Jesper Koll

Jesper Koll Tokyo, January 31, 2017

Tokyo Financial Center Personal View : Goals, Principles & Accountability

Material 6

Jesper Koll

Tokyo versus

Wall Street

?

You have to think anyways,

so you might as well

think big ! Donald Trump

どうせなら

大きいことを考えよう ドナルド・トランプ

Financial Center

Finance

* Goal

* Science

* Technology

* Customer

* Ecosystem

Finance - Goal

* Economic Growth

* Industry Pride

Jesper Koll

Engine of Growth Share of Entrepreneurs versus Economic Growth

Note : Averages for 1995-2013

Source: OECD, Global Entrepreneurship Council ; Jesper Koll

0

2

4

6

8

10

12

14

16

18

0 0.5 1 1.5 2 2.5

USA

Germany

Japan

France

Source: National Institute of Population and Social Security

Research

Full-Time Jobs Created by Age of Company Cumulative 2005-2015, Millions

Source: Professor K.Fukao, Jesper Koll

Japan

US

France Germany

-2

-1

0

1

2

-5 -10 -20 -30 -40 -50 50-

Jesper Koll

Engine of Jobs

Jesper Koll Source: picture from jonelblog

The Future of Finance

Global MegaTrends

1845-------------------------1945-------------1995--------2020

100 Years 50 25

Industrial Revolution

Massive Scale

Manufacturing

Internet

???

文化開化

富国強兵

日本のものつくり

サラリマン

平成デフレ

アルバイト

Source: Nobuyuki Idei & Jesper Koll Jesper Koll

Faster…

Radio 38 years

Time to Reach 50,000,000 Users

Source: Nobuyuki Idei & Jesper Koll Jesper Koll

TV 13 years

iPod 4 years

Facebook 1 year

Twitter 9 Months

Jesper Koll Source: Bloomberg, BoJ, Fed, WisdomTree

US

Germany

Germany

Future of Finance - Blockchain

Blockchain is the new

technology that will most likely

transform all aspects of global

finance. J.Yellen s

Unique Opportunity to set the

Global Standard :

Not Bit--Coin

But Tokyo—Coin

or Samurai—Coin

Set Global Standard

Jesper Koll

Reality

Jesper Koll Source: Bloomberg, BoJ, Fed, WisdomTree

Japan

US

Germany

France Germany

In Japan, Banks are King

138

45

Japan US

Biggest 4 Banks Assets as % of GDP

Jesper Koll Source: Bloomberg, BoJ, Fed, WisdomTree

Japan

US

Germany

France Germany

….Because Cash is King Private Sector Cash & Deposit Balances

52

14

Japan US

Household Cash&Deposits as % of Financial Assets

125

32

Japan US

Corporate Cash&Deposits as % of GDP

1-Year 5-Years

Japanese Managers

Japanese Equities 54% 41%

International Equities 35% 12%

US Managers

US Equities 25% 12%

International Equities 53% 53%

Jesper Koll

Asset Manager Performance % of managers beating benchmark

NOTE: International is ex-home market, i.e. ex-Japan for Japanese Managers and ex-US for US

Source: S&P Global – SPIVA Scorecards ; 1-year = 2016 ; 5-year – 2011 to 2016

Jesper Koll Source: Bloomberg, Investment Trust Association, WisdomTree

Japan

US

Germany

France Germany

0

0.5

1

1.5

2

2.5

2010 2015

0

0.5

1

1.5

2

2.5

2010 2015

Management Fee Distribution Fee Management Fee Distribution Fee

Japan US

Cost to Consumers Average Fees Charged to Retail Investors for Fund Purchases

US Brokers Business Model

手数料による収益

残高による収益

Charles Schwab Annual Report 2015

US Securities Companies have changed towards a fee-based rather than

transactions based business model

Asset Management Revenues Now

More Than 3-Times Trading

Revenues

Must Have :

Democratization of Finance

* Full Transparency

* Customer’s Interest = Broker’s Interest

Set Global Standard

Jesper Koll Source: MoF -- All Yen Trillions

Japan

US

Germany

France Germany

% Ownership of Public Debt Securities:

Private Sector, BoJ & Foreigners

Urgency : Debt Market Nationalisation…..Strangling Private Market

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Jesper Koll Source: Internet

Japan

US

Germany

France Germany

Finance Ecosystem Data Center, Data Analysis, Data Distribution

Tokyo Financial Data Center

• Japan

• Asia

Not just Japan Data, but

Asia Data

Jesper Koll Source: Internet

Japan

US

Germany

France Germany

Finance Ecosystem : Motivate Science & Academia

Tokyo Finance Prize :

• Academic Research

• -Finance

• -Statistics

• -Data Management

• Innovative Mass Product

• Smartest Solutions

Jesper Koll Source: Internet

Japan

US

Germany

France Germany

Finance Ecosystem : Motivate Media – Old & New

Tokyo Finance Prize :

• Best Finance Coverage

• Best Corporate Analysis

• Best Financial Blogger

You have to think anyways,

so you might as well

think big ! Donald Trump

どうせなら

大きいことを考えよう ドナルド・トランプ

Ｖｉｅｌｅｎ Ｄａｎｋ

Thank You