Independent Leading Corporate Governance Research

Metrical Inc

METRICAL INC. is an independent leading Corporate Governance research firm in Japan where Corporate Governance is increasingly recognized as an important element on corporate management in these days. Thus, CG research and solutions would become an essential component of global capital markets and play important to contribute to transparency of the markets and maximize shareholders’ value in Japan. 

METRICAL INC. provides Corporate Governance research and analysis including rating services, and  also offers investment research and IR services with solutions and customized profound research on CG and IR issues.

If ESG Is Related to Improved Corporate Value, Doesn't Slow ROE Imply Stalled in Real ESG Efforts?

Maybe There Are Many Companies in Japan that Have the Resources but Neglect Efforts to Increase ROA

Isn't the Best Catalyst to Facilitate MBOs to Increase Market Metabolism?

The Attitude Toward Information Disclosure May Make a Further Difference in Stock Valuations

Transitional Measures Will End in 2-3 Years, but Will Prime Market Listing Criteria Remain the Same?

Companies that Buy Back Their Own Shares but Do Not Increase Their Share Price Should Consider Why

Executive Director, Metrical Inc

Aki Matsumoto

Executive Director

<ul>
<li>Forcing companies to submit ROE targets as measure to counter the fact that half of companies languish below 1x P/B is like a teacher asking students to submit an assignment.</li>
<li>If that motivates the management, good for them. However, in our experience, only a small percentage of students are motivated by the teacher's words and see their performance improve.</li>
<li>If companies are asked to submit ROE targets, they shouldn't simply meet them by changing capital structure through shareholder returns, but should achieve them through investments for future earnings growth.</li>
</ul>


Forcing companies to submit ROE targets as measure to counter the fact that half of companies languish below 1x P/B is like a teacher asking students to submit an assignment.
If that motivates the management, good for them. However, in our experience, only a small percentage of students are motivated by the teacher's words and see their performance improve.
If companies are asked to submit ROE targets, they shouldn't simply meet them by changing capital structure through shareholder returns, but should achieve them through investments for future earnings growth.


A Few Students Were Motivated by Assignments from Their Teachers, and They Performed Differently

TSE Tokyo Price Index TOPIX

A Few Students Were Motivated by Assignments from Their Teachers, and They Performed Differently