Japan’s Osaka Securities Exchange (OSE) has postponed the launch of OSE Dow Jones Industrial Average Futures, originally due to launch 27 February.
A new launch date has not yet been confirmed but the derivatives-focused OSE has said it will still be launching its new Nikkei 225 Volatility Index Futures as planned on 27 February.
The OSE owns the Nikkei indices, which track the performance of Japan’s top companies in stocks and futures. A volatility index typically measures the market’s expectation of movements in stock, options or derivatives markets over the next 30-day period. The Dow Jones Industrial Average tracks the performance of the top 30 US companies.
Tentatively placed for January 2013, the Osaka exchange is currently working towards a merger with the more equities-focused Tokyo Securities Exchange (TSE). The merger of the two bourses is intended to form the core of a national, multi-asset class exchange that will attract greater international participation and help fend off the advances of proprietary trading systems, which have been seeking to take market share from the primary bourses.
Earlier this month, Japan’s Financial Services Agency agreed a reform document with the Agriculture Ministry and Ministry of Economy, Trade and Industry that would allow the FSA to oversee a combined stocks, financial futures and commodities exchange in the country, with the expectation that a unified exchange will launch next year.
However, on 14 January 2012 the Tokyo Commodity Exchange (TOCOM) revealed it would delay its own merger with the combined Tokyo and Osaka exchange, until the merged entity had decided what transaction system will be used after integration. TOCOM has stated it will reconsider the merger once a decision on the transaction system at the combined TSE-OSE has been made.