An FCM preparing parent company only financial reports shall apply accounting treatment conforming to the requirements of Chapter II of these Regulations, except when it has control or significant influence over, or a joint venture interest in, an invested company, in which case it shall value the long-term equity investment using the equity method.
The profit or loss for the period and other comprehensive income presented in parent company only financial reports shall be the same as the allocations of profit or loss for the period and of other comprehensive income attributable to owners of the parent presented in the financial reports prepared on a consolidated basis, and the owners' equity presented in the parent company only financial reports shall be the same as the equity attributable to owners of the parent presented in the financial reports prepared on a consolidated basis.

An FCM preparing parent company only financial reports is not required to prepare segment information within the scope of IFRS 8.

An FCM preparing parent company only financial reports shall prepare statements of major accounting items.
Titles of statements of major accounting items are as follows:
1. Statements of assets and liabilities items:
A. Statement of cash and cash equivalents.
B. Statement of financial assets at fair value through profit or loss – current.
C. Statement of financial assets measured at fair value through other comprehensive income – current.
D. Statement of financial assets for hedging – current.
E. Statement of financial assets measured at amortized cost – current.
F. Statement of futures trading margins – own funds.
G. Statement of futures trading margins – securities.
H. Statement of customer margin account balances.
I. Statement of customer margin accounts – bank deposits.
J. Statement of customer margin accounts – securities.
K. Statement of customer margin accounts – clearing balances with futures clearing houses.
L. Statement of customer margin accounts –clearing balances with other futures commission merchants.
M. Statement of customer margin accounts –others.
N. Statement of futures trading margins receivable.
O. Statement of trade receivables.
P. Statement of prepayments.
Q. Statement of other receivables.
R. Statement of non-current assets held for sale.
S. Statement of other current assets.
T. Statement of changes in financial assets at fair value through profit or loss –non-current.
U. Statement of financial assets measured at fair value through other comprehensive income –non-current.
V. Statement of financial assets for hedging –non-current.
W. Statement of financial assets measured at amortized cost –non-current.
X. Statement of changes in investments accounted for using the equity method.
Y. Statement of changes in accumulated impairment of investments accounted for using the equity method.
Z. Statement of changes in property and equipment.
AA. Statement of changes in accumulated depreciation of property and equipment.
AB. Statement of changes in accumulated impairment of property and equipment.
AC. Statement of changes in right-of-use assets.
AD. Statement of changes in accumulated depreciation of right-of-use assets.
AE. Statement of changes in accumulated impairment of right-of-use assets.
AF. Statement of changes in investment property.
AG. Statement of changes in accumulated depreciation of investment property.
AH. Statement of changes in accumulated impairment of investment property.
AI. Statement of changes in intangible assets.
AJ. Statement of deferred tax assets.
AK. Statement of other non-current assets.
AL. Statement of short-term borrowings.
AM. Statement of commercial paper payable.
AN. Statement of financial liabilities at fair value through profit or loss –current.
AO. Statement of financial liabilities for hedging –current.
AP. Statement of futures traders' equity.
AQ. Statement of trade payables.
AR. Statement of other payables.
AS. Statement of provisions –current.
AT. Statement of liabilities directly associated with non-current assets held for sale.
AU. Statement of other current liabilities.
AV. Statement of changes in financial liabilities at fair value through profit or loss –non-current.
AW. Statement of financial liabilities for hedging –non-current.
AX. Statement of long-term borrowings.
AY. Statement of lease liabilities.
AZ. Statement of bonds payable.
BA Statement of provisions –non-current.
BB Statement of deferred tax liabilities.
BC Statement of other non-current liabilities.
2. Statements of profit or loss items:
A. Statement of gains (losses) on derivative instruments.
B. Statement of futures commission expenses.
C. Statement of employee benefits, depreciation, amortization, and other operating expenses.
D. Statement of finance costs.
E. Statement of expected credit impairment loss (gain).
F. Statement of other gains and losses.
An FCM may determine, having regard to the concept of materiality, whether or not to separately present the statements of assets and liabilities items described in subparagraph 1 of the preceding paragraph.

An FCM shall provide information on its business conditions in accordance with the following:
1. Significant business matters: The FCM shall provide information on matters arising over the most recent 5 financial years that have had a significant impact on its business, including acquisitions of or mergers with other companies, demergers, equity investments in affiliated enterprises, reorganization, purchases or disposals of major assets, and significant changes in operation method or business activity.
2. Remuneration to directors, supervisors, general manager, assistant general managers and any board chairman(men) and general manager(s) who retired from the FCM or an affiliated enterprise thereof and have resumed employment at the FCM as a consultant and related information:
A. The FCM may opt either to disclose aggregate remuneration information, with the name(s) indicated for each remuneration range, or to disclose the name of each individual and the corresponding remuneration amount. For a director concurrently serving as a member of management, the remuneration shall be disclosed separately for each position held. The FCM may adopt the aggregate disclosure method if it is a non-public company whose issued voting shares are all held, directly or indirectly, by one single person.
B. If the FCM has had an after-tax deficit on its parent company only or individual financial report in one of the most recent 3 financial years the FCM shall disclose the remuneration paid to each individual director, supervisor, general manager, assistant general manager, and consultant, provided that this rule does not apply if there is net profit after tax for the most recent fiscal year and such net profit after tax is sufficient to make up the accumulated deficits or if it is a non-public FCM whose issued voting shares are all held, directly or indirectly, by one single person.
C. The FCM, if a public company that has had an insufficient director shareholding percentage for 3 consecutive months or longer during the most recent financial year, shall disclose the remuneration paid to each of the directors, and, if one that has had an insufficient supervisor shareholding percentage for 3 consecutive months or longer during the most recent financial year, shall disclose the remuneration paid to each of the supervisors.
D. The FCM, if a public company that has had an average ratio of share pledging by directors and supervisors in excess of 50 percent in any 3 months during the most recent financial year, shall disclose the remuneration paid to each of the directors and supervisors having a ratio of pledged shares in excess of 50 percent for each such month.
E. If the total amount of remuneration received by all of the directors and supervisors in their capacity as directors or supervisors of all the companies listed in the financial reports exceeds 2 percent of the net profit after tax, and the remuneration received by any individual director or supervisor exceeds NT$15 million, the FCM shall disclose the remuneration paid to that individual director or supervisor, provided that this rule does not apply if it is a non-public FCM whose issued voting shares are all held, directly or indirectly, by one single person.
F. If an FCM listed on the TWSE or the TPEx is ranked within the lowest two tiers in the corporate governance evaluation for the most recent fiscal year, or in the most recent fiscal year and up to the date of publication of the financial report for that year, the FCM's securities have been placed under an altered trading method, suspended from trading, delisted from the TWSE or the TPEx, or the Corporate Governance Evaluation Committee has resolved that the FCM shall be excluded from evaluation, the FCM shall disclose the remuneration paid to each individual director and supervisor.
G. If the average annual salary of the full-time non-management employees in a TWSE or TPEx listed FCM is less than NT$500,000 in the most recent fiscal year, the FCM shall disclose the remuneration paid to each individual director and supervisor.
H. If a TWSE or TPEx listed FCM had an increase of 10 percent or more in net profit after tax for the most recent fiscal year, and the average annual salary of its full-time non-management employees did not increase relative to the preceding fiscal year, the FCM shall disclose the remuneration paid to each individual director and supervisor.
I. If a TWSE or TPEx listed FCM had a decline in after-tax net income reaching 10 percent and exceeding NT$5 million for the most recent fiscal year, along with an increase in its average remuneration per director (not including the remuneration of those who are also employees) reaching 10 percent and exceeding NT$100,000, the FCM shall disclose the remuneration paid to each individual director and supervisor.
J. If the circumstance in item B or item F applies to an FCM listed on the TWSE or the TPEx, it shall disclose the individual remuneration paid to each of its top five management personnel.
3. Number of employees in non-management positions, average annual employee benefit expenses for the fiscal year, and difference compared to those of the preceding year.
4. Labor-management relations:
A. Indicate each item of employee benefit policies, professional development, training, or retirement programs and the status of their implementation, as well as agreements between labor and management and policies for safeguarding employees' rights and interests.
B. List the loss sustained as a result of labor disputes in the most recent financial year, together with the disclosure of an estimate of losses incurred to date or likely to be incurred in the future and the mitigation measures taken or to be taken. If the losses cannot be reasonably estimated, the FCM shall make a statement to that effect.
C. List any violations of the Labor Standards Act found during a labor inspection, including the disposition date, disposition reference number, the articles of laws or regulations breached, description of the violation, and the disposition.
5. The following items shall be disclosed with respect to the implementation of the internal control system:
A. Statement of the internal control system.
B. If a CPA has been engaged to carry out a project audit of the internal control system, the CPA audit report shall be disclosed.
6. Cyber security management:
A. Describe the cyber security risk management framework, cyber security policies, concrete management programs, and investments in resources for cyber security management.
B. List any losses suffered by the FCM in the most recent fiscal year due to significant cyber security incidents, the possible impacts therefrom, and measures being or to be taken. If a reasonable estimate cannot be made, an explanation of the facts of why it cannot be made shall be provided.
7. The term "affiliated enterprise" in this article means an affiliated enterprise as defined in Article 369-1 of the Company Act.

An FCM shall disclose the following financial overview:
1. Condensed balance sheet and statement of comprehensive income for the most recent 5 years, and shall specify the name of the CPAs and the auditor's opinion.
2. Financial analysis for the most recent 5 years: including financial structure, solvency, profitability, cash flows and the rates of other special requirements, and explain the reasons for the change of each of the financial ratios over the most recent 2 fiscal years.
3. If the FCM or an affiliated enterprise has encountered any financial difficulties in the most recent fiscal year, the impact on the company's financial condition shall be set forth.
"Affiliated enterprise" in subparagraph 3 of the preceding paragraph means an affiliated enterprise as defined in Article 369-1 of the Company Act.

An FCM shall review and analyze its financial position, and financial performance, and assess risk items. The required particulars are as follows:
1. Financial condition: The report shall explain the reason for, and impact of, any material change over the most recent 2 fiscal years in the FCM's assets, liabilities, or equity. Where the impact is of material significance, it shall further describe how the FCM plans to respond.
2. Financial performance: The report shall explain the reasons for any material changes over the most recent 2 fiscal years in operating income, and income before tax; forecast the FCM's expected sales volume and provide the basis for the forecast; and describe the possible impact of such changes upon the FCM's financial and business affairs, and how the FCM plans to respond.
3. Cash flows: The report shall analyze and explain any changes over the most recent fiscal year in the FCM's cash flows; describe how the FCM plans to address any illiquidity problems; and provide an analysis of the FCM's cash liquidity for the coming fiscal year.
4. The impact of any material capital expenditures over the most recent fiscal year upon the FCM's financial and operating condition.
5. The FCM's policy for the most recent fiscal year on investments in other companies, the main reasons for profit/losses resulting therefrom, plans for improvement, and investment plans for the coming fiscal year.
6. The section on risks shall analyze and assess the following matters for the most recent fiscal year and as of the day of the close of the fiscal year:
A. The effect upon the FCM's profits (or losses) of interest and exchange rate fluctuations and changes in the inflation rate, and response measures to be taken in the future.
B. The FCM's policy regarding high-risk investments, highly leveraged investments, loans to other parties, endorsements, guarantees, and derivatives transactions; the main reasons for the profits/losses generated thereby; and response measures to be taken in the future.
C. Effect on the FCM's financial operations of important policies adopted and changes in the legal environment at home and abroad, and measures to be taken in response.
D. Effect on the FCM's financial operations of developments in science and technology (including cyber security risks) as well as industrial change, and measures to be taken in response.
E. Effect on the FCM's crisis management of changes in the FCM's corporate image, and measures to be taken in response.
F. Expected benefits and possible risks associated with any merger or acquisition, and measures to be taken in response.
G. Expected benefits and possible risks associated with any plant expansion, and measures to be taken in response.
H. Risks associated with any consolidation of business operations, and measures to be taken in response.
I. Effect upon and risk to the FCM in the event of any large transfer or changing of hands of shareholding of a director, a supervisor, or a shareholder holding greater than a 10 percent stake in the FCM, and measures to be taken in response.
J. Effect upon and risk to the FCM associated with any change in governance personnel or top management, and measures to be taken in response.
K. Litigious or non-litigious matters. List any material litigious, non-litigious, or administrative dispute that involves the FCM or any of its directors, supervisors, general manager, major shareholder holding a stake of greater than 10 percent, or any company or companies controlled by the FCM, and that has been concluded by a final and conclusive judgment or is still pending. Where such a dispute could materially affect shareholders' equity or the prices of the FCM's securities, the report shall disclose the facts of the dispute, the amount of money at stake in the dispute, the date of commencement of litigation, the main parties to the dispute, and the status of the dispute as of the date of the close of the fiscal year.
L. Other significant risks, and measures to be taken in response.
7. Crisis management mechanisms.
8. Other important matters.

An FCM shall disclose the following information regarding its attesting CPAs (external auditors):
1. Information on professional fees:
A. The FCM shall disclose the amounts of the audit fees and non-audit fees paid to the attesting CPAs and to the accounting firm to which they belong and to any affiliated enterprises as well as the details of non-audit services. "Audit fees" means professional fees paid by the FCM to its attesting CPAs for audits, reviews, and secondary reviews of financial reports, and reviews of financial forecasts.
B. When the FCM changes its accounting firm and the audit fees paid for the financial year in which the change took place are lower than those paid for the financial year immediately preceding the change, the amount of the audit fees before and after the change and the reason shall be disclosed.
C. When the audit fees paid for the current financial year are lower than those paid for the immediately preceding financial year by 10 percent or more, the amount and percentage of and reason for the reduction in audit fees shall be disclosed.
2. Information on change in CPAs: If an FCM changed its CPAs during the most recent 2 financial years or any subsequent interim period, it shall disclose the following information:
A. Regarding the former CPAs:
a. Date of and reason for the change in CPAs, together with a description of whether the CPAs or the FCM terminated or discontinued the engagement.
b. If the former CPAs issued an audit report during the most recent 2 years containing an opinion other than an unqualified opinion, state the opinion and reason.
c. Indicate whether there were any disagreements between the FCM and the former CPAs on accounting principles or practices, financial report disclosure, and auditing scope or procedure. If any such disagreements did exist, the FCM shall describe in detail the nature of each such disagreement, how the FCM addressed them (including whether the FCM has authorized the former CPAs to respond fully to the inquiries of the successor CPAs concerning such above-mentioned disagreements), and the final results.
d. The former CPAs advised the FCM that it lacked the sound internal controls necessary to develop reliable financial reports.
e. The former CPAs advised the FCM that the CPAs were unable to rely on the FCM's written representations, or was unwilling to be associated with the financial reports prepared by the FCM.
f. The former CPAs advised the FCM that the scope of the audit must be expanded, or there was information showing that an expanded audit might impact the reliability of either a previously issued financial report or the financial report to be issued but due to the change of the CPAs or for any other reason, the former CPAs did not expand the scope of the audit.
g. The former CPAs advised the FCM that information has come to the CPAs' attention that might impact the reliability of either a previously issued financial report or the financial report to be issued, but due to the change of the CPAs or for any other reason, the former CPAs did not address the issue.
B. Regarding the successor CPAs:
a. Names of the successor accounting firm and CPAs, and date of engagement.
b. If prior to the formal engagement of the successor CPAs, the FCM consulted the new CPA regarding the accounting treatment of or application of accounting principles to a specific transaction, or the type of audit opinion that might be rendered on the FCM's financial report, the FCM shall disclose the issues that were the subjects of those consultations and the consultation results.
c. The FCM shall consult and obtain written views from the successor CPAs regarding the matters on which the FCM disagreed with the former CPAs, and disclose information on these views.
C. The FCM shall by letter provide the former CPAs with a copy of the disclosures it is making in response to item A and item B(c), and advise the CPAs of the need to respond by letter within 10 days should the CPAs disagree on any such matters. The FCM shall disclose the content of the reply letter from the former CPAs.
3. Where the FCM's chairperson, general manager, or any managerial officer in charge of finance or accounting matters has in the most recent year held a position at the accounting firm of its attesting CPAs or at an affiliated enterprise of such accounting firm, the name and position of the person, and the period during which the position was held, shall be disclosed. The term "affiliated enterprise" of the accounting firm of the attesting CPAs means an enterprise in which CPAs of the accounting firm to which the attesting CPAs belong hold more than 50 percent of the shares, or of which they hold more than half of the directorships, or any company or institution listed as an affiliated enterprise in the external publications or printed materials of the accounting firm of the attesting CPAs.

An FCM preparing and disclosing information on matters specified in Articles 30 through 33 of these Regulations shall request its attesting CPAs to issue a review opinion.
The matters for compliance for the issuing of a review opinion by the CPAs under the preceding paragraph shall be separately prescribed by the FSC.