The Taiwan Monthly

7%

Ø It’s true; your eyes are focused.

Ø In a nutshell, foreign dealers who own the bidding securities are allowed to lend securities through competitive bid initiated by a securities finance company.

Ø The profit potential is 7% (the most, of the previous closing price of that security). Securities can be lent for one business day and can be sold on the same day, except disposition securities.

SBL

Regulation

Ø A shortfall occurs in a security due to a securities finance company's operation of margin purchase and short sale business, securities lending business and refinancing business,or,

Ø The securities finance company is engaged by a securities firm to handle on its behalf any open position that still remains after Sell-First-Buy-Later day trading.

Ø According to the regulation, the securities finance company shall initiate a competitive bid of a security as of 9 am on the next business day.

Ø For details, the link URL is as follows:

http://eng.selaw.com.tw/LawArticle.aspx?La wID=FL007044&ModifyDate=1080926 )

Daily information for securities borrowed through competitive bid initiated by securities finance company can be found on:

(https://www.twse.com.tw/en/page/trading/exchange/ BFIB8U.html)

Specific

Account

Holders

Ø Foreign dealers located in Taiwan whose account numbers digits(XXXX-998000-0) can lend securities    through competitive bid initiated by a securities finance company.

Contact information

Mr. Kuo at 1283@twse.com.tw