Futures

Benefits

Update : Jul. 30, 2012

The benefits of Position Transfer Arrangement between NYSE Liffe and TSE for TOPIX Futures are;

1. Trading Around the clock

TSE market opens from 9:00am to 11:30pm in JST (including a lunch and a late afternoon break), and NYSE Liffe market opens from 10am to 6am in JST (from 9am to 5am during British summer time). Therefore, TOPIX Futures trading is available for 21 hours. It enables trading of the TOPIX Futures while the Tokyo market is closed.

As for JGB Futures, TSE market opens from 8:45am to 11:30pm JST and NYSE Liffe market opens 4pm to 1am JST (3pm to 0am during British summer time).

2. Arbitrage opportunity

Since trading hours overlap between TSE and NYSE Liffe, arbitrage opportunities between the two markets arise. Arbitrage trading between TOPIX and Nikkei225, which is listed on OSE, SGX and CME, is also available all day.

3. Simpler position management

TOPIX/JGB Futures positions on NYSE Liffe are automatically transferred to TSE market every trading day. Therefore it is possible to manage open interest and margin within a single, fungible pool of open interest in Tokyo. JSCC calculates margin based on TOPIX/JGB Futures positions transferred from NYSE Liffe and those arisen by trading on TSE collectively.