With their AAA credit ratings and higher yields than Japanese government bonds, debt instruments issued by the World Bank are seeing growing demand in Japan, especially as the April 1 end of a blanket guarantee on bank deposits might prompt individuals to shift their funds from deposits to government bonds, investment trusts or foreign securities.
Sales of World Bank bonds have risen sharply here since a Dec. 1 revision of the Securities and Exchange Law enabled banks to conduct brokerage business for stocks and bonds, making it easier for individual investors to buy the financial instruments.
Sumitomo Mitsui Banking Corp. says it has sold 50 billion yen to 60 billion yen worth of World Bank bonds -- known in Japan as "seginsai" -- in the last three months, making them the top-selling foreign securities among individual investors.