Hot Stock Market here in Japan

[kansaifolk]

The Japanese stock market has been making a great run recently. I usually send money home overseas to invest, but the market has been so good here (finally!!) recently, and I am taking advantage of the run.
Although I know that ETFs usually beat the market over time, I enjoy picking stocks and actively investing, even though I don't have much to base my research of stocks on, since I can't read most of the financial news!
But to prove the point that ETFs are just as good in this run market, my NFTOPIX ETF (1306) is up 29%. My "good" individual stock pics (Honda, NTT, Sumitomo bank, Terumo, Renesas) are all up 25-35%. I have lost on Takeda pharmaceuticals. I have smaller increases in Toyoto, MitsubishiUFJ and Kubota. **Please note the entry times were all different for the stocks, so this is not a representation of how the stocks have actually done in a set period. This is just my portfolio as it stands today.
Overall, the Japanese TOPIX 30 ETF outperforms my individual stock pics on average. But again, I enjoy stock picking so I will probably continue on this course.
Anyone else enjoying this run of the Japanese stock market? It is about time - all these years of sitting on little returns. Hope it doesn't turn bearish just yet!

[adamu]

No stocks, no ETFs, just 100% eMaxis Slim All Country global index fund. Up 48% in the last year.

ETFs usually beat the market over time

This statement doesn't really make sense. An ETF is just a product, so it completely depends what's in the ETF. If the ETF is an index fund that represents the market, it should by definition be the same as the market, not better or worse.

[zeroshiki]

I'm actually down in individual stock picks because the "bets" I've made have been in food and travel. JAL freefalling yet again!
My mutual funds have been doing great though!

Basically, I'm not smart and I can't "pick 'em" so more reason to just buy the whole world.

[RetireJapan]

No stocks, no ETFs, just 100% eMaxis Slim All Country global index fund. Up 48% in the last year.

So that's why I'm feeling flush at the moment...

Wish I had more than 70% in index funds now

[kansaifolk]

Adamu - you are right, I misspoke. I should have said ETFs beat stock picking over the long term.
Fabulous news for you on eMaxis Slim. Are you thinking of taking some of your profits?
So much of the stock talk on this forum is about eMaxis Slim and it is obviously working for you and others.
But on the topic of stocks in general, I was wondering if any people on this forum are excited about this bull market in Japan. It has been a long time coming!! It's great to see some sustained upward movement in so many of these stagnant stocks. I'm enjoying the ride, even if it is not eMaxis Slim!

[kansaifolk]

Zeroshiki - Sorry to hear that. I've done well with a couple supermarket chains. A couple food stocks I'm watching: Ajinomoto (2802) has done a great run. I was watching it but didn't buy (darn). But the technicals still look good (see tradingview.com for easy-to-read technicals). I'm wondering about Japan Tabacco (2914) - I've been watching that too. It hasn't had as much movement, and the technicals look fairly good. I wish it wasn't named Japan Tabacco, as it produces/trades so much more, and that name is a turn off!
*I'm not smart either! It is all a guessing game really, heightened by the fact that I can't read much here to do any research. I just watchlist, follow industries that seem to be in a uptrend, and just pick the most well known stocks, cross referencing it with technical charts. Probably not the best way but... Oh well.

[RetireJapan]

But on the topic of stocks in general, I was wondering if any people on this forum are excited about this bull market in Japan.

I actually don't like it, as I would prefer to just keep buying cheap dividend payers on the sly. But Buffett kind of let the cat out of the bag last year when he bought all those trading houses

My best stock pick is a Japanese stock, a(n almost) 15-bagger (1407 West Holdings).

[kansaifolk]

RetireJapan - Awesome growth - good for you! Have you taken any profits? Renewable energy sector is likely only going to continue climbing up, as countries try to achieve carbon neutrality by future dates. I will add that one to my watchlist. Thanks.

[EmaxisSlim Cultist]

RetireJapan - Awesome growth - good for you! Have you taken any profits? Renewable energy sector is likely only going to continue climbing up, as countries try to achieve carbon neutrality by future dates. I will add that one to my watchlist. Thanks.

Profit-taking isn`t recommended for those planning for retirement and investing in tax-advantaged or even in taxable accounts when they hold diversified index funds. There is no tax concern, as these funds internally reinvest dividends, and when a sale does occur the taxes are handled by the brokerage. This kind of market timing is statistically proven to be disadvantageous to an investor in the long run.

The majority of people here are "buying the haystack" and not "looking for needles, ala Jack Bogle.

If I were picking single stocks, I think I would be mostly looking on the NYSE and Nasdaq and not in Japan though. Unless your Japanese is really great how can you make it through companies earning reports and statements? Isn't the research element really time-consuming?

[RetireJapan]

Have you taken any profits?

No, I decided a few years ago that I wasn't going to sell anything (obviously I will need to sell at some point, but not now while I am still accumulating/investing). It makes everything much easier. I only have to think about what to buy, not whether I should sell something, or how much.

And holding long-term is where the magic happens (or companies go to zero -heh).