The Bank Of Japan Owns 52% Of The Entire Japanese ETF Market , And Now It Wants More

This surely will end ‘well’!


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The BoJ Owns 52% Of The Entire Japanese ETF Market , And Now It Wants More:

Haruhiko Kuroda owns 52% of all Japanese ETFs. And now he wants more. Facing a lack of willing JGB sellers, the BoJ now faces the possibility that ramping up its easing efforts will entail expanding the bank’s already elephantine equity portfolio. “At a fundamental level, I don’t support the idea of central banks buying ETFs or equities. Unlike bonds, equities never redeem. That means they will have to be sold at some point, which creates market risk.”

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