Number of Foreign Trades on Tokyo Commodities Exchange Hits New Peak

The Tokyo Commodity Exchange (TOCOM), the largest and most diverse commodity derivatives trading venue in Japan, reported that it has hit an all-time high in the amount of foreign customer trades.

The proportion of international investors transacting on the exchange has been steadily increasing. In August 2015, the number of contracts, both long and short, originating from overseas peaked at 2,394,206 contracts, accounting for 49.8 percent of the total trades of 4,811,704 contracts.

The figure highlights the venue’s commitment to creating an open market place for global traders. The venue has seen cumulative growth in its overseas segment since launching the popular X_Trader platform in 2009, achieving a strong position with global traders.

Indeed, international markets have been on the agenda for the venue for a while. The firm's expansion plans include a long-term objective to “intensify competition with other exchanges in Japan and overseas.”

The new record of foreign orders in August 2015 updates the previous all-time monthly high for foreign customer trades recorded in April 2013 at 2,244,433 contracts, and the record ratio of 49.6% reached in March 2015.

Likewise, the Japanese Exchange Group (JPX) also recently reported that orders originating from outside Japan are on the rise, accounting for the majority on the Tokyo Stock Exchange and Osaka Exchange markets, prompting the establishment of a new International Surveillance Office in September 2015.