Since the opening of TSE's foreign stock market in 1974, JSSC, a wholly owned subsidiary of TSE, has been undertaking the role of settlement and depository entity for TSE's foreign stock market and contributing to smooth operation of the market through safe and stable service.
In recent development of the infrastructure for securities settlement systems in Japan, settlement functions had been transferred in stages from JSSC to JASDEC. Such transition includes domestic stocks in 1991, convertible bonds in 2001 and corporate and sovereign bonds in 2006 (planned). With the completion of the transfer of the settlement services for listed foreign stocks, the consistent settlement operation for both domestic and foreign stocks will lead to further enhancement of the Japanese securities market as a whole.
It is also expected that the participation of institutional investors overseas to TSE's foreign stock market will be further encouraged by commencement of this new service by JASDEC, Japan's leading central securities depository. TSE hopes the initiative, through promoting the listing of foreign companies from the Asian region in particular, will strengthen its position as one of the leading exchanges within the region.
