Charismatic fund manager Hideto Fujino explained the view that equities are effective for protecting assets in Japan, where inflation is accelerating rapidly. He forecasts that the Nikkei 225 will reach the ¥100,000 era sometime between around 2030 and around 2033.
In Japan, where inflation is accelerating rapidly, wages are failing to keep pace with rising prices, and equities are therefore being described as an important means of protecting assets. Hideto Fujino points out that inflation can trigger an asset bubble and explains that holding equities is effective for protecting people's livelihoods.
The Nikkei 225 is forecast to reach ¥100,000 as early as 2030 and by around 2033 at the latest. Although this is conditional on geopolitical risks and a financial shock, an increase of around 30% to 40% from the current ¥70,000 range is expected.
The view presented is that ¥100,000 is not the ultimate target but merely a milestone, and that Japanese prices could catch up with global levels as inflation progresses. It is also forecast that prices for gyudon and egg sandwiches will move to higher levels as prices in Japan rise.
Concerns have been expressed that hardship will become more apparent among people who rely solely on savings and work as the gap between current wages and prices widens.