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Pastimes : Ask Mohan about the Market

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To: Rational who wrote (8161)11/16/1997 7:02:00 PM
From: Zeev Hed  Read Replies (1) of 18056
 
Sankar, something in your equation does not jive, unless those government pensions are now in US treasuries, they cannot be converted to japanese banks preferred that easily. I am not sure where the Pension funds are, but if they are managed like any other pension funds, they are diversified, a lot in Japanese government paper (bearing lousy interest rates, but they have no choice ) and a given percentage in Japanese equities and probably some in US treasuries, certainly not the whole 800 billion horde the BOJ is purported to have (actually, if memory serves this figure is the total asian holding of treasuries and only about 75% of that is at the BOJ, but that is a small detail).

Zeev
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