This informal coalition that seems to be coming into being between the GPIF, CalSTRS, and CalPERS would be a big step ahead in terms of discussions to increase the effectiveness of engagement by not only these organizations, but also their fund managers and other market players. Kudos to all three institutions, and also Mr. Mizuno, for moving in this direction.
”Many Japanese companies aren’t happy about the biggest overhaul of corporate governance in decades — and they’ve been letting the world’s biggest pension fund know.
Ⅰ. Purpose of the Survey
The Government Pension Investment Fund, Japan (GPIF) conducted our first survey to JPX Nikkei Index 400 companies to evaluate stewardship activities of our external asset managers and to grasp real situation of constructive dialogues. As we stated in “Summary Report of GPIF’s Stewardship Activities in 2015” dated of 29th January 2016, it is our intention to raise the standard of dialogues between institutional investors and Japanese companies.
Japanese companies continue to sit on a mountain of excess cash. According to Japan’s Ministry of Finance, this mountain actually grew to $1.5 trillion in 2015 from $1.4 trillion in 2011, despite substantial increases in dividends and stock buybacks. During that same period, capital expenditure shrank by more than half……….”
”To manage a massive amount of funds safely and efficiently, it is vital to build an effective organization and system suited to carrying out the task.
A council of the Health, Labor and Welfare Ministry has proposed that the current ban on direct stock investment by the Government Pension Investment Fund (GPIF) remain in place, at least for the time being.
From the just-issued Viewpoint: The American Chamber of Commerce in Japan (ACCJ) applauds the Government of Japan (GOJ) for the implementation of the Stewardship Code for institutional investors and the Corporate Governance Code (the “Governance Code”) during the past year.
“On September 16th, 2015, the Government Pension Investment Fund has become a signatory to the United Nation’s Principles for Responsible Investment (UN-PRI) to express our attitudes to ESG issues.
Our basic perspective on ESG issues