Finance

Which act does Article 2, paragraph 2 of the Banking Act (銀行法) list as the banking business?

1. Trading and underwriting securities while also receiving trading commissions from investors
2. Taking deposits or instalment savings together with lending funds or discounting bills
3. Acting as agent or intermediary in concluding insurance contracts while also receiving commissions from insurers
4. Storing goods received in trust in a warehouse

What procedure is required in order to carry on the banking business?

1. Approval from the prefectural governor
2. Registration with the Minister of Economy, Trade and Industry
3. A licence from the Prime Minister
4. Notification to the Prime Minister

Which combination of three operations does Article 10, paragraph 1 of the Banking Act list as the business of a bank?

1. Lending funds, dealing in real estate, and the travel business
2. Exchange transactions, insurance solicitation, and investment management
3. Taking deposits or instalment savings and the like, lending funds or discounting bills, and exchange transactions
4. Taking deposits, underwriting insurance, and underwriting securities issues

What does Article 12 of the Banking Act provide?

1. That a bank must obtain a fresh licence from the Prime Minister each time it sets up a business office
2. That a bank must fix a ceiling on its lending rates in its articles of incorporation, notify the Prime Minister of it and give public notice
3. That a bank may also obtain an insurance business licence
4. That a bank may carry on no business other than the business it carries on under Articles 10 and 11 and business it carries on under other laws

Which wording is part of the purpose set out in Article 1 of the Shinkin Bank Act (信用金庫法)?

1. To protect investors in securities
2. To establish a system of banks in the form of stock companies
3. To establish a system of shinkin banks on a cooperative basis
4. To smooth the distribution of goods

Regarding membership qualification under Article 10, paragraph 1 of the Shinkin Bank Act, who is excluded as a rule?

1. A corporation with a place of business in the shinkin bank's district that has 300 or fewer regular employees
2. A business operator with more than 300 regular employees (for a corporation, one that also meets the requirement on stated capital and the like)
3. A person engaged in work within the shinkin bank's district
4. An individual with a domicile or residence in the shinkin bank's district who has 300 or fewer regular employees

Which is a correct statement of the business of a shinkin bank under Article 53, paragraph 1 of the Shinkin Bank Act?

1. Underwriting insurance
2. Underwriting securities issues
3. Lending funds to members
4. Lending funds to anyone at all, without restriction

Which is a correct statement of the business of a credit cooperative under Article 9-8, paragraph 1 of the Small and Medium-Sized Enterprise Cooperatives Act (中小企業等協同組合法)?

1. Running a second-class freight forwarding business for members
2. Underwriting life insurance with members as the insured
3. Taking deposits or instalment savings from members
4. Deposits taken without restriction from anyone, member or not

Which combination of 4 banks does MUFG Bank, Ltd. (株式会社三菱UFJ銀行) describe on its official website as the origins of the Bank of Tokyo-Mitsubishi UFJ, set up in 2006?

1. Mitsubishi Bank, Sumitomo Bank, Sanwa Bank, Dai-Ichi Bank
2. Bank of Tokyo, Sakura Bank, Tokai Bank, Fuji Bank
3. Mitsubishi Bank, Industrial Bank of Japan, Tokai Bank, Kobe Bank
4. Mitsubishi Bank, Bank of Tokyo, Sanwa Bank, Tokai Bank

Which merger brought Sumitomo Mitsui Banking Corporation (株式会社三井住友銀行) into being in April 2001?

1. Sakura Bank and Tokai Bank
2. Sumitomo Bank and Sakura Bank
3. Mitsui Bank and Taiyo Kobe Bank
4. Sumitomo Bank and Sanwa Bank

What procedure is required in order to carry on a financial instruments business?

1. Notification to the prefectural governor
2. Registration with the Prime Minister
3. A licence from the Prime Minister
4. Permission from the Minister of Land, Infrastructure, Transport and Tourism

Where securities underwriting is carried on as a business, which category does it fall into under the Financial Instruments and Exchange Act?

1. Investment management business
2. Type I financial instruments business
3. Investment advisory and agency business
4. Type II financial instruments business

Which describes the brokerage business of a securities company, executing trades on behalf of clients?

1. Taking clients' orders and acting as intermediary, broker or agent in the trading of securities
2. Concluding an investment advisory contract with a client and giving continuous advice on the value of securities
3. Acquiring securities from the issuer and selling them to investors, taking any unsold portion onto its own books
4. Trading securities with the firm's own money and bearing the resulting gains and losses itself

Which is an appropriate feature of the underwriting of securities as the Financial Instruments and Exchange Act uses the term?

1. Merely advising investors, and neither acquiring nor offering securities at all
2. It is nothing more than trading already-issued securities on the market
3. It includes contracting to acquire any remaining portion where there is no other acquirer, so the risk of unsold securities is borne
4. Merely passing on orders received from clients, acquiring no securities and bearing no inventory risk at all

Which year does Nomura Holdings, Inc. (野村ホールディングス株式会社) give on its official website as the year Nomura Securities was established?

1. 1925
2. 1949
3. 1878
4. 1902

What kinds of insurance business licence does Article 3, paragraph 2 of the Insurance Business Act (保険業法) provide for?

1. Two kinds: the life insurance business licence and the non-life insurance business licence
2. One kind only, the life insurance business licence
3. Three kinds: life insurance, non-life insurance, and accident insurance business licences
4. No kinds of licence are provided for

What does Article 3, paragraph 3 of the Insurance Business Act provide?

1. That a non-life insurance company may not use agencies and must solicit business only through its own employees
2. That the life insurance business licence and the non-life insurance business licence may not be held by the same person
3. That a life insurance company must be a stock company and may not take the form of a mutual company
4. That an insurance company must obtain a banking licence in addition to its insurance business licence

Which is the correct description of a mutual company (相互会社) under Article 2, paragraph 5 of the Insurance Business Act?

1. A special corporation set up with state funding and placed in the Insurance Business Act with the purpose of carrying on the insurance business
2. An association set up under the Insurance Business Act with the purpose of carrying on the insurance business, whose members are its policyholders
3. A cooperative set up under the Small and Medium-Sized Enterprise Cooperatives Act whose members contribute capital and thereby become its members
4. A stock company set up under the Companies Act whose members are its shareholders, with the purpose of carrying on the insurance business

Which is part of the requirements for a non-life insurance agent (損害保険代理店) under Article 2, paragraph 21 of the Insurance Business Act?

1. Not being an officer or employee of the non-life insurance company
2. Being an employee of the non-life insurance company
3. Holding a life insurance business licence
4. Holding a licence from the Prime Minister

Which event of 1889 (Meiji 22, 明治22年) does Nippon Life Insurance Company (日本生命保険相互会社) record on its official website as its founding?

1. The launch of Japan's first motor insurance
2. Conversion into a mutual company
3. The listing of its shares on the Tokyo Stock Exchange
4. The establishment of Nippon Life Assurance Company, Limited

Which event does Tokio Marine and Nichido Fire Insurance Co., Ltd. (東京海上日動火災保険株式会社) record in its history for August 1879 (Meiji 12, 明治12年)?

1. Mitsubishi Marine and Fire Insurance Co., Ltd. was established
2. Japan's first motor insurance appeared
3. Tokio Marine Insurance Company was founded as Japan's first insurance company
4. Meiji Fire Insurance Co., Ltd. was established

In the history of ORIX Corporation (オリックス株式会社), what was the name of the company established in 1964?

1. ORIX Rentec Corporation
2. Orient Leasing Co., Ltd.
3. The Toyo Trust and Banking Company, Limited
4. ORIX Auto Corporation

Which appropriately describes the mechanism of comprehensive credit purchase intermediation (包括信用購入あつせん) under the Installment Sales Act (割賦販売法)?

1. Issuing a card or the like to a user, paying the member merchant the amount of the purchases the user makes there, and receiving that amount from the user by a time fixed in advance
2. Buying goods in from member merchants in advance as one's own inventory, selling them to users in one's own stores, and receiving the price by a time fixed in advance
3. Taking deposits from users and lending them to other users
4. Lending cash to the user, taking repayment with interest by a time fixed in advance, and paying member merchants nothing corresponding to the purchase price

Where a person seeking to run a money lending business sets up business offices in two or more prefectures, with whom must the registration be made?

1. The Prime Minister
2. The governor of the prefecture where the head office is located
3. The Minister of Land, Infrastructure, Transport and Tourism
4. The Minister of Economy, Trade and Industry

Which is the correct criterion for an excessive lending contract to an individual (個人過剰貸付契約) under Article 13-2 of the Money Lending Business Act?

1. One under which the individual customer's total outstanding borrowings would come to more than one third of annual income such as salary
2. One under which the interest rate on the loan to the individual customer would exceed 20 percent a year
3. One under which the individual customer's total outstanding borrowings would come to more than half of annual income such as salary
4. One under which the period for repaying the principal of the loan to the individual customer would exceed 5 years

Which is the correct description of an investment trust managed under instructions from the settlor (委託者指図型投資信託) under the Act on Investment Trusts and Investment Corporations?

1. An association whose members are its policyholders
2. A deposit taken by a bank with the principal guaranteed, to be repaid with interest whenever the depositor asks for it back
3. A trust in which the trustee invests the trust property in specified assets without instructions from the settlor, with the purpose of dividing the beneficial interest and having several persons acquire it
4. A trust in which the trust property is invested in specified assets under instructions from the settlor, with the purpose of dividing the beneficial interest and having several persons acquire it

What procedure does a bank or other financial institution need in order to carry on trust business?

1. Registration with the Minister of Land, Infrastructure, Transport and Tourism
2. Approval from the Prime Minister
3. A licence from the prefectural governor
4. No procedure is required

Which is part of the mission of the Financial Services Agency under Article 3, paragraph 1 of the Act for Establishment of the Financial Services Agency?

1. Securing the stability of the financial function, protecting depositors, policyholders, investors in securities and the like, and smoothing the flow of finance
2. Promoting more efficient logistics and a lighter environmental load, fostering the sound development of the motor truck transportation and warehousing businesses, and securing safety in transport
3. Promoting small and medium retail business, supporting the development of shopping streets and the grouping of stores, making the running of chain businesses proper, and protecting the interests of consumers
4. Securing safety in the motor truck transportation business

For general deposits and the like under the Deposit Insurance Act, what is the ceiling on the principal covered by insurance?

1. 3 million yen
2. 5 million yen
3. 10 million yen
4. 20 million yen

Which is not given by Article 51-2, paragraph 1 of the Deposit Insurance Act as a requirement for a payment and settlement deposit?

1. That no interest is attached to it
2. That it can be used for settlement
3. That the depositor can demand repayment at any time
4. That it is denominated in a foreign currency