Daily BriefsJapan

Daily Brief Japan: Tokyo Stock Exchange Tokyo Price Index Topix and more

In today’s briefing:

  • The Crux of the Problem Is the Company’s Reluctance to Increase the Number of Diverse Shareholders

The Crux of the Problem Is the Company’s Reluctance to Increase the Number of Diverse Shareholders

By Aki Matsumoto

  • If stock price is high, then a stock split is the way to go, and stockbrokers have provided a mechanism for trading shares in less than single-unit in the past.
  • The issue isn’t “the trading unit should be lowered because people can’t buy shares with high stock prices” but “let’s improve so that people can become shareholders with one share.
  • If Japanese companies are reluctant to increase the number of diverse shareholders, this would be in line with their slower progress in solving issues: diversity, human rights, and environment.

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