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Japan's Financial Services Agency: Effective Stewardship Activities Of Institutional Investors – To Enhance Constructive Dialogue Toward Sustainable Corporate Growth - The Council Of Experts Concerning The Follow-Up Of Japan’s Stewardship Code And Japan’s Corporate Governance Code Opinion Statement No. 3

Date 13/12/2016

Sustainable growth of companies serves as the source of the wealth of the entire nation through increased employment opportunities, higher wages, and higher returns on investment. In order for a company to achieve sustainable growth while coping with the ever-changing operating environment, the management needs to make correct foresighted business decisions, and the board needs to set an effective strategic direction for business management and carry out effective oversight of management. Under such leadership by the management and the board, it is important for companies to work appropriately with various stakeholders, make capital investments, carry out research & development, and grow human resources in line with its management strategy, managing the company from a mid- to long-term perspective.

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