Insights & News
Japanese Equity Valuations, Trade Tariffs, and Reform InitiativesMasakazu Takeda, CFA, CMAPortfolio Manager
2Q2018 - Hennessy Japan Fund Portfolio Manager Masa Takeda discusses current valuations of Japanese equities and the growth in the factory automation and robotics industries. He also offers his thoughts on the importance of active management, the potential impact of trade tariffs, and Japan’s progress on reform initiatives.
Insights on Japan
Hennessy Japan Fund Portfolio Manager Masa Takeda discusses why he believes Japan is moving in the right direction and shares his insights on the progress of reform initiatives. He discusses the impact of a strengthening yen, and he makes the case for active managers when investing in Japanese companies.Watch the Video
CIO Roundtable: 2018 Mid-Year Market Insights and Perspectives
June 2018 - Our team of tenured Portfolio Managers shares their insights on what's ahead for investors. They provide opinions on the direction of the stock market and interest rates, potential impact of Trump administration policies, hidden earnings power in the U.S. economy, and where they believe investment opportunities exist today.Read the Commentary
Potential Advantages of Investing in Global Japanese Companies
1Q2018 - Hennessy Japan Fund Portfolio Manager Masa Takeda discusses structural reform initiatives in Japan, why his Fund can prosper regardless of currency fluctuations, and the potential advantages of investing in large, globally competitive Japanese companies.Read the Commentary
Average Annualized Total Returnas of 9/30/18 (Investor)
Name 1 Mo YTD 1 yr 3 yr 5 yr 10 yr Since Inception (10/31/03) Japan Fund (HJPNX) 4.71% 8.50% 20.98% 20.74% 14.42% 12.50% 10.05% Russell/Nomura Total Market™ Index 3.02% 1.23% 9.86% 13.36% 7.90% 6.76% 5.60% Tokyo Stock Price Index 3.04% 1.11% 9.85% 13.14% 7.82% 6.76% 5.48%as of 9/30/18 (Investor) Name QTR YTD 1 yr 3 yr 5 yr 10 yr Since Inception (10/31/03) Japan Fund (HJPNX) 6.12% 8.50% 20.98% 20.74% 14.42% 12.50% 10.05% Russell/Nomura Total Market™ Index 3.24% 1.23% 9.86% 13.36% 7.90% 6.76% 5.60% Tokyo Stock Price Index 3.22% 1.11% 9.85% 13.14% 7.82% 6.76% 5.48%
Value of $10,000 invested between 9/30/2017 and 9/30/2018
Japan Fund (HJPNX) $12,098 Russell/Nomura Total Market™ Index $10,664 Tokyo Stock Price Index $10,985
Value of $10,000 invested between 9/30/2015 and 9/30/2018
Japan Fund (HJPNX) $17,601 Russell/Nomura Total Market™ Index $14,140 Tokyo Stock Price Index $14,482
Value of $10,000 invested between 9/30/2013 and 9/30/2018
Japan Fund (HJPNX) $19,609 Russell/Nomura Total Market™ Index $14,195 Tokyo Stock Price Index $14,571
Value of $10,000 invested between 9/30/2008 and 9/30/2018
Japan Fund (HJPNX) $32,483 Russell/Nomura Total Market™ Index $18,667 Tokyo Stock Price Index $19,231
Value of $10,000 invested between 10/31/2003 and 9/30/2018
Japan Fund (HJPNX) $41,706 Russell/Nomura Total Market™ Index $21,895 Tokyo Stock Price Index $22,155
This data illustrates the performance of a hypothetical $10,000 investment made in the Fund for the period noted, and it assumes reinvestment of dividends and capital gains. This chart does not imply future performance.
Calendar Year Total Returns
Year Japan Fund (HJPNX) Russell/Nomura Total Market™ Index Tokyo Stock Price Index 2017 32.04% 27.17% 26.56% 2016 11.26% 3.31% 3.69% 2015 12.95% 11.72% 10.97% 2014 6.98% -3.03% -2.95% 2013 26.16% 26.57% 26.48% 2012 11.61% 8.05% 8.06% 2011 0.29% -12.60% -11.82% 2010 20.64% 14.65% 14.44% 2009 9.83% 5.81% 4.69% 2008 -27.50% -25.96% -25.50% 2007 -14.25% -6.17% -6.31% 2006 -13.10% 2.04% 2005 50.26% 26.75% 2004 36.31% 15.59% Type 3 yr 5 yr 10 yr Alpha 8.93 7.45 6.54 Beta 0.79 0.80 0.82 Upside Capture 100.65 97.68 93.93 Downside Capture 20.33 38.02 58.58
Alpha measures the fund’s excess return relative to the return of the benchmark. Beta measures the volatility of the fund compared to that of the benchmark. The beta of the benchmark is 1.00. Capture ratios measure the fund’s overall performance in up markets (positive return periods) and down markets (negative return periods).
Type 3 yr 5 yr 10 yr Japan Fund (HJPNX) 1.76 1.27 0.89 Russell/Nomura Total Market™ Index 1.16 0.72 0.50 Japan Stock Category Average 1.37 0.85 0.44
Sharpe Ratio is a measure of risk-adjusted return, reflecting the average return earned in excess of the risk-free rate per unit of volatility.
Type 3 yr 5 yr 10 yr Japan Fund (HJPNX) 10.57 10.62 14.01 Russell/Nomura Total Market™ Index 10.48 10.62 14.53 Japan Stock Category Average 8.97 9.47 16.85
Standard deviation is a statistical measure of the historical volatility of a mutual fund or portfolio.
Gross expense ratio
Performance data quoted represents past performance; past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance of the fund may be lower or higher than the performance quoted.
Morningstar Proprietary Ratings reflect risk-adjusted performance as of 9/30/18. The Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating™ for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating™ metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. The fund received 5 stars for the three-year, 5 stars for the five-year and 5 stars for the ten-year periods ended 9/30/18 among 39, 26 and 14 Japan Stock Funds, respectively. Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in distribution percentage.
Each Morningstar category average represents a universe of funds with similar objectives. The Morningstar Style Box reveals the fund's investment style as of 9/30/18. The vertical axis shows the market capitalization of the stocks owned and the horizontal axis shows investment style (value, blend, or growth). ©Morningstar, Inc. All Rights Reserved. Past performance is no guarantee of future results.
The Russell/Nomura Total Market Index is a market capitalization-weighted index of Japanese equities. The Tokyo Stock Price Index (TOPIX) is a market capitalization-weighted index of all companies listed on the First Section of the Tokyo Stock Exchange. One cannot invest directly in an index.
The returns of the Russell/Nomura Total Market and TOPIX indices are presented in U.S. Dollar terms.
Frank Russell Company (“Russell”) is the source and owner of the trademarks, service marks, and copyrights related to the Russell Indexes. Russell® is a trademark of Russell. Neither Russell nor its licensors accept any liability for any errors or omissions in the Russell Indexes or Russell ratings or underlying data, and no party may rely on any Russell Indexes or Russell ratings or underlying data contained in this communication. No further distribution of Russell data is permitted without Russell’s express written consent. Russell does not promote, sponsor, or endorse the content of this communication.
Fund holdings and sector allocations are subject to change and should not be considered a recommendation to buy or sell any security.
Total Fund Assets $528.6 Million Active Share vs. Russell/Nomura Total Market™ Index 84% Portfolio Turnover 1% Median Market Cap $38.9 Billion Median Price/Earnings 30.7x Median Price/Book 3.5x
Price/Earnings measures a stock’s price per share compared to earnings. Price/Book measures a stock’s price per share to book value. Portfolio Turnover and Price/Earnings shown reflects the trailing 12-month period.
Sector % of Net Assets Industrials 29.2% Consumer Discretionary 18.3% Consumer Staples 14.9% Health Care 10.1% Financials 7.8% Communication Services 6.0% Information Technology 4.6% Materials 1.5% Cash & Other 7.5% Top 10 Holdings Ticker % of Net Assets SoftBank Group Corp. 9984 6.1% Recruit Holdings Co., Ltd. 6098 5.9% Rohto Pharmaceutical Co., Ltd. 4527 5.3% Fast Retailing Co., Ltd. 9983 5.2% Shimano, Inc. 7309 5.0% Daikin Industries, Ltd. 6367 5.0% Unicharm Corp. 8113 5.0% Kao Corp. 4452 4.9% Terumo Corp. 4543 4.9% Mitsubishi Corp. 8058 4.8% Total as % of Net Assets 52.0%
Please note that full portfolio holdings for the Japan Funds will be available 30 days after each calendar quarter end.
Equity Holdings Ticker % of Net Assets Recruit Holdings Co., Ltd. 6098 5.5% Rohto Pharmaceutical Co., Ltd. 4527 5.4% Fast Retailing Co., Ltd. 9983 5.3% Shimano, Inc. 7309 5.1% Japan Tobacco, Inc. 2914 5.1% Terumo Corp. 4543 5.1% Unicharm Corp. 8113 5.1% Kao Corp. 4452 5.0% Misumi Group, Inc. 9962 5.0% Daikin Industries, Ltd. 6367 5.0% SoftBank Group Corp. 9984 4.9% Mitsubishi Corp. 8058 4.8% Nidec Corp. 6594 4.7% Keyence Corp. 6861 4.6% Mitsubishi UFJ Financial Group 8306 3.8% Sumitomo Mitsui Financial Group 8316 3.5% ASICS Corp. 7936 3.3% Toyota Motor Corp. 7203 3.0% Kubota Corp. 6326 2.7% Ryohin Keikaku Co., Ltd. 7453 2.2% Fuji Seal International, Inc. 7864 1.7% Isuzu Motors, Ltd. 7202 1.2% Pigeon Corp. 7956 0.8% Total as % of Net Assets 92.8% Cash & Other Holdings % of Net Assets Cash & Other 7.3% Total as % of Net Assets 7.3%
Cash & Other
Japan 92.5% Cash & Other 7.5%
The Hennessy Japan Fund pays capital gains (if any) once annually, usually in December. Ordinary income distributions (if any) are paid annually, usually in December.
Date Paid Income Short-Term Gain Long-Term Gain Total Per Share Reinvest Price 12/27/2017 $0.00578 -- -- $0.00578 $34.87 12/31/2012 $0.00996 -- -- $0.00996 $15.56 12/29/2009 $0.02420 -- -- $0.02420 $11.70 12/18/2008 $0.03490 -- -- $0.03490 $10.25 12/09/2005 $0.55072 $0.14355 $0.02477 $0.71904 $18.49 12/17/2004 $0.71197 -- -- $0.71197 $12.85
Past performance is not a guarantee of future results.Download historical distributions and NAVs
Download PDF View Online Fund Documents Japan Fund Fact Sheet Japan Fund Portfolio Manager Commentary View Japan Fund Summary Prospectus Full Prospectus Statement of Additional Information Shareholder Reports Japan Fund Semi-Annual Report Japan Fund Annual Report