In Japan, the Topix rose 0.38% over the month of October (in yen). Meanwhile, the yen lost 4.23% against the euro. The portfolio outperformed the Topix by 196 bp over the period.

The Japanese market posted a neutral performance overall, but there were major disparities between sectors: gains of more than 5% (machinery, electronics, mining) alongside declines exceeding 9% (utilities, metals, precision instruments). The Olympus scandal, stemming from the likelihood of questionable governance of the group, sparked a maelstrom of comments. Floods in Thailand had repercussions on a large number of stocks, as many production sites operated by electronics and automotive companies were impacted by the natural disaster.

The last day of the month saw a major intervention by the Bank of Japan on the forex markets, bringing down the value of the yen against the dollar and the euro.