Taipei,Oct.18,2012--With the centralized stock market continuing to be plagued by low trading volume,growing amount of foreign capital has flown into the GreTai Securities Market(over-the-counter market),as the share of foreign holdings of OTC shares already topped 15.5%in market value,a record high.
Foreign investors used to refrain from investing in OTC shares,as they are more unfamiliar with OTC-listed enterprises,mostly small and medium ones,and worry about the liquidity of OTC-listed shares.
However,the situation seems to have gradually changed.According to statistics of GreTai Securities Market,total foreign holdings of OTC shares accounted for 15.5%of the total market value of the market at the end of September,a record high,compared with 13.51%in October last year.
Lee Sush-der,chairman of GreTai Securities Market,noted that GreTai Securities Market regularly holds investors conferences in both Taiwan and abroad to boost the profile of OTC-listed firms among foreign investors.
In addition,ranking officials of GreTai Securities Market constantly hold dialogues with foreign counterparts,such as ranking officials of Nasdaq,OMX,and stock exchanges of Australia,Hanoi,Malaysia,Brazil,and Saudi Arabia,for exchanging opinions on related topics,including market supervision,trading system,and bond database.
Lee remarked that GreTai Securities market will step up its effort in soliciting more overseas enterprises to list their shares on the market,since share listings of quality enterprises can encourage long-term investments by investors and increased shareholdings by foreign investors.
At present,45 enterprises,including 27 containing mainland Chinese capital,have signed contracts with securities firms for assisting them to list shares on the GreTai Securities Market.GreTai Securities Market expects more mainland Chinese enterprises will seek to list their shares on the market,further boosting its trading volume.
