Nomura has confirmed plans to pull out of clearing over-the-counter derivatives in the US and Europe, joining a swathe of other financial institutions beating a retreat from the area in the face of regulatory delays and higher capital costs.

Nomura, which had been reported last month to have put the future of its OTC derivatives client clearing business under review, revealed in a statement on Monday that it plans to exit such work in the Americas and Europe, the Middle East and Africa. It cited "the evolving and uncertain regulatory and market environment" affecting the OTC client clearing space.