Regulations Governing Foreign Exchange Business of Securities Enterprises Article 50

A DSF may, in the capacity of a customer, purchase/sell foreign currency from/to selected cooperating authorized banks to cover its long or short foreign currency positions against NTD.DSFs that have been approved by the Bank to carry out position covering in accordance with the preceding article may purchase or sell foreign currencies in the interbank foreign exchange market and be a counterparty to each other in the transactions of foreign currency position covering provided in Paragraph 1 of Article 13 herein and in raising foreign currency funds provided in Subparagraphs 1 and 3, Paragraph 1 of Article 14 herein.A DSF may hold long or short positions within the total position limit mentioned in Paragraph 1 of Article 48 herein.A DSF participating in the interbank foreign exchange market shall comply with the trading rules formulated by the Taipei Foreign Exchange Market Development Foundation with reference to international practices after coordinating with the Bankers Association of the Republic of China and reported to the Bank for record.