The first-ever futures contract tracking the Taiwan Stock Exchange Capitalization Weighted Stock Exchange Index (TAIEX) to list on an overseas stock exchange has debuted on the Osaka Exchange (OSE), a subsidiary of the Japan Exchange Group (JPX).

 

The listing is the latest extension of the growing link between the Taiwan Stock Exchange Corporation (TWSE) and JPX, with a growing number of financial products tracking Japanese stock market indices listing on TWSE and the Taiwan Futures Exchange (TAIFEX) since the second quarter of 2015. These products include ETFs tracking the TOPIX and Nikkei 225 indexes, and TOPIX Futures respectively.

 

The TAIEX index is comprised of all listed common shares traded on the TWSE and is the benchmark index for the Taiwan securities market. The availability of TAIEX futures on the OSE is expected to boost the global profile of the TAIEX index, while also encouraging Japanese investors to learn more about, and invest in Taiwan's securities and futures markets.

 

Interactions between the Taiwanese and Japanese market operators have grown steadily since their signing of a memorandum of understanding in 2000. These interactions include annual investment forums in each market, cross-listings and joint-marketing activities. Both exchanges expect to further deepen their cooperation and provide more investment products to investors in the future.