Kames' Peden boosts Japan exposure on global income fund

Corporates have the 'firepower' to increase dividends

Kames Capital's Mark Peden, manager of the Global Equity Income fund, has moved to an overweight position in Japan as companies in the region increasingly adopt shareholder friendly policies.

The fund's allocation has increased to 10%, in comparison to the benchmark's 8% weight, as manager Peden said there is mounting pressure on companies to return cash to investors in a low inflation, low growth environment. Industry voice: How to benefit from Japan's shortage of younger people Peden (pictured) said: "In the mid-1990s shareholders were at the bottom of the corporate priority list in Japan. Although the pace of change has been glacial, corporates have gradually become more shareholder friendly with improved investor relations, less irrational decision making and better re...