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

The truth behind the myths

clock • 2 min read

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 for free

  • 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
member?

Login

More on Asia

China's first quarter GDP growth beats expectations with 5.3% year-on-year jump

China's first quarter GDP growth beats expectations with 5.3% year-on-year jump

Beats expectations

Eve Maddock-Jones
clock 16 April 2024 • 2 min read
Fitch Ratings downgrades China's credit to 'Negative' as deficits 'erode fiscal buffers'

Fitch Ratings downgrades China's credit to 'Negative' as deficits 'erode fiscal buffers'

Transitioning to less property-reliant GDP

Eve Maddock-Jones
clock 10 April 2024 • 2 min read
EFG's Afzal and Gerlach: A letter from Hong Kong

EFG's Afzal and Gerlach: A letter from Hong Kong

Notes from recent investment trip

Moz Afzal and Stefan Gerlach
clock 28 March 2024 • 4 min read
Trustpilot