Article: Nasdaq has attracted a record number of Japanese startups
Source: https://ru.investing.com/news/stock-market-news/article-2295766
Context:
Investing.com Dozens of Japanese startups want to list on the Nasdaq stock exchange in the next few years, since a huge number of entrepreneurs are no longer interested in the domestic Japanese, already aging and risk-averse market, writes Bloomberg.
What is meant - in simple words.
Japanese "newly launched" business projects (startups) began to look for money for their financing by placing your securities for trading on the world's largest stock exchange Nasdaq.
As everyone knows, Japan is one of the most developed economies in the world. In terms of GDP, it ranks third in the world after the United States and China and has great potential for high-tech development.
It would seem that domestic investors themselves should be interested in financing their innovative projects. Moreover, the cost of capital in the domestic market today corresponds to a level of 0.1%, at which lending to the real sector is carried out at 1.45%. And talking about an aging and risk-averse market, it's like that …, especially for Japan. And the Americans, if they wanted, could easily come to them for these purposes.
As a result, such a situation develops.
The Japanese have projects, but there are questions about investing in them (although you can tell at the rate). Many startups have started looking for money on the Nasdaq American stock exchange in order to attract large US investors, who today, nevertheless, based on the current situation with the US dollar, gives more preference to government securities - with a higher rate than the projected profitability of any business in the near future.
Even the whole point embedded in venture capital of these projects that can't find daredevils with a big wallet - through direct financing.