August 2017
Preferred shares with no equity characteristics which are offered and issued under the Taipei Exchange Regulations Governing the Conduct of Equity Crowdfunding by Securities Firms are other marketable securities within the meaning of Article 22, Paragraph 1 of the Securities and Exchange Act(Taiwan)
Angela Wu
The Financial Supervisory Commission issued the Jin-Guan-Zheng-Fa-10500083701 Circular of March 31, 2016 (hereinafter, the "Circular") to communicate the stipulation that preferred shares with no equity characteristics which are offered and issued under the Taipei Exchange Regulations Governing the Conduct of Equity Crowdfunding by Securities Firms are other marketable securities within the meaning of Article 22, Paragraph 1 of the Securities and Exchange Act.
Article 22 of the Securities and Exchange Law provides: "With the exception of government bonds or other marketable securities exempted by the competent authority, the offering and issuing of securities without an effective filing with the competent authority shall be prohibited."_
Under Article 22, Paragraph 1 of the Securities and Exchange Act mentioned above, the Circular communicates the stipulation that the preferred shares with no equity characteristics which are offered and issued under the Taipei Exchange Regulations Governing the Conduct of Equity Crowdfunding by Securities Firms are "other marketable securities." This Circular came into effect on March 31, 2016, when the previous Jin-Guan-Fa-10400140147 Circular of April 30, 2015 became void.
The Financial Supervisory Commission issued the Jin-Guan-Zheng-Fa-10500083701 Circular of March 31, 2016 (hereinafter, the "Circular") to communicate the stipulation that preferred shares with no equity characteristics which are offered and issued under the Taipei Exchange Regulations Governing the Conduct of Equity Crowdfunding by Securities Firms are other marketable securities within the meaning of Article 22, Paragraph 1 of the Securities and Exchange Act.
Article 22 of the Securities and Exchange Law provides: "With the exception of government bonds or other marketable securities exempted by the competent authority, the offering and issuing of securities without an effective filing with the competent authority shall be prohibited."_
Under Article 22, Paragraph 1 of the Securities and Exchange Act mentioned above, the Circular communicates the stipulation that the preferred shares with no equity characteristics which are offered and issued under the Taipei Exchange Regulations Governing the Conduct of Equity Crowdfunding by Securities Firms are "other marketable securities." This Circular came into effect on March 31, 2016, when the previous Jin-Guan-Fa-10400140147 Circular of April 30, 2015 became void.
