GLONGHUI December 20 | Junichi Inoue of Janus Henderson Investors said in a research report that the Japanese stock market may show a certain degree of elasticity in 2025. The head of the Japanese stock market added that compared with the global stock market, the valuation of the Japanese stock market is relatively low, and corporate governance reforms are continuing, which will help increase the return on equity. “For these reasons, we think Japanese stocks can be considered an attractive risk-return asset class,” he said, particularly for companies associated with global markets and global growth. He believes that, driven by the financial industry, the Japanese market is expected to achieve a high single-digit profit growth rate in 2025. He also said that the biggest risk is that Japan's moderate economic recovery may face a slowdown next year, thereby damaging the confidence of businesses and investors.