Of the 1 million shares of the Bank of Japan, how many are trading on the Tokyo Stock Exchange? Do they have any voting rights?
The Bank of Japan listing is really weird. It’s traded through exchanges but it’s not a company limited by shares, so technically you’re not trading ‘stock’ but some weird ownership that’s probably closest to pref shares. Which is why it’s traded on the TSE JASDAQ, not the TSE 1st section– it doesn’t match the necessary criteria.
The government owns 55% of the shares so all of the balance can be traded through the TSE, although volume is low. Most of it is held by individuals, not institutions. Which makes sense because there’s really no financial upside to holding these ‘shares’;
- There are no voting rights
- If the BoJ ends up being liquidated all capital is returned to the government
- There ARE dividends and they pay 5%! Except that’s 5% of ‘invested price’ of the security which is JPY100. Which means the dividend is JPY5 which on the current price of JPY37,400 yields a whopping 0.013%!
- Having said all that it would be really cool to hold a position in the BoJ!
Anyway, from the BoJ’s annual report, here’s a translated breakdown of the ownership:
*note the numbers don’t fully tally up due to rounding