Equities in Japan are set to outperform similar investments in other developed countries, it has been claimed.
According to Alison Cratchley, Standard and Poor's Fund Services analyst, the nation will prove to be a good investment as it has a smaller exposure to global credit problems as major western countries.
"Both Japanese companies and households have strong balance sheets," she said.
Investments in Japan have been underperforming for so long they are "now more compelling" in terms of value, she added.
However, investment trusts relating to Japan currently seem poorly positioned to take advantage of the situation, Ms Cratchley stated.
She pointed out than none of the funds monitored by Standard and Poor's delivered a positive return in the three months to August, she stated.
Earlier this week, F&C launched a new investment fund which it says will offer "absolute returns" and low levels of volatility.
According to the firm, the Active Return Fund will provide people with an alternative to investments such as equities.




