What Next for Japan
After a strong performance in 2003, 2004 and 2005, the Japanese stock market was essentially flat during 2006 until a strong December rally brought the most widely traded Japan ETF (EWJ) up just over 5% for the year.
What lies ahead for Japan as the world's second largest economy and stock market? Will the Japanese yen finally begin to appreciate and benefit foreign investors? Is Japan still an excellent play on the overall Asian growth story?When will the Japanese consumer begin spending again? Why is Japan one of the few countries in the world to have a trade surplus with China and why is Japan able to hold on to its industrial base so much better than America? Are Japanese large multinationals the place to invest or should investors target the smaller and more innovative companies? In 2006, small and mid cap ETFs led the way in Japan and these ETFs could also do well in 2007.
The best performing ETFs tracking Japanese markets were WisdomTree's Japan Small Cap ETF (DFJ) and its Japan High-Yielding Equity ETF (DNL).
Both ETFs were introduced on June 16th.
Other key questions for long-term ETF investors are how will the Japanese - America alliance evolve and could Japan be moving towards excessive nationalism? What is likely to be the impact of Japan's demographics on investment opportunities and returns? These are all important questions.
Why don't you get to the bottom of these questions yourself by joining me in May 2007 as I lead a ten day investment tour of Japan http://japaninvestortour.
wordpress.
com/about/ This will be a trip of a lifetime and will be a fascinating immersion into Japan's stock market, economics, politics, culture and history as well as provide you with the opportunity to learn more about specific Japanese companies.
Join me to find out what place Japan should have in your global ETF portfolio.
What lies ahead for Japan as the world's second largest economy and stock market? Will the Japanese yen finally begin to appreciate and benefit foreign investors? Is Japan still an excellent play on the overall Asian growth story?When will the Japanese consumer begin spending again? Why is Japan one of the few countries in the world to have a trade surplus with China and why is Japan able to hold on to its industrial base so much better than America? Are Japanese large multinationals the place to invest or should investors target the smaller and more innovative companies? In 2006, small and mid cap ETFs led the way in Japan and these ETFs could also do well in 2007.
The best performing ETFs tracking Japanese markets were WisdomTree's Japan Small Cap ETF (DFJ) and its Japan High-Yielding Equity ETF (DNL).
Both ETFs were introduced on June 16th.
Other key questions for long-term ETF investors are how will the Japanese - America alliance evolve and could Japan be moving towards excessive nationalism? What is likely to be the impact of Japan's demographics on investment opportunities and returns? These are all important questions.
Why don't you get to the bottom of these questions yourself by joining me in May 2007 as I lead a ten day investment tour of Japan http://japaninvestortour.
wordpress.
com/about/ This will be a trip of a lifetime and will be a fascinating immersion into Japan's stock market, economics, politics, culture and history as well as provide you with the opportunity to learn more about specific Japanese companies.
Join me to find out what place Japan should have in your global ETF portfolio.
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