How The Bank of Japan Can Turn A Problem Into a Triumph

(Feb 24) Peter considers the Bank of Japan’s opportunity to use its stock holdings in an imaginative manner
  • The Bank of Japan’s huge treasure trove of domestic equities has soared in value
  • It has a dilemma – keep receiving dividends or seek an innovative sale of some or all of its holdings
  • Its options are not too dissimilar from those faced by the Hong Kong Monetary Authority after the Asian Financial Crisis
  • A sale to NISA account holders with a “loyalty bonus” incentive structure would be suitably imaginative