[TAIPEI] Taiwan's plan for a share trading link-up with Singapore took a step forward on Wednesday with the opening of an office, as the island tries to internationalise its markets and lure overseas investment.
The cross-border trading - the first ever in Taiwan - will start in July, the Taiwan Stock Exchange Corp (TWSE) said without specifying the date.
On Wednesday the TWSE opened an office to prepare for the establishment of a subsidiary company responsible for the trading.
Singapore Exchange Limited will set up a similar subsidiary.
"Discussions on details of the trading are shifting into high gear, as cross-border trading is on top of the TWSE agenda this year," the Taiwan exchange said in a statement.
Under the scheme brokers from each side will be able to place orders for stocks, warrants and other products listed on the other's exchange rather than trading through brokers.
"This way local investors can see their cost cut, so can Singapore's investors," Rebecca Chen, executive vice president of the TWSE trading department, told AFP.
"Hopefully the link can help attract investors from abroad."
The plan follows a link-up between the Hong Kong and Shanghai bourses.
Also on Wednesday the TWSE announced that the daily price fluctuation limit for shares would be expanded to 10 per cent from June 1. A 7 per cent limit has been in place since 1989 after it was expanded from 3 per cent.