News & Insights

[EXTERNAL LINK] SuMi TRUST AM's Senior Strategist, Katsutoshi Inadome shares his view on the Bank of Japan's bond-buying decisions and the state of the yen.

[EXTERNAL LINK] In this article with Asia Asset Management, SuMi TRUST AM's Shu Iwao, Chief Portfolio Manager of the Japan Equity Multi-Factor Long-Short Fund, discusses the launch of the fund as well as its strategy and approach.

In April the Japanese TOPIX and Nikkei 225 indices faced declines, primarily driven by the downturn in U.S. semiconductor stocks and escalating tensions in the Middle East. In particular, the Nikkei 225 experienced a significant drop mid-month, although by the end of the month it had begun to recover as foreign investors increased their cash stock purchases, alongside active retail investor participation.

In March Japanese equities continued their strong performance. The Nikkei 225 briefly reached the 41,000 yen level before returning to hover around the 40,000 yen mark. Gains were centred around large cap value stocks with foreign investors remaining net buyers of Japanese equities for the third month running.

[EXTERNAL LINK] SuMi TRUST AM's Chief Strategist, Katsutoshi Indome's comments on the Bank of Japan's monetary policy shed light on the direction of Japan's economy.

In February Japanese equities performed unprecedentedly well, bringing the Nikkei 225 to a historical high of 39,426 yen on the 27th February. This surge was primarily driven by positive corporate earnings announcements and the expectations for continuous monetary easing policies. Foreign investor trading volume continued to be high for the second month running, which was a supporting factor for the market.

[EXTERNAL LINK] In an article with Nikkei Asia, Yoshio Hishida, chief executive officer at Sumitomo Mitsui Trust Asset Management, discusses SuMi TRUST AM's presence in the Middle Eastern region, which accounts for 90% of the firm's assets from overseas.

In January, Japanese equities rebounded in price due to a weaker yen and higher U.S. stock prices. The TOPIX surged by 7.8% to its highest point in the past 2 months, while the Nikkei 225 reached the 36,000-yen level, up by 8.4%. Growth factors dominated towards the beginning of the month, but were overtaken by value factors in the latter half of the month. Meanwhile large cap stocks outperformed this month.

[EXTERNAL LINK] BoJ Policy Meeting results in decision to maintain Japan's ultra-loose monetary policy, in line with senior strategist Katsutoshi Inadome's comments.