To improve the service performance of securities firms and promote the development of trust business, the Financial Supervisory Commission (hereinafter referred to as the FSC) adopted the recommendation of the Taiwan Securities Association and planned amendments to points 2 and 4 of the “Directions for the Conduct of Wealth Management Business by Securities Firms” (hereinafter referred to as the Directions), which will be announced in the near future in accordance with the provisions of the Administrative Procedure Act for solicitation of opinions from all parties. The key points of the amendments are as follows:
1. Deletion of the definition of high net-worth customers: As the customers to whom securities firms may provide wealth management services and related conditions can in practice be determined based on the respective firm’s business strategy, and Point 13 of the Directions has already required that securities firms establish evaluation procedures for the understanding of customers which should include customer account opening operations, minimum transaction amounts and conditions, as well as various situations where securities firms may refuse transactions or accept customers, the term “high net-worth customers” and related conditions will be deleted to achieve consistency with inclusive finance and regulations.
2. Lowering the threshold for securities firms to apply for concurrent discretionary investment business: Referring to Article 2 of the “Regulations Governing the Conduct of Discretionary Investment Business by Securities Investment Trust Enterprises and Securities Investment Consulting Enterprises” amended by the FSC on November 30, 2022, the threshold for SITEs to apply for concurrent discretionary investment business will be raised from NT$10 million to NT$15 million. In view of the consistency between the standards for securities firms and banks to apply for concurrent discretionary investment business, relevant provisions will be amended accordingly.
According to the FSC, in addition to being published in the official gazette of the Executive Yuan, the general description of the draft and a comparison table of the amended articles will be published on the FSC’s website for public consultation. If you have any comments, please visit the “Advance Notice on Draft Amendment” page of the FSC’s website “Laws and Regulations Retrieving System (URL: http://law.fsc.gov.tw/)” to submit your opinions within 60 days from the next day of the announcement.

Contact unit: Securities Firms Division, Securities and Futures Bureau
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