There is currently a boom in
marketing hedge funds and alternative investments in Japan.
In 2003, Japanese pension funds have invested 237 BY or 3B$ in hedge
funds in 2003 representing 7% of their investments in 2003. According to
Ministry of Finance latest statistics, it is 5.85 TY or about 60B$ that
has invested into "Caribbean" from January to November 2004,
representing a 150% increase over 2003.
Main reason for the hedge funds boom are:
- Recent liberalization of investment rules allows institutionals to
invest in hedge funds. (For example, ).
- Private investors face a lack of investment opportunities.
- Past performance of securities or real estate investments for the last
ten years has been
disastrous while hedge funds and alternative investments have shown a relatively steady track
record. (For example, Toshiba employees pension fund is investing 25% of
its 300BY assets to alternative investments).
- Creation of Japan focused hedge funds following the big success of
opportunity funds and private equity funds such as Ripplewood and
Carlyle
- Numerous opportunities for investment that have also triggered huge
growth in the M&A market in Japan.
- Japanese are sitting on a massive pile of savings evaluated to 1400 TY
or about 14 T$.
- a general Asia wide boom in hedge funds.
JMC offers a wide range of services for institutions aiming to
successfully raise money on Japan as well as assistance for setting up
their operations, based on our proven consulting methodologies. |