Mandatory English Financial Disclosures Coming to the Tokyo Stock Exchange
Starting with English disclosures of quarterly financial information
A Nikkei article on March 15, 2019 caught our attention.
“Tokyo Stock Exchange to reduce first section listings by 30% – Market cap requirement to be raised and English disclosures mandated”
There is an ongoing deliberation at the Tokyo Stock Exchange to reduce the number of companies listed on the first section and to restructure its other existing markets (second section, Jasdaq, Mothers).
According to the article, the new first section will require companies to maintain a market cap of 25 billion yen (currently 2 billion yen) and also mandate quarterly financial disclosures in English.
Only 35% of companies listed on the first section are currently providing disclosures in English.
It is still unclear when the new rules will come into affect and what the scope of the English disclosures will be; whether it is just for the Kessan Tanshin, or if it includes the Annual Report, Quarterly Report, Extraordinary Report, etc.
One thing is clear, the need for financial information in English will only get larger as more and more foreign investors start demanding communication and disclosures in English.
We will prepare your English financial disclosures
We provide English financial disclosure preparation services for clients that actively engage with their foreign investors.
Translating financial information can be a difficult task, even for seasoned translators as it involves understanding the detailed nuances of accounting and financial concepts.
We have bilingual CPAs, USCPAs, Financial Analysts, and professional translators working at our Firm.
We also have years of experience translating financial information of foreign companies to be submitted to the Tokyo Stock Exchange and also translating Annual Reports of companies listed on the first section of the Tokyo Stock Exchange.
Reach out to us if there is anything that we can do regarding your English Disclosure needs.