The Tokyo Stock Exchange (東京証券取引所, Tōkyō Shōken Torihikijyo?), called Tōshō (東証?) or TSE for short, is located in Tokyo Tokyo , officially Tokyo Metropolis (東京都, Tōkyō-to?), is one of the 47 prefectures of Japan. It is located on the eastern side of the main island Honshū and includes the Izu Islands and Ogasawara Islands. Tokyo Metropolis was formed in 1943 from the merger of the former Tokyo Prefecture (Tokyo-fu) and the city of Tokyo. Tokyo is the, Japan Japan is an island state in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south. The characters that make up Japan's name mean "sun-origin", which is why Japan is and is the second largest stock exchange A stock exchange is an entity which provides "trading" facilities for stock brokers and traders, to trade stocks and other securities. Stock exchanges also provide facilities for the issue and redemption of securities as well as other financial instruments and capital events including the payment of income and dividends. The securities in the world by aggregate market capitalization Market capitalization/capitalisation is a measurement of size of a business enterprise (corporation) equal to the share price times the number of shares outstanding of a public company. As owning stock represents ownership of the company, including all its equity, capitalization could represent the public opinion of a company's net worth and is a of its listed companies, second only to the New York Stock Exchange The New York Stock Exchange is a stock exchange located at 11 Wall Street in lower Manhattan, New York City, USA. It is the world's largest stock exchange by market capitalization of its listed companies at US$12.25 trillion as of May 2010. Average daily trading value was approximately US$153 billion in 2008. The Tokyo Stock Exchange had 2,414 listed companies with a combined market capitalization of US$3.1 trillion as of May 2010.[1]

Contents

Structure

The TSE is incorporated as a kabushiki kaisha Kabushiki gaisha or kabushiki kaisha is a type of business corporation (会社, kaisha?) defined under Japanese law with nine directors, four auditors and eight executive officers. Its headquarters are located at 2-1 Nihombashi Kabutocho, Chūō, Tokyo. "Kabutocho" is the largest financial district A Financial District is the central area in some large cities where banks, insurance companies and other large corporations have head offices. Financial districts are often home to skyscrapers. Some well-known financial districts include: in Japan Japan is an island state in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south. The characters that make up Japan's name mean "sun-origin", which is why Japan is. Its operating hours are from 9:00 to 11:00 am, and from 12:30 to 3:00 pm. From April 24, 2006, the afternoon trading session started at its usual time of 12:30 p.m.

Stocks listed on the TSE are separated into the First Section for large companies, the Second Section for mid-sized companies, and the Mothers (Market of the high-growth and emerging stocks) (ja:マザーズ?)[2] section for high-growth startup companies. As of April 2, 2010, there are 1,685 First Section companies, 446 Second Section companies and 186 Mothers companies.[3]

The main indices tracking the TSE are the Nikkei 225 Nikkei 225 is a stock market index for the Tokyo Stock Exchange (TSE). It has been calculated daily by the Nihon Keizai Shimbun (Nikkei) newspaper since 1950. It is a price-weighted average (the unit is yen), and the components are reviewed once a year. Currently, the Nikkei is the most widely quoted average of Japanese equities, similar to the index of companies selected by the Nihon Keizai Shimbun (Japan's largest business newspaper), the TOPIX Tokyo stock Price IndeX, commonly known as TOPIX, along with Nikkei 225, is an important stock market index for the Tokyo Stock Exchange in Japan, tracking all domestic companies of the exchange's First Section. As of 10 November 2008, there were 1713 companies listed on the first section of the TSE. The market value for the index on the same date, index based on the share prices of First Section companies, and the J30 index of large industrial companies maintained by Japan's major broadsheet newspapers.

89 domestic and 19 foreign securities companies participate in TSE trading. See: Members of the Tokyo Stock Exchange

Other TSE-related institutions include:

On 15 June 2007, the TSE paid $303 million to acquire a 4.99% stake in Singapore Exchange Ltd.[4]

History

Prewar history

The Tokyo Stock Exchange was established on May 15, 1878, as the Tokyo Kabushiki Torihikijo (東京株式取引所) under the direction of then-Finance Minister Okuma Shigenobu and capitalist advocate Shibusawa Eiichi. Trading began on June 1, 1878.

In 1943, the exchange was combined with ten other stock exchanges in major Japanese cities to form a single Japanese Stock Exchange (ja:日本証券取引所, Nippon Shōken Torihikisho?). The combined exchange was shut down and reorganized shortly after the bombing of Nagasaki Nagasaki ( listen (help·info)) is the capital and the largest city of Nagasaki Prefecture on the island of Kyūshū in Japan. Nagasaki was founded by the Portuguese in the 16th century. It was formerly part of Nishisonogi District. It was a center of Portuguese and European influence in the 16th through 19th centuries. Nagasaki was home to a.

Postwar history

The Tokyo Stock Exchange reopened under its current Japanese name on May 16, 1949, pursuant to the new Securities Exchange Act.

The TSE runup from 1983 to 1990 was unprecedented, in 1990 it accounted for over 60% of the world's stock market capitalization (by far the world's largest) before falling precipitously in value and rankings today, but still remains one of the 3 largest exchanges in the world by market capitalization of listed shares.

The trading floor of the TSE was closed on April 30, 1999, and the exchange switched to electronic trading for all transactions. A new facility, called TSE Arrows (ja:東証アローズ, Tōshō Arrows?), opened on May 9, 2000.

In 2001, the TSE restructured itself as a stock company Kabushiki gaisha or kabushiki kaisha is a type of business corporation (会社, kaisha?) defined under Japanese law: before this time, it was structured as an incorporated association (ja:社団法人, shadan hōjin?) with its members as shareholders.

I.T. issues

The exchange was only able to operate for 90 minutes on November 1, 2005, due to bugs with a newly installed transactions system, developed by Fujitsu Fujitsu Limited is a Japanese multinational computer hardware and IT services company headquartered in the Shiodome City Center complex in Minato, Tokyo. Fujitsu's central focus is on providing IT-driven business solutions, but the company and its subsidiaries also offer a diversity of products and services in the areas of personal computing,, which was supposed to help cope with higher trading volumes. The interruption in trading was the worst in the history of the exchange.[5] Trading was suspended for four-and-a-half hours.

During the initial public offering An initial public offering referred to simply as an "offering" or "flotation," is when a company (called the issuer) issues common stock or shares to the public for the first time. They are often issued by smaller, younger companies seeking capital to expand, but can also be done by large privately-owned companies looking to of advertising giant Dentsu Dentsu Incorporated (TYO: 4324) is one of the largest advertising agency brands in the world. Its headquarters are located in the Dentsu Building in the Shiodome district of Minato, Tokyo, in December 2001, a trader at UBS Warburg UBS AG is a diversified global financial services company, with its main headquarters in Basel and Zürich, Switzerland. It is the world's second largest manager of private wealth assets, and is also the second-largest bank in Europe, by both market capitalisation and profitability. UBS has a major presence in the United States, with its American, the Swiss investment bank, sent an order of 610,000 shares in this company at six yen each, while he intended to sell 16 shares at 610,000 yen each. The bank lost £71 million.[6]

During yet another initial public offering, that of J-Com, on December 8, 2005, an employee at Mizuho Securities Co., Ltd. mistakenly typed an order to sell 610,000 shares at 1 yen The Japanese yen (sign: ¥; code: JPY) is the official currency of Japan. It is the third most-traded currency in the foreign exchange market after United States dollar and the euro. It is also widely used as a reserve currency after the U.S. dollar, the euro and the pound sterling. As is common when counting in East Asia, large quantities of yen, instead of an order to sell 1 share at 610,000 yen The Japanese yen (sign: ¥; code: JPY) is the official currency of Japan. It is the third most-traded currency in the foreign exchange market after United States dollar and the euro. It is also widely used as a reserve currency after the U.S. dollar, the euro and the pound sterling. As is common when counting in East Asia, large quantities of yen. Mizuho failed to catch the error; the Tokyo Stock Exchange initially blocked attempts to cancel the order, resulting in a net loss of 347 million US dollars The United States dollar is the official currency of the United States. The U.S. dollar is normally abbreviated as the dollar sign, $, or as USD or US$ to distinguish it from other dollar-denominated currencies and from others that use the $ symbol. It is divided into 100 cents to be shared between the exchange and Mizuho. Both companies are now trying to deal with their troubles: lack of error checking, lack of safeguards, lack of reliability, lack of transparency, lack of testing, loss of confidence, and loss of profits. On 11 December, the TSE acknowledged that its system was at fault in the Mizuho trade. On 21 December, Takuo Tsurushima, chief executive of the TSE, and two other senior executives resigned over the Mizuho affair.[5][7][8][9][10][11][12][13]

Wikinews has related news: Heavy selling leads to shortened session at Tokyo stock exchange

On January 17, 2006, the Nikkei 225 fell 2.8%, its fastest drop in nine months, as investors sold stocks across the board in the wake of a raid by prosecutors on internet company livedoor Livedoor is an Internet service provider based in Tokyo, Japan, that runs a web portal and numerous other businesses. The company was founded and led in its first 10 years by Takafumi Horie, known as "Horiemon" in Japan. Employing over 1,000 people, it had grown into one of Japan's premier Internet businesses as well as one of the. The Tokyo Stock Exchange closed early on January 18 due to the trade volume threatening to exceed the exchange's computer system's capacity of 4.5 million trades per day. This was called the "livedoor shock." The exchange quickly increased its order capacity to five million trades a day.[14]

Hours

The exchange's normal trading sessions are from 09:00am to 11:00am and from 12:30pm to 3:00pm on all days of the week except Saturdays, Sundays and holidays declared by the Exchange in advance.[15]

Alliances

The London Stock Exchange The London Stock Exchange is a stock exchange located in London, United Kingdom. Founded in 1801, it is one of the largest stock exchanges in the world, with many overseas listings as well as British companies. The exchange is part of the London Stock Exchange Group and so sometimes referred to by the ticker symbol for the group, LSE (LSE) and the TSE are developing jointly traded products and share technology, marking the latest cross-border deal among bourses as international competition heats up. The TSE is also looking for some partners in Asia, and more specifically is seeking an alliance with the Singapore Exchange SGX was inaugurated on 1 December 1999, following the merger of two established and well-respected financial institutions - the Stock Exchange of Singapore and the Singapore International Monetary Exchange (SIMEX) (SGX), which is considered as becoming a leading financial hub in the Asia-Pacific region. Recently, some rumors close to the deal suggest that the TSE is preparing for a takeover of the SGX, or at least take a major stake, in the first semester of 2008. The TSE has already acquired a 5% stake in the SGX as of June 2007, deemed to be only the beginning of greater participation.

London Stock Exchange Group plc|Tokio Stock Exchange joint venture

In July 2008 the London Stock Exchange The London Stock Exchange is a stock exchange located in London, United Kingdom. Founded in 1801, it is one of the largest stock exchanges in the world, with many overseas listings as well as British companies. The exchange is part of the London Stock Exchange Group and so sometimes referred to by the ticker symbol for the group, LSE (LSE) and the TSE announced a new joint venture Tokyo-based market, which will be based on the LSE's Alternative Investment Market The Alternative Investment Market is a sub-market of the London Stock Exchange, allowing smaller companies to float shares with a more flexible regulatory system than is applicable to the main market (AIM).[16]

See also

Tokyo portal

References

  1. ^ a b "Japan's Tokyo Stock Exchange is the second largest stock market with a market value of $ 3.1 trillion.". Economic Times. http://economictimes.indiatimes.com/markets/global-markets/China-becomes-worlds-third-largest-stock-market/articleshow/6068129.cms. Retrieved 19 Jun 2010.
  2. ^ Tokyo Stock Exchange. "Mothers". http://www.tse.or.jp/english/listing/mothers/index.html. Retrieved April 8, 2010. (English)
  3. ^ Tokyo Stock Exchange. "Breakdown of TSE listed stocks". http://www.tse.or.jp/english/listing/breakdown/index_e.html. Retrieved April 8, 2010. (English)
  4. ^ Yasu, Mariko (2007-06-15). "Tokyo Stock Exchange Buys 4.99% of Singapore Exchange (Update2)". Bloomberg. http://www.bloomberg.com/apps/news?pid=20601080&sid=aZ2hmIz6eyrw&refer=asia. Retrieved 2010-07-10.
  5. ^ a b Fujitsu execs take pay cut after Tokyo exchange crash, 25th November 2005
  6. ^ [1]
  7. ^ Tokyo Exchange Struggles With Snarls in Electronics NY Times,December 13, 2005
  8. ^ "What's Going on at the Tokyo Stock Exchange - Seeking Alpha". Japan.seekingalpha.com. http://japan.seekingalpha.com/article/5077. Retrieved 2010-07-10.
  9. ^ Tokyo Stock Exchange admits error in Mizuho trade botch-up, 12 December, 2005
  10. ^ Mizuho Says Trader Error to Cost It at Least $224 Mln (Update5), Bloomberg, December 9, 2005
  11. ^ "archives". Taipei Times. 2005-12-10. http://www.taipeitimes.com/News/worldbiz/archives/2005/12/10/2003283851. Retrieved 2010-07-31.
  12. ^ "Tokyo Stock Exchange plans cash settlement in Mizuho fiasco - report". Forbes.com. http://www.forbes.com/finance/feeds/afx/2005/12/11/afx2383299.html. Retrieved 2010-07-10.
  13. ^ "Botched stock trade costs Japan firm $225M - Business - World business - msnbc.com". MSNBC. 2005-12-14. http://www.msnbc.msn.com/id/10394551/. Retrieved 2010-07-10.
  14. ^ After Panic, Tokyo Market Rebounds, NY Times, January 19, 2006
  15. ^ Market Hours, Tokyo Securities Exchange via Wikinvest
  16. ^ "London bourse outlines framework for Tokyo JV | Reuters". Uk.reuters.com. http://uk.reuters.com/article/mergersNews/idUKL920962620080729?pageNumber=1&virtualBrandChannel=0. Retrieved 2010-07-10.

Further reading

Wikimedia Commons has media related to: Tokyo stock exchange
Stock market A stock market or equity market is a public market for the trading of company stock and derivatives at an agreed price; these are securities listed on a stock exchange as well as those only traded privately
Types of stocks Stock The stock or capital stock of a business entity represents the original capital paid into or invested in the business by its founders. It serves as a security for the creditors of a business since it cannot be withdrawn to the detriment of the creditors. Stock is distinct from the property and the assets of a business which may fluctuate in · Common stock Common stock is a form of corporate equity ownership, a type of security. It is called "common" to distinguish it from preferred stock. In the event of bankruptcy, common stock investors receive their funds after preferred stock holders, bondholders, creditors, etc. On the other hand, common shares on average perform better than · Preferred stock Preferred stock, also called preferred shares, preference shares, or simply preferreds, is a special equity security that has properties of both an equity and a debt instrument and is generally considered a hybrid instrument. Preferreds are senior to common stock, but are subordinate to bonds · Outstanding stock Shares outstanding are common shares that have been authorized, issued, and purchased by investors. They have voting rights and represent ownership in the corporation by the person or institution that holds the shares. They should be distinguished from treasury shares, which is common stock held by the corporation · Treasury stock A treasury stock or reacquired stock is stock which is bought back by the issuing company, reducing the amount of outstanding stock on the open market · Authorised stock Shares authorized is the maximum number of shares that a company can issue. This number is specified in the company's articles of association but can be changed by shareholder approval. A company usually authorizes a higher number of shares than required to be able to issue stock in the future · Restricted stock Restricted stock, also known as letter stock or restricted securities, refers to stock of a company that is not fully transferable until certain conditions have been met. Upon satisfaction of those conditions, the stock becomes transferable by the person holding the award · Concentrated stock Concentrated stock is an equity making up a substantial part of the investor's portfolio. The major risk associated with such a portfolio is a lack of diversification; concentrated stock makes a large portion of the investor's wealth dependent on the performance of one particular stock. The reasons for keeping a concentrated stock may be · Golden share A Golden Share is a nominal share which is able to outvote all other shares in certain specified circumstances, often held by a government organization, in a government company undergoing the process of privatization and transformation into a stock-company
Participants Investor The term has taken on a specific meaning in finance to describe the particular types of people and companies that regularly purchase equity or debt securities for financial gain in exchange for funding an expanding company. Less frequently, the term is applied to parties who purchase real estate, currency, commodity derivatives, personal property · Stock trader/investor A stock trader or a stock investor is an individual or firm who buys and sells stocks or bonds in the financial markets · Market maker Most foreign exchange trading firms are market makers and so are many banks, although not in all currency markets. In foreign exchange trading, where most deals are conducted over-the-counter and are, therefore, completely virtual, the market maker sells to and buys from its clients and is compensated by means of price differentials and for the · Floor trader A floor trader is a member of a stock or commodities exchange who trades on the floor of that exchange for his or her own account. The floor trader must abide by trading rules similar to those of the exchange specialists who trade on behalf of others. The term should not be confused with floor broker. Floor Traders are occasionally referred to as · Floor broker A floor broker is an independent member of an exchange who can act as a broker for other members who become overloaded with orders, as an agent on the floor of the exchange. The floor broker receives an order via teletype machine from his firm's trading department and then proceeds to the appropriate trading post on the exchange floor. There he · Broker-dealer A broker-dealer is a company or other organization that trades securities for its own account or on behalf of its customers
Exchanges Stock exchange A stock exchange is an entity which provides "trading" facilities for stock brokers and traders, to trade stocks and other securities. Stock exchanges also provide facilities for the issue and redemption of securities as well as other financial instruments and capital events including the payment of income and dividends. The securities · List of stock exchanges This is an active list of stock exchanges. Those futures exchanges that also offer trading in securities besides trading in futures contracts are listed both here and the list of futures exchanges · List of market opening times · Over-the-counter Over-the-counter or off-exchange trading is to trade financial instruments such as stocks, bonds, commodities or derivatives directly between two parties. It is contrasted with exchange trading, which occurs via facilities constructed for the purpose of trading (i.e., exchanges), such as futures exchanges or stock exchanges · Electronic communication network An electronic communication network is the term used in financial circles for a type of computer system that facilitates trading of financial products outside of stock exchanges. The primary products that are traded on ECNs are stocks and currencies. ECNs came into existence in 1998 when the SEC authorized their creation. ECNs increase competition
Stock valuation In financial markets, there are several methods used to calculate theoretical values of companies and their stocks. The main use of these methods is to predict future market prices, or more generally potential market prices, and thus to profit from price movement – stocks that are judged undervalued are bought, while stocks that are judged Gordon model The Gordon growth model is a variant of the discounted cash flow model, a method for valuing a stock or business. Often used to provide difficult-to-resolve valuation issues for litigation, tax planning, and business transactions that are currently off market. It is named after Myron J. Gordon, who originally published it in 1959. It assumes that · Dividend yield · Earnings per share · Book value · Earnings yield · Beta · Alpha · CAPM · Arbitrage pricing theory · T-Model
Financial ratios P/CF ratio · P/E · PEG · P/S ratio · P/B ratio · D/E ratio · Dividend payout ratio · Dividend cover · SGR · ROIC · ROCE · ROE · ROA · EV/EBITDA · RSI · RAROC · Sharpe ratio · Treynor ratio · Cap rate
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Categories: Economy of Japan | Companies listed on the Tokyo Stock Exchange | Stock exchanges in Asia | 1949 establishments

 

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'Tokyo Stock Exchange' News
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eTaiwan News The Nikkei index of the Tokyo Stock Exchange added 0.34 percent, or 32.12 points, to reach 9580.23, while the Topix index of all first-section shares gained ...
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Pedestrians are reflected in a window in front of an electric quotation board displaying the Nikkei key index of the Tokyo Stock Exchange in Tokyo

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Mon, 01 Mar 2010 03:33:16 GM

(Kyodo) _ TSE Prices UP/DN Nippon Meat Packers 1092 UP 5 Nippon Oil Corp 487 UP 11 Nippon Paper Grp Inc 2303 UP 34 Nippon Sharyo Ltd 543 DN 5 Nippon More Apply online for Commercial Real Estate loans at RealEstateZoo.C​om.

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What time does the Tokyo Stock Exchange close in Japan?
Q. What time does the Tokyo Stock Exchange close in Japan?
Asked by OH yea! - Mon Nov 13 13:40:37 2006 - - 3 Answers - 0 Comments

A. I want to say 4pm their time. I use it as a gauge as to how my foreign investments are going to do teh next US stock market day.
Answered by zyberianwarrior - Mon Nov 13 23:28:06 2006

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