| Title： |
Taiwan Stock Exchange Corporation Standards Governing Principal Identification and Management of Credit Line Categorization in the Processing by Securities Firms of Account Opening(2022.12.16) |
| Date： |
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Article 2
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A securities firm shall develop the relevant operating procedures of online account opening within its internal control system. When handling such account opening, it shall verify the customer’s identity and documentation, and the following third-party authentication procedure shall first be completed or the customer’s identification shall first be produced for verification:
- The identity shall be verified by the settlement bank.
- The citizen digital certificate, bank account information or wafer debit card shall be sent online.
- A photograph from which both the national I.D. card and face are identifiable, together with information on the designated debit account of the customer’s ledgers of the securities firm's settlement account, shall be sent online.
- The identity shall be verified by video imaging.
- The identity shall be verified by the mobile ID. Relevant authentication matters to be complied with will be determined by the TWSE.
- The identity shall be verified by other means.
If the identity is verified in accordance with the preceding paragraph, the securities firm shall send a One Time Password, OTP, by text or make a personal telephone call as secondary verification to reinforce validation.
Where a securities firm receives an online account-opening application of a company with not more than three registered shareholders under the R.O.C. Company Act and whose responsible person and shareholders are all R.O.C. natural persons having attained the age of majority, said firm shall perform the identity validation procedure in paragraph 1 in respect of the responsible person and the industrial/commercial certification procedure in respect of the company.
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Article 3
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A securities firm shall determine the type of account and accordingly estimate the principal’s single-day trading limit in accordance with the online account opening identification procedure and agreed strength (appendix).
The single-day trading limit of the first type of account is NT$ 1 million in principle.
For the second type of account, an application shall be made with the citizen digital certificate, and the identity shall be verified by video imaging. The principal is not subject to the trading limit in the preceding paragraph upon producing financial proof. The securities firm is to determine in its sole discretion the single-day trading limit pursuant to the Taiwan Securities Association Self-Regulatory Rules on Understanding of Customers and Credit Checking and Credit Line Management in Consignment Trading by Members (Self-Regulatory Rules on Credit Checking and Credit Line Management).
For the third type of account, it should be agreed that advance payment be collected or funds be earmarked as prepayment in the securities brokerage trading. The single-day trading limit is estimated as that for the second type of account.
A securities firm shall, in respect of the responsible person of a company applying for account opening online, estimate in accordance with paragraph 1 the single-day trading limit of the account-opening company.
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