Japan Exchange Group

The Japan Exchange Group, Inc. (JPX) is a Japanese financial services corporation based in Tokyo and formed by the merger of two of Japan’s largest stock and security exchanges in 2013. This page will run through everything you need to know about the Japan Exchange Group, Inc., including where to find its share prices, its history, trading hours and listing requirements. There is also a handy trading guide that you can use to start trading on the Japan Exchange Group’s different markets. Below is a table of the best brokers for Japan Exchange Group trading.

Best Japan Exchange Group Brokers

eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.
Exinity provides flexible low-cost trading in FX, commodities, indices and equities alongside unique education and support provided by teams located across the world. Now operating in the Middle East, through regulation from the Financial Services Regulatory Authority in Abu Dhabi and the Financial Services Commission of Mauritius, Exinity provides a range of services to traders and investors looking for new opportunities in the financial markets.
Rockfort Markets is a New Zealand broker with a competitive range of assets, trading platforms and market conditions.

What Is The Japan Exchange Group?

The Japan Exchange Group, Inc. (JPX) is a holding company that has ownership of the two largest exchanges in Japan, the Tokyo Stock Exchange (TSE) and the Osaka Exchange (OSE). It is among the world’s five largest exchanges, along with the Shanghai Stock Exchange, New York Stock Exchange (NYSE), the NASDAQ and the Hong Kong Exchange.

According to the 2019 annual report, the market capitalisation (cap) of the Japan Exchange Group, Inc. (JPX) was US$6.13 trillion, which had risen to USD 6.69 trillion as of June 2021. To find today’s stock/share price for the Japan Exchange Group, Inc., along with other useful data, look at online live stock charts on sites like TradingView, Bloomberg or Statista.JPX trading participants rules by investor type

History

The Japan Exchange Group, Inc. (JPX) has a relatively short history, only being formed in 2013, but its two main subsidiaries have been around a lot longer. The Tokyo Stock Exchange (TSE) was established in 1878 and trading began on June 1st of that year. The Osaka Exchange (OSE) opened for business in the same year. The two operated individually in their cities for well over 100 years.

In 2011, the Tokyo Stock Exchange and Osaka Exchange decided to merge into one as a solution to slowing market conditions in Japan. In 2012, the Japan Fair Trade Commission approved the merger and the Japan Exchange Group, Inc. launched on January 1st, 2013. On January 4th of the same year, JPX was listed on the Tokyo Stock Exchange. Today, the Osaka Exchange operates out of Tokyo, rather than its original address in the city of Osaka.

Subsidiaries Of The Japan Exchange Group

There are three major subsidiaries of the JPX, the Tokyo Stock Exchange (TSE), Osaka Exchange (OSE) and Japan Exchange Regulation (JPX-R). Each uses the logo of the parent company, the Japan Exchange Group.

Tokyo Stock Exchange

The Tokyo Stock Exchange (TSE) is the largest member of the Japan Exchange Group and provides a large portion of the total liquidity. The stock exchange has over 2,200 listed companies, a market capitalisation (cap) of USD 5.6 trillion and a trading volume of USD 3.9 trillion. The exchange has a strong dividend yield, reaching an all-time high of 2.7% and averaging around 1.5%. The stock market and its new Chief Representative in Europe, Hideki Tomita (searchable on LinkedIn), allied with the London Stock Exchange (LSE) in 2008. Moreover, the London Stock Exchange Group (LSEG) launched the Japan Advisory Group (JAG) to promote and strengthen ties and investor relations between the UK and Japan.

Osaka Exchange

The Japan Exchange Group (JPX) also holds the Osaka Exchange (OSE). The Osaka Exchange is an exclusively digital marketplace, focusing on securities and derivatives. Some of the most traded assets on the exchange are the Tokyo Stock Price Index, Nikkei 225 and Nikkei 225 mini.

Japan Exchange Regulation

The Japan Exchange Regulation (JPX-R) is an independent, self-regulating body for the Japan Exchange Group. This body aims to uphold the integrity of the marketplace and protect both investors and businesses. The JPX-R oversees trading operations on both the TSE and OSE.

Tokyo Stock Exchange Market Sections

The Japan Exchange Group’s largest member, the Tokyo Stock Exchange (TSE), splits listed companies into several sections. The first section is mostly built up of large companies. There are over 2,000 companies listed in this section. The second section includes mid-sized companies, with over 500 listed. There are also two emerging company’s sections, JASDAQ and Mothers. Finally, there is the Tokyo PRO market, which is a market for professional investors.

Indices

TOPIX

The main index for the Japan Exchange Group (JPX) and Tokyo Stock Exchange is the Tokyo Stock Price Index, known as TOPIX. This is a free-float index that tracks all domestic companies listed on the exchange’s first section (over 2000). The total market capitalisation of all TOPIX constituents is around US$3.69 trillion. The index’s live price and chart can be found online on sites like Yahoo Finance.

Nikkei

The Nikkei 225, also known as the Nikkei Stock Average, Nikkei and Nikkei Index, is another popular index for the Japan Exchange Groups (JPX) Tokyo Stock Exchange. The Nikkei is a price-weighted index consisting of the top 225 companies on the exchange.jpx self trade prevention and sequential trade quote

Trading Hours

The trading hours for the Japan Exchange Group (JPX) vary for different assets, although all are only open Monday to Friday, not on the weekend. The main market hours are led by Japan’s Tokyo Stock Exchange (TSE). The Japanese Stock Exchanges trading hours begin at 09:00 JST (GMT+9) when the morning trading session begins. This session ends for lunch at 11:30 JST, before trading begins again with the afternoon session, which runs from 12:30 to 15:00 JST.

The other member of the Japan Exchange Group (JPX), the Osaka Exchange (OSE), has different extended trading hours. The JGB futures trading hours begin with the day session at 08:45 JST. The night session is also extended until 05:30 JST. The night session for the Nikkei VI Futures is from 16:30 to 19:00 JST.

Trading Calendar

The Japan Exchange Group (JPX) has a very busy trading calendar filled with different holidays. Japan’s stock exchange trading calendar differs between 2020, 2021 and so on, with market holidays falling on different trading days each year. The last trading day is always December 30th, as the market is closed on New Year’s Eve. Below, we’ve listed the various holidays throughout 2021 that the exchange closes for, so you know the trading schedule and whether the market is open or not:

  • New Year’s Day – January 1st.
  • Coming of Age Day – January 11th.
  • National Foundation Day – February 11th.
  • Emperor’s Birthday – February 23rd.
  • Showa Day – April 29th.
  • Constitution Memorial Day – May 3rd.
  • Greenery Day – May 4th.
  • Children’s Day – May 5th.
  • Marine Day – July 22nd.
  • Sports Day – July 23rd.
  • Mountain Day – August 9th.
  • Respect For The Aged Day – September 20th.
  • Autumnal Equinox – September 23rd.
  • Culture Day – November 3rd.
  • Labor Thanksgiving Day – November 23rd.
  • New Year’s Eve – December 31st.

Details of future trading holidays can be found on the Japan Exchange Group website.

Listing Requirements

The Japan Exchange Group imposes different trading rules and listing requirements depending on the market section. To list in the second section, a company must have 400 or more shareholders and at least 2,000 tradeable shares, the market cap of which must be over 1 billion Yen. To list in the first section, a company requires 800 or more shareholders and 20,000 tradable shares, which must have a market cap of at least JPY 10 billion.

Top Companies

So, who are the biggest players in the Japan Exchange Group (JPX) and specifically on the Tokyo Stock Exchange (TSE)? Here we list the top 5 companies on the Tokyo Stock Exchange with their market capitalisation:

  1. Toyota Motor Corporation – 31.993 trillion Yen.
  2. Keyence Corporation – 14.772 trillion Yen.
  3. Sony Group Corporation – 14.345 trillion Yen.
  4. SoftBank Group Corp. – 11.779 trillion Yen.
  5. Recruit Holdings Co. Ltd. – 9.547 trillion Yen.

Sustainability

The Japan Exchange Group (JPX) is committed to encouraging sustainability within the companies that are listed on it. In recent years, markets have seen a rapid spread of ESG investment, where investors account for environmental, social and governance factors in their evaluations of a company. The Japan Exchange Group has released several ESG ETFs, as well as the Carbon Efficient Index, which weights the companies based on the carbon emissions per unit of revenue.

How To Start Trading On The JPX

So, you want to start trading on the Japan Exchange Group (JPX), we are here to help. We have compiled this helpful guide so that you can become a remote trading participant today:

  1. Choose A Broker: Before you can start trading on the Japan Exchange Group’s (JPX) various stock exchanges, you will need to choose a broker. One key thing to compare is the trading fees each broker will charge. These will vary and, if they are too high, they will eat up your profits. Good customer service is another important aspect to look out for. Ensure contact details are clear, whether it’s an email, phone number or live chat. A full guide to selecting the right broker can be found here.
  2. Fund An Account: Once you’ve found the right broker for you, open an account with them and deposit some money into the account. Watch out for any fees incurred through currency conversion or transactions.
  3. Research The Stocks: The next step is simply to figure out which stocks you want to invest in. Take your time with this, look at the prospectuses of different companies and check historical data and trends.
  4. Buy Stocks: Once you know what you want to buy, take the plunge and invest.

JPX Trading Hints And Tips

Consider these tips and tricks to boost your trading career on the Japan Exchange Group (JPX). Whether you want to buy stocks on Japan’s stock exchange or conduct some options or margin trading, these pointers will boost your profits.

Stay Up To Date

Staying in the know is key to trading in any market and it’s no different for the Japan Exchange Group (JPX). Read financial news sites and keep an eye on any press releases from listed companies. These will give you that insider trading knowledge; every release can have a huge impact on the value of different stocks.japan exchange group unique features and stock data search

Demo Accounts

If your broker offers it, open a demo account before you start trading on the Japan Exchange Group. These accounts are a great way to perfect your JPX trading methodology and system without having to invest real money. As with any skill, practice makes perfect, using a demo account could help you out a lot in the long run.

Check The Data

The Japan Exchange Group (JPX) has been going for almost 10 years and its subsidiaries have been going even longer. Before you trade on Japan’s stock exchanges, look through all the historical market data and trends. These can give a fantastic indication of how a stock or index’s value may behave. Also, look out for when trading halts tend to occur. While these may not block trade in a regular pattern, it is good to know when these have happened in the past and what caused them.

Final Word On JPX Trading

The Japan Exchange Group (JPX) is an exciting financial group consisting of two very strong exchanges. Even though Blockchain and Bitcoin dominate today’s news cycle, keen investors could take advantage of the Japan Exchange Group for equity day trading. With many of the world’s top companies listed on the exchange, as well as several popular indexes, JPX has something for everyone. Check out our guide to getting started, tips and tricks advice and then open an account with one of the top JPX brokers.

FAQs

Can I Invest In The JPX From The UK?

Yes, you can invest in companies listed on the JPX, or even the exchange company itself, from the UK. The Japan Exchange Group is open to foreign investment and there are many brokers, both Japanese and international, that will support trading.

What’s The Best Stock To Buy On The JPX?

There is no simple answer as to what the best stock is, all prices will rise and fall throughout the year. However, for beginners, the best stocks to trade may be the top-listed companies as they have the highest trading volume and liquidity, refer to our list of the top 5 companies on the Japan Exchange Group.

When Is The JPX Open In The UK?

The Tokyo Stock Exchange is open from 00:00 to 02:30 GMT and then again from 03:30 to 06:00 GMT. However, other assets such as futures and indices can be traded for a lot longer, until 20:30 GMT in some cases.

Is It Safe To Invest On The JPX?

Day trading on the Japan Exchange Group is secure, with the exchange and listed companies highly regulated by Japanese financial watchdogs. However, if you are trading internationally, ensure you select a broker that is regulated by its local agencies.

When Is The JPX Open?

The exchange is open Monday to Friday for several sessions depending on the assets you want to trade. The exchange is not open on weekends and also closes for holidays, which can be seen in our helpful list.

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