Japan’s EMP Initiatives for Emerging Managers

On December 13, Reiwa 5, the government formulated a policy plan for realizing Japan as an asset management center.

The plan included the Emerging Manager Promotion Program (Japan’s EMP), which seeks to facilitate public-private funding for emerging managers, and the government and the Financial Services Agency are implementing the initiative.

Japan’s EMP seeks to facilitate public-private funding for emerging managers.

The Asset Owner Principles stated that it is important not to exclude emerging managers solely because they have a short operating history.

It publishes EMP-related examples from financial institution groups and others, as well as an entry list of emerging managers.

To promote new market entry, it introduced deregulation allowing the outsourcing of middle- and back-office operations to providers that meet appropriate quality standards and the full delegation of investment management authority.

The Asset Management Forum was established on October 3, Reiwa 6, and reforms were discussed at its annual meeting on the same day. The Financial Services Agency, the Ministry of Economy, Trade and Industry, and JVCA co-hosted meetups under different names on February 6, Reiwa 7, and February 6, Reiwa 8, to deepen understanding and promote networking between asset owners and venture capital firms.

JIC provides investment and launch support for emerging funds.