Mythbusting in Japan: Five reasons why investors are missing out on investment opportunities

The truth behind the myths

clock • 2 min read
Sophia Li of FSSA Investment Managers

Sophia Li of FSSA Investment Managers

Some investors are missing out on growth opportunities in Japan due to a reliance on myths about the Olympic host nation. For several reasons, Japan is often misunderstood by those outside the country.

It is time to reconsider the top five myths about the nation: Ageing population There is a view that an ageing population means the country is not experiencing growth. However, while Japan's nominal GDP has grown by just 9% since 1994, total corporate profit was up by 140% in USD terms by the end of March 2020. The growth is there - you just need to know how to find it. Lack of analyst coverage Around three-quarters of the investable companies in Japan have either one analyst or no analysts covering them. Skilled investment managers can identify specific sectors and ...

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now


Already an Investment Week


More on Asia

At the end of June this year, TSMC was in 2,336 funds’ top ten with 2,062 of those being active funds.

Stock Spotlight: Taiwan Semiconductor powers on despite geopolitical tensions

Strong investment case

Kathleen Gallagher
clock 15 August 2022 • 4 min read
Yu Shimizu of SPARX

Abe's transformation of Japanese corporate governance will live on

Abe's influence will persevere

Yu Shimizu
clock 15 August 2022 • 4 min read
Darius McDermott, managing director of FundCalibre makes his four fund picks for China.

Darius McDermott: Fund picks for China

Four fund choices

Darius McDermott
clock 12 August 2022 • 3 min read