This website uses cookies to improve your browsing experience. By continuing to use this website you agree to our use of cookies. For more information on our use of cookies, click here to review the Cookies Policy.。
The Financial Supervisory Commission promulgated Rules Governing Inbound Securities Investment from Mainland China ("Rules") on 15 January 2010, setting forth certain rules governing inbound securities investments from Mainland China area:
l
The total ceiling of investment amount invested by all qualified domestic institutional investors approved by PRC securities authorities (QDII) is capped at US$500 million.
l
The maximum shareholding by each and all QDIIs in a Taiwan entity very, depending on the business nature of such target entity: for entities in public industries and those directly invested by the Ministry of Economic Affairs, shareholding of each and all QDIIs must be under 10% (of the issued and outstanding shares), while for entities in maritime shipping industries, 8%. The shareholding by a QDII in a financial institution must be under 5%, and the total shareholding of all the QDIIs in a financial institution must be under 10%.
l
Despite the above, QDIIs are still barred from holding securities in certain industries such as, telecommunications, civil aviation transportation, air freight transportation forwarding services, radio and television broadcasting, program supplying business for radio and television broadcasting, constructions, real estate agencies and so on.
l
The custodian bank of a QDII must submit an application to the TWSE on behalf of its client for the inward remittance of the funds. The inward remittance quota for each QDII is capped at US$80 million.
