Regulations Governing Securities Investment Trust Funds Article 14-1
A SITE-managed fund may itself engage in lending of the foreign securities it holds or may engage an overseas agent for such lending. It must meet the following requirements and must observe the relevant regulations of the competent authority of the respective home country or region:1. The quantity of any single foreign security loaned by any single fund may not exceed 50 percent of the quantity or total dollar amount of the given security that is held by the fund.2. The duration of the loan period for the loaned securities may not exceed 6 months from the date on which the loan transaction takes place.3. The types of collateral provided by the borrower of the securities are restricted to cash and government bonds issued by a country with a sovereign credit rating of a specific level or higher from a credit rating agency approved or recognized by the FSC.4. The respective collateral maintenance ratios may not be lower than 100 percent and 105 percent.The "foreign agent" of the preceding paragraph must meet the following conditions:1. Have been established for 3 or more years.2. Be a financial institution whose assets or net worth for the preceding year were listed in the top 500 globally, or a bank with assets of US$500 billion or more under custody.3. Have a credit rating of a specific level or higher issued by a credit rating agency approved or recognized by the FSC.When a SITE utilizes a fund to lend the foreign securities it holds, measures for risk control and management in such securities lending by the SITE shall be incorporated into its internal control system and shall be submitted to the board of directors for approval.When the borrower of the securities is an interested company with respect to the SITE or when government bonds are provided as collateral for the borrowing, the lending transaction may only take place after the SITE's risk control and management measures for interested party transactions and collateral management have been submitted to and approved by the FSC.The provisions of Article 11 apply mutatis mutandis with respect to the definition of "interested company" under the preceding paragraph.
中文原文 證券投資信託基金管理辦法（931030訂定）第14-1條
證券投資信託事業經理基金，得自行或委由國外代理機構將所持有之外國有價證券辦理出借，並應符合下列條件及應遵守當地國（地區）主管機關相關規定：
一、每一基金出借所持有任一外國有價證券數額不得超過所持有該有價證券數額或總金額之百分之五十。
二、出借證券之借貸期間自借貸成交日起算，最長以六個月為限。
三、借券人提供擔保品之種類，以現金及發行國家主權評等經本會核准或認可之信用評等機構評等達一定等級以上者之政府債券為限。
四、借券擔保品維持率分別不得低於百分之一百及百分之一百零五。
前項所稱國外代理機構，應符合下列條件：
一、成立滿三年以上。
二、最近一年資產或淨值排名居全世界前五百名以內之金融機構或所保管之資產達五千億美元以上之銀行。
三、經本會核准或認可之信用評等機構評等達一定等級以上者。
證券投資信託事業運用基金出借所持有之外國有價證券，應於內部控制制度中訂定出借外國有價證券之風險監控管理措施，提經董事會通過。
借券人為證券投資信託事業之利害關係公司或提供擔保品種類為政府債券者，證券投資信託事業應將關係人交易及擔保品管理之風險監控措施報經本會核准後，始得為之。
前項所稱利害關係公司，準用第十一條規定。
一、每一基金出借所持有任一外國有價證券數額不得超過所持有該有價證券數額或總金額之百分之五十。
二、出借證券之借貸期間自借貸成交日起算，最長以六個月為限。
三、借券人提供擔保品之種類，以現金及發行國家主權評等經本會核准或認可之信用評等機構評等達一定等級以上者之政府債券為限。
四、借券擔保品維持率分別不得低於百分之一百及百分之一百零五。
前項所稱國外代理機構，應符合下列條件：
一、成立滿三年以上。
二、最近一年資產或淨值排名居全世界前五百名以內之金融機構或所保管之資產達五千億美元以上之銀行。
三、經本會核准或認可之信用評等機構評等達一定等級以上者。
證券投資信託事業運用基金出借所持有之外國有價證券，應於內部控制制度中訂定出借外國有價證券之風險監控管理措施，提經董事會通過。
借券人為證券投資信託事業之利害關係公司或提供擔保品種類為政府債券者，證券投資信託事業應將關係人交易及擔保品管理之風險監控措施報經本會核准後，始得為之。
前項所稱利害關係公司，準用第十一條規定。