TOKYO -- Investors here are suddenly yanking funds out of smaller but overvalued growth equities in favor of similarly sized bargain stocks, which may provide an opening for these components to finally shed their value label.
On Wednesday, the Tokyo Stock Exchange's startup-heavy Mothers board slumped 3.4%, its largest percentage loss since Nov. 9 -- just after the U.S. presidential election. This represented a dramatic reversal of the steady gains made by equities with small to midsized capitalizations.
