ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintIcon Twitter
Stocks

BOJ's stock spree lends companies reliable hand

Fund purchases make central bank No. 3 holder of Japanese shares

BOJ Gov. Haruhiko Kuroda.

TOKYO -- The Bank of Japan's purchases of exchange-traded funds have made it a leading shareholder in nearly a quarter of Japan's listed companies and show no sign of slowing down, pleasing management looking for long-term support.

To retail investors in the Tokyo market, 12:30 p.m. to around 2 p.m. is "BOJ Time" -- the early hours of afternoon trading when trust banks working on behalf of the central bank go shopping, should conditions permit it. In general, these ETF purchases occur when the overall market has fallen. Making more refined predictions as to when the bank's army will buy has become a favorite pastime in certain quarters of the internet.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more