mcw vs bjt, page-4

At the moment I don't hold any shares in BJT, but I am interested in doing so in the future provided I have the capital to play with so to speak.

Having said that, I would rather wait for the trust to further diversify before buying the stock however. I find that 69% of the portfolio being located in either Central Tokyo or Greater Tokyo is too high a concentration, especially considering that only 15% of the portfolio is situated in Osaka and just 1% in Aichi (Nagoya) whilst some of Japan's largest cities aren't even in the portfolio.

You also have to consider the constant threat of earthquakes in Japan (i.e. it's not the best idea to have so many of your assets in the same place in the event of a natural disaster such as an earthquake), the declining population, and the move of some high-profile Japanese companies moving their HQs and manufacturing operations offshore giving up on the domestic economy for the greener pastures of the global economy, to cite just a few possible problems to play out in the future.

Given BJT's portfolio consists of retail, office and residential property, it has some scope to diversify which a pure-play in any of these three wouldn't allow, so that is a positive, but I'd like to see a further diversification into industrial property as well. Now if only they further diversified within Japan across asset classes and Japanese cities I would feel far more comfortable with the idea of holding a position in BJT.

So whilst the figures presented by others on this forum might fill some with hope, I think it is important to take these other real-world factors into consideration as well.

What do others think about the future prospects of Japan, the Japanese economy, and BJT's future prospects?