Nomura Axes Cash Prime Brokerage in U.S., Europe After Archegos

Nomura Holdings Inc. is pulling the plug on a large chunk of its hedge fund business as the deep losses the lender sustained through the collapse of Archegos Capital Management continue to ripple through the organization.

The Japanese bank has decided to stop offering cash prime-brokerage services in the U.S. and Europe, people familiar with the matter said. It has already informed regulators in those jurisdictions and some clients of its decision, and given them about six months to find a new provider, the people said, asking not to be identified discussing the private information.

A spokesman for Nomura declined …