Taiwan Premier calls on government to reinforce corporate governance in order to prevent illegal acts by major companies

December 28, 2013 Leave a comment

Premier calls on government to reinforce corporate governance

By Queena Yen ,The China Post
December 27, 2013, 12:09 am TWN

TAIPEI, Taiwan — Premiere Jiang Yi-huah (江宜樺) instructed the Financial Supervisory Commission (FSC, 金融監督管理委員會) of the Executive Yuan at the Cabinet’s weekly meeting yesterday to reinforce corporate governance in order to prevent illegal acts by major companies.According to the Executive Yuan, the FSC reported on a plan for strengthening corporate governance and provided five measures to do so, including building up a corporate governance culture, promoting activism among stockholders, enhancing the function of the board of directors, revealing corporate non-financial information and reinforcing the practice of legal affairs.

Jiang said these measures are moving in the right direction to elevate current corporate governance conditions and to develop an important foundation for sustainable corporate management, as well as a solid capital market.

The premiere also stated that some of the methods in the plan might impact corporations and stock holders. Therefore, Jiang instructed the FSC to put more emphasis on advocacy in order to successfully put the plan into practice.

On the topic of the recent food safety and wastewater disposal issues, Jiang said the government should not only complete an amendment to the relevant regulations and strengthen inspections, but should also encourage corporations to fulfill their social responsibilities.

FSC Chairman Tseng Ming-tsung (曾銘宗) told local media that the FSC plans to publish corporate non-financial information starting next year. In addition, the FSC will begin to amend the relevant regulations next year and publish an evaluation method for corporate governance in 2015. The FSC therefore hopes to ensure that listed companies manage their businesses with integrity and shoulder more social responsibility in the future.

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Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

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