The Tokyo Stock Exchange is home to the Nikkei 225 index (TSE). Since 1950, the Nihon Keizai Shimbun (Nikkei) has been the daily index calculater. On September 7, 1950, the Nikkei 225 index computation process started. The Nikkei 225 index is a price-weighted average that undergoes an annual component review.

The average of Japanese stocks that is most frequently quoted is the Nikkei 225 index. Topix, which resembles the Dow Jones Industrial Average quite a bit, is regarded as another important index for the Japanese equities markets. From 1975 to 1985, it was referred to as the “Nikkei Dow Jones Stock Average.”