Japan’s renewed momentum is opening new opportunities. We believe investors should take a fresh look at one of the world’s largest and most diversified markets.
1
The Shift from Deflation to Inflation
After years of falling prices, the return of inflation is reshaping consumer and business behavior.
2
Shareholder-focused Reforms
Regulatory reforms are likely to continue to drive corporate governance improvements, better capital efficiency, and higher shareholder returns.
Broad and Diversified Investment Universe
Japan is the second-largest developed stock market, with more listed companies and fewer large-cap stocks than its peers.
Lower Correlation to Developed Markets
Historically, Japan has had one of the lowest
correlations to the MSCI World Index among
developed markets.1
Opportunity to Capture Market Inefficiencies
Less sell-side coverage and cultural barriers create opportunities for active investors with local expertise.
We identify opportunities where we believe the market underestimates potential gains. Our active approach is defined by:
Japan’s market is deeply rooted in local nuances and requires a profound understanding of its unique context. Our team’s combination of local expertise and specialized knowledge positions us to navigate and capitalize on this distinctive market.
June-Yon Kim
Head of the Japanese Equity Team and Lead Portfolio Manager/Analyst
TOPIX Index
TOPIX Index
Explore how our Japanese Equities platform can support your investment goals.
Notes
1. From January 2001 to December 2026. Source: Lazard, MSCI.
As of 31 March 2026.
Important Information
Information and opinions presented have been obtained or derived from sources believed by Lazard Asset Management LLC or its affiliates (“Lazard”) to be reliable. Lazard makes no representation as to their accuracy or completeness. All opinions expressed herein are as of the published date and are subject to change.
The performance quoted represents past performance. Past performance is not a reliable indicator of future results.
Investments in Japan are subject to certain risks, such as the risks associated with the economy of Japan generally. A portfolio of securities concentrated in one country or geographic region may be subject to greater volatility than a more diversified portfolio.
Equity securities will fluctuate in price; the value of your investment will thus fluctuate, and this may result in a loss.
The MSCI World Index is a free-float-adjusted market capitalization index that is designed to measure global developed market equity performance comprised of developed market country indices. The index is unmanaged and has no fees. One cannot invest directly in an index.
The MSCI Japan Index is a free-float-adjusted market capitalization index that is designed to measure equity market performance in Japan. The index is unmanaged and has no fees. One cannot invest directly in an index.
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