Taiwan Mulls Tougher FX Rules for Foreigners Buying Stocks

Taiwan’s central bank is seeking feedback on a plan to tighten currency purchases by foreign stock investors, according to people familiar with the matter, a move that may limit speculative bets after a surge in the local dollar this year.

The central bank is mulling a policy that requires international investors wanting to buy the island’s stocks to show proof of orders before they can purchase the Taiwan dollar, said the people, who asked not to be identified as they aren’t authorized to speak publicly. The currency conversion would then take place the following day, the people said.