JPX Market Innovation & Research (JPXI), a subsidiary of Japan Exchange Group, officially finalized the constituents and calculation methodology for this new index on February 13, 2026. Designed to spotlight Japan’s high-momentum, high-growth companies.

Selection Criteria

To qualify, companies must meet rigorous growth and valuation benchmarks:

Revenue Growth: Minimum of 20% YoY.

Market Cap Momentum: Valuation must have doubled compared to 1 year or 6 months ago.

Final Selection: The top 100 qualifying companies by free-float adjusted market capitalization.

Universe: Primarily TSE Growth Market stocks, including those that transferred to other segments (like the Prime Market) within the last 5 years.

Sector Composition

Looking at its constituent stocks, the composition is skewed toward 47 information & communications names, 23 services, 9 real estate, 7 pharmaceuticals, and 3 retail. The only company selected from the construction sector is Toyokoh.

Key Takeaways & Market Impact

Liquidity Gap: While the Prime Market has enjoyed record-breaking liquidity recently—with daily trading value surpassing ¥10 trillion—the Growth Market has remained relatively overlooked.

Investor Catalyst: The long-term success of this index depends on the performance of its Growth Market constituents. The hope is that this benchmark draws much-needed institutional attention toward small-cap opportunities.

ETF Listing (3/11/26): A dedicated ETF is scheduled to list on March 11, 2026.

Note on Toyokoh (341A): As the sole representative from the construction sector, Toyokoh stands out. I previously wrote a detailed analysis of this company in May 2025.

This is a short summary of the two thematic reports I sent out to my clients. If you’re interested in deeper thematic work along these lines, I’d be glad to extend complimentary access to my service. Once you experience the value, convenience, and quality of the research, you’ll see why many readers—including institutional investors—choose to stay on. I also offer several pricing tiers depending on the level of access you prefer.

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