Tellingly, the Japanese media are reacting to the scandal like the three wise monkeys of Nikko: see no evil, hear no evil, speak no evil.The existence of the fund has long been known to insiders.
Indeed, a management-accounting system, says Alex Kinmont, a strategist at Nikko Salomon Smith Barney, a bank, has helped various outperformers, such as Seven-Eleven, Takeda Chemicals (13th), the largest pharmaceutical company, and Kao Corporation (18th), the largest toiletries company.Another feature common to some top performers is their international strategy.
Each has its eye on Nikko Cordial, the third-biggest securities house, which would put its owner within striking distance of Nomura, the largest (see chart).
See articleCitigroup announced a bid of ¥1,350 ($12) per share for Nikko Cordial, a Japanese brokerage firm.
Some economists argue plausibly that signs of slowing consumer spending are already apparent: Simon Briscoe, an economist at Nikko Europe, a securities firm, points out that a whole host of economic variables, from car registrations to retail sales, are weaker than they were six months ago.
Japan did produce a detailed plan for international quotas, which the European Union said was too weak and the Australians said was too radical.London's big catchIn an unusual move, Nikko Securities, under the aegis of Masashi Kaneko, the new president brought in after a racketeering scandal, is transferring responsibility for its international operations from Tokyo to London.
Asian fusion food is taken one step further at Japanese-owned Hotel Nikko, where Peking-style duck is served wrapped in chunky tortillas.The city's Asian influence is not restricted to the culinary.
And NatWest's abortive takeover of Legal & General led directly to the bid battle that saw it taken over by the Royal Bank of Scotland.Barclays Global Investors (BGI), which was formed out of the 1996 merger between BZW Asset Management and Wells Fargo Nikko Investment Advisers, is already the world's largest institutional investment manager.
Not all of these plans convince, but when they do—at Sony, Nikko Securities and NEC, for instance—share prices have soared.In this section Fear of flying So many ways to say goodbye Late developers Selling power Unfinished battle Desperately seeking a perfect model The good (and bad) model guide Two into three won't go Spoilt for choice Needs a wash ReprintsYet neither bet seems safe.
Credit Suisse now advises investors to skip Japan altogether, while Nikko Securities has more than halved its weighting for Japanese bonds.
In June 1998, Mr Weill added a stake in and a joint venture with Nikko Securities, a Japanese stockbroker.Mr Weill's merger technique was based on having a clear strategy including cutting fat out of undermanaged businesses and implementing it fast.
