On the distribution date, customers can sell or settle a short sale. However, withdrawal is not allowed. Also, to prevent the use of newly distributed stocks for settlements of sale amount in one and two business days before, the stocks are listed under the "controlled securities from book-entry deposit" in the customer's balance on the distribution day and the following business day. The transfer shall be conducted by executing the "Controlled Securities - Deposited Securities Transfer" transaction (Code: A63). The customer's balance of the transferee shall still be listed under "controlled securities from book-entry deposit."

This situation may occur when investors have central depository accounts with different securities firms. During the stock's book closure period, TDCC would compile the securities owners list based on the latest updates to the contact address. Issuing company would then apply to distribute stocks to that central depository account based on the information. Therefore, if investors intend to designate an account, they shall specify the account number on the "Notice of Stock Book-Entry Distribution" and mail it back to the issuing company or its shareholder services agent for shares to be distributed to the designated account.

In accordance with the official letter Taiwan-Finance-Securities (IV) No. 04456 issued on December 1, 1999, starting from January 1, 2000, if the stock dividend yield of stocks acquired by investors via margin purchase exceeds 20%, the new stocks shall be collateral to securities firm handling margin purchases and short sales of securities. If the securities to be distributed are collateral with dividend yield exceeding 20%, they would be distributed to the securities owner's central depository account first by TDCC. TDCC will calculate the number of stock dividends to be used as collateral based on the dividend yield rate provided by the issuing company. The quantity calculated will be transferred from the securities owner's central depository account to credit institution's segregated account for margin purchases and short sales.

It can simplify the listed companies' dividend distribution operation. Starting from July 1999, if investors would fill out the fund transfer agreement, consenting to provide the numbers of their financial institution accounts used for trading of securities, and the numbers are entered by the securities firms into systems connected with TDCC, TDCC would include the account information into the securities owners list and duly provide it to the listed companies. The latter can then distribute investors' dividends, bonuses or other items directly to these designated accounts. The payout operation would be more convenient.

(1) The investor shall bring dual identification documents and a seal to the securities firm for opening an account, fill out the account opening application form and contract, provide necessary information required for account opening, sign or affix the seal on the signature/seal specimen card, and obtain the securities passbook. For the information provided, please be sure to provide the correct mailing address and apply to the securities firm for modification promptly if there are any changes. It is to ensure that the public companies' notifications can be delivered to the investor swiftly and accurately. (2) Investors can apply for their securities passbook in paper form or electronically (TDCC e-Passbook). The securities passbook in paper form is issued directly by the securities firm. Investors will receive a text or email from the TDCC, download the TDCC e-Passbook app, confirming the completion of application and activate his/her their TDCC e-Passbook accounts via verification code. (3) If the securities firm supports account opening online, the account opening procedures may go through the securities firm's website or app to complete.

(1) The customers shall apply to the investment trust companies to transfer their open-end fund beneficial certificates used as collateral to the customers' central depository accounts with securities firms/securities finance companies by executing the "Issuer Depository Book-Entry Account/Registration Account - Deposited Securities Account Transfer Application" transaction (Code: 671). (2) The customers shall then apply to the securities firms/securities finance companies to transfer their open-end fund beneficial certificates from the central depository accounts to the money lending/settlement financing collateral account.

(1) According to TDCC's book-entry transfer operation manual, if the investor has signed the consent letter for exemption from affixing signature or seal pursuant to relevant rules and the collateral application data have been verified and retained as records by the securities firms, investor does not have to present the securities passbook when securities firms handle a non-face-to-face application and the application form shall be filled up by the securities firms. If the securities firms execute the "Money Lending/Settlement Financing Collateral Account Transfer - Electronic Transmission" transaction (Code: K10S) to process investors' collateral operation in a batch, only one application form shall be filled up. The person-in-charge and the supervisor shall affix their seals on the application form and attach the outcome report by electronic transmission. Securities firms need not affix their seals-of-record in the "Applicant Signature" field of the application. (2) Concerning the aforementioned operation, which does not require an in-person application, investors can apply via phone or electronic transmission. However, inventors shall contact their securities firms to find out whether this function is available.

In the digital era, TDCC allows investors to use certificates in applying to the securities firms for book-entry transfer operation, electronically. Operation allowed include stock transfers between the same ID, conversion and exchange of convertible (exchangeable) bonds, exercise of call (put) warrants, deposit of securities in public tender offer, and the security lending and change or cancel of the security lending. However, to carry out the aforementioned operations, investors shall apply to their securities firms. Thus, you shall contact your securities firms to find out whether the online function is available at these firms.

TDCC transfers the securities immediately when notified by the Taiwan Stock Exchange.

According to the notice issued by the Taiwan Stock Exchange, the borrowing balance shall be applied before debiting the general balance.

With regard to stocks under the custody of TDCC, when companies with stocks listed in Taiwan Stock Exchange or the Taipei Exchange convene shareholders' meetings or distribute dividends, bonus or other benefits, the TDCC would automatically compile the list of stock owners on behalf of the securities firms using computer records and deliver it to the issuing company or its shareholder services agent to complete the transfer procedures. The listed companies would send out the notice for exercising shareholders' rights to investors based on the stock owners list provided by the TDCC. Investors need not be concerned with the transfer. However, the most important thing is that changes in the investor's mailing address shall promptly be updated at the investor's securities firms and the issuing company or its shareholder services agent to avoid any delay in delivering listed companies' notices that may affect the investor's rights and interests.

As TDCC adopts the two-tier legal framework for its operations, when the investor wants to place his/her stocks under the custody of TDCC, he/she shall do so through his/her securities firms and in the securities firms' name. The securities firm would set up customer's account books recording the type, quantities, and changes of the investor's stocks. Thus, TDCC has no direct contact with the investor. Therefore, when the creditor petitions for compulsory enforcement of detention on debtor's stocks, he/she shall ask the court to issue the detention order to the debtor's securities firms. If the creditor is unaware of the debtor's securities firms, he/she may request the court to make inquiries to the TDCC about the debtor's securities firms in his/her petition for compulsory execution pursuant to Article 19 of the Compulsory Enforcement Act.

Where the securities firms apply for business discontinuation or are sanctioned by the Securities and Futures Bureau of the Financial Supervisory Commission to suspend their business operation due to violation of regulations, the investor of centralized securities depository can transfer his/her securities with those firms to his/her accounts with other securities firms within one month from the suspension. After one month, the investor's securities balance in the suspended securities firms will be transferred to the appointed securities firm. Once the investor has opened an account with the appointed securities firm, he/she can proceed with the book-entry sale, withdrawal, and transfer of securities. Therefore, the discontinuation or liquidation of securities firms will not affect the investors' rights and interests.

The ways to abandon stocks in the central depository account that are delisted from the Taiwan Stock Exchange, the Taipei Exchange or the Emerging Stocks are determined based on whether the issuing company has a stock affairs unit providing shareholder services and the stock issuance method. The relevant details are described individually as follows:

(1) Where there is a stock affairs unit providing relevant services:

1. Where physical stocks are issued, the investor shall apply to the securities firm to withdraw the stocks first. Then, he/she shall present the stocks along with securities delivery list issued by the securities firm and apply to the issuing company's stock affairs unit for stock abandonment.
2. In the case of dematerialized stocks, the investor shall obtain the issuing company's central depository account number from its stock affairs unit and present the securities passbook, seal or signature identical to the one on the specimen card, and Statement of Stock Abandonment to the securities firm to apply for stock abandonment transfer. The securities firm would then submit the application to TDCC for delivery to the issuing company's stock affairs unit to proceed with the transfer.

(2) Where there is no stock affairs unit providing relevant services: In accordance with the Ministry of Economic Affairs' interpretation, the abandonment takes effect when the notice indicating shareholder's abandonment intention is delivered to the issuing company's address registered with the Ministry of Economic Affairs. Thus, the investor can present the securities passbook, seal or signature identical to the one on the specimen card, and the post office's legal attest letter delivered to the issuing company's registered address notifying the abandonment, to apply to the securities firm for a transfer of abandoned stocks. The securities firms would submit the application to TDCC to proceed with the transfer.

Information on the stock issuance method, the presence of a stock affairs unit, and its name and contact telephone number, etc. are available under TDCC website/Investors' section/Stock Affairs Information/Equity Securities/Basic Information of Securities or Information on Stock Affairs Units of Companies. (Website: https://www.tdcc.com.tw/smWeb)

When the paper tax-deferred stocks are deposited to the centralized securities depository enterprise, the shareholders shall waive the rights to tax deferral and the issuer shall file the shareholders' income tax by the deposit years. Thus, when these stocks are exchanged for dematerialized stocks, they can be transferred to shareholders' depository account at the securities firms, if the shareholders have already applied to the issuer to wave the rights to tax deferral.

Starting from September 1, 2000, the issuing company shall fill in the non-withholding tax statements or dividend statements for shareholders who waive their rights to tax deferral on their tax-deferred stocks, as defined in Articles 16 and 17 of the Statute for Upgrading Industries and Article 13 of the former Statute for Encouragement of Investment, in the year of waiver. The issuing company shall file the aforesaid information to the competent tax authority before the end of January in the year following the waiver by investors.

If shareholders plan to have securities managed by the issuer, they can present the securities passbooks and seal or signature in their securities transfer applications to the participants. The participants would execute the "Securities Transfer" transaction (transaction code 130) and transfer the securities to the general custody accounts opened by the shareholders at the issuer. However, these stocks shall not be transferred to "registration account." For stocks transferred by the transfer agent into shareholders' depository accounts by mistake, if the transfer agent has already stated the reason for correction to the centralized securities depository enterprise and obtain the latter's approval, shareholders can apply to the participants by filling out the "Application for Transfer of Securities in an Issuer's Depository Account/Registration Account." After the participants have duly applied for approval to the centralized securities depository enterprise, they can transfer the stocks from shareholders' depository accounts to the issuer's "registration account" by executing the "Transfer of Securities in an Issuer's Depository Account/Registration Account" transaction (transaction code 671) in accordance with the approval notice from the centralized securities depository enterprise.

To protect investors' rights and interests, except for inheritance, gifts, or direct private transfers or other transfers by operation of law, in principle, investors may not arbitrarily transfer shares in their accounts to another investor's account.

No. According to the "Operating Rules of the Taiwan Stock Exchange" and the "Trading Rules of Taipei Exchange," the securities firm shall confirm that the order quantity does not exceed the customer's account balance when accepting the customer's sales order for normal settlement trading. Thus, the investor's stocks in his/her account with securities firm A shall be transferred to his/her account with securities firm B first for the stocks to be sold by the securities firm B.

An investor with a paper securities passbook may not apply for stock transfers via the phone. He/she shall take the securities passbook to the issuing securities firm, fill up the "Transfer of Deposited Securities Application," and affix the form with the seal or signature identical to the one on the specimen card to complete the transfer procedure.

For stocks delisted from the Taiwan Stock Exchange, the Taipei Exchange or the emerging stock board and under the custody of TDCC, the investor may still apply for a transfer of deposited securities between his/her central depository accounts with different securities firms at the securities firms using his/her securities passbook and seal/signature specimen card. However, for securities with registration terminated and replaced by physical securities or where the issuer has lost its public issuance eligibility, the aggregated account withdrawal shall be adopted. The investor can only apply for securities withdrawals at one of his/her securities firms instead of a transfer of deposited securities.

To withdraw securities with registration terminated and replaced by physical securities, securities owners may apply to any transacting participant and the aggregated account withdrawal shall be adopted. Relevant procedures are as follows:

1. The securities owners, before 2.30 pm of the day of application, shall present to the transacting participants with the securities passbook and filling out the "Deposited Securities Aggregated Account Withdrawal Application - Substitute for Debit Voucher" in duplicate with seal/signature-of-record. The owners shall also agree to authorize the participant to apply to the centralized securities depository enterprise for aggregated account withdrawal.
2. After reviewing and verifying the securities owners' applications for the aggregated account withdrawal, the participants would execute the "Aggregated Account Withdrawal Application" transaction (transaction code A23) using the online system to notify the centralized securities depository enterprise. Upon receiving the notice, and after verification by other participants, the centralized securities depository enterprise would, except for securities subject to court's attachment or pledged securities, transfer the balances of securities requested by the securities owners from the owners' accounts under those other participants to the owners' account of the withdrawing participant.
3. The securities owners would then withdraw securities at the participant's business premises upon receiving notice from the withdrawing participant.

The stocks withdrawn by the securities owners are printed in the owners' name and registered in the company's shareholder register. Thus, application for a transfer of ownership is not required.

Investors may not withdraw their stocks under custody during the first three business days of the book closure period.

Investors can present their securities passbooks to the issuing securities firms and fill out the "Stock Withdrawal Application" with seal or signature identical to the one on the specimen card affixed. They would then be able to withdraw the stocks from the securities firms on the second business day of the following week.

TDCC needs to deliver a round lot to the issuing company for the latter to split the share. Once the share is split, retrieved by TDCC and delivered to the securities firms, investors may withdraw the stocks. The split takes about two weeks to one month time.

Investors shall present their securities passbooks to the securities firms and fill out the "Physical Gold Withdrawal Application" before 3 pm on a business day. Once notified by the physical gold custodian bank, investors would need to pay the custodian bank the transaction fee for converting into physical gold. The custodian bank would then deliver the gold to investors.

Unless there is trade suspension during the share transfer suspension period, transfer, direct trade between parties, inheritance, and endowment can still be executed.

The transferee (heir) shall apply to the issuer's transfer agent for account opening at "registration account" and the transfer agent would then adjust the unpledged stocks balance from transferor’s (legator’s) name to transferee's (heir's) name. Only then can transferee (heir) apply to transfer these stocks to his/her depository account at the securities firms.

No. Shareholders shall return paper stocks to the company in exchange for dematerialized stocks before they can apply for transfer, direct rtrade between parties, inheritance, and endowment.

1. When the pledgee and pledgor have agreed for the pledgee to receive the pledged stocks' dividends, pledgee can fill out the "Application for Transfer of Pledged Stocks' Dividends at the Registration Account (Substitute for Debit Voucher)" with the seal-of-record of central depository account affixed and present it along with the seal verification certificate to the issuer's transfer agent for application.
2. The transfer agent would examine whether the information on the "Application for Transfer of Pledged Stocks' Dividends at the Registration Account (Substitute for Debit Voucher)" is correct; execute the "Pledge Delivery Data Inquiry" transaction (transaction code 366) to print the "Pledge Delivery Data Inquiry Form" and confirm the agreement between pledgor and pledgee concerning pledged stocks' dividends; and verify the amount applied to be transferred.
3. The transfer agent would execute the "Notice for Transfer of Pledged Stocks' Dividends at the Registration Account" transaction (transaction code A47) to transfer the pledged stocks' dividends in the registration account's "Details of Securities Held in Custody" into the "pledge account" of pledgee's participant.

1. Execute the "Data Maintenance of Court-Ordered Attachment Execution Unit" transaction (transaction code 154) to query the execution unit's number.
2. Fill out the "Court-Ordered Attachment Information Setup Application" based on the court’s letter and execute the "Court-Ordered Attachment Information Setup" transaction (transaction code 150). Print the information in the application's certification field, affix the document with the in-charge's seal and submit it to the supervisor for approval.
3. Once the supervisor verifies the application is in line with the court’s letter, he/she would affix his/her seal at the supervisor field.
4. The application shall be retained by the issuer. Relevant supporting documents (e.g. the court’s letter) shall be copied as attachments to the application.

Shareholders shall apply to the issuer with their seal/signature-of-record and the following documents:

1. "Application for Adjustment to the Shareholding Details of Registration Account" in duplicate (Applicable to registration account).
2. "Application for Transfer of Securities in an Issuer's Depository Account/Registration Account" in duplicate.
3. A copy of the contract between the foreign shareholder and the custodian.
4. A copy of the certificate of completion of FINI or FIDI registration by the foreign shareholder.
5. A copy of the notice of assignment of FINI or FIDI uniform ID number.
6. The original specimen seal/signature card of the FINI or FIDI investment account and foreign investor.

After the issuer has verified the aforementioned documents, it shall proceed with the following procedures:

1. For general custody account or specific custody account, after the centralized securities depository enterprise has approved the application, the issuer shall execute the "Customer Basic Data Amendment" transaction (transaction code 146) to amend the foreign shareholder's identification card number or profit-seeking enterprise number to a FINI or FIDI uniform ID number.
2. For registration account, the issuer shall execute the "Shareholder Information Registration" transaction (transaction code 670) to add the FINI or FIDI investment account basic data, followed by the "Adjustment to the Shareholding Details of Registration Account" transaction (transaction code 673) to adjust the number of shares held under a foreign shareholder's identification card number or profit-seeking enterprise number to the number of shares held under a FINI or FIDI investment account uniform ID number.
3. After executing transactions described in the preceding two subparagraphs, the issuer shall conduct the "Issuer Depository Account/Registration Account - Deposited Securities Account Transfer" transaction (transaction code 671) to notify the centralized securities depository enterprise. After the centralized securities depository enterprise receives the aforementioned notice, it will transfer the stocks from the general custody account, specific custody account, or registration account into the investment account opened by the foreign shareholder.

1. The securities owner with depository account under securities firm may apply to his/her securities firm for documentary proof of holdings as of the registration termination date.
2. For securities owners with issuer's depository account or under the registered account, when an issuer is unable to print paper securities nor provide shareholding information, they may apply to the centralized securities depository enterprise for a record of registered quantity notified by the issuer as of the registration termination date.

1. Starting from the termination date, the centralized securities depository enterprise will suspend all book-entry delivery functions for the securities other than the extinguishment of pledge (transaction code 320), court-ordered attachment information setup (transaction code 150), court-ordered attachment information amendment (transaction code 151), and closing out of margin purchases and short sales.
2. Once the issuer delivers paper securities to the centralized securities depository enterprise, except for the newly-added withdrawal function, all other book-entry functions are still subject to the aforementioned restrictions.

The centralized securities depository enterprise has stopped engaging in the deposit of paper stocks on the date when all paper stocks have been replaced by dematerialized stocks. However, shareholders can return the paper stocks to the transfer agent to complete the recording or to transfer the stocks to the shareholders' depositary accounts under security firms.

If the securities owner has a depository account with the securities firms and a "general custody account" with the issuer, the centralized securities depository enterprise would aggregate based on the owners' depository accounts with the securities firms in preparing the register of securities holders at the record date.

1. As capital contributions to a company in the process of incorporation: where the issuer of the stock is the participant of the centralized securities depository enterprise, the representative of the company being established shall present documents of proof, including the proof of identity and a promoters list, and open a general custody account in the name of "XXX, Representative of XXX Company's Preparatory Office" with the issuer of stocks to be used as capital contribution. As capital contributions for new shares issued in capital increase or stock abandonment: the company shall already have a central depository account with the participant.
2. The securities owner shall fill out the "Transfer/Cancellation of Inheritance, Endowment, Provision as Capital Contributions, or Stock Abandonment Application" with seal-of-record, and present his/her passbook along with the following documents in his/her application to the participant: (1) As capital contributions to a company in the process of incorporation: relevant supporting documents, including a list of promoters of the company under establishment and the agreement on using the stocks as capital contribution, shall be attached. (2) As capital contributions for new shares issued for capital increase: relevant supporting documents, including stock subscription agreement and the board meeting minutes of the company issuing news stocks in capital increase, shall be attached. (3) Stock abandonment: relevant supporting documents such as the "Statement of Stock Abandonment" (with seal-of-record affixed) shall be attached.
3. After the participant receives securities owner's application and execute the "Transfer/Cancellation of Inheritance, Endowment, Provision as Capital Contributions, or Stock Abandonment Application" transaction (transaction code 376) using the online system to notify the centralized securities depositary enterprise, it would deliver the application to the centralized securities depository enterprise on the business day following the application date. The centralized securities depository enterprise would consolidate relevant documents delivered by the participants and submit them along with the "Details on Applications of Securities Transfer" to the issuer for review within two business days following the application date.
4. The issuer shall complete its review within three business days upon receiving the documents from the centralized securities depository enterprise and fill out the "Review Notice on Securities Transfer" or execute the "Review Notice" transaction (transaction code 675) using the online system to notify the centralized securities depository enterprise. If the issuer is unable to complete the review within the prescribed period, it shall fill out the "Notice of Delay in the Review on Securities Transfer" to inform the centralized securities depository enterprise of the reasons for the delay. The issuer would contact the securities owners to provide supplementary information if needed upon review.
5. Where the applicant is found to be ineligible upon notice from the issuer, the centralized securities depository enterprise shall cancel the transfer application. Where the applicant is found to be eligible upon notice from the issuer, the centralized securities depository enterprise shall proceed with the transfer after it has verified the securities owner's account balance. (1) For applications to use stocks as capital contributions to a company in the process of incorporation, the stocks will be transferred from the securities owner's depository account with the participant to the general custody account opened by the company in the process of incorporation with the issuer. (2) For applications to use stocks as capital contributions for capital increase, the stocks will be transferred from the securities owner's depository account with the participant to the depository account opened by the company issuing new shares with the participant. (3) For stock abandonment applications, stocks will be transferred from the securities owner's central depository account with the participant to the central depository account opened by the issuer with the participant.

1. When the centralized securities depository enterprise's participant intents to return the stocks in the court's auction account to investors due to revocation of court orders, or returns of remaining auction items or dividends, the participant shall confirm the securities and the quantities to be returned in accordance with relevant documents, such as a court's letter. It shall then execute the "Auction Account Return Transfer" transaction (transaction code C64) to enter data of investors receiving the return or the "Transmittance of Auction Account Return Transfer Transactions" (transaction code C645) to deduct the remaining balance of the court's auction account and the quantities from the details of investors.
2. Upon receiving the notice, the centralized securities depository enterprise would transfer the stocks from the court's auction account to the "Details of Securities Owners" under the issuer's registration account and register them in the shareholders' names.
3. When reconciling accounts, the transfer agent can execute the "Details Change under Registration Account Query" transaction (transaction code A54) and choose "C64-Auction Account Return Transfer" as query transaction code to verify data transferred and maintain relevant information.