Japan refocused: Which companies and sectors are driving change?

Nick Price, portfolio manager of the Fidelity Japanese Values trust, explores the key changes being made by Japanese corporates.

Japan was one of the strongest performing markets this year and the spike in risk aversion has led to heavy profit taking.While risk-off moves may persist for the time being and events in China require careful monitoring, powerful structural changes at the micro level - a key strand of the government's reform focus - are progressing well and are creating attractive opportunities. I have witnessed gradual improvements in areas such as balance sheet management and corporate governance, and since the advent of Abenomics, the pace of change has been dramatic. The most important measures, ...