Comments on: Eight Ways to Profit From Japan's Game-Changing Election http://moneymorning.com/2009/07/23/profiting-from-japans-election/ Global Investment News Mon, 13 Feb 2012 18:41:47 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Landslide Election Victory in Japan Will Lead to an Avalanche of Future Profits For Global Investors http://moneymorning.com/2009/07/23/profiting-from-japans-election/comment-page-1/#comment-7270 Landslide Election Victory in Japan Will Lead to an Avalanche of Future Profits For Global Investors Wed, 02 Sep 2009 10:03:21 +0000 http://www.moneymorning.com/?p=8161#comment-7270 [...] Money Morning Special Report: Eight Ways to Profit From Japan’s Game-Changing Election. [...] [...] Money Morning Special Report: Eight Ways to Profit From Japan's Game-Changing Election. [...]

]]> By: Mark http://moneymorning.com/2009/07/23/profiting-from-japans-election/comment-page-1/#comment-7269 Mark Thu, 23 Jul 2009 11:41:16 +0000 http://www.moneymorning.com/?p=8161#comment-7269 I agree with your thesis that a DPJ victory will change the economic order in ways that will produce a few new winners - to the extent that Japan can have winners these days - I disagree with your suggestion of using EWJ as the default fall back if you don't want to invest directly in Japanese stocks. EWJ is heavily weighted towards the very stocks you highlighted in the opening as being out of favor should DPJ take office. I would expect EWJ to reflect the relative losses to be incurred by the exporters and construction companies. Since most, if not all, of the seven companies you recommend are small cap stocks wouldn't any of the three Japanese small cap ETFs make more sense (DFJ, SCJ, or JSC) Each has been on a run with the rising market but would seem to be more likely to benefit from the government change than the large cap weighted EWJ. I agree with your thesis that a DPJ victory will change the economic order in ways that will produce a few new winners – to the extent that Japan can have winners these days – I disagree with your suggestion of using EWJ as the default fall back if you don't want to invest directly in Japanese stocks. EWJ is heavily weighted towards the very stocks you highlighted in the opening as being out of favor should DPJ take office. I would expect EWJ to reflect the relative losses to be incurred by the exporters and construction companies.

Since most, if not all, of the seven companies you recommend are small cap stocks wouldn't any of the three Japanese small cap ETFs make more sense (DFJ, SCJ, or JSC) Each has been on a run with the rising market but would seem to be more likely to benefit from the government change than the large cap weighted EWJ.

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