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To: nihil who wrote (63579)	8/29/1998 6:38:00 PM
From: StockMan	Read Replies (1) \| Respond to of 186894

Nihil, Re -- Japanese savers will be bombarded by Japanese and (now) American stockbrokers and mutual fund salesmen. There $10 trillion on deposit in Japan earning less than .5% interest -- (about $80,000 per Japanase). This money is up for grabs.. Why would the Japanese who are risk averse be persuaded to buy risky U.S stocks now. Stockman

To: nihil who wrote (63579)	8/30/1998 1:07:00 AM
From: Aaron Cooperband	Read Replies (1) \| Respond to of 186894

Nihil - Re: "Really cautious people cover by selling dollars forward for yen at the maturity of the T bills (or buy yen forward for dollars -- same thing). This coverage reduces the return but eliminates exchange rate risk." While I agree with almost all of your posting, Japanese people don't use this strategy when purchasing T-bills. It is used frequently, however, for other higher yielding investments. After selling dollars forward (at the forward rate, of course) the T-bills will yield a Yen rate of return less than the purchaser's liabilities. Aaron