Definition of Tokyo Stock Exchange, Inc. (TSE)

largest of six stock exchanges in Japan and one of the largest and most active global stock markets. TSE is a continuous, all-electronic market. Its trading floor was closed in April 1999, and renovated into TSE Arrows, a state-ofthe-art market center. Trading takes place Monday through Friday in two daily sessions: 9 A.M. to 11 A.M. and 12:30 P.M. to 3 P.M. In 1998, the exchange introduced an off-hours trading system called ToSTNet to supplement its traditional trading hours. TSE listed shares settle on the third business day following the trade. TSE's principal index is the Tokyo Stock Price Index (TOPIX), a composite stock price index of all stocks listed on the TSE first section. TOPIX is supplemented by sizebased indices that classify first section companies as small, medium, and large and by subindices for each of 33 industry groups. TSE's derivatives market is home to both bond and equity-based products. Japanese Government Bond (JGB) futures trading is the cornerstone of TSE's fixed-income derivatives market. The JGB futures contract is one of the most active long-term interest rate futures contracts in the world. The TOPIX futures contract, which is actively traded by institutional investors, is the leading stock index futures product in Japan, with the largest open interest among Japanese stock index futures products. TOPIX futures trading volume and open interest have grown dramatically since the mid-1990s. TSE demutualized in November 2001.www.tse.or.jp/english.