Taiwan Stock Exchange Corporation

QFII restrictions on participants in TWSE SBL system are abolished. Press Release

Daily SBL short selling ceiling is relaxed from 20% of the average trading volume during the previous 30 business days of the underlying stock to 30% of the average trading volume during the previous 30 business days of the underlying stock.

SBL trading hour is extended from 9:00 to 15:00 to 9:00 to 15:30. Press Release

Lendable assets for securities firms to operate SBL is expanded:

1. Allow brokers to borrow securities from customers;
2. Cancel the client borrowing limits of brokers' SBL;
3. Adjust the eligible securities allowed for brokers’ SBL in line with the TWSE SBL System; and
4. Extend the roll-over limit from once to twice for brokers’ SBL.

Press Release

Brokers are allowed to negotiate collateral ratio when lending to professional institutional investors. Press Release

Foreign currencies including EUR, JPY, GBP, HKD and AUD are accepted as SBL cash collateral. Press Release

Daily SBL short selling ceiling is changed from 3% of outstanding shares of the underlying stock to 20% of the average trading volume during the previous 30 business days of the underlying stock.

Securities firms can apply to conduct SBL business acting as principal over-the-counterly.

Total short selling volume limit is adopted:

1. Daily short selling of borrowed stocks cannot exceed 3% of outstanding shares of the underlying stock;
2. Accumulated short selling of borrowed stocks cannot exceed 10% of outstanding shares of the underlying stock; and
3. Accumulated short selling borrowed stocks and margin short sales cannot exceed 25% of outstanding shares of the underlying stock.

TWSE launches a centralized SBL system.