Securities enterprises that have obtained the qualification to engage in proprietary trading of domestic bonds may also engage in proprietary trading of foreign currency denominated international bonds without making an application.

Securities enterprises that have obtained the qualification to underwrite domestic bonds may also offer financial planning, evaluation and consulting services relating to foreign currency denominated international bonds in accordance with the following rules without making an application:
1.The securities enterprise may not engage in underwriting on a firm commitment basis or a standby commitment basis;
2.The securities enterprise may not be involved in receipt/payment between the issuer and the investors.
3.The securities enterprise may not report the commencement of underwriting foreign currency denominated international bonds business by offering financial planning, evaluation and consulting services relating to foreign currency denominated international bonds.

A securities enterprise that intends to engage in the underwriting of foreign currency denominated international bonds shall apply to the Bank for approval by submitting documents provided in Article 7 herein and documents evidencing its qualifications as specified below:
1.Having the qualification to underwrite domestic securities.
2.Meeting one of the criteria below:
(1)Having a long-term credit rating of BBB (or equivalent) or higher for the latest year from a credit rating agency approved or recognized by the FSC or an internationally known credit rating agency; or
(2)For a branch of a foreign securities firm in Taiwan, its head office has practical experience in underwriting foreign securities.
3. The regulatory capital adequacy ratio shall meet one of the following requirements:
(1)For domestic securities firms, the regulatory capital adequacy ratio in the six months before the date of application shall be at least 200%; for banks and bills finance companies engaging concurrently in securities business, the regulatory capital adequacy ratio shall reach the statutory ratio;
(2)For branches of foreign securities firms in Taiwan, their head office shall meet the criteria provided in the preceding item or Paragraph 3, Article 59 of the “Regulations Governing Securities Firms”.
4. Free of any of the following sanctions:
(1)Any sanction imposed by the FSC during the preceding one year acting pursuant to any of Subparagraphs 2 ~ 4, Article 66 of the “Securities and Exchange Act”; and
(2)Any sanction during the preceding one year whereby the TPEx, acting pursuant to its operating rules or bylaws, has suspended or restricted the firm's trading privileges.
5. No accumulated loss as shown in its latest CPA audited or certified financial statements.

When a securities enterprise engages in the underwriting of a foreign currency denominated international bond, receipt/payment between the enterprise and the investors/issuer shall always be made in the denominated currency of the international bond.