FXWW News/JPY crosses

GPIF news will have significant impact on Yen

Reuters are reporting the following:

According to sources, the Japan government pension fund (GPIF) – the world’s biggest with a 1.2trln USD war chest – is being urged to cut low yielding JGB holdings and increase their equity holdings from 12% to around 25% in order to boost returns. The proposal is for the GPIF to cut bond holdings from 60% to 40%. The fund is also likely to boost holdings of foreign equities

Obviously the timeframes on such decisions can be quite longish-term but the effect on short-term JPY sentiment is likely to be significant.

  1. Japan is a classic evil country gambling their retired money. Retired fund is used to pop up equity market. If fail, then, bomb USA again.

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