However, Abe has acknowledged that it is critical to reinvigorate Japan’s domestic economy and increased infrastructure spending could play a part in doing just that. Japan, the world’s third-largest economy, has previously hosted the Olympics three times – the Summer Games in 1964 and Winter Games in 1972 and 1998.
Investors looking to participate in Japan’s potential infrastructure upside should do so with ETFs like DXJ and EWJ because international infrastructure funds, such as the iShares Global Infrastructure ETF (NYSEArca: IGF) are not heavily allocated to Japan.
iShares MSCI Japan ETF
ETF Trends editorial team contributed to this post. Tom Lydon’s clients own shares of DXJ.