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How a Novice Quant Developed an Index for Changing Japan

Two years after being plucked from the ranks of exchange product developers to design the JPX-Nikkei Index 400, Daisuke Tanaka finds himself at the center of a corporate revolution.

Bespectacled and lean at 40, the lifelong employee of Japan Exchange Group Inc. is executing a plan backed by the government to shame corporate executives into boosting profits rather than hoarding cash. Tanaka’s index, which aims to stoke the economy, is changing company behavior and winning fans such as Goldman Sachs Group Inc. even as detractors deride its makeup and say it will cause investors to buy when valuations peak.