01771cas a2200253 a 4500 AALejournalIMF015433 230101c9999 xx r poo 0 0eng d 5.00 USD 9781513557595 1018-5941 BD-DhAAL BD-DhAAL Arslanalp, Serkan. Portfolio Rebalancing in Japan : Constraints and Implications for Quantitative Easing / Serkan Arslanalp, Dennis Botman. Washington, D.C. : International Monetary Fund, 2015. 1 online resource (22 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Portfolio rebalancing is a key transmission channel of quantitative easing in Japan. We construct a realistic rebalancing scenario, which suggests that the BoJ may need to taper its JGB purchases in 2017 or 2018, given collateral needs of banks, asset-liability management constraints of insurers, and announced asset allocation targets of major pension funds. Nonetheless, the BoJ could deliver continued monetary stimulus by extending the maturity of its JGB purchases or by scaling up private asset purchases. We quantify the impact of rebalancing on capital outflows and discuss JGB market signals that can be indicative of limits being within reach. Mode of access: Internet Botman, Dennis. IMF Working Papers; Working Paper ; No. 2015/186 Full text available on IMF http://elibrary.imf.org/view/journals/001/2015/186/001.2015.issue-186-en.xml IMF e-Library