A sharp sell-off in Japanese equities last week has led to questions over the efficacy of Abenomics and the sustainability of a record stock market run. Analysts are keeping faith in the land of the rising sun, though Dean Turner, investment strategist with HSBC private bank, said: "We do not think that last week's market volatility changes Japan's fundamentals." Andrew Rose, head of Japanese equities at Schroders, said: "If you are prepared to take a long-term view, the market is not expensive, and if Abenomics is successful in creating growth then there are still a lot of positives to come." However, as record amounts of money flow into Japanese equity funds, Mr Rose believes the markets are unlikely to repeat their record run in such a short space of time.
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