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Equities Trading Services

ToSTNeT System

ToSTNeT System (Tokyo Stock Exchange Trading NeTwork System) is the off-auction trading system for TSE. Similar to the auction market, ToSTNeT System is recently handling an increasing number of orders. ToSTNeT System underwent a major upgrade on March 21, 2017 to improve processing capabilities and convenience. This replacement provides a faster and more secure environment for the off-auction trading of cash products. The servers of ToSTNeT were replaced in accordance with arrowhead upgrade on November 5, 2019.

ToSTNeT system supports the following trading.

  • Single Stock Trading (ToSTNeT-1)
  • Basket Trading (ToSTNeT-1)
  • Closing Price Trading (ToSTNeT-2)
  • Off-Auction Own Share Repurchase Trading (ToSTNeT-3)
  • Off-Auction Distribution

For further information, please refer to the following page.

ToSTNeT Market

Overview

ToSTNeT system processes orders, etc. in the following manner.

  • Accepting orders from a wide range of domestic and foreign investors (securities companies), executing trades, and returning the results.
  • Execution prices are distributed to the market as market information.

Main Functionality

Partipants' Connection

Function Example Explanation
Connectivity - Order/Notice Function
- Query Request/Response Function		 As the basic function of the off-auction trading system, ToSTNeT receives orders from trading participants and sends back notice messages. It also provides a Query Request/Response function to respond to inquiries.

ToSTNeT supports the following two protocols for ordering.

- Financial Information eXchange protocol
 A global-standard protocol for electronic messages related to the
 financial services industry with uniform specifications.
- TSE protocol
 A protocol developed by Tokyo Stock Exchange.

Matching Engine

Function Example Explamation
Matching Engine - Single Stock Trading
- Basket Trading
- Closing Price Trading
- Off-Auction Own Share Repurchase Trading
- Off-Auction Distribution		 Matching engine is the core of the off-auction trading system and it determines prices based on orders from trading participants.
This function provides matching processing for variety orders such as cross orders and named counterparty orders, etc.

The time available for placing orders differs depending on the type of transaction.
For further information, please refer to the following page.
ToSTNeT Market

Market Information Distribution

Function Example Explanation
Market Information Distribution - ToSTNeT by-issue information
- ToSTNeT market information		 This function distributes market information whenever an execution occurs for each issue or a trading halt is conducted in the off-auction trading system. The following three types of transactions are subject for the distribution.

- Single-issue transaction
- Basket transaction
- Closing price transaction

Market Monitoring

Function Example Explanation
Market Monitoring - Real-time monitoring
- Maintenance of issue data
- Data Analysis		 ToSTNeT's real-time monitoring function enables the market administrator to gain and comprehend what is going on in the market from various perspectives.
It also offers data analysis function to further drill down the market activities.