Investors encouraged by talk of Japanese recovery

Japanese Smaller Companies sector makes gains of 25.4% over the last year

Japanese Smaller Companies has delivered the highest returns of all IMA sectors over the past year, with investors buoyed by expectations of an economic recovery in the country. Over one year to 24 August, the IMA Japanese Smaller Companies sector gained 25.4%, with all seven funds delivering double digit returns and the top two up more than 40%, according to Morningstar. Chisako Hardie’s £16.6m Axa Framlington Japan Smaller Companies fund leads the sector over the period, up 48%. After a difficult two years, Hardie says the fund started to recover from the mid-October 2008 market ...