Mizuho Financial Group (TYO:8411) will partner with US-based pensions consultant Mercer to launch a comprehensive asset management service for corporate pensions, educational institutions, and other institutional clients in Japan, Nikkei Asia reported Tuesday.

The move marks the first entry by a Japanese megabank into the outsourced chief investment officer (OCIO) model, a structure common in the US and Europe, the report said. Mizuho will finalize its partnership Tuesday with Mercer Japan and Mercer Investments Japan, it added.

Services are expected to begin by the end of September.

Offerings will be channeled primarily through Mizuho Bank and Mizuho Trust & Banking, with Asset Management One, another Mizuho group company, managing contracts and subcontracting investment operations to Mercer, Nikkei noted.

Mercer will provide tailored asset strategies and oversee full execution, including investment planning, asset allocation, manager selection, and performance reporting, the report said.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)