Donaldson, Lufkin & Jenrette's on-line brokerage subsidiary, DLJdirect Inc., has formed a joint venture with Sumitomo Bank and Internet Initiative Japan, an Internet service provider, to create DLJdirect Japan Inc.
By the second quarter of next year, DLJdirect Japan expects to begin tapping into Japan's $10 trillion savings market, offering securities trading, investments trusts, and money market funds to Japanese investors. The firm will be capitalized with about $25 million from the companies.
"This move is an important part of DLJ's international expansion effort," said Joe Roby, chief executive officer of Donaldson, Lufkin & Jenrette. It "positions DLJ to become a leading worldwide provider of Internet financial services."
Blake Darcy, CEO of DLJdirect, will become chairman of the new company.