Takatoshi Ito (Japanese economist and professor of The University of Tokyo) is speaking before an LDP (the governing party in Japan) panel on the GPIF (Government Pension Investment Fund) report.

More:

  • GPIF results were good due to 15 years of deflation
  • 60% in domestic bonds is too high, all panel members said
  • GPIF needs to decrease JGBs, increase other assets
  • need to consider alternative asset investments (eg. venture, commodities, infrastructure)
  • GPIF should use JPX-Nikkei index 400 as benchmark
  • Government should decide on independence of GPIF
  • GPIF should buy inflation-linked bonds
  • It ways he wants to make GPIF changes next spring

Still going…:

  • GPIF needs to hire more investment professionals
  • GPIF should make investment board full-time hires
  • no point waiting for GPI to make changes, should start making changes immediately