FSC Inspects 4 Firms in Kaohsiung Zone, Pledges Continued Deregulation to Align with International Standards

(Central News Agency, Reporter Su Siyun, Taipei, 18th) With the Kaohsiung special zone approaching its first anniversary, Financial Supervisory Commission (FSC) Chairman Peng Chin-lung visited four financial institutions in the Kaohsiung zone today and for the first time disclosed the results of the insurance and securities investment trust and consulting industries. The FSC stated that the promotional results of various pilot businesses are steady, and it will continue to promote business opening and deregulation to facilitate the integration of Taiwan's asset management market with international standards. The Asian Asset Management Center Kaohsiung Asset Management Zone (Kaohsiung Zone), jointly established by the FSC and the Kaohsiung City Government, will soon celebrate its first anniversary. Peng Chin-lung led a team south to visit four firms: Taipei Fubon Bank, Hua Nan Bank, Nanshan Life, and First Gold Investment Trust. The FSC issued a press release today stating that 57 financial institutions, including banks, securities firms, investment trust and consulting firms, and insurance companies, have been approved to operate in the Kaohsiung Zone. As of the end of March, there were mainly four pilot business achievements. First, the banking sector's credit and financing business has accumulated 2,314 disbursements, with a loan balance of NT$41.7 billion. Second, banks' family office business has reached a cumulative total of 139 offices, with assets under management of NT$80.2 billion. Third, the multi-channel pilot business for offshore funds that are not of the nature of securities investment trust funds, handled by investment trust and consulting firms, has listed 9 offshore funds, with investor holdings reaching NT$2.867 billion. Fourth, for insurance products not subject to the minimum ratio of death benefits to policy value reserves, there have been a cumulative 175 effective contracts, with total premium income reaching NT$2.5 billion. The FSC stated that the original intention of establishing the zone was to encourage firms to move forward steadily by accumulating practical experience, adhering to the principle of 'three musts and one not': must do risk control, must implement internal control and anti-money laundering, must cultivate talent, and must not engage in vicious competition. The inspected financial institutions all stated that in terms of risk control, they have strengthened anti-money laundering training and will continue to improve customer due diligence, transaction monitoring, and high-risk customer management mechanisms. In terms of talent cultivation, to meet the increasing demand for high-net-worth client services and family wealth management, they have continued to expand related manpower and strengthen professional talent cultivation. This includes sending personnel to participate in relevant courses at the Academy of Banking and Finance and encouraging employees to obtain international professional certifications to continuously enhance asset management and high-net-worth client service capabilities. The FSC emphasized that the steady progress of the various pilot businesses in the Kaohsiung Zone shows that Taiwan's asset management market has huge development potential. In the future, it will continue to promote business opening and deregulation, with a core focus on 'business innovation, capital flow, and talent convergence,' to promote the integration of Taiwan's asset management market with international standards and gradually achieve the policy goals of the Asian Asset Management Center. Taipei Fubon Bank President Kuo Pei-ting stated that the greatest significance of the Asian Asset Management Center for Taiwan's financial industry is to 'retain talent and attract capital.' The government's opening of the zone to pilot many innovative products has enhanced the international competitiveness of domestic banks' wealth management business. On the other hand, professional talents who are familiar with foreign financial product operations, high-net-worth services, and have high market sensitivity will also see Taiwan's new blue ocean in wealth management. It is expected that with the current wave of overseas Taiwanese business asset transfers, there will be an active return. Nanshan Life Chairman Yin Chung-yao and President Fan Wen-wei were also present today to explain the business promotion situation. From July 2025 to the end of April this year, Nanshan Life's total premium income related to the Kaohsiung financial zone has reached about 83% of the pilot target, with an average premium per policy of about NT$17.31 million, which is 8.4 times the average premium per policy for general customers in the bancassurance channel, indicating a high demand from high-net-worth clients for the zone's insurance services. As for manpower, in response to the gradual expansion of the zone's business scale, Taipei Fubon Bank has continued to increase the manpower of the zone's team, which is expected to nearly double by the end of the year. In recent years, Nanshan Life has deepened its ties with local universities and financial education institutions in Kaohsiung through scholarships, industry-academia cooperation, and in-service training, and plans to gradually expand its service manpower in the zone. (Editor: Lin Chia-hsien)