| Quarter & Fiscal Year |
Topics |
| Q2 FY2026 |
- Overview of Inspections for the First Half of FY2026
- Inspection Status
- Deficiencies Found
- Key Inspection Results
- Inadequate management of margin deposits for futures and options transactions (e.g., at major and foreign-affiliated securities firms)
- Inadequate trading supervision systems for registered insiders (e.g., at mid-sized and regional securities firms)
- Inadequate management of placement limits for orders from other securities firms (e.g., at major and foreign-affiliated securities firms)
- Inadequate project management of connections to the FLEX system (at online securities firms)
|
| Q1 FY2026 |
Key Inspection Results
- Inadequate management of the firm's corporate information (e.g., at mid-sized and regional securities firms)
- Inadequate reviews of analyst reports (e.g., at mid-sized and regional securities firms)
- Inadequate management of access permissions to corporate information (e.g., at mid-sized and regional securities firms)
- Inadequate handling of matched trades where the number of shares sold and purchased did not correspond (e.g., at mid-sized and regional securities firms)
|
| Q4 FY2025 |
- Overview of Inspections for FY2025
- Inspection Status
- Deficiencies Found
- Key Inspection Results
- Deficiencies in the setting of cumulative and hard limits (at major and foreign-affiliated securities firms)
- Inadequate IT systems risk assessment of ASP services (at major and foreign-affiliated securities firms)
- Deficiencies in disclosures to clients during stabilizing transactions (e.g., at mid-sized and regional securities firms)
- Impact on trade surveillance systems arising from J-GATE specifications relating to the market closing time
|
| Q3 FY2025 |
- Key Inspection Results
- Inappropriate thresholds for identifying derivatives transactions subject to surveillance (e.g., at mid-sized and regional securities firms)
- Inadequate management systems for preventing erroneous order placement (e.g., at major and foreign-affiliated securities firms)
- Deficiencies in transmitting corporate information (at online securities firms)
- Internal auditing enhancement (at mid-sized and regional securities firms)
- Surveillance of spoofed derivatives transactions
|
Q2 FY2025
|
- Overview of Inspections for the First Half of FY2025
- Inspection Status
- Deficiencies Found
- Key Inspection Results
- Inadequate contingency plans for core systems (e.g., at mid-sized and regional securities firms)
- Inadequate surveillance of insider trading (e.g., at mid-sized and regional securities firms)
- Inadequate handling of matched trades where the number of shares sold and purchased did not correspond (e.g., at mid-sized and regional securities firms)
|
| Q1 FY2025 |
- Key Inspection Results
- Inappropriate selection criteria for the surveillance of derivatives transactions (e.g., at mid-sized and regional securities firms)
- Inadequate management of placement limits for orders from other securities firms (e.g., at mid-sized and regional securities firms)
- Insufficient explanations of why prices did not improve in dark pool transactions (e.g., at major and foreign-affiliated securities firms)
- Deficiencies in corporate information management systems (e.g., at mid-sized and regional securities firms)
- Deficiencies in updating important End User Computing (EUC) management documents (at major and foreign-affiliated securities firms)
- Request to thoroughly check the notifications that the exchanges made via Target
|
| Q4 FY2024 |
- Overview of Inspections for FY2024
- Inspection Status
- Deficiencies Found
- Key Inspection Results
- Deficiencies in filling out dark pool transaction order slips and in flagging off-auction transactions (at major and foreign-affiliated securities firms)
- Inappropriately conducted IT systems risk assessments (e.g., at mid-sized and regional securities firms)
- Setting order placement limits at higher values than those specified in internal rules (at commodity futures brokers)
|
| Q3 FY2024 |
Key Inspection Results
- Not developing appropriate business execution systems to comply with laws, rules, and regulations (recommendations were issued to the trading participants)
- Accepting buy orders for TOKYO PRO Market securities from non-professional investors (at online securities firms)
- Deficiencies in disclosures to clients during stabilizing transactions (at online securities firms)
- Deficiencies in best execution duty management systems (at online securities firms)
- Detailed sharing of cash flow information with management (at mid-sized and regional securities firms)
|
| Q2 FY2024 |
- Overview of Inspections for the First Half of FY2024
- Inspection Status
- Deficiencies Found
- Key Inspection Results
- Deficiencies in corporate information management systems
- Deficiencies in unfair trading prevention systems
- Deficiencies in management systems to accept and execute orders for listed companies' share buybacks
- Deficiencies in order placement limit management systems
|
| Q1 FY2024 |
- Key Inspection Results
- Deficiencies in IT systems risk management systems
- Deficiencies in corporate information management systems
- Cybersecurity management for HFT and other client systems
- Review of trade surveillance selection criteria
|
