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.

Can Japanese Companies Recover What They’ve Lost over 40 Years? Accounting Standard Revision Debate

Investors Are Trying to Assess a Company Through Price Pass-Through

More Companies Are Introducing Shareholder Benefits Without Addressing Concerns About Fairness

Shareholder Benefits to Return Amid Rise in Foreign Ownership and Dissolution of Cross-Shareholdings

Attention Should Be Paid to Whether the Pseudo Cross-Shareholdings Will Hinder Management Reform

The New Expectations for Individual Investors Go Hand in Hand with Caution Toward Activist Investors

Managers Will Be Asked Whether They Explained to Investors Why Equity Financing Is the Best Option

The Cleanup Left over from the Bubble Economy’s Heyday Is Finally Coming to an End

Executive Director, Metrical Inc

Aki Matsumoto

Executive Director

<ul>
<li>As the cross-shareholding structure begins to break down, companies—who are hearing more about activist investors’ activities—appear to have no choice but to rely on increasing the number of individual shareholders.</li>
<li>While most of individual investors tend to follow certain investment patterns, it's risky to assume that they'll always act in line with a company’s expectations when responding to company proposals.</li>
<li>Among companies with sluggish capital profitability, we sometimes see management that has drifted away from the shareholders’ perspective. They should prioritize other matters over increasing the number of individual shareholders.</li>
</ul>


As the cross-shareholding structure begins to break down, companies—who are hearing more about activist investors’ activities—appear to have no choice but to rely on increasing the number of individual shareholders.
While most of individual investors tend to follow certain investment patterns, it's risky to assume that they'll always act in line with a company’s expectations when responding to company proposals.
Among companies with sluggish capital profitability, we sometimes see management that has drifted away from the shareholders’ perspective. They should prioritize other matters over increasing the number of individual shareholders.


Expecting Individual Shareholders to Always Act in Line with a Company’s Expectations Is Risky, But

TSE Tokyo Price Index TOPIX

Expecting Individual Shareholders to Always Act in Line with a Company’s Expectations Is Risky, But