Valuation Allowance [Line Items] | ' | ' | ' | |||
Net change during the year | ¥ (13,488) | ¥ 1,275 | ¥ (15,709) | |||
[1] | Includes \29,134 million mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, negative \47,263 million related to certain foreign subsidiaries which is due mainly to the liquidation of a certain subsidiary and the decrease of allowance for the deferred tax assets previously recorded, and negative \13,488 million related to Japanese subsidiaries and the Company, which is determined based on a reassessment of future realizable value and also due to the decrease of allowance for the deferred tax assets previously recorded. In total, \31,617 million of allowances decreased for the year ended March 31, 2014. | |||||
[2] | Includes \52,862 million which is mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, negative \22,903 million related to the de-consolidation of NREH into an equity method affiliate, and \1,275 million related to Japanese subsidiaries and the Company, which is determined based on a review of future realizable value. In total, \31,234 million of allowances increased for the year ended March 31, 2013. | |||||
[3] | Includes \24,715 million which is mainly due to an increase in non-recoverability of losses in certain foreign subsidiaries, \20,014 million related to Japanese subsidiaries which is mainly due to the effect of the conversion of Nomura Land and Building Co., Ltd. into a subsidiary of Nomura Holdings, Inc., and negative \15,709 million related to the Company which is due mainly to the decrease of allowance for the deferred tax assets previously recorded. In total, \29,020 million of allowances increased for the year ended March 31, 2012. |
Income_Taxes_Summarizes_Major_
Income Taxes - Summarizes Major Jurisdictions Subject to Examination (Detail) | 12 Months Ended | |
Mar. 31, 2014 | ||
Japan [Member] | ' | |
Income Tax Contingency [Line Items] | ' | |
Income tax examination, year(s) under examination | '2009 | [1] |
U.K. [Member] | ' | |
Income Tax Contingency [Line Items] | ' | |
Income tax examination, year(s) under examination | '2013 | |
U.S. [Member] | ' | |
Income Tax Contingency [Line Items] | ' | |
Income tax examination, year(s) under examination | '2011 | |
[1] | For transfer pricing, the earliest year in which Nomura remains subject to examinations is 2008. |
Income_Taxes_Summarizes_Major_1
Income Taxes - Summarizes Major Jurisdictions Subject to Examination (Parenthetical) (Detail) (Japan [Member]) | 12 Months Ended |
Mar. 31, 2014 | |
Japan [Member] | ' |
Income Tax Contingency [Line Items] | ' |
Earliest year for transfer pricing taxation under examination | '2008 |
Other_comprehensive_income_los2
Other comprehensive income (loss) - Changes in Accumulated Other Comprehensive Income (Loss) (Detail) (JPY ¥) | 12 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | |
Accumulated other comprehensive income (loss) [Line Items] | ' | |
Balance at beginning of year | ¥ (57,395) | |
Other comprehensive income (loss) before reclassifications | 78,757 | |
Reclassifications out of accumulated other comprehensive income (loss) | -726 | [1] |
Net change during the period | 78,031 | |
Balance at end of period | 20,636 | |
Cumulative translation adjustments [Member] | ' | |
Accumulated other comprehensive income (loss) [Line Items] | ' | |
Balance at beginning of year | -38,875 | |
Other comprehensive income (loss) before reclassifications | 66,707 | |
Reclassifications out of accumulated other comprehensive income (loss) | -128 | [1] |
Net change during the period | 66,579 | |
Balance at end of period | 27,704 | |
Pension liability adjustment [Member] | ' | |
Accumulated other comprehensive income (loss) [Line Items] | ' | |
Balance at beginning of year | -28,518 | |
Other comprehensive income (loss) before reclassifications | 8,708 | |
Reclassifications out of accumulated other comprehensive income (loss) | 1,001 | [1] |
Net change during the period | 9,709 | |
Balance at end of period | -18,809 | |
Net unrealized gain on non-trading securities [Member] | ' | |
Accumulated other comprehensive income (loss) [Line Items] | ' | |
Balance at beginning of year | 9,998 | |
Other comprehensive income (loss) before reclassifications | 3,342 | |
Reclassifications out of accumulated other comprehensive income (loss) | -1,599 | [1] |
Net change during the period | 1,743 | |
Balance at end of period | ¥ 11,741 | |
[1] | Reclassifications out of accumulated other comprehensive income (loss) are as follows: |
Other_comprehensive_income_los3
Other comprehensive income (loss) - Changes in accumulated other comprehensive income (loss) (Parenthetical) (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Affected line items in consolidated statements of income [Line Items] | ' | ' | ' |
Income tax expense | ¥ (145,165) | ¥ (132,039) | ¥ (58,903) |
Net income | 216,449 | 105,691 | 26,054 |
Net income attributable to noncontrolling interests | -2,858 | 1,543 | -14,471 |
Net income attributable to NHI shareholders | 213,591 | 107,234 | 11,583 |
Reclassifications out of accumulated other comprehensive income (loss) [Member] | Net unrealized gain on non-trading securities [Member] | ' | ' | ' |
Affected line items in consolidated statements of income [Line Items] | ' | ' | ' |
Gain (loss) on investments in equity securities | 4,220 | ' | ' |
Income tax expense | -2,065 | ' | ' |
Net income | 2,155 | ' | ' |
Net income attributable to noncontrolling interests | -556 | ' | ' |
Net income attributable to NHI shareholders | ¥ 1,599 | ' | ' |
Shareholders_equity_Shares_of_
Shareholders' equity - Shares of Common Stock Outstanding (Detail) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Shareholders' equity | ' | ' | ' |
Shares outstanding at beginning of year | 3,710,960,252 | 3,663,483,895 | 3,600,886,932 |
New issuances | ' | ' | 103,429,360 |
Common stock held in treasury: | ' | ' | ' |
Repurchases of common stock | -40,054,831 | -19,209 | -50,093,031 |
Sales of common stock | 1,920,457 | 601 | 1,530 |
Common stock issued to employees | 44,689,800 | 47,335,900 | 9,271,600 |
Other net change in treasury stock | 114,784 | 159,065 | -12,496 |
Shares outstanding at end of year | 3,717,630,462 | 3,710,960,252 | 3,663,483,895 |
Shareholders_equity_Additional
Shareholders' equity - Additional Information (Detail) (JPY ¥) | 12 Months Ended | 0 Months Ended | ||||||
In Millions, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | 30-May-14 | 30-May-14 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Subsequent Event [Member] | Subsequent Event [Member] | Affiliated companies | Affiliated companies | Affiliated companies | ||||
Maximum [Member] | ||||||||
Class of Stock [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Amounts available for distributions | ¥ 583,354 | ¥ 538,021 | ¥ 483,126 | ' | ' | ' | ' | ' |
Investee undistributed earnings equity method | 136,112 | 125,944 | 50,922 | ' | ' | ' | ' | ' |
Change in cumulative translation adjustment including reclassification adjustment, net of tax | ' | 9,844 | ' | ' | ' | ' | ' | ' |
Amount of income tax benefit allocated to reclassification adjustment | ' | 2,985 | ' | ' | ' | ' | ' | ' |
Dividends on common stock per share | ¥ 17 | ¥ 8 | ¥ 6 | ' | ' | ' | ' | ' |
Minimum tradable quantity of share lot | 100 | ' | ' | ' | ' | ' | ' | ' |
Common stock held in treasury, shares | 104,932,139 | 111,602,349 | ' | ' | ' | 2,119,761 | 1,257,966 | 908,498 |
Common stock held in treasury, value | 72,090 | 70,514 | ' | ' | ' | 1,143 | 2,161 | 1,985 |
Date of the board of directors | ' | ' | ' | 30-Apr-14 | ' | ' | ' | ' |
Repurchased shares of common stock | 40,054,831 | 19,209 | 50,093,031 | 100,000,000 | 100,000,000 | ' | ' | ' |
Repurchased shares of common stock at cost | ' | ' | ' | ¥ 65,189 | ¥ 70,000 | ' | ' | ' |
Regulatory_requirements_Additi
Regulatory requirements - Additional Information (Detail) | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 |
NSC [Member] | NSC [Member] | NFPS [Member] | NFPS [Member] | NSI [Member] | NSL [Member] | ||
JPY (¥) | JPY (¥) | USD ($) | SGD | ||||
Common equity Tier 1 capital ratio | 4.00% | ' | ' | ' | ' | ' | ' |
Tier 1 capital ratio | 5.50% | ' | ' | ' | ' | ' | ' |
Capital adequacy ratio | 8.00% | ' | ' | ' | ' | ' | ' |
Quantified total of business risk | 120.00% | 120.00% | 120.00% | 120.00% | 120.00% | ' | ' |
Segregated bonds with a market value | ' | ¥ 456,070,000,000 | ¥ 459,037,000,000 | ' | ' | ' | ' |
Equities with a market value | ' | 7,656,000,000 | 7,861,000,000 | ' | ' | ' | ' |
Net capital defined under the alternative method | ' | ' | ' | ' | ' | 1,000,000 | ' |
Ratio of net capital under the alternative method | ' | ' | ' | ' | ' | 2.00% | ' |
Percentage of total risk margin requirement | ' | ' | ' | ' | ' | 8.00% | ' |
Amount of maintenance of net capital as cash | ' | ' | ' | ' | ' | 1,000,000 | ' |
Minimum capital required | ' | ' | ' | ' | ' | ' | 15,000,000 |
Affiliated_companies_and_other2
Affiliated companies and other equity-method investees - Additional Information (Detail) (JPY ¥) | 12 Months Ended | 12 Months Ended | |||||||||||
In Millions, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2014 | Jul. 31, 2011 | 31-May-11 | Feb. 18, 2011 | Mar. 31, 2013 | Mar. 31, 2014 | |||
JAFCO [Member] | NRI [Member] | NRI [Member] | NRI [Member] | Chi-X Europe [Member] | NREH [Member] | NREH [Member] | |||||||
Subsidiary or Equity Method Investee [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Number of shares sold by parent company | ' | ' | ' | 2,200,000 | ' | ' | ' | ' | 32,040,000 | ' | |||
Percentage of ownership before decrease | ' | ' | ' | 24.40% | ' | ' | ' | ' | ' | ' | |||
Acquired additional issued shares, percentage | ' | ' | ' | ' | ' | ' | 0.90% | ' | ' | ' | |||
Number of shares acquired | ' | ' | ' | ' | ' | 381,520 | ' | ' | ' | ' | |||
Number of new stock issued to affiliated company | ' | ' | ' | ' | ' | 45,019,360 | ' | ' | ' | ' | |||
Ownership percentage | ' | ' | ' | 19.50% | 38.00% | ' | ' | ' | 34.00% | 34.10% | |||
Equity method goodwill, remaining carrying value | ' | ' | ' | ' | ¥ 56,473 | ' | ' | ' | ' | ¥ 11,012 | |||
Percentage of exchanged share | ' | ' | ' | ' | ' | ' | ' | 7.00% | ' | ' | |||
Gain recognized on deconsolidation process | ' | ' | ' | ' | ' | ' | ' | ' | 50,139 | ' | |||
Unrealized gain from remaining shares | 2,755 | [1] | 4,722 | [1] | -2,641 | [1] | ' | ' | ' | ' | ' | 38,468 | ' |
Equity in earnings of equity-method investees | 37,805 | 18,597 | 5,716 | ' | ' | ' | ' | ' | ' | ' | |||
Dividends from equity-method investees | ¥ 8,306 | ¥ 5,594 | ¥ 4,747 | ' | ' | ' | ' | ' | ' | ' | |||
[1] | Includes the effect of foreign exchange movements. |
Affiliated_companies_and_other3
Affiliated companies and other equity-method investees - Summary of Financial Information for Subsidiaries (Detail) (JPY ¥) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Subsidiary or Equity Method Investee [Line Items] | ' | ' | ' | |||
Total assets | ¥ 43,520,314 | ¥ 37,942,439 | ' | |||
Total liabilities | 40,967,101 | 35,623,456 | ' | |||
Non-interest expenses | 1,195,456 | 1,575,901 | 1,450,902 | |||
Net income (loss) attributable to the companies | 213,591 | 107,234 | 11,583 | |||
JAFCO, NRI, NLB and NREH [Member] | ' | ' | ' | |||
Subsidiary or Equity Method Investee [Line Items] | ' | ' | ' | |||
Total assets | 2,089,844 | [1] | 2,307,795 | [1],[2] | ' | |
Total liabilities | 1,247,768 | [1] | 1,551,699 | [1],[2] | ' | |
Net revenues | 947,213 | 143,193 | [2] | 161,209 | [3] | |
Non-interest expenses | 779,690 | 69,899 | [2] | 105,520 | [3] | |
Net income (loss) attributable to the companies | 87,261 | 48,706 | [2] | 31,007 | [3] | |
Fortress [Member] | ' | ' | ' | |||
Subsidiary or Equity Method Investee [Line Items] | ' | ' | ' | |||
Total assets | ' | 203,332 | [4] | ' | ||
Total liabilities | ' | 88,881 | [4] | ' | ||
Net revenues | 144,349 | [4] | 95,356 | [4] | 73,306 | [4] |
Non-interest expenses | 89,338 | [4] | 73,956 | [4] | 166,006 | [4] |
Net income (loss) attributable to the companies | ¥ 20,071 | [4] | ¥ 6,487 | [4] | ¥ (36,994) | [4] |
[1] | NLB's assets and liabilities are not included because it was not an affiliated company of Nomura as of March 31, 2013 and 2014. | |||||
[2] | NREH is accounted for by the equity method from March 2013. NREH's assets and liabilities are included however Net revenues, Non-interest expenses and Net income attributable to NREH are not included. | |||||
[3] | For NLB, financial information while it was an affiliated company of Nomura is included. | |||||
[4] | Financial information for Fortress is as of its fiscal years ended December 31, 2011, 2012 and 2013, respectively. Nomura recognizes its share of Fortress's earnings on a three-month lag. |
Affiliated_companies_and_other4
Affiliated companies and other equity-method investees - Summary of Balances and Transactions with Affiliated Companies and Other Equity-Method Investees (Detail) (JPY ¥) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Subsidiary or Equity Method Investee [Line Items] | ' | ' | ' |
Revenues | ¥ 1,831,844 | ¥ 2,079,943 | ¥ 1,851,760 |
Non-interest expenses | 1,195,456 | 1,575,901 | 1,450,902 |
Affiliated companies and other equity-method investees [Member] | ' | ' | ' |
Subsidiary or Equity Method Investee [Line Items] | ' | ' | ' |
Investments in affiliated companies | 339,637 | 333,329 | ' |
Advances to affiliated companies | 5,797 | 12,376 | ' |
Other receivables from affiliated companies | 6,919 | 8,856 | ' |
Other payables to affiliated companies | 9,344 | 4,270 | ' |
Revenues | 411 | 7,418 | 5,635 |
Non-interest expenses | 57,687 | 48,755 | 49,810 |
Purchase of software, securities and tangible assets | ¥ 26,655 | ¥ 55,099 | ¥ 22,904 |
Affiliated_companies_and_other5
Affiliated companies and other equity-method investees - Summary of Aggregate Carrying Amount and Fair Value of Investments in Affiliated Companies and Other Equity-Method Investees (Detail) (Affiliated companies and other equity-method investees [Member], JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Millions, unless otherwise specified | ||
Affiliated companies and other equity-method investees [Member] | ' | ' |
Subsidiary or Equity Method Investee [Line Items] | ' | ' |
Carrying amount | ¥ 330,983 | ¥ 322,747 |
Fair value | ¥ 429,854 | ¥ 404,967 |
Commitments_contingencies_and_2
Commitments, contingencies and guarantees - Commitments Outstanding (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Millions, unless otherwise specified | ||
Commitments to extend credit [Member] | ' | ' |
Commitments [Line Items] | ' | ' |
Commitments outstanding | ¥ 479,634 | ¥ 369,988 |
Commitments to invest in partnerships [Member] | ' | ' |
Commitments [Line Items] | ' | ' |
Commitments outstanding | 18,460 | 29,974 |
Commitments to purchase aircraft [Member] | ' | ' |
Commitments [Line Items] | ' | ' |
Commitments outstanding | ¥ 4,409 | ¥ 30,143 |
Commitments_contingencies_and_3
Commitments, contingencies and guarantees - Maturities of Commitments (Detail) (JPY ¥) | Mar. 31, 2014 |
In Millions, unless otherwise specified | |
Commitments to extend credit [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | ¥ 479,634 |
Commitments to invest in partnerships [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | 18,460 |
Commitments to purchase aircraft [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | 4,409 |
Contractual amount due less than 1 year [Member] | Commitments to extend credit [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | 85,533 |
Contractual amount due less than 1 year [Member] | Commitments to invest in partnerships [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | 4,305 |
Contractual amount due less than 1 year [Member] | Commitments to purchase aircraft [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | 4,409 |
Contractual amount due 1 to 3 years [Member] | Commitments to extend credit [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | 52,872 |
Contractual amount due 1 to 3 years [Member] | Commitments to invest in partnerships [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | 829 |
Contractual amount due 1 to 3 years [Member] | Commitments to purchase aircraft [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | ' |
Contractual amount due 3 to 5 years [Member] | Commitments to extend credit [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | 165,623 |
Contractual amount due 3 to 5 years [Member] | Commitments to invest in partnerships [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | 318 |
Contractual amount due 3 to 5 years [Member] | Commitments to purchase aircraft [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | ' |
Contractual amount due more than 5 years [Member] | Commitments to extend credit [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | 175,606 |
Contractual amount due more than 5 years [Member] | Commitments to invest in partnerships [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | 13,008 |
Contractual amount due more than 5 years [Member] | Commitments to purchase aircraft [Member] | ' |
Commitments And Contingencies Disclosure [Line Items] | ' |
Contractual amount | ' |
Commitments_contingencies_and_4
Commitments, contingencies and guarantees - Additional Information (Detail) | Jun. 10, 2014 | Jan. 31, 2008 | Jun. 30, 2012 | Mar. 31, 2011 | Jul. 31, 2011 | Oct. 31, 2011 | Jul. 31, 2011 | Sep. 30, 2011 | Nov. 30, 2011 | Aug. 31, 2012 | Mar. 31, 2014 | Apr. 15, 2013 | Mar. 01, 2013 | Mar. 31, 2014 | Apr. 30, 2013 | Apr. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 |
USD ($) | Tax notice issued by tax authorities in Pescara, Italy [Member] | Two actions by Fairfield Sentry Ltd. and Fairfield Sigma Ltd. [Member] | Action by PT Bank Mutiara Tbk. [Member] | Action by the Federal Home Loan Bank of Boston [Member] | Action by the National Credit Union Administration Board [Member] | Action by the National Credit Union Administration Board [Member] | Action by the Federal Housing Finance Agency [Member] | Claim filed by the Madoff Trustee [Member] | Action by the Prudential Insurance Company of America [Member] | Action by Banca Monte dei Paschi di Siena SpA [Member] | Action by Banca Monte dei Paschi di Siena SpA [Member] | Action by Banca Monte dei Paschi di Siena SpA [Member] | NSC [Member] | NSC [Member] | NSC [Member] | Other commitments [Member] | Other commitments [Member] | |
EUR (€) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | EUR (€) | EUR (€) | EUR (€) | JPY (¥) | JPY (¥) | JPY (¥) | JPY (¥) | |||
Commitments And Contingencies Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase obligations for goods or services | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ¥ 15,901,000,000 | ¥ 26,228,000,000 |
Resale agreements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,365,000,000,000 | 4,103,000,000,000 |
Repurchase agreements | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 771,000,000,000 | 1,152,000,000,000 |
Obligations to return debt and equity securities borrowed without collateral | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 259,000,000,000 | 340,000,000,000 |
Contingencies | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current estimate of maximum reasonably possible loss | ' | 33,800,000 | 35,000,000 | ' | ' | ' | ' | ' | 21,000,000 | ' | 1,500,000,000 | ' | ' | ' | 10,247,000,000 | 5,102,000,000 | ' | ' |
Claim against special purpose company rights | ' | ' | ' | 156,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensatory damages with original principal amount issued in offering | ' | ' | ' | ' | 356,000,000 | 50,000,000 | 83,000,000 | 2,046,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of residential mortgage-backed securities plaintiffs purchased | ' | ' | ' | ' | ' | ' | ' | ' | ' | 183,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Damages for unlawful conduct of former directors | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 700,000,000 | ' | ' | ' | ' | ' |
Seized assets by Public Prosecutor | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,900,000,000 | ' | ' | ' | ' | ' | ' |
Number of significant clients | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,140,000 | ' | ' | ' | ' |
Currency-linked structured notes purchased | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16 | ' | ' |
Equity-linked structured notes purchased | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 11 | ' | ' | ' |
Other mortgage-related contingencies [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan repurchase claims received against the relevant subsidiaries | 3,203,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loans with a total original principal balance of repurchase claims rejected | $1,816,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Commitments_contingencies_and_5
Commitments, contingencies and guarantees - Information on Derivative Contracts and Standby Letters of Credit and Other Guarantees (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Derivative contracts [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Carrying value | ¥ 5,155,198 | [1],[2] | ¥ 4,510,650 | [1],[2] |
Maximum potential payout /Notional total | 195,466,506 | [1],[2] | 123,980,481 | [1],[2] |
Standby letters of credit and other guarantees [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Carrying value | 276 | [3] | 277 | [3] |
Maximum potential payout /Notional total | ¥ 11,509 | [3] | ¥ 9,084 | [3] |
[1] | Credit derivatives are disclosed in Note 3 "Derivative instruments and hedging activities" and are excluded from derivative contracts. | |||
[2] | Derivative contracts primarily consist of equity, interest rate and foreign exchange contracts. | |||
[3] | Collaterals held in connection with standby letters of credit and other guarantees as of March 31, 2013 and March 31, 2014 were \6,374 million and \6,487 million, respectively. |
Commitments_contingencies_and_6
Commitments, contingencies and guarantees - Information on Derivative Contracts and Standby Letters of Credit and Other Guarantees (Parenthetical) (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 |
In Millions, unless otherwise specified | ||
Commitments, contingencies and guarantees | ' | ' |
Collateral held in connection with standby letters of credit and other guarantees | ¥ 6,487 | ¥ 6,374 |
Commitments_contingencies_and_7
Commitments, contingencies and guarantees - Maturity Information on Derivative Contracts and Standby Letters of Credit and Other Guarantees (Detail) (JPY ¥) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Millions, unless otherwise specified | ||||
Derivative contracts [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Carrying value | ¥ 5,155,198 | [1],[2] | ¥ 4,510,650 | [1],[2] |
Maximum potential payout /Notional total | 195,466,506 | [1],[2] | 123,980,481 | [1],[2] |
Derivative contracts [Member] | Less than 1 year,Years to Maturity, Maximum potential payout/ Notional [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Maximum potential payout /Notional total | 75,949,799 | ' | ||
Derivative contracts [Member] | 1 to 3 years, Years to Maturity, Maximum potential payout/ Notional [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Maximum potential payout /Notional total | 48,551,110 | ' | ||
Derivative contracts [Member] | 3 to 5 years, Years to Maturity, Maximum potential payout/ Notional [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Maximum potential payout /Notional total | 16,872,972 | ' | ||
Derivative contracts [Member] | More than 5 years, Years to Maturity, Maximum potential payout/ Notional [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Maximum potential payout /Notional total | 54,092,625 | ' | ||
Standby letters of credit and other guarantees [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Carrying value | 276 | [3] | 277 | [3] |
Maximum potential payout /Notional total | 11,509 | [3] | 9,084 | [3] |
Standby letters of credit and other guarantees [Member] | Less than 1 year,Years to Maturity, Maximum potential payout/ Notional [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Maximum potential payout /Notional total | 334 | ' | ||
Standby letters of credit and other guarantees [Member] | 1 to 3 years, Years to Maturity, Maximum potential payout/ Notional [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Maximum potential payout /Notional total | 2,668 | ' | ||
Standby letters of credit and other guarantees [Member] | 3 to 5 years, Years to Maturity, Maximum potential payout/ Notional [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Maximum potential payout /Notional total | 2 | ' | ||
Standby letters of credit and other guarantees [Member] | More than 5 years, Years to Maturity, Maximum potential payout/ Notional [Member] | ' | ' | ||
Guarantees [Line Items] | ' | ' | ||
Maximum potential payout /Notional total | ¥ 8,505 | ' | ||
[1] | Credit derivatives are disclosed in Note 3 "Derivative instruments and hedging activities" and are excluded from derivative contracts. | |||
[2] | Derivative contracts primarily consist of equity, interest rate and foreign exchange contracts. | |||
[3] | Collaterals held in connection with standby letters of credit and other guarantees as of March 31, 2013 and March 31, 2014 were \6,374 million and \6,487 million, respectively. |
Segment_and_geographic_informa2
Segment and geographic information - Net Interest Revenue (Detail) (JPY ¥) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Non-interest revenue | ¥ 1,404,766 | ¥ 1,648,251 | ¥ 1,412,063 | |||
Net interest revenue | 141,576 | 127,695 | 119,989 | |||
Net revenue | 1,546,342 | 1,775,946 | 1,532,052 | |||
Non-interest expenses | 1,195,456 | 1,575,901 | 1,450,902 | |||
Income (loss) before income taxes | 350,886 | 200,045 | 81,150 | |||
Retail [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Non-interest revenue | 505,911 | 394,294 | 347,385 | |||
Net interest revenue | 6,005 | 3,631 | 2,873 | |||
Net revenue | 511,916 | 397,925 | 350,258 | |||
Non-interest expenses | 319,915 | 297,297 | 287,128 | |||
Income (loss) before income taxes | 192,001 | 100,628 | 63,130 | |||
Asset Management [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Non-interest revenue | 77,354 | 66,489 | 63,022 | |||
Net interest revenue | 3,126 | 2,448 | 2,778 | |||
Net revenue | 80,480 | 68,937 | 65,800 | |||
Non-interest expenses | 53,373 | 47,768 | 45,281 | |||
Income (loss) before income taxes | 27,107 | 21,169 | 20,519 | |||
Wholesale [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Non-interest revenue | 637,987 | 491,773 | 428,738 | |||
Net interest revenue | 127,110 | 153,083 | 126,311 | |||
Net revenue | 765,097 | 644,856 | 555,049 | |||
Non-interest expenses | 653,299 | 573,199 | 592,701 | |||
Income (loss) before income taxes | 111,798 | 71,657 | -37,652 | |||
Other (Incl. elimination) [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Non-interest revenue | 183,514 | 695,695 | 572,918 | |||
Net interest revenue | 5,335 | -31,467 | -11,973 | |||
Net revenue | 188,849 | 664,228 | 560,945 | |||
Non-interest expenses | 168,869 | 657,637 | 525,792 | |||
Income (loss) before income taxes | ¥ 19,980 | [1] | ¥ 6,591 | [1] | ¥ 35,153 | [1] |
[1] | In accordance with the realignment in April 2012, certain prior period amounts of Wholesale and "Other" have been reclassified to conform to the current period presentation. |
Segment_and_geographic_informa3
Segment and geographic information - Major Components of Income (Loss) Before Income Taxes in "Other" (Detail) (JPY ¥) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Equity in earnings of affiliates | ¥ 37,805 | ¥ 18,597 | ¥ 5,716 | |||
Total | 350,886 | 200,045 | 81,150 | |||
Other (Incl. elimination) [Member] | ' | ' | ' | |||
Segment Reporting Information [Line Items] | ' | ' | ' | |||
Net gain related to economic hedging transactions | 17,403 | 989 | 8,372 | |||
Realized gain on investments in equity securities held for operating purposes | 4,428 | 1,001 | 198 | |||
Equity in earnings of affiliates | 28,571 | 14,401 | 10,613 | |||
Corporate items | -38,772 | [1],[2] | 17,652 | [1],[2] | -32,129 | [1],[2] |
Other | 8,350 | [2],[3] | -27,452 | [2],[3] | 48,099 | [2],[3] |
Total | ¥ 19,980 | [2] | ¥ 6,591 | [2] | ¥ 35,153 | [2] |
[1] | Includes the gain due to the business combination with NLB in Corporate items during the year ended March 31, 2012. | |||||
[2] | In accordance with the realignment in April 2012, certain prior period amounts of Wholesale and "Other" have been reclassified to conform to the current period presentation. | |||||
[3] | Includes the impact of Nomura's own creditworthiness. |
Segment_and_geographic_informa4
Segment and geographic information - Reconciliation of Combined Business Segments' Results Included in Preceding Table to Reported Net Revenue, Non-Interest Expenses and Income (Loss) Before Income Taxes (Detail) (JPY ¥) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Segment and geographic information | ' | ' | ' | |||
Net revenue | ¥ 1,546,342 | ¥ 1,775,946 | ¥ 1,532,052 | |||
Unrealized gain (loss) on investments in equity securities held for operating purposes | 10,728 | 37,685 | 3,807 | |||
Consolidated net revenue | 1,557,070 | [1] | 1,813,631 | [1] | 1,535,859 | [1] |
Non-interest expenses | 1,195,456 | 1,575,901 | 1,450,902 | |||
Unrealized gain (loss) on investments in equity securities held for operating purposes | ' | ' | ' | |||
Consolidated non-interest expenses | 1,195,456 | 1,575,901 | 1,450,902 | |||
Income before income taxes | 350,886 | 200,045 | 81,150 | |||
Unrealized gain (loss) on investments in equity securities held for operating purposes | 10,728 | 37,685 | 3,807 | |||
Consolidated income before income taxes | ¥ 361,614 | ¥ 237,730 | ¥ 84,957 | |||
[1] | There is no revenue derived from transactions with a single major external customer. |
Segment_and_geographic_informa5
Segment and geographic information - Geographic Allocation of Net Revenue and Income (Loss) Before Income Taxes from Operations by Geographic Areas, and Long-Lived Assets (Detail) (JPY ¥) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Net revenue, income (loss) before income taxes and long-lived assets | ' | ' | ' | |||
Consolidated, net revenue | ¥ 1,557,070 | [1] | ¥ 1,813,631 | [1] | ¥ 1,535,859 | [1] |
Consolidated, income (loss) before income taxes | 361,614 | 237,730 | 84,957 | |||
Consolidated, long-lived assets | 524,201 | 544,156 | 1,206,496 | |||
Americas [Member] | ' | ' | ' | |||
Net revenue, income (loss) before income taxes and long-lived assets | ' | ' | ' | |||
Consolidated, net revenue | 262,684 | [1] | 208,962 | [1] | 143,350 | [1] |
Consolidated, income (loss) before income taxes | 29,472 | 25,730 | -24,612 | |||
Consolidated, long-lived assets | 133,147 | 118,302 | 94,698 | |||
Europe [Member] | ' | ' | ' | |||
Net revenue, income (loss) before income taxes and long-lived assets | ' | ' | ' | |||
Consolidated, net revenue | 232,735 | [1] | 172,761 | [1] | 195,826 | [1] |
Consolidated, income (loss) before income taxes | -48,911 | -93,099 | -91,544 | |||
Consolidated, long-lived assets | 93,111 | 111,381 | 114,195 | |||
Asia and Oceania [Member] | ' | ' | ' | |||
Net revenue, income (loss) before income taxes and long-lived assets | ' | ' | ' | |||
Consolidated, net revenue | 62,622 | [1] | 43,265 | [1] | 34,819 | [1] |
Consolidated, income (loss) before income taxes | -5,247 | -12,063 | -12,937 | |||
Consolidated, long-lived assets | 16,163 | 20,471 | 23,892 | |||
Subtotal [Member] | ' | ' | ' | |||
Net revenue, income (loss) before income taxes and long-lived assets | ' | ' | ' | |||
Consolidated, net revenue | 558,041 | [1] | 424,988 | [1] | 373,995 | [1] |
Consolidated, income (loss) before income taxes | -24,686 | -79,432 | -129,093 | |||
Consolidated, long-lived assets | 242,421 | 250,154 | 232,785 | |||
Japan [Member] | ' | ' | ' | |||
Net revenue, income (loss) before income taxes and long-lived assets | ' | ' | ' | |||
Consolidated, net revenue | 999,029 | [1] | 1,388,643 | [1] | 1,161,864 | [1] |
Consolidated, income (loss) before income taxes | 386,300 | 317,162 | 214,050 | |||
Consolidated, long-lived assets | ¥ 281,780 | ¥ 294,002 | ¥ 973,711 | |||
[1] | There is no revenue derived from transactions with a single major external customer. |