Eligible product restrictions, monthly and bonus-month investing, suitable investors, the ¥1.2m limit, and verifying fund eligibility.
The recurring-investment allowance (つみたて投資枠) allows up to ¥1.2m per year into FSA-screened long-term diversified funds and qualifying ETFs — ideal for automated monthly accumulation; verify eligibility by exact fund name at the FSA list and your broker.
The recurring-investment allowance deliberately restricts choice to encourage low-cost, long-term, diversified investing. Only the investment trusts and qualifying ETFs the FSA has screened onto its published list are eligible — broadly, funds with reasonable costs, wide diversification, and long-term structures. Individual stocks, REITs, and most non-listed products are not eligible here; those belong in the growth allowance.
Because the list is curated for suitability, a beginner can reasonably pick a single broad global-equity index fund from it. But the list changes, so verify the current version by exact fund name and share class.
The ¥1.2m annual limit works out to ¥100,000 per month if you spread it evenly, which suits automated monthly accumulation — set a recurring purchase and let it run. Many brokers also offer bonus-month settings, letting you invest more in certain months (for example when a bonus arrives) while staying within the ¥1.2m annual cap.
This allowance is ideal for the standard beginner plan: one low-cost diversified fund, bought automatically each month. It removes the monthly decision and builds the habit that makes long-term investing work.
This allowance suits almost everyone accumulating for the long term, and especially beginners and small monthly investors, because its screened, low-cost, diversified universe makes a bad first choice hard. If you want individual stocks or a wider fund range, use the growth allowance alongside it — the two can be used together up to ¥3.6m a year.
Before buying, verify eligibility by exact fund name and share class against the FSA’s current list, and confirm your broker offers it for recurring purchase. US taxpayers should add a separate PFIC step: Japanese eligibility says nothing about US tax treatment.
Brokerage (NISA/iDeCo) · Rakuten Securities
A leading low-cost brokerage for NISA and index-fund investing, integrated with Rakuten points and Rakuten Bank.
Fees: Many domestic funds and trades are low- or no-commission — verify current fee schedule.
Brokerage (NISA/iDeCo) · SBI Securities
Japan’s largest online brokerage by accounts, with a very broad low-cost fund lineup and full NISA/iDeCo support.
Fees: Many trades and funds are low- or no-commission — verify current fee schedule.
Brokerage (NISA/iDeCo) · Monex
An established online brokerage often chosen for US-stock access and research tools, with NISA and iDeCo support.
Fees: Commissions vary by product; some funds/trades are low-cost — verify current schedule.
This is education, not a recommendation. Most beginners research low-cost, broadly diversified index funds — for example all-country (全世界株式) or S&P 500 trackers — rather than picking individual stocks, because low fees and diversification are within your control while returns are not. Understand that values fall as well as rise, match the risk to your time horizon, and never invest money you may need soon.
Generally yes, if you are a tax resident of Japan (with a My Number) and at least 18. NISA is tied to residency, not citizenship, so most foreign residents qualify — with two big cautions: US citizens and green-card holders face US tax complications with Japanese funds, and NISA generally cannot continue after you leave Japan. Confirm eligibility and the current rules on the FSA site and with your chosen brokerage.