|
Article 14
|
The share price volatility of TWSE or TPEx listed securities is deemed excessively intense as in Article 8, paragraph 1, subparagraph 3, item 1 under any of the following circumstances:
- The average of the daily price limit (absolute value) of the securities during the sampling period prescribed in Article 12 reaches at least the average of the daily price limit (absolute value) of the samples specified in the preceding article for the same period plus two standard deviations and exceeds 150% of the average of the daily price limit (absolute value) of the securities of the same industry in the same market.
- The ratio of the difference between the highest and lowest prices to the average price during the sampling period prescribed in Article 12 reaches at least the average of the ratio of the difference between the highest and lowest prices to the average price of the samples specified in the preceding article for the same period plus two standard deviations and exceeds 150% of the ratio of the difference between the highest and lowest prices to the average price of the securities of the same industry in the same market.
- Any of the following occurs in respect of the percentage premium or discount during the sampling period prescribed in Article 12 as calculated by the closing price of Taiwan depositary receipts and that of the exchange market of the country of the shares represented by such receipts:
- The percentage premium of Taiwan depositary receipts on the business day immediately preceding the date of public notice of the Market Observation Post System exceeds 50%, and the closing price of Taiwan depositary receipts of the same day must be the highest of the closing prices for the last six business days (inclusive of the sixth business day), or higher than the opening reference price in the absence of a closing price for the last five business days (excluding the fifth business day).
- The percentage premium of Taiwan depositary receipts on the business day immediately preceding the date of public notice of the Market Observation Post System exceeds 50%, and the closing price of Taiwan depositary receipts of the same day must be the lowest of the closing prices for the last six business days (inclusive of the sixth business day), or lower than the opening reference price in the absence of a closing price for the last five business days (excluding the fifth business day).
- If the proviso of item (1), subparagraph 5, paragraph 2, Article 8 applies to the TPEx-listed securities, where the TPEx has announced disposition measures in respect of the securities in accordance with Article 6 of the TPEx Operation Directions for Announcement or Notice of Attention to Trading Information and Dispositions in the past six months.
- Other circumstances where the share price volatility may be deemed excessively intense.
Any price change that is not attributed to a trade (such as ex-right, ex-dividend etc.) is disregarded during the period the standard in subparagraphs 1 and 3 of the preceding paragraph is being calculated or when the closing price standard is being compared over the last six business days (including the sixth business day) as mentioned in subparagraph 3 of the preceding paragraph, in respect of TWSE or TPEx listed securities.
For the comparison in subparagraphs 1 and 2 of paragraph 1 of this article, securities of the same industry in a different market (listed or OTC) may be compared if there are no securities of the same industry in the same market. The comparison requirement does not apply if there are no securities of the same industry in a different market or the TWSE or TPEx listed securities do not fall in any industry.
|
|
Article 26
|
The TWSE or TPEx will review each day the prices and trade volumes of TWSE or TPEx securities eligible for margin purchase and short sale, and will reduce the margin purchase leverage ratio by 10% and raise the short sale margin by 10% on the following business day in the event of excessively intense share price volatility or excessively irregular trade volume for five consecutive business days or six out of the last ten business days, or in the event of excessively concentrated equity or beneficial ownership as disclosed by information relating to the equity of a TWSE or TPEx listed company or foreign issuer holding an ordinary shareholders' meeting or to the beneficial rights of a securities investment trust enterprise holding a fund beneficiaries meeting. Whether the above occurs contemporaneously or successively, the margin purchase leverage ratio will be reduced by 10% and the short sale margin raised by 10% only, upon such occurrence.
The preceding paragraph does not apply to ETF beneficial certificates, offshore ETF beneficial certificates, and futures ETF beneficial certificates.
|
|
Article 27
|
The sampling period in regard to excessively intense share price volatility or excessively irregular trade volume as prescribed in the preceding article is 30 business days prior to the date of review (inclusive) for purposes of data gathering.
The business days in the preceding paragraph are calculated in accordance with Article 121, paragraph 2.
|
|
Article 28
|
The scope of securities samples for excessively intense share price volatility or excessively irregular trade volume as mentioned in Article 26 is governed by Article 13 mutatis mutandis for purposes of comparison with underlying securities.
|