Japan to remove limit on overseas investment by startup funds

Japan to remove limit on overseas investment by startup funds

TOKYO — Japan intends to scrap a key restriction on overseas investments by home enterprise funds devoted to backing startups, a transfer supposed to appeal to extra international traders into the sector.

Domestic startup funds at the moment should limit investment in international firms to lower than 50% of their portfolio holdings. Ending this restriction would permit extra flexibility in selecting investment targets, encouraging overseas cash to movement into such Japanese funds.