The government is targeting stagnant companies that lack the will to grow and has drafted a plan to help institutional investors pressure them into pursuing growth more aggressively.
The Financial Services Agency's Principles for Responsible Investors, better known as the Japanese version of Britain's Stewardship Code, were established in February as part of the growth strategy unveiled last June as part of the prime minister's deflation-busting "Abenomics" program.
Modeled after the Stewardship Code compiled in July 2010 by Britain's Financial Reporting Council, the code lays out a set of principles for institutional investors to follow.