Japan, Energy, and the Quiet Rotation

DWS’s latest CIO View highlights an explicit overweight to Japan equities, reinforcing a broader institutional shift toward markets outside the crowded U.S. trade. 

• DWS rates Japan equities +1, making it one of their preferred developed-market exposures.
• The allocation reflects improving valuations, stronger earnings momentum, and greater diversification benefits versus concentrated U.S. exposure.
• Japan increasingly appears alongside Europe and emerging markets as investors reassess regional opportunities in a more fragmented market cycle.

If global leadership is broadening, Japan may be one of the clearest beneficiaries of that rotation.