Why private equity giant KKR finds Japan more attractive than China

Japan lost its position as the world’s second-biggest economy to China awhile ago. But it’s beating out its Asian rival in one area at least: private equity. For restructuring experts such as KKR & Co. LP, whose founders recently declared Japan the company’s “highest priority” outside the U.S., the smaller country offers much more attractive opportunities. And the reasons are as much political as financial.