The value of financial assets held by individuals in Japan hit a record high in the second quarter. The gain reflects increased investment in stocks to take advantage of a tax-exemption program.
The Bank of Japan’s quarterly survey covers assets such as cash deposits, securities and insurance. The figure totaled 2,212 trillion yen, or over 15 trillion dollars, as of the end of June. That’s up 4.6 percent in yen terms from a year earlier.
Equity holdings gained 15.6 percent, while investment trusts surged 27.1 percent. Both categories set records.
The expansion of the NISA tax-exemption program for individuals attracted more investment, while the weaker yen boosted balances in insurance products denominated in foreign currencies.
Cash and deposits combined grew 0.8 percent. But the cash-on-hand portion fell 2.2 percent for the sharpest decline on record. This is believed to reflect the growing popularity of cashless settlements.