20 Nov 2013
Japan's pension fund advised to diversify investment
FXstreet.com (Barcelona) - Japan's GIPF advisory panel unveiled its plan for the restructuring of Japan’s Government Pension Investment Fund on Wednesday, recommending raising the foreign asset ratio, investing in commodities and infrastructure.
The advisory board to PM Shinzo Abe's government suggested that the GIPF should stop depending mainly on domestic bonds and diversify its investment for example by investing in real estate investment trusts and private equity.
Furthermore, the report and recommended setting up 'baby funds', created by splitting pension money, in order to increase returns and diversify assets. It also stressed the need to change the fund's organizational structure and making it an independent entity.
Today's report adds further details to the one released in September and advising the fund to shift away from very low-yielding Japanese government bonds.
The advisory board to PM Shinzo Abe's government suggested that the GIPF should stop depending mainly on domestic bonds and diversify its investment for example by investing in real estate investment trusts and private equity.
Furthermore, the report and recommended setting up 'baby funds', created by splitting pension money, in order to increase returns and diversify assets. It also stressed the need to change the fund's organizational structure and making it an independent entity.
Today's report adds further details to the one released in September and advising the fund to shift away from very low-yielding Japanese government bonds.