Taiwan FSC Lifts 99-Investor Cap in Kaohsiung Fund Pilot

Taiwan launched the Kaohsiung Asset Management Zone in July 2025 as a regulatory pilot aimed at expanding wealth management and cross-border financial services. Offshore funds that do not qualify as securities investment trust funds, as well as private equity products introduced to local investors, have been subject to a 99-investor cap per product. The restriction has limited distribution scale and made Taiwan less attractive to large international private-market managers.

On July 24, 2026, the Financial Supervisory Commission said it would pilot removal of the uniform 99-investor ceiling in the Kaohsiung zone. Participating institutions will instead set limits based on their own risk-control capacity, establish self-regulatory safeguards and conduct investor-suitability reviews. The zone had attracted 58 financial institutions and served 6,214 high-net-worth clients by that date, with assets under management reaching NT$728.1 billion, underscoring the commercial stakes of the planned liberalization.