Announcement of Subsidiary’s Release

TOKYO, January 27, 2021 – Monex, Inc., a wholly owned subsidiary of Monex Group, Inc., issued
the following press release today.

Attachment: Summary of Monex, Inc. press release
Conclusion of an LOI for a Comprehensive Business Partnership in the Financial Instruments
Intermediary Business between Monex, Inc. and the Shinsei Bank Group

Akiko Kato
Yuki Nakano, Minaka Aihara
Corporate Communications Office
Investor Relations, Financial Control Department
Monex Group, Inc.
Monex Group, Inc.
+81-3-4323-8698+81-3-4323-8698
This material is an English translation of a Japanese announcement made on the date above. Although the Company intended
to faithfully translate the Japanese document into English, the accuracy and correctness of this English translation is notguaranteed and thus you are encouraged to refer to the original Japanese document. This translation was made as a matter ofrecord only and does not constitute an offer to sell or to solicit an offer to buy securities in the U.S.
Contact:

January 27, 2021
Shinsei Bank, Limited
Shinsei Securities Co., Ltd.
Monex, Inc.

Conclusion of an LOI for a Comprehensive Business Partnership in the Financial Instruments
Intermediary Business between Monex, Inc. and the Shinsei Bank Group

Monex, Inc. (Representative Director and President: Yuko Seimei; hereinafter, “Monex”), Shinsei Bank, Limited(President & CEO: Hideyuki Kudo; hereinafter, “Shinsei Bank”) and Shinsei Securities Co., Ltd., a wholly-owned
subsidiary of Shinsei Bank (Representative Director, President: Yasuhiro Iwamoto; hereinafter, “Shinsei Securities”.
Shinsei Bank and Shinsei Securities are collectively referred to as the “Shinsei Bank Group” hereinafter）haveconcluded a three-party Letter of Intent (hereinafter, the “LOI”) for a comprehensive business partnership in thefinancial instruments intermediary business (hereinafter, the “Partnership”) on January 27.
The Partnership is subject to obtaining the approval of relevant governmental bodies and concluding an agreement
which stipulates finally agreed matters (hereinafter, the “Final Agreement”), following verification of the effects ofthe Partnership. The Final Agreement will be concluded by the end of March 2021 to start operation under the newstructure from sometime around January 2022.

(1) Details of the Partnership
Shinsei Bank’s investment trust accounts and Shinsei Securities’ rights and obligations for bond safekeeping
accounts of its individual customers, mainly related to financial instruments intermediary transactions with Shinsei
Bank, will be transferred to Monex through a corporate split (absorption-type). Shinsei Bank will continue to sell
investment trusts and bonds to both its existing and new customers as the financial instruments intermediary agent
entrusted by Monex. Shinsei Securities will act as an intermediary for providing products to Monex.
The Partnership will allow Monex and the Shinsei Bank Group to jointly provide various asset management products
and services to their customers by having Monex manage customer accounts and having Shinsei Bank conduct
solicitation, sales and post-sales follow-ups.
(2) Purposes of the Partnership
Monex has set “Create finance for a new era” as one of its business principles and has been supporting investment
activities of individual investors by, for example, releasing various information in a timely manner as well as
providing numerous unique products and services to create “finance for a new era”. Eyeing further expansion of its

customer base, Monex aims to enhance its services by providing products and services that meet the needs of eachcustomer.
The Shinsei Bank Group has been implementing various advanced initiatives focusing on customer-oriented
business operation in order to sufficiently respond to diversified customer needs. The initiatives include
modernizing communication methods by enhancing remote channels, promoting electronic delivery of investment
trust prospectuses and free-of-charge application fees for bull-bear investment trusts available only on the Internet.
The Partnership aims to expand the line-up of the products provided to customers and to offer them the best
consulting extending to the future by partnering with Monex, which has a unique and superior product and service
line-up. The Partnership is also in line with “Grow through Value Co-Creation”, one of the Group’s core strategies
in the Medium-Term Strategies.
Monex and the Shinsei Bank Group have agreed on the Partnership in order to co-create value by leveraging theiradvantages. Monex and the Monex Group bring about product origination capability and extensive product line-up,
while the Shinsei Bank Group leverages the customer base and consulting capability to provide higher-quality asset
management services to their customers. The Partnership is in line with the basic philosophy of “customer-orientedbusiness operation” which sets the highest priority on customers’ best interests to provide financial services thatmeet their needs.
The Partnership will enable the Shinsei Bank Group to provide broadly-ranged financial products offered by Monex
and the Monex Group. The Shinsei Bank Group will therefore be able to enhance the quality of its customer touchpoints and provide financial services that better meet the needs of individual customers by shifting its management
resources that had been allocated to structuring and management of products to enhancing its consulting capability.
Meanwhile, the Partnership will expand the product sales channels and customer base of Monex, enabling thecompany to better respond to social needs for asset formation by leveraging its high product-structuring capability.
(3) Profiles of the companies

Trade name

Monex, Inc.

Shinsei Bank, Limited

Location

12-32, Akasaka 1-chome,
Minato-ku, Tokyo

Representative

Yuko Seimei
Representative Directorand President
Securities
JPY12,200M

4-3, Nihonbashi
Muromachi 2-chome,Chuo-ku, Tokyo
Hideyuki Kudo
President & CEOBusiness
CapitalBanking
JPY512,204M

Shinsei Securities Co.,Ltd.
4-3, Nihonbashi
Muromachi 2-chome,Chuo-ku, Tokyo
Yasuhiro Iwamoto
Representative Director,
President
Securities
JPY8,750M(Fully-owned by Shinsei
Bank)

EstablishedMay 1999

December 1952

December 2000

(4) Overview of the business to be split
1. Details of the business to be split or succeeded
In the course of the Company Split, Monex is scheduled to succeed the assets and obligations of Shinsei
Bank’s investment trust accounts, as well as any and all rights and obligations incidental thereto.
Details will be announced as soon as they are determined after consultation between the parties.

2. Operating results of the department to be split or succeeded
As stated in 1. above, details of the business of the department to be split and succeeded shall bedetermined after consultation between the parties. The details of the business regarding Shinsei Bank’s
investment trust accounts are as follows:
Fiscal year end
Aggregate outstanding balance ofinvestment trust

Fiscal year ended March 2020
JPY 286.7 billion(Reference Information)
Information on Shinsei Securities’ bond safekeeping accounts
Fiscal year end
Fiscal year ended March 2020
Aggregate outstanding balance of
JPY 207.9 billion
bond safekeeping accounts

3. Items and amounts of assets and liabilities to be split or succeeded
As stated in 1. above, details shall be determined after consultation between the parties.
(5) Outlook
The partnership will have marginal impact on the consolidated performance of Monex and the Shinsei BankGroup.

End