An authorized bank may engage in foreign exchange forward and swaps transactions without application. However, to engage in any other foreign exchange derivatives business, an authorized bank shall submit the following documents according to the type of business intended and apply to the Bank for approval:
1.Foreign exchange derivatives business involving the New Taiwan dollar exchange rate: Submit a statement of regulatory compliance, resolution of board of directors to apply for foreign exchange derivatives business for domestic banks or letter of authorization from the head office or regional command centers for foreign banks, product profiles, operational guidelines, risk management, risk disclosure statements, and curriculum vitae of the relevant personnel.
2.Any structure combination of foreign exchange derivatives business in the preceding item with other business already authorized by the Bank or other competent authorities: Submit documents listed in the preceding subparagraph.
3.Foreign exchange derivative business not involving the New Taiwan dollar exchange rate: For first time application by an authorized bank to engage in foreign exchange derivatives business or new financial products not yet approved by the Bank, documents listed in Item 1 shall be submitted.
4.Foreign exchange derivatives business (not involving the New Taiwan dollar exchange rate) already approved by the Bank and further structure combinations thereof: Before engaging in this business, submit a statement of regulatory compliance, resolution of board of directors to apply for foreign exchange derivatives business for domestic banks or letter of authorization from the head office or regional command centers for foreign banks, risk disclosure statement, and curriculum vitae of the relevant personnel. However an authorized bank may engage in structure combination of foreign exchange derivatives that involve products in the same categories and that are created through the same transaction contracts without application.