This week Investment Europe is focus on how different equities managers approach Japan's markets. Today we speak with the Japanese equities team at Invesco.

Chief portfolio manager at Invesco Japan, Kunihiko Sugio says Japan is making "rapid progress" since the earthquake and tsunami that "temporarily crippled its economy.

"Economic momentum is picking up, inflation expectations are rising amid the Bank of Japan's announcement of more quantitative easing, and companies are reforming.

"While the strong yen and the European crisis continue to pose challenges, Invesco's investment professionals are quite positive about the long-term prospects for Japanese equities," Sugio says.

"Japanese companies are becoming well-positioned to achieve a higher return on equity even with only a small increase in revenues," he says.

On the macro front, Invesco believes the Japanese economy could grow by 2% or more this year - more than than many other developed nations.