2025 has seen an incredibly strong start to the year with asset management firms aggressively hiring in most functions. This includes roles such as investment analysts (public and private), fund managers, product managers, sales both institutional and retail and various middle office positions. Not surprisingly there is continued strong demand for candidates with alternatives experience (Real Estate, Private Equity, Private Debt and Hedge Funds) and we see this trend continuing to strengthen. Long only fund managers and Hedge Funds continue to push for new talent, with Private Equity and Venture Capital seeing a strong flow from candidates with investment banking backgrounds. Early indications suggest this will be a very busy year ahead.  

Japan’s Investment Banking market is experiencing steady growth, driven by increasing deal activity and evolving client needs. With a rising number of cross-border and domestic transactions, firms are actively seeking professionals with strong Japanese and English language skills and financial modeling expertise to navigate complex deals. Beyond M&A, specialized teams such as TMT, GIG, and FIG are expanding and actively hiring analysts and associates to strengthen their operations. This trend presents a compelling career opportunity for finance professionals looking to advance in a competitive and evolving market.

In addition, the sell side global markets space continues to be a major focus at DSJ. The demands for JPY rates traders and sales are still quite strong, but firms are becoming more selective in their hires in these areas. There are still seats available for high performing JGB, and Yen Swap traders as well as sales, but less than how things were last year.  We continue to see demand for QIS sales and marketers as well as increased demands for credit specialists. Equity markets are also quite active, and hiring demands within sales, trading and execution services remain strong.

The technology job market in Tokyo has been highly active since the beginning of the year as well, with many new roles opening across various fields. Our clients are actively hiring for positions in IT Project Management, Algorithm Development, Machine Learning, Data Science, and Data Analytics, reflecting a strong demand for specialized tech talent. With companies racing to integrate cutting-edge technologies, skilled candidates with expertise in high-performance computing, AI-driven algorithms, and large-scale data processing are in high demand. We predict that this hiring trend in Tech will continue and expect a competitive market ahead. For now, Tokyo remains a hotspot for tech opportunities, offering exciting prospects for those looking to advance in the field.

Within the FinTech industry, firms - particularly online brokerages- are experiencing significant growth as retail and institutional trading activity continues to rise. This expansion is driving increased hiring, especially within operations departments, to support trade execution, client onboarding, compliance, and risk management. As platforms scale, companies are strengthening their back-office and middle-office functions to ensure smooth operations, regulatory compliance, and enhanced customer experience. Our clients are open to hiring senior professionals from traditional financial institutions who are keen to transition into a fast-paced, dynamic environment, often offering greater flexibility in decision-making, providing a refreshing change to their careers. At the same time, they are also interested in enthusiastic young professionals who are eager to learn and grow within the rapidly evolving FinTech space.

For securities firms, there has been a healthy demand for operations and compliance roles, which require knowledge of necessary financial products. As middle office professionals gain experience and deeper product knowledge, some transition into front office roles to interact more directly with clients, creating space for new professionals to step into these positions. Additionally, front office professionals' career progression can sometimes involve moving away from direct client interaction toward risk management and operational oversight functions, with some staying in securities or moving to the buy side.

In terms of compensation for 2024, overall, both US & some European banks have paid higher bonuses than last year. In general, we saw an increase of around 7-10% in total compensation, but in particular, Yen rates traders and sales were rewarded the highest.

Although remuneration in Japan is lower compared to other major financial cities, we saw an increase of professionals looking to move to Tokyo, and hiring market is looking like it will be another very active year.

Last but not least, if anyone is looking to join a fast paced, performance driven team, please get in touch with us today.