In recent years, a surge of hedge funds and private equity funds have cropped up in Tokyo’s chief metropolitan area.

These funds are gathering in the Kabutocho neighborhood of Nihonbashi, where, during Japan’s bubble economy, thousands of brokers crowded the trading floor of the Tokyo Stock Exchange. The area has since quietened due to the introduction of an electronic trading system. Over the past two years, however, many funds have set up shop in the former traders’ stomping ground.

Spurring this influx was the “Global Financial City: Tokyo” initiative introduced by Tokyo Gov. Yuriko Koike in November 2017. The initiative focuses on strengthening Japan’s asset management and financial (fintech).