Our fund aims to take advantage of the twin themes of stock undervaluation and corporate restructuring to unlock value. We believe that the playing out of these themes will be a major driver of the Japanese equity market over the coming years.

Our Investment Approach

The fund management team uses a bottom-up investment strategy focused exclusively on individual stock selection decisions and driven by fundamental company analysis.

In order to identify stocks whose market prices are below their intrinsic value, the team employs a dual quantitative and qualitative approach. Our quantitative screen uses various indicators including the M&A ratio. Our qualitative process allows flexibility to focus on the key factors determining long-term outperformance.

Our fund aims to outperform the TOPIX Index by +3% p.a. with an associated risk level of around up to 10% p.a.

• SFDR* Classification: Article 8

*EU Sustainable Finance Disclosure Regulation

Further details of the sustainability strategy are described in the tab “Sustainability-related disclosure”.

Background to Investing

This strategy is the result of several years of development on the part of Nomura. Launched in 2000 and initially only available to Japanese investors, it has produced a very good performance record since inception. The fund’s continued success is attributable to the established and stable investment team, substantial research platform and a consistent, unconstrained, value orientated, bottom-up approach.

Investment Style

In a nutshell, our approach is:

• Bottom-up
• Value-orientated
• Has no market-cap bias
• Has no sector constraints
• Has a long-term investment time horizon

Awards and Ratings 

Morningstar Overall Ratings as at 30-06-2025. Copyright © Morningstar 2025. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied, adapted or distributed; (3) is not warranted to be accurate, complete or timely; and (4) do not constitute advice of any kind, whether investment, tax, legal or otherwise. User is solely responsible for ensuring that it complies with all laws, regulations and restrictions applicable to it. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information, except where such damages or losses cannot be limited or excluded by law in your jurisdiction. Past performance is no guarantee of future results. Morningstar rating based on Nomura Funds Ireland – Japan Strategic Value Fund I JPY.

Potential Significant Risks

By focusing its investments in Japan, the fund will have greater exposure to the market, political and economic risks of that country than if it was more diversified across a number of countries.