Index Rebal/Special Situations, Quiddity Advisors

Janaghan Jeyakumar, CFA

Index Rebal/Special Situations

Quiddity Advisors

Pan-Asia Catalysts/Events

Index Rebalance

NIPPON KODOSHI CORPORATION manufactures and sells electrical insulating paper for electrolytic capacitors and batteries.  The Company exports its products mainly to Asian countries.

<ul>
<li>In the past, TOPIX Inclusions took place when qualifying companies voluntarily applied for Prime Market memberships. Unlike most indices, TOPIX index membership was not based on a periodic selection process. </li>
<li>Quiddity's "Who is Ready" series of insights tracked companies which were able to satisfy the Key Section Transfer requirements to identify potential TOPIX Inclusions over the last few years.</li>
<li>With a new selection methodology about to become effective soon, this will be the final insights in the "Who is Ready" series.</li>
</ul>


In the past, TOPIX Inclusions took place when qualifying companies voluntarily applied for Prime Market memberships. Unlike most indices, TOPIX index membership was not based on a periodic selection process. 
Quiddity's "Who is Ready" series of insights tracked companies which were able to satisfy the Key Section Transfer requirements to identify potential TOPIX Inclusions over the last few years.
With a new selection methodology about to become effective soon, this will be the final insights in the "Who is Ready" series.


TOPIX Inclusions: Who Is Ready (Jul 2026) - End of Series; New Methodology Next

McDonald's Holdings Company (Japan), Ltd. operates a hamburger fast food restaurant chain throughout Japan.  The Company operates its own stores and franchise stores.

<ul>
<li>Quiddity's "Who is Ready" series of insights aims to objectively identify names listed on the Tokyo Stock Exchange that are potential additions to the TOPIX Index in future.</li>
<li>There were no new TOPIX Inclusions announced since our last insight.</li>
<li>At present, there are many names capable of satisfying the current Prime Market Section Transfer Requirements. However, a new index methodology will become effective later this year.</li>
</ul>


Quiddity's "Who is Ready" series of insights aims to objectively identify names listed on the Tokyo Stock Exchange that are potential additions to the TOPIX Index in future.
There were no new TOPIX Inclusions announced since our last insight.
At present, there are many names capable of satisfying the current Prime Market Section Transfer Requirements. However, a new index methodology will become effective later this year.


TOPIX Inclusions: Who Is Ready (June 2026)

Globe-ing Inc. offers financial related services. The Company provides digital services, strategic consulting, digital transformation consulting, digital analytics and data services, and other services. Globe-ing provides its services throughout Japan.

<ul>
<li>Quiddity's "Who is Ready" series of insights aims to objectively identify names listed on the Tokyo Stock Exchange that are potential additions to the TOPIX Index in future.</li>
<li>Since our last insight, <a href="https://www.smartkarma.com/entities/globe-ing-inc" target="_blank" data-smartkarma-citation="entities:45885:1" rel="noopener">Globe-ing (277A JP)</a> announced its move to the Prime Market which would trigger a TOPIX Inclusion at the end of May 2026.</li>
<li>At present, there are many names capable of satisfying the current Prime Market Section Transfer Requirements. However, a new index methodology will become effective later this year.</li>
</ul>


Quiddity's "Who is Ready" series of insights aims to objectively identify names listed on the Tokyo Stock Exchange that are potential additions to the TOPIX Index in future.
Since our last insight, Globe-ing (277A JP) announced its move to the Prime Market which would trigger a TOPIX Inclusion at the end of May 2026.
At present, there are many names capable of satisfying the current Prime Market Section Transfer Requirements. However, a new index methodology will become effective later this year.


TOPIX Inclusions: Who Is Ready (May 2026)

JX Advanced Metals Corporation mines and distributes non ferrous metal products. The Company smelts, refines, and markets non ferrous metals such as copper, gold, silver, and more. JX Advanced Metals also sells semiconductor materials, special steel materials, and other products.

<ul>
<li>Quiddity's "Who is Ready" series of insights aims to objectively identify names listed on the Tokyo Stock Exchange that are potential additions to the TOPIX Index in future.</li>
<li>There were no new TOPIX Inclusion announcements since our last insight.</li>
<li>However, the TOPIX 0.75x Liquidity Factor Removal results were confirmed this week. We see around US$1bn index buying for this event at the end of April 2026.</li>
</ul>


Quiddity's "Who is Ready" series of insights aims to objectively identify names listed on the Tokyo Stock Exchange that are potential additions to the TOPIX Index in future.
There were no new TOPIX Inclusion announcements since our last insight.
However, the TOPIX 0.75x Liquidity Factor Removal results were confirmed this week. We see around US$1bn index buying for this event at the end of April 2026.


TOPIX Inclusions: Who Is Ready (Apr 2026)

Harmonic Drive Systems Inc. manufactures speed reducers used in industrial robots, semiconductor manufacturing equipment, and other precision instruments. The Company offers cup type, hollow-shaft type, and rotary type speed reducers. Harmonic Drive Systems also produces gear heads and harmonic drive actuators.

<ul>
<li>Quiddity's "Who is Ready" series of insights aims to objectively identify names listed on the Tokyo Stock Exchange that are potential additions to the TOPIX Index in future.</li>
<li>
<a href="https://www.smartkarma.com/entities/harmonic-drive-systems-inc" target="_blank" data-smartkarma-citation="entities:10238:1" rel="noopener">Harmonic Drive Systems (6324 JP)</a> will be included in the TOPIX index at the end of March 2026. We have discussed our flow expectations for this event.</li>
<li>
<a href="https://www.smartkarma.com/entities/core-concept-technologies-inc" target="_blank" data-smartkarma-citation="entities:34323:1" rel="noopener">Core Concept Technologies Inc (4371 JP)</a> has moved far away from the required price threshold for TOPIX inclusion but it continues to be a long-term pre-event candidate.</li>
</ul>


Quiddity's "Who is Ready" series of insights aims to objectively identify names listed on the Tokyo Stock Exchange that are potential additions to the TOPIX Index in future.

Harmonic Drive Systems (6324 JP) will be included in the TOPIX index at the end of March 2026. We have discussed our flow expectations for this event.

Core Concept Technologies Inc (4371 JP) has moved far away from the required price threshold for TOPIX inclusion but it continues to be a long-term pre-event candidate.


TOPIX Inclusions: Who Is Ready (Mar 2026)

Topix Inclusion
Topix inclusion trades

TOPIX Inclusions: Who Is Ready (Jul 2026) - End of Series; New Methodology Next

There are currently 149 names that satisfy all 5 key Segment Transfer requirements based on current data. Another 147 names can satisfy 4 out of 5...

Janaghan Jeyakumar, CFA

TOPIX Inclusions: Who Is Ready (June 2026)

There are currently 149 names that satisfy all 5 key Segment Transfer requirements based on current data. Another 140 names can satisfy 4 out of 5...

Janaghan Jeyakumar, CFA

TOPIX Inclusions: Who Is Ready (May 2026)

There will be one TOPIX Inclusion at the end of May 2026. Separately, the May 2026 global index additions and deletions in Japan could trigger...

Janaghan Jeyakumar, CFA

TOPIX Inclusions: Who Is Ready (Apr 2026)

There are currently 158 names that satisfy all 5 key Segment Transfer requirements based on current data. Another 158 names can satisfy 4 out of 5...

Janaghan Jeyakumar, CFA

TOPIX Inclusions: Who Is Ready (Mar 2026)

There are currently 162 names that satisfy all 5 key Segment Transfer requirements based on current data. Another 154 names can satisfy 4 out of 5...

Janaghan Jeyakumar, CFA