An electric stock board at the Tokyo Stock Exchange (TSE).
Photographer: Soichiro Koriyama/BloombergBetter Corporate Governance in Japan Pays Off for Investors
Japanese companies have been improving their corporate governance. That's created a windfall for investors.
Japan’s benchmark index hit a record earlier this year supported by a key pillar — better corporate governance.
The country’s government has been encouraging companies to improve their focus on shareholders for the better part of a decade. The trend got a major boost two years ago when the Tokyo Stock Exchange also started pressuring company executives to boost returns for shareholders.