Trading Rules
This document explains trading rules for Japannext PTS Daytime and Nighttime sessions. XMarket and U-Market trading rules are also available in separate documents.
RuleDescription

1. Product Universe• Listed stocks on the Tokyo Stock Exchange that are selected byJapannext.
• Tradable names are specified by Japannext on a daily basis.
Approximately 4,000 names are currently available.

2. Product Type• Cash equities.
• Standardized margin and loan margin. The trading universe ofmargin trading securities is determined from those selected by TSEin agreement with Japan Securities Finance Co., Ltd.

3. Trading Hours andDays• Daytime Session: 8:20 - 16:00−Trading Hours of the Margin Trading Sessions on the Japannext
Platform (including repayment orders):
9:00 - 11:30 and 12:30 - 15:00.

–All outstanding margin orders at the close of each margin trading
session will be canceled.

• Nighttime Session: 16:30 - 6:00 (of the following day)• Japannext PTS is open five days a week from Monday to Friday
except for national, observed, and exchange holidays.
The Nighttime Session will allow trading until 6 a.m. of the following day
which may be a national, observed, or exchange holiday.
4. Order Placement• Participant brokers can place orders via FIX 4.2 and OUCH orderentry ports.
• Accepting orders from session start time.
• Order Types:
−

Limit

−

IOC (Immediate Or Cancel)−

FOK (Fill Or Kill)−

Post Only−

Short Sell and Short Sell Exempt (see Short Selling Rules
document for details)• Time In Force:−

DAY: An order submitted to the Japannext platform which stays
in effect till the end of the market hours. All orders of this typemust be assumed to be expired at the end of each Daytime orNighttime sessions respectively.

−IOC: An order submitted to the Japannext platform with an
optionally specified minimum execution size which executes
either in full or in part upon entry, the remainder of the order isautomatically canceled.
1

Rule

Description−

FOK: An order submitted to the Japannext platform which must
execute in full upon entry, otherwise the order is automaticallycanceled.

• Order condition requirements: Symbol, Side, Quantity, Price, Time In
Force, Capacity (Principal or Agency), Cash or Margin (Open orClose, Negotiable or Standardized).
• The following actions are supported for existing orders:−Order Cancel−Limit Price Amendment−

Order Quantity Amendment• Orders can be optionally prevented from self-match upon entry (seeSelf- Trade Prevention document for details).
5. Order Restrictions• Maximum Quantity:
The order quantity limit is 5% of the total number of outstanding
shares. An order with a quantity exceeding this limit will be rejected.
• Maximum Value:−For FIX, the standard order value limit is 100 million JPY. Anorder with a value exceeding this limit will be rejected. The 100
million JPY limit can be increased to 2.5 billion JPY by using the“Special Order” confirmation flag in the order message.

−For OUCH, the order value limit is 2.5 billion JPY.

• Price Range:
The limit price of an order should be within the price range specified
by Japannext PTS. If the limit price is outside this range, then theorder will be rejected. Newly listed stocks without an initial shareprice on the primary exchange cannot be traded.
6. Matching Process• Order Driven Continuous Matching−When a new order's limit price matches with the ones alreadyaccepted in the order book of the PTS, it will be executed at thelimit price on the book (FIFO).

−

As long as there are orders which can be matched by price andtime priority, there will be continuous matching during trading
sessions.

−

Order matching starts from session start time (no openingauctions).

−

There will be no closing auction conducted at Japannext PTS.

• Matching Priority: Price, Time

7. Price Range−

Sell Order: An order at a lower price has priority over one at ahigher price.

−

Buy Order: An order at a higher price has priority over one at alower price.

−When there are orders with same limit price, the one accepted
earlier has higher priority.

• Japannext PTS sets its own price range (daily price limit high/low)2

RuleDescription
which are the same as the exchanges (see Appendix 1 and 2).
• If there are any special/temporary adjustments applied with the lower
or higher limit at the exchange(s), Japannext PTS follows the sameadjustment and adopts the price range accordingly.
• The price range adjustment takes place before the market opens.

8. Base Price• Nighttime Session−

The base price is based on the primary exchange closing price.

−

For special quotation, Japannext PTS will use indicative
exchange closing price.

−

If the stock has any corporate action such as an ex-dividend,
Japannext will calculate the adjusted price by referring to thedata and parameters information obtained from the third-party
data vendor.

• Daytime Session

9. Lot Size–

The base price is generally the same as the base price of thelisted stock at the primary exchange.

–

In the case where the base price of the listed stock at the primaryexchange is not available in a timely manner, the base price ofthe previous Nighttime Session will be used.

• In general, Japannext PTS uses the lot size determined by theissuing company.
• However, if the original lot size is less than 10 and its lower price limitof the day is in a decimal tick size range, then a lot size of 10 is used.

10.Tick Size

• See Appendix 3, 4 and 5.

11.Execution Date

• Always actual calendar date of the execution.

12.Trading Day• Trading Day starts at the beginning of the Nighttime Session andends at the end of the following Daytime Session.

13.Trade Date

• Trade Date (T) is the date at the end of the Trading Day.

14.Settlement Date

• T+2

15.Trading Halt

• Japannext PTS may suspend trading in the following cases:
1. When the name is restricted by JSDA for off-market trading.
2. When the name is suspended for trading at its primary exchange
and Japannext PTS evaluates that it is inappropriate to continue
trading with the name.
3. When the base price is not generated (e.g. IPO stocks).
4. When there are irregular or potentially irregular order flows forthe name and Japannext PTS evaluates that it is inappropriate
to continue trading with the name.
5. When there is a system failure and Japannext PTS evaluatesthat it is inappropriate to continue trading on its system.
6. When Japannext evaluates that it is inappropriate to continue
Nighttime trading of a certain name and believes it is necessary
3

Rule

Description
to notify the public or clarify any of the following:i. material information regarding the name is disclosed on theTDnet (Timely Disclosure Network or Company
Announcements Disclosure Service operated by Tokyo
Stock Exchange) website at or after 17:30;
ii. the name is designated as under supervision or to bedelisted by the primary exchange at or after 17:30;
iii. the name is reported or publicized by the media orthrough other avenues at or after 17:30.
7. Any other cases when Japannext PTS evaluates that it isunable to sustain fair trading.
• The trading suspension can be done at any time including during
trading hours. Japannext will attempt to notify all participant brokers
via e-mail or fax when possible.
• The trading suspension and restriction information may be obtained
from Market Data vendors in real time.
• When the name is suspended during Nighttime Session, Japannext
will NOT resume trading of the name until next morning. As a result,
all outstanding orders of suspended name will be canceled byJapannext as an "Unsolicited Cancel".

16.Market Data

• Published by JSDA / PTS Information Network(https://off-exchange.jp/ptsinfo/).
• Available from all major market data vendors.
• Available as a direct feed from Japannext PTS.

As of August 14, 2023

4

Appendix 1: Price Range (J-Market, X-Market)
Base Price
Equal to or Greater thanPrice Range (+/-)

Less than-

¥100

¥30

¥100

¥200

¥50

¥200

¥500

¥80

¥500

¥700

¥100

¥700

¥1,000¥150¥1,000¥1,500¥300¥1,500¥2,000¥400¥2,000¥3,000¥500¥3,000¥5,000¥700¥5,000¥7,000¥1,000¥7,000¥10,000¥1,500¥10,000¥15,000¥3,000¥15,000¥20,000¥4,000¥20,000¥30,000¥5,000¥30,000¥50,000¥7,000¥50,000¥70,000¥10,000¥70,000¥100,000¥15,000¥100,000¥150,000¥30,000¥150,000¥200,000¥40,000¥200,000¥300,000¥50,000¥300,000¥500,000¥70,000¥500,000¥700,000¥100,000¥700,000¥1,000,000¥150,000¥1,000,000¥1,500,000¥300,000¥1,500,000¥2,000,000¥400,000¥2,000,000¥3,000,000¥500,000¥3,000,000¥5,000,000¥700,000¥5,000,000¥7,000,000¥1,000,000¥7,000,000¥10,000,000¥1,500,000

10,000,000¥15,000,000¥3,000,000¥15,000,000¥20,000,000¥4,000,000¥20,000,000¥30,000,000¥5,000,000¥30,000,000¥50,000,000¥7,000,000¥50,000,000-¥10,000,000

5Appendix 2: Price Range (U-Market)
Base Price
Equal to or Greater thanPrice Range (+/-)

Less than-

¥100

¥60

¥100

¥200

¥100

¥200

¥500

¥160

¥500

¥700

¥200

¥700

¥1,000¥300¥1,000¥1,500¥600¥1,500¥2,000¥800¥2,000¥3,000¥1,000¥3,000¥5,000¥1,400¥5,000¥7,000¥2,000¥7,000¥10,000¥3,000¥10,000¥15,000¥6,00015,000¥20,000¥8,000¥20,000¥30,000¥10,000¥30,000¥50,000¥14,000¥50,000¥70,000¥20,000¥70,000¥100,000¥30,000¥100,000¥150,000¥60,000¥150,000¥200,000¥80,000¥200,000¥300,000¥100,000¥300,000¥500,000¥140,000¥500,000¥700,000¥200,000¥700,000¥1,000,000¥300,000¥1,000,000¥1,500,000¥600,000¥1,500,000¥2,000,000¥800,000¥2,000,000¥3,000,000¥1,000,000¥3,000,000¥5,000,000¥1,400,000¥5,000,000¥7,000,000¥2,000,000¥7,000,000¥10,000,000¥3,000,000¥10,000,000¥15,000,000¥6,000,000¥15,000,000¥20,000,000¥8,000,000¥20,000,000¥30,000,000¥10,000,000¥30,000,000¥50,000,000¥14,000,000¥50,000,000-¥20,000,000

6Appendix 3: J-Market Tick Size Table
J-MarketPrice Range
Up to¥3,000Up to¥5,000Up to¥10,000
Up to¥30,000
Up to¥50,000
Up to¥100,000
Up to¥300,000
Up to¥500,000
Up to¥1,000,000
Over¥1,000,000

Topix 100Topix Mid 400

ExcludingTopix 100 andTopix Mid 400
¥0.1

¥0.1

¥0.5

¥1
¥0.5

¥5
¥1
¥10

¥5

¥50
¥10
¥100
¥1007

Appendix 4: X-Market Tick Size Table
X-MarketPrice Range
Up to¥3,000Up to¥5,000Up to¥10,000
Up to¥30,000
Up to¥50,000
Up to¥100,000
Up to¥300,000
Up to¥500,000

Topix 100Topix Mid 400

ExcludingTopix 100 andTopix Mid 400
¥0.1

¥0.1
¥0.5
¥0.1
¥1
¥0.5
¥5
¥1
¥10
¥5
¥1

¥50
¥10

Up to
¥1,000,000
Over¥1,000,000

¥100
¥1008

Appendix 5: U-Market Tick Size Table
U-MarketPrice Range
All Stocks
Up to¥3,000Up to¥5,000Up to¥10,000

¥0.1

Up to
¥30,000
Up to¥50,000
Up to¥100,000
Up to¥300,000
Up to¥500,000
Up to¥1,000,000
Up to¥1,000,000
Over¥1,000,000¥19