Simplification of Entry Procedures | Starting an Asset Management Business

Opening an Asset Management Business

Procedures can now be carried out in English

In January 2021, the Japanese Financial Services Agency and the Finance Bureau jointly opened the Financial Market Entry Office as a centralized consultation center for overseas financial companies considering establishment in Japan. This makes it possible to handle everything from financial licensing consultation to registration procedures and, ultimately, ongoing operations, all in English and without any obstacles. We also provide advance consultation from overseas using video conferencing.

(Inquiries)

Business Hours: Weekdays 9:30 am-6:15 pm (JST)
E-mail: marketentry@fsa.go.jp
Phone: +81-3-6667-0551 (direct line)

(Inquiries)

Business Hours: Weekdays 9:30 am-6:15 pm (JST)
E-mail: marketentry@fsa.go.jp
Phone: +81-3-6667-0551 (direct line)
Address: 7th Floor, FinGATE TERRACE,
8-1 Nihonbashi-kabuto-cho, Chuo-ku, Tokyo

Current Status
Foreign asset management companies must have discussions with different contact points by the JFSA and Local Finance Bureaus High regulatory compliance cost due to the requirement to file application/registration in Japanese

Solution
"Financial Market Entry Office" was launched by the JFSA in January 2021 →One-stop English support services for pre-application consultation, registration procedures, and ongoing operations

Market entry procedures will be greatly simplified

Normally, the investment management business requires various registration, and the approval process for these registrations takes a considerable amount of time. However, we are taking steps to simplify market entry procedures. For example, by adopting a simplified registration system for asset managers of funds mainly targeting overseas professional investors and for asset managers with a business track record overseas or those licensed by overseas authorities. We will submit a bill during the 2021 legislative session and enact these measures upon approval.

About the actual registration procedures

Current status
In principle, even an asset management firm that serves overseas professional investors (institutional investors) is required to be registered with JFSA in order to conduct asset management business in Japan. Moreover, registration procedures could take some time even for an asset management firm with a proven track record overseas

Solution
Facilitate overseas asset managers’ entry by introducing the following programs: Pre-registration entry program（5years） for those with authorization by regulatory bodies and a proven track record in specified foreign countries Simplified entry program for GP managers with overseas qualified clients *The bill was enacted and promulgated in the 2021 Diet session (May) and is expected to come into effect in November.

Solution

Facilitate overseas asset managers’ entry by introducing the following programs:

Pre-registration entry program（5years） for those with authorization by regulatory bodies and a proven track record in specified foreign countries
Simplified entry program for GP managers with overseas qualified clients

*The bill was enacted and promulgated in the 2021 Diet session (May) and is expected to come into effect in November.