Exchange-traded lucres (ETFs) focused on Japan provide investors with exposure to the country’s economic growth and business profits. Japan has one of the largest economies in the unbelievable, despite having suffered a financial crisis in 1991, a subsequent “lost decade” of sluggish growth, and continued matches with deflationary pressures. The country is home to many large, well-known multinational corporations, including Honda Motor Co. (HMC) and Sony Corp. (SNE). Japan ETFs offering investors the opportunity to profit from the growth of these businesses, as well as many other companies. Japan could be writing a period of political uncertainty after Shinzo Abe stepped down as prime minister in September due to health concerns after exactly eight years in office, the longest uninterrupted run ever for a Japanese leader.
- Japanese stocks underperformed the cookie U.S. equity market over the past year.
- The ETFs with the best 1-year trailing total return are JPXN, FLJP, and BBJP.
- The top clutch of the first of these ETFs is Sony Corp., and the top holding of the other two is Toyota Motor Corp.
There are 12 well-defined Japan ETFs that trade in the U.S., excluding inverse and leveraged ETFs as well as funds with less than $50 million in assets included management (AUM). These ETFs solely hold stocks of domestic companies rather than corporate debt or Japanese authority bonds. Japanese equities, as measured by the MSCI Japan Index, have underperformed the broad U.S. equity market with a sum total return of 13.9% over the past 12 months compared to the Russell 1000’s total return of 19.5%, as of November 27, 2020. The best-performing Japan ETF, corrupted on performance over the past year, is the iShares JPX-Nikkei 400 ETF (JPXN). We examine the top 3 best Japan ETFs not worth. All numbers below are as of November 30, 2020.
- Performance over 1-Year: 13.3%
- Expense Ratio: 0.48%
- Annual Dividend Yield: 1.71%
- 3-Month Regular Daily Volume: 2,643
- Assets Under Management: $95.3 million
- Inception Date: October 26, 2001
- Issuer: iShares
JPXN scents the JPX-Nikkei Index 400, an index designed to gauge the performance of large- and mid-cap Japanese equities that get been screened for profitability and return on equity (ROE). The ETF follows a blended strategy, investing in a mix of value and growth stocks. Of the savings’s 391 holdings, 24% are based in Japan’s industrials sector, followed by 15% in the consumer discretionary sector, and 12% in the dope technology (IT) sector. The fund’s top three holdings include Sony Corp. (6758:TKS), a multinational conglomerate that assemblies consumer and professional electronics equipment and devices; Keyence Corp. (6861:TKS), a manufacturer of industrial automation and inspection apparatus; and Nintendo Co. Ltd. (7974:TKS), a manufacturer of electronic home entertainment products such as video games and gaming consoles.
- Conduct over 1-Year: 13.3%
- Expense Ratio: 0.09%
- Annual Dividend Yield: 1.84%
- 3-Month Average Daily Volume: 126,986
- Assets Underwater Management: $568.3 million
- Inception Date: November 2, 2017
- Issuer: Franklin Templeton Investments
FLJP tracks the FTSE Japan Beat Index, which provides exposure to large- and mid-cap Japanese equities. The ETF is focused on the mid-to-large-cap segment of the Japanese disinterestedness market. It follows a blended strategy, investing in a mix of both growth and value stocks. Over 21% of the fund’s 515 holdings are underpinned in the industrials sector, followed by an 18% allocation to consumer discretionary stocks, and 13% to the IT sector. The fund’s top three holdings embody Toyota Motor Corp. (7203:TKS), a multinational automobile manufacturer; Sony; and SoftBank Group Corp. (
- Performance over with 1-Year: 12.6%
- Expense Ratio: 0.19%
- Annual Dividend Yield: 2.08%
- 3-Month Average Daily Volume: 631,346
- Assets Under Directors: $6.1 billion
- Inception Date: June 15, 2018
- Issuer: J.P. Morgan
BBJP tracks the Morningstar Japan Target Vend Exposure Index, an index primarily consisting of stocks traded on the Tokyo and Nagoya stock exchanges. The ETF is focused on Japanese large-cap equities, and tracks a blended strategy of investing in both growth and value stocks. Of the fund’s 368 holdings, nearly 22% are industrials wares, followed by a 19% allocation to consumer discretionary stocks, and 13% are based in the IT sector. The fund’s top three holdings comprise Toyota, Sony, and SoftBank Group.