All eyes on Japanese small caps

6. March 2024

Small-cap stocks are typically seen as undervalued relative to their large-cap counterparts. Is this the case for Japanese small-cap stocks as well? In conversation with Max Godwin, Portfolio Manager in the Japan Equity team at Eastspring Investments, he discusses the nature of valuation discounts for Japanese small caps and identifies the themes within this market segment that present promising long-term growth opportunities. Additionally, Godwin elaborates on the principal challenges and prospects for Japanese small-caps in the upcoming 12 to 24 months.