	nippon life shearson tie up seen setting trend nippon life insurance co s mln dlr purchase of a pct stake in shearson lehman brothers inc brokerage unit is a shrewd move that other japanese insurers are likely to follow securities analysts said the investment in one of wall street s top brokerage houses is likely to pay off in dollars and international market position they said it s part of a trend towards growing capital participation by japanese insurance firms in foreign financial institutions said simon smithson an analyst with kleinwort benson international inc in tokyo the investment in shearson lehman a growing firm described by some analysts as the top u s retail brokerage will give nippon life a ringside seat and possibly lower commissions on wall street where it invests an increasing percentage of its assets of billion dlrs they said nippon life staff will also uire expertise in business sectors which have not yet opened up in japan they added the agreement between the two companies calls for a joint venture in london focussing on investment advisory asset management market research and consulting on financing nippon life is japan s largest insurance company and the world s biggest institutional investor analysts said the japanese finance ministry is expected to approve the deal in april making nippon life the first japanese life insurance firm to take a stake in a u s financial firm the limit on foreign assets as a proportion of japanese insurers assets was increased to pct from pct last year since then they have stepped up purchases of foreign stocks and sought to deepen their understandng of foreign markets and instruments last year a sumitomo life insurance co official was appointed to e f hutton group inc unit e f hutton and co s board and sumitomo bank ltd spent mln dlrs to become a limited partner in goldman sachs and co smithson said japanese banks started buying smaller and problem plagued banks in but now japanese are going for blue chip organisations he said it s a reflection of what has happened in manufacturing industries said brian waterhouse at james capel and co with a historically high yen and historically low interest rates there s an increasing disincentive to invest in japan competition in fund management has grown along with greater japanese savings the typical salaried employee has mln yen in savings reflecting an annual average savings rate of to pct he said to stay competitive fund managers must invest overseas and gain experience with financial instruments which are likely to spread to japan with further deregulation the high regulatory environment has delayed life insurance firms diversification now there s a growing number of new products in an environment of increasing competition for performance on fund management smithson said reuter 
