---
title: "Japan's Youth Start Investing as Nikkei 225 Soars"
url: https://burnaze.com/article/7da592d9-40eb-4502-a107-8f08644e3d26
source: "Franchise Magazine USA"
original_url: https://franchisemagazineusa.com/japans-youth-start-investing-as-nikkei-225-soars/
category: "Finance"
topics: ["Finance & M&A"]
published: 2024-02-22T09:09:41.000Z
modified: 2026-11-01T01:03:10.227Z
image: https://images.unsplash.com/photo-1611974789855-9c2a0a7236a3?w=1600&q=80&auto=format&fit=crop
---

# Japan's Youth Start Investing as Nikkei 225 Soars

**TL;DR:** Young adults in Japan are increasingly investing in mutual funds and stocks, driven by resources like books and YouTube, as part of a larger trend in the country. The government's Asset Income Doubling Plan aims to promote economic growth through retail investing.

*originally published in Franchise Magazine USA on 2024-02-22. [Read the original](https://franchisemagazineusa.com/japans-youth-start-investing-as-nikkei-225-soars/).*

## Key facts

- Young adults in Japan are increasingly investing in mutual funds and stocks
- The number of people in their twenties and thirties investing has increased significantly
- The government's Asset Income Doubling Plan aims to promote economic growth through retail investing

## Story

The landscape of investing in Japan is changing, with more young adults choosing to invest in mutual funds and stocks. Saito Mari, a 28-year-old nurse, decided to venture into the world of investing after feeling frustrated with her meager monthly pay. Thanks to resources like books and YouTube, she learned the basics of investing and was thrilled to see her assets grow.

This shift in attitude towards investing is part of a larger trend in Japan. According to the Investment Trusts Association, the number of people in their twenties and thirties investing in mutual funds has increased significantly in recent years. This change is significant given Japan’s historical aversion to retail investing, a mindset that dates back to the burst of the stock market bubble in the early 1990s.

## Government initiatives

Prime Minister Kishida Fumio has outlined an “Asset Income Doubling Plan” to promote economic growth by encouraging individuals to invest and for companies to utilize funds from retail investors to spur growth. The government has taken steps to incentivize retail investing, such as improving the terms of its NISA program to exempt retail investors from capital-gains taxes. As a result, the country’s five biggest investment platforms saw 900,000 new NISA accounts open in January.

The push towards retail investing has been fueled by economic factors, including Japan’s zero-interest-rate policy and inflation standing at around 3%, a three-decade high. With the erosion of the value of cash not being invested, younger generations who don’t share the trauma of the stock market bubble burst are more inclined to take action.

## Retail investing growth

The shift towards retail investing is also reflected in the increase in the number of students at financial schools targeting millennials. For example, the number of students at ABCash, a financial school in Tokyo, has doubled since 2022, reaching 40,000. However, one challenge for the government is that many young investors favor international markets over domestic ones.

Despite this, the recent surge in the Nikkei 225 reaching a record high may influence investors like Saito Mari to change their approach and consider domestic market investments more seriously.

Overall, this shift towards increased retail investing in Japan represents a significant change in the country’s financial landscape, with young individuals increasingly seeking to grow their assets through mutual funds and stocks. With government initiatives and favorable economic conditions, the future of retail investing in Japan looks promising.

## Entities

- General (sector)
- Franchise Magazine USA (publication)
- Japan (location)
- economic growth (topic)
- government initiatives (topic)
- Investment Trusts Association (regulator)
- NISA (regulator)
- retail investing (topic)

---
Originally reported by Franchise Magazine USA (https://franchisemagazineusa.com/japans-youth-start-investing-as-nikkei-225-soars/). Summarized by Burnaze (https://burnaze.com/article/7da592d9-40eb-4502-a107-8f08644e3d26).