UK-based boutique Zennor Asset Management has launched a Japan-focused equity income fund on the basis that dividends in the country are “set to soar”.
According to the firm, the LF Zennor Japan Equity Income Fund is designed to capitalise on developing governance trends in Japan’s corporate market.
For example, Japan has traditionally had a low dividend culture, but new stock exchange rules are putting pressure on listed Japanese companies to return more money to shareholders via dividends.
In addition, more than half of the companies listed on the Tokyo Stock Price Index have net cash on their balance sheets.
The Zennor fund will be managed by Japan-focused fund managers James Salter and David Mitchinson.
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