Nikkei Asian Review Quotes James Rosenwald

On September 12, 2017, the Nikkei Asian Review published an article referencing comments made by Jamie Rosenwald, Portfolio Manager for Dalton Investments’ Asian Equities strategies, regarding the existing discount on Japanese equities with cash rich balance sheets.

“Dalton Investments, a U.S. asset manager, recognizes only half of cash on hand when determining the corporate value of Japanese companies, which are seen to be lacking in corporate governance, said co-founder, James Rosenwald.

Cash equivalents are piling up around the globe, but Dalton trusts U.S. companies to at least make effective use of those funds eventually. But the investment house strongly suspects Japanese corporations of stockpiling cash indefinitely. There is also the risk of those firms squandering that money, meaning Dalton has no choice to but to price in only half their cash, says Rosenwald.”

For the full text of the article, please see here.

Dalton Investments LLC is a value-focused investment management firm with expertise in Asia equities, global equities and fixed income. Headquartered in Los Angeles, with a subsidiary office in Tokyo, Dalton manages $3.4 billion (June 30, 2017) in actively managed long-only and long/short strategies for pensions, endowments, foundations, financial institutions and family offices.