Japan equity memo: Active investment trust portfolios and fund flows

Research evidence excerpt

Japan equity memo: Active investment trust portfolios and fund flows

Japan equity memo: Active investment trust Global Markets Research

portfolios and fund flows 29 June 2026

EQUITY: JAPAN STRATEGY

Shift into areas other than AI and semiconductors Research Analysts

also looks conceivable Macro strategy Tomochika Kitaoka - NSC

How far will "zero-sum" interpretation of AI and semiconductors gain traction? Strong tomochika.kitaoka@nomura.com

appetite among individual investors supports share prices during downturns +81 3 6703 1815

Naoya Fuji - NSC

Active investment trust portfolios: Rotation into areas other than AI and naoya.fuji@nomura.com

semiconductors is also conceivable +81 3 6703 1245

The median TOPIX beta of major Japanese equity active funds of 1.10 and the AMU

weighted average of 1.07 are both close to the top of their historical ranges, and as of 26

June, around 80% of funds have outperformed the TOPIX over the past 100 trading days (

Figure1). Rather than taking even larger risks, we think investors are more likely to rein

in their focus on AI and semiconductor stocks and shift into other areas.

Fig. 1: TOPIX beta of active Japanese equity investment trusts

Note: Universe is 50 largest publicly offered active Japanese equity investment trusts. Excludes sector- and theme-specific

trusts. We calculate median beta and the percentage of investment trusts outperforming the TOPIX using the return series

over the past 100 trading days and the TOPIX (including dividends) return series. Most recent data as of 26 June 2026.

Source: Nomura, based on JPX Market Innovation & Research and Bloomberg data

"Zero-sum" interpretation of AI and semiconductor stocks

Investors reacted positively to the strong results that Micron Technology announced after