TOCOM to Establish Backup Center Within OSE’s Emergency Backup Facility
Tokyo Commodity Exchange Inc. (“TOCOM” hereafter) and Osaka Securities Exchange Co., Ltd. (‘OSE” hereafter) announced December 21 that the two Exchanges agreed to TOCOM’s use of a part of the backup facility which OSE has established for its next generation derivatives trading system named J-GATE in case of emergencies.
Since the signing of the Memorandum of Understanding (MOU) on comprehensive mutual cooperation in February, 2008, TOCOM and OSE have discussed extensively on possible various areas of collaboration, such as on trading systems and joint product development. The listing of two ETFs linked to TOCOM prices on OSE is one of the results of such efforts and this agreement, as part of the collaborative alliance, is another.
This agreement shall enhance the competitiveness of both Exchanges by streamlining and stabilizing the exchange market operations. Based on the MOU, TOCOM and OSE will continue to pursue cooperative opportunities in order to improve market convenience and competitiveness.
OSE’s President & CEO, Mr. Michio Yoneda, commented: “The cooperation relationship of both exchanges has made great progress by this agreement. We hope to continue to further enhance the cooperative relationship in various areas, and contribute to the overall growth of the Japanese market.”
Tadashi Ezaki, President & CEO of TOCOM commented that “An exchange’s trading system and related infrastructure is one of the most important factors for successful market operations. Therefore I am pleased that the two Exchanges have made an arrangement for the use of OSE’s emergency backup facility, which could benefit us mutually. We hope to further build upon our cooperative relationship in order to enhance the reliability and convenience of our markets.”