Is Daiwa Securities Group profitable in 2026?

Yes. For fiscal year 2025 (ended March 31, 2026), Daiwa reported profit attributable to owners of the parent of 175.2 billion yen, up 13.5% year over year, a record high, alongside net operating revenues of 720.4 billion yen, up 11.5% YoY.

Could AI replace Daiwa Securities Group's core business?

No. Daiwa's AI operator handled over 20% of customer calls by mid-2025 and its generative AI chat had an 87% FAQ resolution rate by April 2026, but its licensed brokerage/banking business, regulatory relationships with FSA and JPX, and century-old distribution network remain untouched by AI, per company disclosures.

Who is Daiwa Securities Group's biggest competitor?

Nomura Holdings, Japan's largest brokerage, ranked #1 in equity trading share, research, and corporate access surveys as of March 2023, remains the dominant incumbent above Daiwa, which holds the clear #2 position in Japan's securities industry.

Is Daiwa Securities Group a safe company to join in 2026?

Likely yes. Daiwa held an AA- stable credit rating from JCR as of April 28, 2026, reported record FY2025 profit, and raised wages by at least 5% from April 2025 to attract talent, with headcount growing to 14,783 employees as of March 31, 2025.

Who owns Daiwa Securities Group?

Daiwa Securities Group Inc. is a publicly traded, widely held Japanese holding company with no controlling parent, listed on the Tokyo Stock Exchange under ticker 8601 with a market capitalization of approximately 2.58 trillion yen as of mid-2026.

Why is Daiwa Securities Group buying ORIX Bank?

Daiwa announced on April 27, 2026 the acquisition of ORIX Bank Corporation for 370 billion yen, its largest deal in over a decade, to integrate with subsidiary Daiwa Next Bank, creating a combined bank with roughly 9 trillion yen in assets and a target to add over 2 trillion yen in new deposits over five years.

Insurance companies · Japan

Daiwa Securities Group

daiwa.jp ↗

Japan's second-largest securities firm and investment bank, founded 1902.

Hard to displace

Assessed 25 July 2026 · Evidence as of 25 July 2026

Strong structural protection; the business model survives ai pressure.

On the recordSince 25 July 2026 · Checkable from October 2026 · Every call on the record Checkpoint: ORIX Bank acquisition expected to close, pending regulatory approval

The call

Daiwa holds its regulated distribution while folding AI into internal operations and closing its largest acquisition in a decade.

Daiwa Securities buys and sells stocks, bonds, and other investments for regular people and big companies in Japan. It is hard to replace because the government only lets certain licensed companies do this work, Daiwa has deep relationships with regulators after 124 years, and it already has millions of customers who use its platform. Nomura is bigger, but both companies are so locked into Japan's system that neither one is going away soon. The one thing that could change the picture is if the government opens up investment banking to new competitors or if AI tools make it so cheap and easy to invest that people stop needing brokers at all.

Why

AI pressure: None apparent (Daiwa runs AI internally via Microsoft Japan and Sakana AI). AI operators now handle over 20% of customer calls, cutting Daiwa's own costs rather than pulling clients to a rival platform. Could AI do the core job? Unlikely.

Bigger players: Nomura Securities. Nomura sits above Daiwa in most Japanese brokerage league tables, but that reflects steady rivalry, not clients leaving Daiwa. Could a giant copy it? No, they are blocked.

What protects it. Century-old securities and banking licenses plus FSA and JPX relationships that block new entrants, AI or otherwise, from Daiwa's regulated distribution.

What would change this call

Whether ORIX Bank acquisition (¥370B) closes by October 2026 as planned. Shows Daiwa's capacity to execute its largest deal in a decade and expand banking scale.
Capital-adequacy recovery pace after the ORIX Bank deal, as flagged by JCR. Indicates whether the acquisition strains Daiwa's balance sheet or is absorbed smoothly.
Reported share of customer service calls handled by AI agents at Daiwa by end of 2026. Shows how far AI is cutting service costs versus just supporting existing licensed staff.

Key numbers

Market cap approximately ¥2.58 trillion (2025)
FY2025 net profit ¥175.2 billion, up 13.5% YoY (FY2025)
ORIX Bank deal valued at ¥370 billion (2025)

Named risks

ORIX Bank integration and capital-adequacy recovery pace flagged as watch item post-acquisition. Severity: medium
Quarterly earnings volatility, including a reported 24% YoY quarterly profit drop within FY2025. Severity: medium
Slow secular retail share erosion to online discount brokers in NISA flow. Severity: low
Regulatory approval risk for ORIX Bank deal ahead of October 2026 close. Severity: medium

Rivals, as read in July 2026

Rival	Direction	Evidence
Nomura Holdings	losing to	Ranked #1 in Japan equity trading, research, and corporate access as of March 2023, above Daiwa
SMBC Nikko Securities	contesting	Historically statistically tied with Daiwa and Mizuho in Japanese equity trading share
Mizuho Securities	contesting	Strong in bond underwriting league tables, competes with Daiwa domestically
Mitsubishi UFJ Morgan Stanley Securities	contesting	Strong in government bond trading and M&A advisory league tables versus Daiwa
Rakuten Securities	gaining on	Online brokers draw retail NISA flow away from full-service firms like Daiwa as of 2024-08

Questions people ask

Is Daiwa Securities Group profitable in 2026?: Yes. For fiscal year 2025 (ended March 31, 2026), Daiwa reported profit attributable to owners of the parent of 175.2 billion yen, up 13.5% year over year, a record high, alongside net operating revenues of 720.4 billion yen, up 11.5% YoY.
Could AI replace Daiwa Securities Group's core business?: No. Daiwa's AI operator handled over 20% of customer calls by mid-2025 and its generative AI chat had an 87% FAQ resolution rate by April 2026, but its licensed brokerage/banking business, regulatory relationships with FSA and JPX, and century-old distribution network remain untouched by AI, per company disclosures.
Who is Daiwa Securities Group's biggest competitor?: Nomura Holdings, Japan's largest brokerage, ranked #1 in equity trading share, research, and corporate access surveys as of March 2023, remains the dominant incumbent above Daiwa, which holds the clear #2 position in Japan's securities industry.
Is Daiwa Securities Group a safe company to join in 2026?: Likely yes. Daiwa held an AA- stable credit rating from JCR as of April 28, 2026, reported record FY2025 profit, and raised wages by at least 5% from April 2025 to attract talent, with headcount growing to 14,783 employees as of March 31, 2025.
Who owns Daiwa Securities Group?: Daiwa Securities Group Inc. is a publicly traded, widely held Japanese holding company with no controlling parent, listed on the Tokyo Stock Exchange under ticker 8601 with a market capitalization of approximately 2.58 trillion yen as of mid-2026.
Why is Daiwa Securities Group buying ORIX Bank?: Daiwa announced on April 27, 2026 the acquisition of ORIX Bank Corporation for 370 billion yen, its largest deal in over a decade, to integrate with subsidiary Daiwa Next Bank, creating a combined bank with roughly 9 trillion yen in assets and a target to add over 2 trillion yen in new deposits over five years.

Timeline

2026-04-28JCR affirms Daiwa's AA- stable credit rating after ORIX Bank deal announcement
2026-04-27Daiwa announces 370 billion yen acquisition of ORIX Bank, largest deal in a decade
2026-04-27Daiwa reports record FY2025 profit of 175.2 billion yen, up 13.5% YoY
2025-10-03Daiwa and Sakana AI announce long-term partnership for AI asset consulting
2025-10Daiwa Asset Management and LegalOn launch AI compliance tool DocumentOn
2025-06Daiwa signs multi-year strategic AI agreement with Microsoft Japan
2025-04Daiwa launches D-Port investment app and Daiwa Lens financial education app
2024-12Daiwa announces plans to raise wages at least 5% starting April 2025
1999-04-26Daiwa Securities Group Inc. formed as first Japanese listed holding company

Head to head

Daiwa Securities Group vs Nomura Holdings

Revision history

25 July 2026

First assessed. Hard to displace. The text above is fixed as of this date and is not edited afterwards.

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