Chinese tourists will be able to invest in Taiwanese stocks starting in the third quarter of this year. That’s the word from Financial Supervisory Commission (FSC) Chairman William Tseng on Wednesday. Tseng said that he wants to attract investors to Taiwan at a time when Taiwanese investors are buying stocks overseas.
Tseng said that some Chinese investors and corporations are currently using Offshore Banking Units (OBUs) to invest in Taiwanese stocks, but there aren’t that many doing so. He said that it would be much more convenient to have Overseas Securities Units (OSUs) to enable Chinese to invest in Taiwan’s stock market.
"The details are still being worked out. If we want to make Taiwan an Asian-Pacific financial hub, we need three things: OBUs, OSUs and OIUs (Overseas Insurance Units)," said Tseng. "We are now working on making opening accounts convenient, and related matters such as working with travel agents, preventing money laundering, and protecting investors."
Tseng said the FSC expects to have the plan worked out by June, so that Chinese can begin investing in the third quarter.