Japan’s Bull Market Is Back: Trade the Nikkei 225, Japanese Stocks & ETFs with Live Prices on NOVA

04 Jun 2026

Japan has re-emerged as one of the world’s most compelling equity markets. 

After decades of deflationary pressures and subdued growth, Japanese equities are benefiting from a combination of AI-driven optimism, corporate governance reforms, rising shareholder returns and renewed foreign investor interest. The Nikkei 225 recently crossed the 68,000 level for the first time, underscoring Japan’s growing importance in the global technology and semiconductor ecosystem. 

For investors, this raises an important question: 

How can you participate in Japan’s market opportunities? 

Whether you’re seeking long-term exposure to world-class Japanese companies, broad market access through ETFs, or tactical trading opportunities linked to the Nikkei 225, there are multiple ways to gain exposure to Japan’s resurgence. 

Why Japan Is Back in Focus 

Japan has become one of the standout equity stories of 2026, with the Nikkei 225 reaching fresh record highs as investors continue to position for the global artificial intelligence (AI) boom. 

The rally has been driven largely by semiconductor and technology-related companies, reinforcing Japan’s role as a critical supplier to the global AI supply chain. 

Several structural trends continue to support the market: 

  • Growing demand for AI infrastructure and semiconductor equipment 
  • Strong performance from technology leaders such as Tokyo Electron and Advantest 
  • Corporate governance reforms aimed at improving shareholder value 
  • Rising dividends and share buyback programmes 
  • Continued foreign investor inflows 
  • A weaker yen supporting Japan’s export-driven economy 

Beyond AI, improving corporate profitability, stronger wage growth, rising domestic demand and ongoing economic reforms have contributed to a broader re-rating of Japanese equities. 

  1. Japanese Stocks: Invest in Global Industry Leaders

For investors seeking direct exposure, Japan is home to some of the world’s most recognised companies across technology, automotive, consumer products, financial services and semiconductors. 

Popular Japanese Stocks 

Company  TSE Code  Theme 
Toyota Motor Corporation  7203  Global Automotive Leader 
Sony Group Corporation  6758  Entertainment & Technology 
Mitsubishi UFJ Financial Group  8306  Banking & Financial Services 
Fast Retailing (Uniqlo)  9983  Consumer & Retail 
Nintendo Co., Ltd.  7974  Gaming & Intellectual Property 
Tokyo Electron Ltd.  8035  Semiconductor Equipment & AI 
Advantest Corporation  6857  Semiconductor Testing & AI 

Investing directly in Japanese stocks may offer: 

  • Exposure to globally recognised brands and industry leaders 
  • Participation in corporate earnings growth 
  • Access to dividends and share buybacks 
  • Greater flexibility in portfolio construction 

From automotive manufacturing and consumer brands to AI and semiconductors, Japanese equities offer exposure to some of today’s most important global growth themes. 

  1. Japan ETFs: Diversified Market Exposure

For investors seeking broad exposure without selecting individual companies, Japan-focused ETFs provide a simple and diversified solution. 

Many of these ETFs track major benchmarks such as the Nikkei 225 or TOPIX, offering access to Japan’s largest listed companies through a single trade. 

Popular Japan ETFs 

ETF  Ticker 
NEXT FUNDS Nikkei 225 Exchange Traded Fund  1321 
Nikko ETF Nikkei 225  1320 
Nikko Listed Index Fund TOPIX  1308 

Benefits of Japan ETFs include: 

  • Diversified exposure across sectors 
  • Reduced company-specific risk 
  • Convenient long-term market exposure 
  • Lower portfolio maintenance requirements 
  1. Nikkei 225 Futures: Tactical Market Exposure

More active traders may prefer Nikkei 225 Futures, one of Asia’s most actively traded index derivatives. 

Rather than selecting individual stocks, futures allow traders to take a view on the overall direction of Japan’s equity market. 

Common uses include: 

  • Tactical trading 
  • Event-driven positioning 
  • Portfolio hedging 
  • Leveraged market exposure 

Futures also allow traders to participate in both rising and falling markets. 

However, they involve margin requirements, contract rollovers and higher levels of complexity, making them more suitable for experienced traders. 

  1. Leveraged& Inverse Nikkei ETPs: Trading Market Momentum 

For traders seeking short-term directional exposure, leveraged and inverse exchange-traded products (ETPs) offer another way to express a market view. 

These products are designed to magnify or inversely replicate the daily performance of the Nikkei 225 Index. 

Potential Uses 

Bullish Market View 

  • Seek amplified exposure during strong rallies 
  • Capture short-term momentum opportunities 

Bearish Market View 

  • Hedge existing Japanese equity exposure 
  • Potentially benefit from market pullbacks 

Understanding Daily Reset & Compounding 

Leveraged and inverse ETFs are designed to achieve their objectives on a daily basis. 

Over longer holding periods, returns may differ significantly from simply multiplying the benchmark’s return due to compounding effects. 

As a result, these products are generally considered tactical trading instruments rather than long-term buy-and-hold investments. 

Popular Japan L&I ETFs 

ETF  Ticker 
NEXT FUNDS Nikkei 225 Leveraged Index ETF  1570 
NEXT FUNDS Nikkei 225 Double Inverse ETF  1357 

 

Choosing the Right Instrument 

Objective  Instrument 
Long-term diversified exposure  Nikkei 225/TOPIX ETFs 
High-conviction company ideas  Individual Japanese Stocks 
Tactical leveraged exposure  Nikkei 225 Futures 
Short-term bullish positioning  Leveraged Nikkei ETPs 
Short-term hedging or bearish positioning  Inverse Nikkei ETPs 

Trade Japanese Stocks & ETFs with Live Prices NOVA 

As investor interest in Japan continues to grow, access to real-time market information has become increasingly important. 

On NOVA, Clients can access: 

  • Live prices for Japanese stocks 
  • Live prices for Japan-listed ETFs 
  • Nikkei 225-linked ETFs and index products 
  • Thousands of Japanese securities through a single account 
  • Opportunities across stocks, ETFs, futures and other exchange-listed products 

Whether you’re monitoring Toyota, Sony, Nintendo, Tokyo Electron, Advantest or the Nikkei 225 itself, live pricing helps investors and traders react quickly to market developments and identify opportunities as they emerge. 

Closing Insight: Japan Offers Opportunities Across Multiple Strategies 

Japan’s equity market continues to attract global attention as AI-related investment, improving profitability, shareholder-friendly reforms and supportive economic conditions drive renewed investor interest. 

Some investors may focus on long-term exposure through quality Japanese companies and diversified ETFs. Others may seek tactical opportunities through futures or leveraged and inverse products. 

With access to Japanese stocks, ETFs, Nikkei-linked products and live prices through Phillip Nova, investors have a broader toolkit to express different market views and trading strategies. 

Whether your view is bullish, bearish or somewhere in between, Japan’s market offers opportunities for both investors and traders alike. 

Ready to explore Japan’s market opportunities? 

Open a Phillip Nova account today and gain access to Japanese stocks, ETFs and global markets from a single trading platform.

 

An Exchange Traded Fund (ETF) is a marketable security that is formed to track nearly anything, ranging from a specific index, sector, commodity, or increasingly, theme. They are most commonly used to track a basket of stocks, and can typically be accessed through the same channels as regular stocks. ETFs are typically separated into passively-managed ETFs that simply mirror the security they are tracking (e.g. the STI), and actively managed ones that attempt to deliver higher returns or specific investment objectives, often with a pre-specified theme in mind (e.g. ARK Invest’s Innovation ETF).

Why should I trade in ETF CFDs?

  • ETFs have been growing in popularity over the years. 2020 was the best year for ETFs yet, with global equity ETFs seeing more than $1T in inflows within a 12-month period. Using CFDs to gain exposure to ETFs allows for greater capital efficiency because only a portion of the contract value is required as margin to establish a position.
  • ETFs are particularly popular with investors seeking a relatively hassle-free investing experience, while desiring exposure to a range of specific and relatively understandable securities. Trading ETF CFDs brings greater convenience by eliminating the need for traders to hold multiple currencies in order to access global ETFs.
  • An investor wanting exposure to the post-pandemic economic recovery could open a position in the well-known SPDR S&P 500 ETF (SPY), which tracks the performance of the S&P 500. Another investor that may be convinced of the future importance of Environmental, Social and Governance concerns (ESG) may find the increasing selection of ESG-themed ETFs that track a basket of high ESG-rating companies to be a good investment, rather than cherry-picking individual equities by hand. ETF CFDs can act as a powerful tool for traders can profit from both directions of the market by taking on long or short positions.

A look at two ETF CFDs we offer:

1) Has the ARKK been sunk?

ARK Innovation ETF (ARKK) ARKK is an actively managed ETF by ARK Invest that invests in a range of companies based on their innovative and industry-disrupting potential. ARKK’s largest holdings are in companies such as Tesla, Square, and Zoom. ARKK is down around -33% from peaking on 12th Feb and is currently in the red for the year to date as the market experiences a risk-off outflow of funds. Superstar fund manager Cathie Wood has however been consistently doubling down on her bets, buying even more shares in growth stocks that are going through their own tumultuous periods such as DraftKings, Peloton, Teladoc, and Tesla. In her view, ARKK is playing the long game, and remains steadfastly convinced in the long-term prospects of these growth stocks beyond this current bout of volatility. Similarly on outflows, investors are still betting big on ARKK as ARK Invest has only lost about $1.2B in assets this year across all its six funds, compared to seeing an inflow of $15.1B during the same period. Recently, investors have been nervously eyeing ARKK’s basket of tech stocks as their future earnings potential remain vulnerable to erosion through high inflation – the dominant concern of the market in recent weeks. As commodities – the major contributor to the recent heightened inflation fears – drops sharply from record highs, are investor concerns over hyperinflation overblown?

2) Searching for exposure to Asian equities?

iShares MSCI Asia ex Japan ETF (AAXJ) The AAXJ is currently trading -10.6% adrift of all-time highs seen in February, giving up gains in tandem with an Asia-wide equity sell-off at the time. Given that slightly over 40% of the ETF’s holdings are based in China, the ongoing tumult seen in Chinese equities currently have carried over nearly perfectly in the AAXJ, as Chinese investors take a breather after the stellar gains made over the past year. Looking ahead, Asia – and particularly China, is steaming ahead with its economic recovery. China is widely expected to be one of the best-performing major economies this year, providing a major boost to the outlook for corporate earnings. As the rest of Asia and the world gradually opens up their own economies, AAXJ is likely to again benefit from strong Asian outperformance amidst a strengthening trade outlook.

CFD is available for trading on Phillip MetaTrader 5 (MT5).

Features of trading CFD:

  • Trade in both the bull and the bear markets
    The ability to enter a long and/or short position allow traders to take advantage of both rising and falling markets.
  • Smaller barrier to entry
    Flexible and smaller contract sizes. This means that traders will be able to enter into a contract with a modest amount of capital.
  • No expiration date or risk of delivery
    Unlike futures which commonly have a fixed expiration date, CFD allows traders to perpetually hold the position(s). CFD is cash settled, no need to worry about the delivery of the underlying asset.

 

Benefits of using Phillip MT5:

Trade at zero commission on a dynamic platform that offers low spreads. Integrated with Autochartist and Trading Central Indicators, and available on mobile, web and desktop app, you will never miss a trading opportunity with Phillip MT5.

Register for a FREE 30-day Phillip MetaTrader 5 Demo Account

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