Taiwan Republic of China

History

The Taiwan Stock Exchange Corporation (TWSE; Chinese: 台灣證券交易所) is a financial institution headquartered in Taipei 101, Taiwan. Established in 1961, it commenced stock exchange operations on February 9, 1962, under the regulation of the Financial Supervisory Commission. In 1976, clearing and settlement systems transitioned to electronic platforms. By September 29, 1988, all stock trading migrated to the semi-automated Computer-Assisted Trading System (CATS). On August 2, 1993, TWSE listed stocks shifted to the Fully Automated Securities Trading (FAST) system, introducing a real-time market surveillance system to combat illegal trading. Notably, on January 5, 1994, day trading in margin accounts was permitted, and on October 17, 1997, online trading became accessible to investors for enhanced order entry convenience.

In June 30, 2002, the Taiwan 50 Index was licensed for the creation of Taiwan’s inaugural exchange-traded fund (ETF) by a security investment trust company. On September 9, 2013, a pilot program allowing dealers to trade within daily fluctuation limits was initiated. By December 31, 2013, the Taiwan Stock Exchange boasted 809 listed companies with a combined market capitalization of NT$24,519,622 million. This pilot program became permanent on March 9, 2014. On August 8, 2016, the Dual-currency Trading Mechanism for ETFs was officially launched, and on October 26, intraday odd-lot trading was implemented. Lastly, on May 31, 2022, an Environmental, Social, and Governance (ESG) information reporting and disclosure function for the Market Observation Post System (MOPS), a public companies’ information platform, was introduced.

The TWSE aligns with national policy while catering to the needs of both domestic and foreign investors, securities issuers, and intermediaries. It aims to provide optimal value for all market participants by facilitating enterprises in listing securities, raising capital, and expanding operations. Committed to enhancing information transparency for fair trade and safeguarding investor rights, the TWSE strives for an efficient fundraising process and a secure investing environment. Its vision is to create a robust capital market and contribute to the well-being of the public. Through the development of the securities market, the TWSE aims to bridge the gap between national savings and investments, channeling funds for diverse industries and fostering economic growth.