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Japan stock investors learn to love corporate debt

Hulic recently bought a big Tokyo hotel using debt finance.

TOKYO -- A shift is taking place in the Japanese stock market. Companies that take risks rather than playing it safe and transform themselves to seize growth opportunities are the new darlings among investors.

In the wake of the 2008 financial crisis, managers shunned debt. But the Bank of Japan's "a new phase of monetary easing," which began in the spring of 2013 was a game-changer. The BOJ's ultraeasy monetary policy has sharply lowered borrowing costs. Among Japanese companies that have taken on more debt since the central bank's new policy, 70% have seen their market capitalization rise.

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