Month: February 2020

Topics

• 50%
  INEDs increased 1 company (Yamada Consulting [4792]) to 85 (86 companies
  including Toshiba) from the previous month.
• A
  significant positive correlation was found between board practices and value
  creation (ROE, ROA, Tobin’s q) in the following

(Positive
correlation with actual ROE)

• Ratio of female directors and
  ROE results
• Incentive (compensation) plan
  factors and ROE achievements

Stock prices climbed in the 1H of the month on risk-on rally buoyed by hitting historical high of US market, but concern about negative impact on global economy led by coronavirus infection put downward pressure on the stocks toward the month end. TOPIX and JPX400 market indices lost -0.11% and -0.09% respectively for the month. CG Top 20 stocks soft -0.07% but outperformed against the both indices for the same period.

We more often see the company’s posting about share repurchase lately. However, fewer companies retired the treasury shares in the past. How much companies cancel the shares? The following table shows that comparison of about the data of 1,800 Japanese companies between March 2018 and January 2020.