The Tokyo Stock Exchange (TSE) is to upgrade its order execution system. The exchange has found its present capacity insufficient to handle the growing volume of large-lot orders submitted electronically by both major broker-dealers and day traders.
The TSE will start work on the upgrade this autumn, with to completing the work next year. The improved platform will be able to execute 20 per cent more orders up beyond the 4.5 million orders a day that are currently processed.
The TSE operates two trading systems, one for order execution and one for distributing data. Earlier in the month, the exchange experienced computer problems when a flood of orders forced delays in the distribution of stock price and other securities trading data to market participants. So the data distribution system will be upgraded as well.