Regulations Governing Derivatives Transactions Conducted by Insurance Companies Article 5
An insurer with the following qualifications and get approved from the competent authority may engage in the derivatives transactions for enhancing the investment efficiency:1.The insurer's ratio of total adjusted net capital to risk-based capital is equivalent to 125% of the regulatory standard for capital adequacy set out in Subparagraph 1, Paragraph 2, Article 143-4 of the Act or above;2.The value-at-risk calculation is performed every day to measure and manage the risk exposure of derivatives positions;3.In the immediately preceding year, there are no major violations of performing the insurer's internal control procedure with regard to the use of funds, or the rectification of such violations have been done and get affirmed by the competent authorities;4.There have been no major sanctions and disciplinary actions related to the usage of insurer’s funds imposed by the competent authority in the most recent year, however, this does not include violations that have been rectified and affirmed by the competent authority; and5.Other eligible qualifications required by the competent authority.The major sanctions and disciplinary actions as prescribed in Subparagraph 4 of the preceding Paragraph refer to Article 2 of the Regulations Governing Public Disclosure by the Financial Supervisory Commission of Material Enforcement Actions for Violations of Financial Legislation.An insurer intending to engage in the derivatives transactions for enhancing the investment efficiency shall submit the trading proposal which has got approved by the board of directors, together with the application form and the documents in support of the qualification provided in the Paragraph 1 of this article to the competent authority for getting a prior approval. The trading proposal shall record forth the following information:1.Types of derivatives;2.Restrictions on manipulation of derivatives;3.The objects of investment efficiency enhancement and the way to assess its performance;4.Mechanism with regard to risk-limit management, including the limit on total position, stop-loss strategies and the frequency of assessment etc.Where the trading proposal mentioned in the preceding Paragraph is amended and get approved by the board of directors, it shall be submitted to the competent authority for reference purpose after it.
中文原文 保險業從事衍生性金融商品交易管理辦法第5條
保險業符合下列資格，經主管機關核准者，得從事增加投資效益目的之衍生性金融商品交易：
一、自有資本與風險資本之比率，達本法第一百四十三條之四第二項第一款所定資本適足之法定標準一點二五倍以上。
二、採用計算風險值評估衍生性金融商品交易部位風險，並每日控管。
三、最近一年執行各種資金運用作業內部控制處理程序無重大缺失。
但缺失事項已改正並經主管機關認可者，不在此限。
四、最近一年資金運用未有遭主管機關重大裁罰及處分。
但違反情事已改正並經主管機關認可者，不在此限。
五、其他經主管機關要求應符合之資格。
前項第四款所稱重大裁罰及處分係指金融監督管理委員會處理違反金融法令重大裁罰措施之對外公布說明辦法第二條所定各款之情事。
保險業申請從事增加投資效益目的之衍生性金融商品交易，應訂定交易計畫書，經董（理）事會通過後，連同申請書及符合第一項資格之相關文件，向主管機關申請核准後辦理。
交易計畫書應記載下列內容：
一、衍生性金融商品之種類。
二、使用衍生性金融商品之限制。
三、增進投資效益之目標及績效衡量方式。
四、風險限額管理機制：明訂交易部位之總額限制、停損機制及評價頻率。
前項交易計畫書修正時，應經董（理）事會通過後，報請主管機關備查。
一、自有資本與風險資本之比率，達本法第一百四十三條之四第二項第一款所定資本適足之法定標準一點二五倍以上。
二、採用計算風險值評估衍生性金融商品交易部位風險，並每日控管。
三、最近一年執行各種資金運用作業內部控制處理程序無重大缺失。
但缺失事項已改正並經主管機關認可者，不在此限。
四、最近一年資金運用未有遭主管機關重大裁罰及處分。
但違反情事已改正並經主管機關認可者，不在此限。
五、其他經主管機關要求應符合之資格。
前項第四款所稱重大裁罰及處分係指金融監督管理委員會處理違反金融法令重大裁罰措施之對外公布說明辦法第二條所定各款之情事。
保險業申請從事增加投資效益目的之衍生性金融商品交易，應訂定交易計畫書，經董（理）事會通過後，連同申請書及符合第一項資格之相關文件，向主管機關申請核准後辦理。
交易計畫書應記載下列內容：
一、衍生性金融商品之種類。
二、使用衍生性金融商品之限制。
三、增進投資效益之目標及績效衡量方式。
四、風險限額管理機制：明訂交易部位之總額限制、停損機制及評價頻率。
前項交易計畫書修正時，應經董（理）事會通過後，報請主管機關備查。