The Taiwan Monthly

Jun. 2021

Corporate Governance

The 7th (2020) Corporate Governance Evaluation results announced

According to the Taiwan Stock Exchange (“TWSE”), the evaluation work in the 7th (2020) Corporate Governance Evaluation has been completed, which included 905 TWSE- and 712 TPEx-listed companies, 1,617 in total. According to the evaluation scores, the companies are divided into seven groups of the top 5%, 6% to 20%, 21% to 35%, 36% to 50%, 51% to 65%, 66% to 80%, and 81% to 100%, respectively. The evaluation results for the TWSE- and TPEx-listed companies are announced separately.


In addition, in accordance with the “Corporate Governance 3.0 - Sustainable Development Roadmap”, the sector of market value between TWD 5 billion to 10 billion (268 companies in total) was also announced this year. This, along with the three existing sectors of financial industry (44 companies in total), electronics industry with a market value of TWD 10 billion or more (215 companies in total) and non-finance and non-electronics industry with a market value of TWD 10 billion or more (212 companies in total) combined ranking of TWSE- and TPEx-listed companies. For each sector, the companies are classified into several groups based on the scores in order for investors to understand the performance of the evaluated companies in their respective industries and groups with similar market value scales.


Through the indicator contents and the promotion of related regulations, enterprises have gradually been guided to adopt various advantageous corporate governance measures. In 2020, the listed companies continued to achieve improvements in various statistics. For example, the number of companies who have set up an audit committee totaled 1,355, accounting for 78% in weighting of all listed companies. The setups are expected to be fully completed by 2022. The number of companies who have filed annual financial reports before the end of February accounted for 156, an 11% increase compared to 2019. A total of 917 companies provided meeting notices in English for their AGMs, 600 companies provided the English agenda handbook, 530 companies provided the English annual reports, with the growth rates accounting for 19%, 8%, and 8%, respectively. The number of companies that have prepared the corporate social responsibility reports totaled 518, a 9% increase compared to the previous year. In addition to the quantitative indicators, by strengthening qualitative requirements, adding scoring differentiation and questionnaires distribution to collect feedbacks, the evaluation system is intended to galvanize enterprises to value implementation after governance framework establishment, and furthermore, disclose relevant performances.


The Taiwan Stock Exchange and the Taipei Exchange will hold the award ceremony in early June to honor the top 5% companies on the listing market basis (45 from TWSE and 36 from TPEx) and the top 5% of the market value between TWD 5 billion to 10 billion sector (7 from TWSE and 6 from TPEx). The 7th Corporate Governance Evaluation results can be found on the Corporate Governance Center website ( and the Securities and Futures Institute website (, with links to the Market Observation Post System ( for convenient access by investors.


For further inquiries, please contact Ms. Hsieh at .