The Taiwan Monthly

Market & ETP Overview

TWSE obtained ISO 22301 certification to improve risk management

The stock market is the showcase of the economy, and reflects investors’ confidence in an industry’s environment and economic development. In the past two years, as Taiwan has kept the pandemic under control, industries have maintained their operations, the domestic economy has continued to grow, and the Taiwan stock market has achieved excellent results in terms of its index, trade value and market capitalization. As an important operator of Taiwan's capital market, the Taiwan Stock Exchange planned to build a business continuity management system in line with the ISO 22301 international standard in 2020 in order to meet various challenges and uncertainties in the future, boost investor confidence, and respond to the expectations of stakeholders. Based on the Plan-Do-Check-Act (the “PDCA”) cycle model, the “ISO 22301 Business Continuity Management System” is introduced, not only can it improve the availability of the key infrastructure of the securities markets, but also reduce the impact of unwarranted disaster events, early respond and resume critical operations to ensure the normal functioning of the capital market.

 

ISO 22301 mainly regulates the requirements of the Business Continuity Management System. The introduction of the ISO 22301 management system can help enterprises prepare well and maintain operational readiness in emergency situations. The requirements of the ISO 22301 standard have wide applicability to any type or size of business.

 

After nearly a year of dedicated focus, the Taiwan Stock Exchange was certified by the British Standards Institution in December 2020, and officially obtained the international standard certification of "ISO 22301 Business Continuity Management System." The initial benefits of ISO 22301 Business Continuity Management System include the integration of personnel and resources required for an emergency response and operational recovery, the establishment of a consistent mechanism for communication with relevant units, and the enhancement of personnel proficiency in emergency response. The launch of a comprehensive, feasible and effective business continuity management system can provide the best guarantee for the continuous operation of the centralized trading market.

 

In 2021, the Taiwan Stock Exchange expanded the application and verification of ISO 22301 to the Third Information Center to optimize the completeness of the system backup and recovery operations, build the resources required to perform recovery operations, and deepen the emergency response drill for the Third Information Center. Through regular business impact analysis and risk assessment, the Taiwan Stock Exchange can summarize the operational risks that it may face, deepen the continuous operation drill items, strengthen the proficiency of personnel in dealing with emergency situations, and improve the proficiency of the information unit in the activation timing, process and cross-departmental collaboration. This is beneficial to the improvement of the resource of key infrastructure in the securities trading market, so as to reduce the impact of unwarranted disaster events or to respond as soon as possible and resume key operations when such events occur, and meet the expectations of the competent authorities. The Taiwan Stock Exchange will continue to support government policies, maintain the sustainable operation of the capital market, and serve as a solid backing for the country's economic development.

 

For further information, please contact Mr. Kao at 1219@twse.com.tw.