萬國法律事務所

Taiwan’s Mainland Affairs Council approved in late November of 2004 a proposal put forth by the Financial Supervisory Commission suggesting that Taiwanese securities firms in partnership with Chinese securities firms be permitted to establish subsidiaries in China. It is hoped that this allowance will facilitate the cooperation between Taiwanese security firms and their US and European counterparts in developing the Chinese market. The measure, however, still requires the approval of Taiwan’s Executive Yuan before it can be implemented.

According to the revised regulations, Taiwanese securities houses seeking to establish subsidiaries in China must a) have a net worth in excess of NT$ 7 billion (approximately US$ 222,088,264) as published in their latest financial reports and this amount must exceed their capital shares, and b) they must not have invested more than 10% of their net worth and their holding shares must not be less than 25% of the total shares issued by their Chinese counterparts.