T-share trade both sides' goal: official
The China Post news staffTAIPEI, Taiwan -- Trading of the so-called T-shares in Taiwan is a goal that both sides of the Strait will strive to achieve, said an official with the Financial Supervisory Commission (FSC) yesterday.
January 30, 2013, 11:57 am TWN
Chang Li-chen, vice director of the Securities and Futures Bureau under FSC, made the remarks after a summit between Chen Yu-chang, chairman of the FSC, and Guo Shuqing, chairman of the China Securities Regulatory Commission (CSRC), yesterday. The summit was held at Taipei 101 yesterday morning.
According to Chang, a major achievement of the meeting was the set-up of a cross-strait cooperation platform, which enables officials from both agencies to meet on a regular basis. The two also touched upon trade monitoring and the protection of investors' rights and will leave further discussions on the issues to negotiators in future dialogues, she said.
As for the issue many have expressed concerned for, namely the trading of T-shares in Taiwan, Chang said both Chen and Guo have reached the consensus that it is a goal both agencies will work towards.
Guo kept a low profile during his visit in Taiwan. During the photo opp before the summit, Guo was confronted with various questions, including Taiwan companies' eligibility requirements to become qualified foreign institutional investors in China. To these questions, Guo only responded with “We're working on it.”
Meanwhile, Guo met with Taiwan's securities traders during a meeting yesterday afternoon. According to Huang Chu-min, head of Taiwan's stock brokerage association, brokers asked Guo to open China's stock market completely to Taiwan securities firms.
“It is our hope that everything China's stock brokers are allowed to do, we can also do,” Huang said.
Word in the News: T-shares
T-shares are shares issued by companies incorporated in mainland China and traded on the Taiwan Stock Exchange. The concept of T-shares derives from H-shares, which are shares issued by mainland Chinese firms and are traded on the Hong Kong Stock Exchange. The trading of T-shares is pending approval by Taiwan's financial regulators, which will take a range of issues into consideration, including trade monitoring and investors' protection.