The Nikkei 225 index continued its remarkable comeback on Monday as investors continued allocating their capital to the country. The index, which tracks the biggest companies in Japan, jumped to £33,000 on Monday, the highest level since August 2nd. There are signs that investors are eying the year-to-date high of £33,796.
Most attractive opportunity in Asia
The Nikkei 225 index has outperformed some of its biggest international peers like the S&P 500 and Dow Jones. It has risen by over 30% and is now hovering near its highest level in more than 30 years.
There are several drivers for the blue-chip Japan index. For example, most analysts believe that Japan stocks are significantly undervalued compared to its peers. It has a trailing PE ratio of 18.5x compared to S&P 500’s 23x.
Japan income fund, JPMorgan Japan Small Cap Growth & Income (LONJSGI), targets Japan income without compromising on Japanese growth opportunities. This Japan income investing opportunity gives investors access to a diverse and fast growing sector managed by local managers.