A Taiwan-area securities firm, SITE, securities investment consulting enterprise (SICE), or futures enterprise that meets the conditions of each of the following subparagraphs may apply to the competent authority for permission to establish a representative office in the Mainland Area or to establish such a representative office through a third-region subsidiary:
1. It has been established for a period of 3 full years.
2. Its CPA attested or reviewed financial report for the most recent period shows a net worth per share no lower than par value.
3. It has not during the preceding half year received any disposition pursuant to Article 66, subparagraphs 2 through 4 of the Securities and Exchange Act, Article 103, subparagraphs 1 through 5 of the Securities Investment Trust and Consulting Act, or Article 100, subparagraphs 2 through 4 of the Futures Trading Act, or, it has received such a disposition but the circumstances of its violation have been materially improved and have been recognized by the competent authority..
The representatives of the preceding paragraph shall possess good moral character and integrity along with professional and leadership ability, and shall be free of any of the circumstances set out in Article 53 of the Securities and Exchange Act, Article 68 of the Securities Investment Trust and Consulting Act, and Article 28 of the Futures Trading Act.
A securities or futures institution of paragraph 1 that applies for permission shall attach the following documents:
1. An application form.
2. A work plan.
3. Minutes of the relevant meeting of the board of directors;
4. A financial report for the preceding year.
5. Documentation showing that the qualifications of the planned representatives conform to the provisions of the preceding paragraph.
6. Other materials or documents, as required by the competent authority.

The representative office under paragraph 1 of the preceding article may engage in the following types of business, and shall comply with the regulations of the Mainland Area:
1. Investigation of securities and futures related business conditions;
2. Securities and futures related surveys, research, and information gathering;
3. Various types of management and consulting services required in relation to commercial activities;
4. Holding or participating in seminar activities in relation to securities or futures business;
5. Other matters or related liaison activities as approved by the competent authority.

The Taiwan-area securities or futures institution or third-region subsidiary of Article 12, paragraph 1 may make an application with the Mainland Area to establish a representative office only after receiving permission from the competent authority. When there is a change of its planned representative, it shall additionally annex documentation, and report to the competent authority for permission, regarding the representative's compliance with the provisions of Article 12; if the location of the planned representative office is changed, it shall annex relevant information for submission to and recordation by the competent authority.
The Taiwan-area securities or futures institution or third-region subsidiary of the preceding paragraph, after receiving permission from the Mainland Area's competent authority for securities and futures, shall immediately report the fact to the competent authority, and prior to establishment of the representative office, shall annex the following information for submission to and recordation by the competent authority:
1. The letter of approval from the Mainland Area's competent securities and futures authority.
2. The planned date of establishment of the representative office and its full address.
3. The names of its representatives.

The Taiwan-area securities or futures institution or third-region subsidiary of Article 12, paragraph 1, after establishing a representative office in the Mainland Area, shall comply with the following provisions:
1. Any occurrence of a major contingent event or fraudulent practice at a representative office shall be handled and reported in accordance with the regulations of the competent authority.
2. Full and accurately updates shall be provided for any change in relevant information on the representative office reported through the competent authority's designated information reporting website.
3. Prior to a change in representatives, documentation of a new representative's compliance with the provisions of Article 12 shall be submitted to the competent authority for permission.
4. A change in the representative office's location shall be reported in advance to the competent authority for recordation.
If the representative office of the preceding paragraph is to be closed, the closing shall be reported to the competent authority for permission prior to making any application for its closure in the Mainland Area, and when permission is granted by the competent securities and futures authority of the Mainland Area, it shall be immediately reported to the competent authority. Prior to closing a representative office, the Taiwan-area securities or futures institution shall submit the letter of approval from the Mainland Area's competent securities and futures authority and the planned date of closing to the competent authority for recordation.