1 / 15

An Overview of the Taiwan Futures Market

An Overview of the Taiwan Futures Market. Foreign Investment Status. Factors of Success. Communicate to understand the requirements of investors. Feedback by actions. Action 1 - Relax of Open Position Value.

melva
Télécharger la présentation

An Overview of the Taiwan Futures Market

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. An Overview of the Taiwan Futures Market

  2. Foreign Investment Status

  3. Factors of Success • Communicate to understand the requirements of investors. • Feedback by actions

  4. Action 1 - Relax of Open Position Value • Open position Value for FINI had been increased from 30% to 100%. It is based on the aggregate market value of related shares of Taiwan Index Futures held by such FINI sub-account as of the previous business day.

  5. Action 2 - Product developments • Taiwan Index Option • Taiwan Single Stock Option • TSEC Taiwan 50 Index …..etc

  6. Action 3 – Decrease of Investment Cost • The transaction tax on Taiwan Futures products had been decreased 50% from 0.5 per 1000 (each side) to 0.25 per 1000 (each side).

  7. Action 4 – Advertising and Bench Marking • Provide Training to local and overseas investors. • Built up communication channels with foreign investors – through Foreign Investment Banks and Custodian Banks • Bench Mark with Overseas Futures Exchanges

  8. Possible Further Developments (More Request from Investors)

  9. Requirement 1 - Cost • Eliminate transaction Tax • Simplify regulatory reporting / reporting procedures to decrease the operating cost of custodian banks = decrease transaction cost of investors. e.g. (transaction fee USD10-20, administration fee USD1000-2000, custodian fee base on contract value)

  10. Requirement 2 - Price FluctuationLimit • The 7% fluctuation limit may not be able to meet the market requirements. 10 – 15% fluctuations would be more appropriate.

  11. Requirement 3 – from Hedging to Trading • Allow Foreign investors to trade Taiwan Futures / Options not just limited to hedge purpose

  12. Action 4 – Diversify of Hedging Tools • Stock Borrowing and Lending

  13. Requirement 5 - Foreign Business Co-operations (Market Maker and Products Issuer) • Built up business relationship with foreign exchanges and foreign futures brokers to launch more new products and allow foreign brokers to be Marker Makers. e.g. SIMEX – MSCI – Taiwan Index HKEX – Nasdaq – US Stock Index

  14. Requirement 6 - Trading and Settlement Practice • Allow position rollover for Trading • Allow Give in / Give Up for settlements

  15. Why further Open Futures Market • The growth rate of Taiwan Futures Market is a well prove • Put birds in your own pocket

More Related