In the Wall Street Journal overnight, a report on rising pressures inJjapan for companies to deliver more to shareholders. basically to raise dividends. It says:
- One source of pressure is PM Abe’s economic revival plan – on Tuesday he formally unveiled legislative measures aimed at tightening corporate governance, which includes a ‘stewardship code’ for institutional investors that encourages them to monitor management more closely and to speak up for better returns
- Another catalyst is a growing number of return-conscious foreign investors
- There is also a small uptick in public activism
It goes on to say that the companies are responding, with some rasing dividends and/or announcing stock buybacks.
More at the Journal (gated): In Japan, Dividends, Buybacks Take the Stage
