Taiwan Clears Margin Financing for 930 US Securities

Taiwan’s Financial Supervisory Commission has approved margin financing for US securities purchased through domestic brokerages’ sub-brokerage services. The change fills a gap in the local market, where investors seeking leverage for US stock trades have often turned to overseas platforms. Regulators aim to meet demand for leveraged investing while giving Taiwanese brokers a better chance of retaining funds that might otherwise move offshore.

The new framework will cover about 930 US-listed stocks and exchange-traded funds, the FSC said. Investors will be allowed to finance up to 50% of a purchase, while the required collateral maintenance ratio will be set at 160%. Brokerages must complete operational and system preparations before launch, with implementation expected as early as the second quarter of 2027.