On March 31, 2023, Tokyo Stock Exchange (TSE) requested that all listed companies on the Prime and Standard Markets take "action to implement management that is conscious of cost of capital and stock price."
In addition, on April 28, 2026, to provide all listed companies with a reference for their future initiatives, TSE updated its previous request and compiled, as set out in the attached document, key points on investor expectations and initiatives, with a particular focus on the appropriate allocation of management resources.
| Action to Implement Management that is Conscious of Cost of Capital and Stock Price (published on March 31, 2023) |
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| Update to the Request Concerning Management That is Conscious of Cost of Capital and Stock Price (published on April 28, 2026) |
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List of Companies That Have Disclosed Information
In January 2024, TSE begun publishing a list of companies that have disclosed information in accordance with the request to inform investors of who is taking action, thereby encouraging companies to make a proactive effort. This list is updated monthly based on the status as of the end of the month.
| List of Companies That Have Disclosed Information (as of the end of July 2026) |
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| [Appendix] Status of Companies' Responses as of the end of July 2026 |
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(Note)
- ･The disclosure status of Prime-listed and Standard-listed companies on the list is determined as follows based on the selection made by each company in the sub-section "Content of Disclosure" of the section "Action to Implement Management That Is Conscious of Cost of Capital and Stock Price" in the company's most recently submitted Corporate Governance Report as of the time when the data was collected.
- If "Disclosure of Initiatives (Initial)" or "Disclosure of Initiatives (Update)" was selected, the company's disclosure status is listed as "Disclosed."
- If "Disclosure of Consideration Status" was selected, the company's disclosure status is listed as "Under Consideration"(included in the list up to 6 months).
- ･After the publication of the list, in order to further support companies that are proactively taking action, we have made the following revisions.
<Contents of the Revision in January 2025>
- Add a "Date of disclosure update" column for companies that have disclosed updates to the status of their initiatives
- Add columns for companies that wish to be contacted by institutional investors
- Set a time limit (6 months) for "Under Consideration" status and require companies "Under Consideration" to explain their status
<Content of the Revision in January 2026>
- Add the details disclosed by each company in Corporate Governance reports
| Revision of the List of Companies That Have Disclosed Information (published on September 27, 2024) |
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| Revision of the List of Companies That Have Disclosed Information (published on September 26, 2025) |
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Survey of listed companies regarding their expectations of and requests to investors
From June 12 to July 24, 2026, to promote more effective dialogue between companies and investors, TSE conducted a survey of listed companies regarding their expectations of and requests to investors.
| Results of Corporate Survey on Expectations of and Requests to Investors (published on August 12, 2026) |
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| Corporate Survey Analysis Data |
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Survey of Institutional Investors on Companies Demonstrating Meaningful Progress
From June 12 to July 24, 2026, TSE conducted a survey of domestic and overseas institutional investors regarding companies demonstrating meaningful progress in the area of management that is conscious of cost of capital and stock price.
| Results of Survey of Institutional Investors on Companies Demonstrating Meaningful Progress (published on August 12, 2026) |
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| List of Companies Demonstrating Meaningful Progress as Evaluated by Investors (published on August 12, 2026) |
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Key Points and Examples Considering The Investor’s Point of View
In order to provide listed companies with reference material, TSE compiled "Key Points and Examples Considering the Investor’s Point of View" based on feedback obtained through meetings with many domestic and overseas investors. The first edition was published in February 2024, and in November 2024, TSE updated the documents by adding new content such as “Cases Where Companies Are Not Aligned With Investors’ Perspectives.”
Furthermore, in December 2025, TSE newly compiled “Case Studies of Companies’ Initiatives Toward Issue Resolution." In addition, TSE updated “Key Points Considering The Investor’s Point of View” to reflect the latest examples and feedback (from 2025) gathered through discussions with over 400 investment firms.
- Latest Edition (published on December 26, 2025)
| Document 1 How to use Points and Case Studies |
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| Document 2 Key Points Considering The Investor’s Point of View |
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| Document 3 Case Studies of Companies’ Initiatives Toward Issue Resolution |
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Document 4 2025 Case Studies (Prime Market)
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| Document 5 2025 Case Studies (Standard Market) |
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| Reference_Cases Where Companies Are Not Aligned With Investors’ Perspectives (Previously published) |
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- (Reference) Second Edition (published on November 21, 2024)
| Document 1 How to use Points and Case Studies |
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| Document 2 Cases Where Companies Are Not Aligned With Investors’ Perspectives |
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| Document 3 Key Points Considering The Investor’s Point of View |
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| Document 4 Case Studies (Prime Market) |
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| Document 5 Case Studies (Standard Market) |
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| Document 6 Reference material (Stock Prices After the Request) |
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Purpose of Action
- From the viewpoint of implementing management that is conscious of cost of capital and stock price, TSE requests that listed companies conduct a series of actions on an ongoing basis. This starts with gaining a proper understanding of their cost of capital and profitability based on the balance sheet, and continues with analyzing and assessing the current situation around these and the market valuation at board meetings, preparing and disclosing plans for improvement, and then using dialogue with investors to update them on the progress of these efforts.
Note: This request targets all listed companies on the Prime and Standard Markets.
- Through conducting these actions, it is expected that, based on the basic management policy established by the Board of Directors, the management team will take the lead in appropriately allocating resources with sufficient consideration of cost of capital and profitability. This could be by pushing forward initiatives such as investment in R&D and human capital that leads to the creation of intellectual property and intangible assets that contribute to sustainable growth, investment in equipment and facilities, and business portfolio restructuring.
- While share buybacks and dividend increases are considered effective means of improving profitability, if shown as such by the company's analysis of whether the balance sheet effectively contributes to value creation, TSE is not necessarily expecting companies to use only these or solve issues with a one-off response. Efforts are expected on a fundamental level to attain profitability in excess of cost of capital on a sustained basis and achieve sustainable growth.
Investor's Voice
Investor's Voice is a series of video interviews featuring dialogues between the Tokyo Stock Exchange and institutional investors, with the aim of deepening understanding of the Japanese equity market and institutional investors in Japan and overseas. Additional videos will be added sequentially.
