Daily BriefsESG

Daily Brief ESG: Looking at Policy Shareholdings as a Percentage of Total Assets Reveals a Different Aspect and more

In today’s briefing:

  • Looking at Policy Shareholdings as a Percentage of Total Assets Reveals a Different Aspect


Looking at Policy Shareholdings as a Percentage of Total Assets Reveals a Different Aspect

By Aki Matsumoto

  • Toyota Group and non-life insurances, which recently announced reductions in their policy shareholdings, are well-known for their large holdings, but a look at total asset ratios reveals a different aspect.
  • Companies with high policy shareholdings relative to total assets have lower ROE and ROA as well as foreign ownership, market capitalization, and valuations.
  • These companies with inconspicuously held policy shares are reluctant to take corporate governance initiatives and face many challenges in both board practices and key actions.

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