Expectations for stronger corporate governance reforms have also been a driver of foreign inflows into the country
Published Wed, Jun 3, 2026 · 02:13 PM
[HONG KONG] The global AI trade has turned South Korea and Taiwan into Asia’s top two stock markets this year. Yet for foreign investors, the region’s most compelling destination lies elsewhere: Japan.
Overseas investors have sold nearly US$70 billion of South Korean shares this year, while flows into Taiwanese equities have also flipped negative, according to data compiled by Bloomberg. By contrast, Japan had attracted US$73.6 billion of inflows as at May 22.
Japan also emerged as the favourite Asian stock market in a Bank of America fund manager survey conducted May 8 to 14.
The…
