Business Notes Government

To broaden and bolster their U.S. operations, Japan's big securities houses have hired several of America's top moneymen. Last week Nikko, Japan's second- largest broker, scored a major coup. Stephen Axilrod, the Federal Reserve system's top staff official, said he is retiring to become vice chairman of Nikko's U.S. unit. Nikko is one of four Japanese firms bidding to become primary dealers in Treasury securities, which are bought and sold by the Federal Reserve as a way of controlling the U.S. money supply. But Axilrod stressed that he will do more than simply advise Nikko on possible Fed actions.

Nikko could hardly have picked a more knowledgeable man for the job. The 60-year-old Axilrod has been at the Federal Reserve since 1952 and for the past seven years has been Chairman Paul Volcker's right arm.