Beverly Chandler, Opalesque London:
There has already been a great deal of market and media coverage of the 'recoveryí in Japan. Speakers at the Opalesque Roundtable Japan 2013, sponsored by Eurex and Taussig Capital discussed the changes in the Japanese market from a local perspective.
Peter Tasker of Arcus Research explained that since the crisis of 2008, world financial markets have been in a completely different environment,
and Japan in particular performed very poorly since then. "For example, the Japanese equity market
in Autumn of 2012 was actually below where it was in early 2009, which was the bottom for most
world markets" he said.
"While most of the developed markets, even the troubled Eurozone, have made some progress up
towards the highs of 2006-2007, Japan didnít. The Japanese market was a very poor performer, despite the fact that
the profitability of Japanese companies had improved quite a bit and recovered 50% or 60% of the peak levels of
2006-2007" Tasker explained.
The result was an unusual situation where profits go up but the market went down.
"This has to be seen within the context of a mega-bear market that has been running since 1990 in which the whole
class of equities has been discredited in the eyes of the i......................
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