Index Rebal/Special Situations, Quiddity Advisors

Janaghan Jeyakumar, CFA

Index Rebal/Special Situations

Quiddity Advisors

Pan-Asia Catalysts/Events

Index Rebalance

<ul>
<li>JPX-Nikkei 400 is composed of common stocks listed on the Tokyo Stock Exchange. It is a free-float-adjusted capped index composed of 400 constituents.</li>
<li>The base date for the August annual review is 30th June 2026. The index review results are expected to be announced on 7th August 2026.</li>
<li>In this insight, we have presented our final expectations for the August 2026 review.</li>
</ul>


JPX-Nikkei 400 is composed of common stocks listed on the Tokyo Stock Exchange. It is a free-float-adjusted capped index composed of 400 constituents.
The base date for the August annual review is 30th June 2026. The index review results are expected to be announced on 7th August 2026.
In this insight, we have presented our final expectations for the August 2026 review.


Quiddity JPX-Nikkei 400 Rebal 2026: End-June 2026 Ranks (FINAL EXPECTATIONS)

Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical and Quantitative Research

Vermilion Research

Vermilion’s objective is to deliver timely, actionable, and unique technical research to professional investors through the application of our various technical indicators.

Our research strategists seek to highlight securities which we believe are at major inflection points, based on our various technical and quantitative indicators, and offer asymmetric risk/return profiles. Our unique research methodology, centered on relative strength, enables our strategists to deliver superior investment recommendations.

Our process begins by organizing the universe of actively traded stocks into discrete sectors, then into industry groups. We then apply our technical and quantitative tools to identify developing price trends. Once attractive trends are identified within a selected sector or group, we screen for individual stocks which we believe offer the best risk/reward profile. We provide a historical perspective that often reveals, through our long-term charts, how price patterns often repeat themselves over time.

Technical Analysis

Wisdomtree Japan Hedged Eq / Technical Analysis

<p>Market dynamics continue to send mixed signals, but the bottom line is that not one MSCI ACWI Sector is breaking down, and important price support levels are holding in the US, Europe, and Japan. Additionally, the MSCI ACWI, ACWI ex-US, and EAFE indexes all remain above critical support levels. Until supports start to break we cannot be bearish. It is also worth noting that various indicators could be making a turn for the better, including early signs of interest rates bottoming in the US and Germany, a potential false breakdown in crude oil, and high yield spreads leveling-out.</p>

Market dynamics continue to send mixed signals, but the bottom line is that not one MSCI ACWI Sector is breaking down, and important price support levels are holding in the US, Europe, and Japan. Additionally, the MSCI ACWI, ACWI ex-US, and EAFE indexes all remain above critical support levels. Until supports start to break we cannot be bearish. It is also worth noting that various indicators could be making a turn for the better, including early signs of interest rates bottoming in the US and Germany, a potential false breakdown in crude oil, and high yield spreads leveling-out.

Critical Supports Holding in the US, Europe, & Japan; Buying Health Care, Utilities, Materials, Tech

'Quantamental' Japan Specialist, LightStream Research

Campbell Gunn

'Quantamental' Japan Specialist

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Thematic (Sector/Industry)

<p style="text-align: center;"><strong>• LARGE CAP RESULTS - 13th APRIL •</strong></p><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/200/386/original/image_36527959121618346539491.png?1618346540" class="editor-image img-responsive" data-smartkarma-image-id="200386"></figure><div class="content-caption">Source for all charts &amp; tables: Japan Analytics</div><p><strong>RESULTS</strong> - Only 38% of Tuesdays 69 results announcements scored positively. Of the largest-cap stocks reporting, <a href="https://www.smartkarma.com/entities/toho-co-ltd" target="_blank" data-smartkarma-citation="entities:7806:1" rel="noopener">Toho (9602 JP)</a> cinemas has yet to bottom out but is still in profit. 'New wave' software companies <a href="https://www.smartkarma.com/entities/sansan-inc" target="_blank" data-smartkarma-citation="entities:28112:1" rel="noopener">Sansan (4443 JP)</a> and <a href="https://www.smartkarma.com/entities/money-forward-inc" target="_blank" data-smartkarma-citation="entities:25919:1" rel="noopener">Money Forward (3994 JP)</a> are growing into their extreme valuations, while <a href="https://www.smartkarma.com/entities/pasona-group-inc" target="_blank" data-smartkarma-citation="entities:15778:1" rel="noopener">Pasona's</a> under-appreciated margin transformation continues. </p><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/200/403/original/image_63727914331618348873715.png?1618348877" class="editor-image img-responsive" data-smartkarma-image-id="200403"></figure><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/200/404/original/image_12260447541618348911606.png?1618348912" class="editor-image img-responsive" data-smartkarma-image-id="200404"></figure><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/200/405/original/image_35233699051618348944141.png?1618348944" class="editor-image img-responsive" data-smartkarma-image-id="200405"></figure><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/200/406/original/image_14670185761618348969100.png?1618348969" class="editor-image img-responsive" data-smartkarma-image-id="200406"></figure><p style="text-align: center;"><strong>• LARGE CAP FORECASTS/REVISIONS - 13th APRIL •</strong></p><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/200/407/original/image_58511005871618349036093.png?1618349036" class="editor-image img-responsive" data-smartkarma-image-id="200407"></figure><p><strong>FORECASTS/REVISIONS</strong> - Two-thirds of annual forecasts/revisions were positive, with <a href="https://www.smartkarma.com/entities/toho-co-ltd" target="_blank" data-smartkarma-citation="entities:7806:1" rel="noopener">Toho (9602 JP)</a> and <a href="https://www.smartkarma.com/entities/j-front-retailing-co-ltd" target="_blank" data-smartkarma-citation="entities:8947:1" rel="noopener">J Front Retailing (3086 JP)</a> the leading largest-cap optimists. <a href="https://www.smartkarma.com/entities/santen-pharmaceutical-co-ltd" target="_blank" data-smartkarma-citation="entities:8602:1" rel="noopener">Santen Pharmaceutical (4536 JP)</a> revised down following a delay in the approval of glaucoma implant DE-128.</p><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/200/408/original/image_63605452481618349380112.png?1618349381" class="editor-image img-responsive" data-smartkarma-image-id="200408"></figure><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/200/409/original/image_46822562891618349413296.png?1618349413" class="editor-image img-responsive" data-smartkarma-image-id="200409"></figure>

• LARGE CAP RESULTS - 13th APRIL •Source for all charts &amp; tables: Japan AnalyticsRESULTS - Only 38% of Tuesdays 69 results announcements scored positively. Of the largest-cap stocks reporting, Toho (9602 JP) cinemas has yet to bottom out but is still in profit. 'New wave' software companies Sansan (4443 JP) and Money Forward (3994 JP) are growing into their extreme valuations, while Pasona's under-appreciated margin transformation continues. • LARGE CAP FORECASTS/REVISIONS - 13th APRIL •FORECASTS/REVISIONS - Two-thirds of annual forecasts/revisions were positive, with Toho (9602 JP) and J Front Retailing (3086 JP) the leading largest-cap optimists. Santen Pharmaceutical (4536 JP) revised down following a delay in the approval of glaucoma implant DE-128.

🇯🇵 JAPAN • Results & Revisions 04/​​​​​​13 - Pasona (Grata) & J Front Retailing

<section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/175/683/original/2020-12-01_09-00-54.png?1606780869" class="editor-image img-responsive" data-smartkarma-image-id="175683"></figure></section><div class="content-caption">Source for all charts &amp; tables: Japan Analytics </div><p><strong>FOUR QUADRANTS</strong> - By combining our two scoring methodologies - the Relative Price Score (RPS) and the Results &amp; Revision Score (RRS), we can assign companies into four quadrants:-</p><div>
<ul style="list-style-type: disc;">
<li>
<strong>CONTRARIAN BUYS</strong> - Low Results &amp; Revision and Relative Price Scores</li>
<li>
<strong>CONTRARIAN SELLS</strong> - High Results &amp; Revision and Relative Price Scores</li>
<li>
<strong>TURNAROUND BUYS </strong>- High Results &amp; Revision Scores &amp; low Relative Price Scores</li>
<li>
<strong>EX-GROWTH SELLS</strong> - Low Results &amp; Revision Scores &amp; high Relative Price Scores</li>
</ul>
<p>The Ex-Growth Sells quadrant offers more fertile ground for shorting as the decline in earnings momentum is already clear, however, in many cases, the market is reluctant to sell the 'darlings' of the past. Examples of profitable Ex-Growth Sells from 2020 are <a href="https://www.smartkarma.com/entities/kyudenko-corp" target="_blank" data-smartkarma-citation="entities:5414:1" rel="noopener">Kyudenko(1959 JP)</a>, <a href="https://www.smartkarma.com/entities/ariake-japan-co-ltd" target="_blank" data-smartkarma-citation="entities:4908:1" rel="noopener">Ariake Japan (2815 JP)</a>, and <a href="https://www.smartkarma.com/entities/santen-pharmaceutical-co-ltd" target="_blank" data-smartkarma-citation="entities:8602:1" rel="noopener">Santen Pharmaceutical (4536 JP)</a>. </p>
<section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/175/693/original/2020-12-01_10-13-31.png?1606785235" class="editor-image img-responsive" data-smartkarma-image-id="175693"></figure></section><section class="figure"><section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/175/699/original/2020-12-01_10-22-36.png?1606785767" class="editor-image img-responsive" data-smartkarma-image-id="175699"></figure></section><section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/175/700/original/2020-12-01_10-23-41.png?1606785833" class="editor-image img-responsive" data-smartkarma-image-id="175700"></figure></section><p><strong><a href="https://www.dropbox.com/s/7b61jl02dh0pzno/2020-11-25_12-43-55.png?dl=0" target="_blank" rel="noopener">EX-GROWTH SELLS</a></strong> - In the <strong>DETAIL</strong> section below, we shall review the current Ex-Growth Sells. The is the last Insight in this four-part mini-series. The first three Insights can be found at - <a href="https://www.smartkarma.com/insights/japan-four-quadrants-contrarian-buys" target="_blank" data-smartkarma-citation="insights:45688" rel="noopener">Contrarian Buys,</a> <a href="https://www.smartkarma.com/insights/japan-four-quadrants-contrarian-sells" target="_blank" data-smartkarma-citation="insights:45725" rel="noopener">Contrarian Sells</a>, and <a href="https://www.smartkarma.com/insights/japan-four-quadrants-turnaround-buys" target="_blank" data-smartkarma-citation="insights:45829" rel="noopener">Turnaround Buys</a>.   </p></section>
</div>

Source for all charts &amp; tables: Japan Analytics FOUR QUADRANTS - By combining our two scoring methodologies - the Relative Price Score (RPS) and the Results &amp; Revision Score (RRS), we can assign companies into four quadrants:-


CONTRARIAN BUYS - Low Results &amp; Revision and Relative Price Scores

CONTRARIAN SELLS - High Results &amp; Revision and Relative Price Scores

TURNAROUND BUYS - High Results &amp; Revision Scores &amp; low Relative Price Scores

EX-GROWTH SELLS - Low Results &amp; Revision Scores &amp; high Relative Price Scores

The Ex-Growth Sells quadrant offers more fertile ground for shorting as the decline in earnings momentum is already clear, however, in many cases, the market is reluctant to sell the 'darlings' of the past. Examples of profitable Ex-Growth Sells from 2020 are Kyudenko(1959 JP), Ariake Japan (2815 JP), and Santen Pharmaceutical (4536 JP). 
EX-GROWTH SELLS - In the DETAIL section below, we shall review the current Ex-Growth Sells. The is the last Insight in this four-part mini-series. The first three Insights can be found at - Contrarian Buys, Contrarian Sells, and Turnaround Buys.   


🇯🇵 JAPAN • Four Quadrants - Ex-Growth Sells

MSCI Emerging Markets Index / Technical Analysis

<p>Supporting our global bull market thesis, uptrends remain intact for the major global indexes (MSCI ACWI, ACWI ex-US, EAFE, and EM). At this point, concerns surrounding the Wuhan coronavirus have led to some market setbacks and deterioration in market indicators, however they have not resulted in breakdowns. This is true even for areas of the market most-directly affected, including China (MSCI China) and emerging markets (MSCI EM). For these reasons and, as long as there is no significant additional damage, we view recent weakness as a buying opportunity - especially within EM. We see coronavirus concerns as helping correct the excess bullish sentiment and optimism in the short-term.</p>

Supporting our global bull market thesis, uptrends remain intact for the major global indexes (MSCI ACWI, ACWI ex-US, EAFE, and EM). At this point, concerns surrounding the Wuhan coronavirus have led to some market setbacks and deterioration in market indicators, however they have not resulted in breakdowns. This is true even for areas of the market most-directly affected, including China (MSCI China) and emerging markets (MSCI EM). For these reasons and, as long as there is no significant additional damage, we view recent weakness as a buying opportunity - especially within EM. We see coronavirus concerns as helping correct the excess bullish sentiment and optimism in the short-term.

Japan

SANTEN PHARMACEUTICAL CO., LTD. produces and sells ophthalmic medicine.  The Company manufactures a variety of products including eye drops and ointments. Santen Pharmaceutical also imports lenses and tools and equipment used by optometrists and produces anti-rheumatic drugs.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Santen Pharmaceutical (4536 JP)

Quiddity JPX-Nikkei 400 Rebal 2026: End-June 2026 Ranks (FINAL EXPECTATIONS)

There will be 45 ADDs and 39 DELs for the JPX-Nikkei 400 index in August 2026. We correctly predicted 75 of the 84 confirmed index changes (89%...

Janaghan Jeyakumar, CFA

Critical Supports Holding in the US, Europe, & Japan; Buying Health Care, Utilities, Materials, Tech

Various indicators are making a turn for the better, including early signs of interest rates bottoming in the US and Germany, a false breakdown in...

Vermilion Research

🇯🇵 JAPAN • Results & Revisions 04/13 - Pasona (Grata) & J Front Retailing

RESULTS - Only 38% of Tuesdays 69 results announcements scored positively. Of the largest-cap stocks reporting, Toho (9602 JP) cinemas has yet to...

Campbell Gunn

🇯🇵 JAPAN • Four Quadrants - Ex-Growth Sells

EX-GROWTH SELLS - In the DETAIL section below, we shall review the current Ex-Growth Sells. The is the last Insight in this four-part mini-series.

Campbell Gunn

EM Pullback Opportunity

Supporting our global bull market thesis, uptrends remain intact for the major global indexes (MSCI ACWI, ACWI ex-US, EAFE, and EM). At this point,...

Vermilion Research

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Quiddity JPX-Nikkei 400 Rebal 2026: End-June 2026 Ranks (FINAL EXPECTATIONS)

There will be 45 ADDs and 39 DELs for the JPX-Nikkei 400 index in August 2026. We correctly predicted 75 of the 84 confirmed index changes (89%...

Janaghan Jeyakumar, CFA

Critical Supports Holding in the US, Europe, & Japan; Buying Health Care, Utilities, Materials, Tech

Various indicators are making a turn for the better, including early signs of interest rates bottoming in the US and Germany, a false breakdown in...

Vermilion Research

🇯🇵 JAPAN • Results & Revisions 04/​​​​​​13 - Pasona (Grata) & J Front Retailing

RESULTS - Only 38% of Tuesdays 69 results announcements scored positively. Of the largest-cap stocks reporting, Toho (9602 JP) cinemas has yet to...

Campbell Gunn

🇯🇵 JAPAN • Four Quadrants - Ex-Growth Sells

EX-GROWTH SELLS - In the DETAIL section below, we shall review the current Ex-Growth Sells. The is the last Insight in this four-part mini-series.

Campbell Gunn

EM Pullback Opportunity

Supporting our global bull market thesis, uptrends remain intact for the major global indexes (MSCI ACWI, ACWI ex-US, EAFE, and EM). At this point,...

Vermilion Research

🇯🇵 JAPAN • Results & Revisions 04/13 - Pasona (Grata) & J Front Retailing