TOKYO, Sept 18 (Reuters) - Japan’s public pension funds, including the $1.2 trillion Government Pension Investment Fund, sold a net 1.1 trillion yen ($10.14 billion) in long-term Japanese government debt in April-June, central bank data showed on Thursday.
Public pension funds also bought a net 393 billion yen in stocks, flow of funds data from the Bank of Japan showed.
Under pressure from the government of Prime Minister Shinzo Abe to shift money into higher-risk assets and out of low-yielding Japanese government bonds, GPIF plans to boost the weighting of domestic stocks to more than 20 percent from a current 12 percent target, people with knowledge of the allocation review told Reuters last month.
Global financial markets are keenly watching GPIF’s strategy review because the fund - bigger than Mexico’s economy - is a huge investor and a bellwether for other Japanese institutional investors. (1 US dollar = 108.4800 Japanese yen) (Reporting by Sumio Ito; Editing by Edmund Klamann)