Japan’s governance reform: the policy framework and IR practice
Why has the capital efficiency of Japanese companies remained sluggish for so long, and what kind of institutional reforms have been implemented? This course is a step-by-step guide to organizing the knowledge necessary for IR practice while following primary sources.
Course overview
Understand each rule in the context of the wider reform
Each theme is based on the systems and issues covered in the previous theme. You can read from the beginning or start with the issues you face in your practice.
Total 5 themesReforms organized from the 1990s to the present in chronological order
Total 27 articlesLinks to primary sources are included in each article.
Free accessFor IR personnel, analysts, board secretariat, and listing preparation personnel
Curriculum
5 themes
The site is structured in a way that allows you to see the chronology and connections between systems, from the origins of reform to ongoing institutional discussions.
Practical resources
IR toolbox
Primary materials for practical reference, such as the main text of the code, a list of disclosing companies, collections of good practices, and reports of councils and study groups, are organized into nine fields.
We have narrowed down the questions to three questions that are particularly important for understanding the course as a whole.
Q1/Origin of reform
In which document was the “ROE of 8%” often cited when talking about the capital efficiency of Japanese companies?
Explanation: The Ito Report published by the Ministry of Economy, Trade and Industry in August 2014 set out an ROE of above 8% as the first guideline for gaining recognition from global investors.
Q2/Capital efficiency
Which of the following is not required by TSE's “management with an awareness of cost of capital and stock price”?
Explanation: PBR is not a target directly controlled by a company, but rather an evaluation given by the market of profitability and growth potential.
Q3/English disclosure
Regarding timely disclosure of companies listed on the prime market, when did simultaneous disclosure in Japanese and English become mandatory?
Explanation: The effective date is April 1, 2025.
Score: 0 / 3
Reading paths
Choose a reading path
01
Read from beginning to end
Read themes 1 through 5 in order to get a complete picture of the reform. The estimated time required is 8 to 12 hours.
02
Read from the topic you need
Start reading articles that are close to the issue you are currently facing. Related articles are listed at the end of each article.
03
Practical research
Search the IR toolbox for necessary primary materials and related commentary.
IR team training
Can also be used for in-house training
The content is designed to suit the target audience and period, such as training for new personnel, in-house study sessions, and courses for listing preparation teams.