Competition Intensification Risk
First written in FY2016. 4 of 5 entries say "Worsened", first in FY2019. Latest entry: FY2026.
Tokai Tokyo Financial Holdings moved to the "Worse" side of this theme in 2019, 5 years before the typical company in this theme (2024).
The whole theme swung hardest in 2025: 11 of 22 companies on the "Worse" side.
18 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「Although the face-to-face securities business has high barriers to entry because it requires personnel with expertise and interpersonal skills, as well as advanced infrastructure, its nature has undergone major changes due to changes in commission structures, increases in wages, system costs, prices and interest rates, regulatory and institutional reforms, and the acceleration of digital transformation (DX).」
Regarding the competitive and business environment, changes in commission structures, increases in wages, system costs, prices and interest rates, regulatory reform and the acceleration of DX were explicitly identified as factors driving change, in addition to previous deregulation and entry by companies from other industries. - FY2021WorsenedAnnual report
「The environment surrounding the face-to-face securities business is expected to become increasingly challenging, partly due to the impact of market fluctuations and moves toward eliminating commissions.」
Regarding the competitive environment, the outlook indicates that the environment for the face-to-face securities business will become even more challenging due to entry by companies from other industries and moves toward eliminating commissions, among other factors. - FY2021-Q3WorsenedAnnual report
「While the environment surrounding the face-to-face securities business is expected to become increasingly challenging, improving the productivity of retail sales is an urgent issue in achieving the KGI ahead of the final year of the medium-term management plan.」
The outlook indicates that the environment for the face-to-face securities business will become increasingly challenging, again highlighting the severity of the competitive and broader business environment. - FY2019WorsenedAnnual report
「The business environment surrounding the Group is changing rapidly due to the progress of digitalization, efforts to meet fiduciary duty requirements, initiatives to reform work styles, changes in domestic and overseas markets, diversification of customer needs accompanying the declining birthrate and aging population, the increasing cost structure of the securities business, and intensifying competition resulting from entry into the securities business by companies from other industries.」
Changes in the competitive environment, including intensified competition from entrants from other industries, were described as broader changes in the business environment. - FY2016First statedAnnual report
「Under these circumstances, if the Group becomes unable to maintain its existing competitiveness in the future due to the emergence of stronger competitors or other factors, this could adversely affect its financial position and business results.」
Intensifying competition against a backdrop of deregulation and product diversification is recognized as a risk.