When Japan’s PM Shinzo Abe spoke at the Reuters Newsmaker event yesterday, one prominent hedge fund manager was present: Third Point’s Dan Loeb. As Reuters reported, the outspoken billionaire activist investor, whose Third Point hedge fund has recently pushed for change at Japanese companies, said on Wednesday that he approved of the Bank of Japan’s monetary policy move (as we will show in a subsequent post, he was one of the very few who did so) but added corporate reform is still needed to help revive growth.
Loeb, whose $16 billion Third Point fund has been investing in Japan for years, was speaking at the Reuters Newsmaker event featuring Japan’s Prime Minister Shinzo Abe. After making bets on Japanese companies ranging from Sony Corp, to robot maker Fanuc Corp and most recently retailer Seven & i Holdings Co Ltd, Loeb said foreign investors are being welcomed more now. Some large Japanese institutions agreed with his views, Loeb said, noting he has “allies” in Japan and “our interests are aligned.”
Among other ideas, Loeb said he had looked at investing in Nintendo Co Ltd, but stopped short, though he approves of the company’s expansion into mobile technologies. He said he and Japanese investors are looking for the same thing: to have better-run businesses whose benefits will eventually spread “far and wide.” But he added that the potential for increased government protection of small- and medium-sized companies was misguided.
This post was published at Zero Hedge on Sep 22, 2016.