In a long interview, Akira Katayama (片山 晃), who has built assets worth tens of billions of yen, explained why he sees Japanese equities as promising over the medium to long term, citing supply and demand driven by AI investment and semiconductors, as well as the cumulative growth in companies’ EPS and shareholder returns.
With the Nikkei 225 trading at elevated levels, Katayama (片山 晃) once again emphasized the medium- to long-term prospects for Japanese equities, particularly in light of AI investment. Drawing on his experience of correctly anticipating the sharp rise in semiconductor stocks, he said he expects the flow of funds into AI-related areas and massive capital investment to continue driving an upswing in corporate earnings.
While noting that government fiscal policy and currency movements affect short-term market fluctuations, he said cumulative EPS growth and shareholder returns would support share prices over the long term. He also said that the spread of new NISA accounts remains only halfway complete, and that further growth in adoption could contribute to long-term asset building.
As for stocks of interest and his basic portfolio policy, Katayama (片山 晃) explained that he selects stocks with high upside based on company-specific factors and holds stocks with significant potential without being constrained by the large-cap versus small-cap distinction. He also said that demand from Japanese companies for data centers and actual AI-related investment would continue against a backdrop of AI demand. He cautioned against excessive optimism surrounding semiconductor-related stocks and said some stocks may be unable to recreate their highs from the first half of 2026.