[COVER STORY] Japan's shareholder activism boom: Benchmark for Korea, or cautionary tale?
Korea and Japan have long shared a corporate governance problem: companies in which insiders, such as founding families, wield outsized influence often at the expense of minority shareholders. Both governments have sought to shift that balance by strengthening shareholder rights and pressing companies to improve governance and capital efficiency. Japan moved first, introducing a stewardship code…
![[COVER STORY] Japan's shareholder activism boom: Benchmark for Korea, or cautionary tale?](/img/5850496)
The rise of shareholder activism in Japan has positioned the country as a benchmark for Korea and other Asian markets, according to a recent analysis. Japan's shift towards stronger shareholder rights and corporate governance reforms, including the introduction of a stewardship code in 2014 and a corporate governance code the following year, has created a supportive environment for activist investors.
This supportive policy has led Japan to become the largest market for shareholder activism in Asia, accounting for 56 percent of Asia's 205 activist campaigns in 2025 and 32 percent of the 100 campaigns recorded in the first quarter of 2026. The focus on capital efficiency within Japanese companies has also contributed to the rise in equities, further bolstering the appeal of Japanese markets for activist investors.
As such, Japan's experience may serve as a cautionary tale for Korea, highlighting both the benefits and potential pitfalls of a shareholder activism boom.
Brief written by urgent.news from The Korea Times's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
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