JAPAN’S VALUATIONS HAVE FALLEN DESPITE STRONG EARNINGS GROWTH
Source: Factset, IBES, GS GIR. Data are consensus for calendar years January 1, 2013 to March 22, 2016. Past performance does not guarantee future results, which may vary.
Goldman Sachs Asset Management (GSAM), one of the world’s leading investment managers discusses its constructive view on Japanese equities with Mr. Ichiro Kosuge, the Fundamental Equity Portfolio Manager. Mr. Kosuge highlights the importance of corporate sector reforms to the market’s outlook.
”What is your overall view on Japanese equities?
Ichiro Kosuge: We are constructive on Japanese equities. In addition to the potential for macroeconomic improvement, we believe corporate governance reforms, high cash holdings and attractive valuations could drive equities higher.
Corporate governance reforms in Japan have garnered a lot of attention. How much progress has been made?
Kosuge: We think corporate reforms could be the most important driver of Japanese equity performance, given their potential to improve company fundamentals and shareholder returns, and so boost investor confidence. Progress has been uneven, but over time reforms could lead to better-managed, more profitable and more shareholder-friendly companies………”
Read full interview here.
Source: Goldman Sachs Asset Management
About BDTI
BDTI is a “public interest” nonprofit in Japan dedicated to training about directorship and corporate governance. It is certified by the Japanese government to conduct these activities.