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IR practice

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
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.

Open the toolbox →
Knowledge check

Test your understanding in three questions

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.

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