The Financial Supervisory Commission said Dec. 22 that it is proposing to ease restrictions governing investment by mainland Chinese qualified domestic institutional investors in Taiwan.
“The revisions will allow mainland Chinese QDII funds to invest in Taiwan Depository Receipts, all initial and secondary public offerings, as well as options issued by Taiwanese firms,” the FSC said. “There will be no cap on holdings in issuance by foreign firms.”
The FSC is also raising the upper limit on investments by individual QDII funds from US$80 million to US$100 million, with the permissible combined total remaining at US$500 million.
According to the FSC, the decision was taken in consultation with the ROC Central Bank.
FSC statistics reveal that seven mainland Chinese QDII funds have invested US$163.7 million in the local bourse to date.
An unnamed FSC official said the changes are expected to take effect Dec. 27, pending Cabinet approval. (JSM)
Write to Meg Chang at meg.chang@mail.gio.gov.tw