The new ‘activist-oriented’ Japan equity strategy aims to target undervalued listed companies with strong fundamentals and excess capital. 

Apex Group Ltd. (“Apex Group”), the leading financial services provider, has been appointed by Nezu Asia Capital Limited (“Nezu Asia”) to provide a suite of services for the launch of its Japan-focused Nezu Engagement Fund. The mandate extends to the Group’s existing relationships with both Nezu Asia and United Managers Japan (“UMJ”),

Nezu Asia, founded in 2000 by industry veteran David Snoddy, has launched the Nezu Engagement Fund to invest in listed Japanese companies that would have higher share prices through a combination of (i) more efficient use of shareholder returns, (ii) stronger employee incentivisation, and (iii) strategic review of capital allocation and/or operating businesses. The Fund seeks to partner with its investee companies with similar goals, and to achieve these changes through collaboration. The fund will target a concentrated portfolio of 15 to 20 holdings, capitalising on growing global investor interest in shareholder-friendly reforms in Japan.

Under the agreement, Apex Group will deliver fund administration services from its Hong Kong office, custody from European Depositary Bank (EDB) Dublin, and bank account services from EDB Luxembourg. The solution will be delivered using Apex Group’s Paxus technology platform, ensuring seamless service delivery across jurisdictions.

David Snoddy, Founder and Chief Investment Officer at Nezu Asia, said:

“We are pleased to extend our partnership with Apex Group as we launch the Nezu Engagement Fund. Apex Group’s one-stop solution and ability to coordinate across multiple global offices has been invaluable - and we have full confidence that our operational needs will be met efficiently, enabling us to focus on executing our investment strategy.”

Michael Unglesbee, Head of the International Department and Singapore Director at United Managers Japan, said:

“UMJ has a long-standing relationship with Apex Group, and we are delighted to see that partnership extend to Nezu Asia. Apex Group’s integrated services and strong operational support provide the quality and efficiency that managers on our platform require to succeed.”

Yuko Shimizu, Business Development Director, also commented:

“We are excited to support the launch of the Nezu Engagement Fund, an innovative solution aimed at unlocking shareholder value by supporting undervalued companies, whilst capitalising on investor interest from recent reforms in Japan. This mandate is the second Nezu Asia fund we’ve secured through the UMJ platform, reflective of our growing role in servicing Japan-focused strategies and our ability to provide clients with a comprehensive, cross border end to end solution. We look forward to continuing to support both Nezu Asia and UMJ in the years ahead.”