by Henry Liu on 2015/8/27

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(for ) ...................................................................................................................................4
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/ ..........................................................................................................................9
Permitted Instrument ................................................................................................................... 12
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Outsourcing ........................................................................................................................................................ 14
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/ ................................................................................................................... 18
approve .......................................................................................................................................... 18
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Review ........................................................................................................................................................ 19
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 by Henry Liu on 2015/8/27

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&Maturity .......................................................................................................................................... 26
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Maturity .............................................................................................................................................................. 27
&Tax ................................................................................................................................................................ 27
................................................................................................................................................................. 27
withholding tax ..................................................................................................................................... 27
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=> ............................................................................................. 30
=> ............................................................................................. 30
outsourcing ...................................................................................................................... 30
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Basel for ........................................................................................................ 31
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 by Henry Liu on 2015/8/27

:
M:
Y:
/:
&:

:
Maturity

<1Y
1~7Y

>7Y
: ()

//
/
:

(Normal)

1~12M 1~3M
(Watch)

>1Y
3~6M
(Recoverable)

6~12M
(Hardly
recoverable)

>1Y
(Not
recoverable)

1% (
)
2%

Vs

10%

50%

50%

100%

100%

6M

2%

Maturity

 by Henry Liu on 2015/8/27

Maturity

3M

6M
2Y

Vs
Maturity
for /

3M

6M3M

(for ):
Maturity
M0
<1M

M1
1~2M

M2
2~3M

>6M :
Tenor

New Maturity

10%*(+)/Y
<5Y

Total: 30%*(+
Min(Remaining
maturity*2,30Y)

10%*(+)/Y
If Remaining maturity*2<5Y:
5Y

memo


>=>

:
:
:
:

M3
3~4M
M4
4~5M
M5
5~6M
M6
<6M
: maturity
: (: )

min(,2Y)

(
):
4

 by Henry Liu on 2015/8/27

<5
3M ( 1M )

()
:

scenario analysis ()

()
: (: )

SSL
(Secure Sockets Layer)

SET
(Secure Electronic
Transaction)
Non-SET

(Ex: )

>128

: (=>)

3000
: +(++)>2
: <600 <1500 &
2000

(=Sales )

+
+

 by Henry Liu on 2015/8/27

: (
=>)
:
if =>
=>
=>
( maturity 6M ): list
(!)=/
:
: 3M 30
maturity 2M
7
<50%
:

()

<3%
3~5%
=>5%+
( 1%)+&

=+(
5%)+
+

<100 per customer
:

>min(1 ,1%)/ =>
2/3 *3/4 =1/2
: / 10%
/ 10%

++>min(30
,5%)=> 30

 by Henry Liu on 2015/8/27

2%

=/3
0%

3%
6%
10%
15%
40%
1x
40%
1.5x

1%
2%
0%
5%
15% ()
1x
10% ()
0%

=*2/3
:
=/2

()=*2

-()=*2+10%

-
+

*/100 /

: ( Ex: connect via =>)

&

&
10%

=
+

1/3

=
+

1/3

: 20%

3%

50% 10%
50%(: <10%
7

 by Henry Liu on 2015/8/27

&<1/3)
50%

20%

10%

/?

1%
5%

3%

1/3
:
Unit
DBU

NTD or

+DBU

OBU

OBU

OBU

NTD (:
)

DBU

 by Henry Liu on 2015/8/27

/: (!)
/
/
/

<40%*(-)

<10%*(-)

<25%*(=
->1Y
except )

TSE&OTC

<25%*(+)

OTC

<5%*
<10%*
0%

<1x
<20%
<5%
<30%*(+)
: (30%)

<5%

>20%

<5%

<5%

min(20%
,3 )=>2

30

except

: <1Y
()

except
&

()

 by Henry Liu on 2015/8/27

(25%)
<
:

<1.5x
<10%
<2%
<15%
: 10%

0%
<5%

<5%
>50%
&

0%

<15%

(1~7Y)

10

>25%

2/3*3/4
>25%

<20%

:
<5%

:
<15%

>25%

>50%

<5%

:

4Y
2Y

>3000 =>

 by Henry Liu on 2015/8/27

: <10%
: <20%
<15%

<5%

<5%

<10%

<10%

=
/2

<5%

<10%

<5%

>40% NTD 6

<40%
<30%
<40%

net
exposure
net
short position
Commodity &
Real Estate

Future + Option
Spot + Option
Call Premium

equivalence

<1x
0%
<10%

<5%

<2.5x

<15%
<20%
<5%
>5%

11

+
TCD

<20%

: <5%
: <10%
<2.5x

6M

:
Stock Option

=>

If

 by Henry Liu on 2015/8/27

: 5~50%
: 5~30%

>5%

: <5%<10%

Permitted Instrument:

General rule:
:
S&P BBB-

For :

For :
:
: & S&P BBB

//
/(: )
(!)
(: &
)
(:
)
/(:
)
/(Ex:
ADR)

1%

5% 1% 10
10%25%50%
5%
10%

2
CAR>8%
6M
twBBB
KYC

*
=() ( MTM):
>3%
+
CAR<

12

 by Henry Liu on 2015/8/27

>3%


5000
-->USD 20
>2Y & >1Y
2Y
net exposure<40%
net short position<1x
commodity & real estate
<10%
/
:
3Y
CAR>10%
<2%
coverage>60%
:
+
+ OECD branch >5Y & 1Y
:
3Y
CAR>110%
<115%
: twBBB- twA-3
1M~2Y

()

CAR
>8%

6M
1M~2Y

trading for profit >

>10%
()

>110%

twBBB
:
twBBB twA-3

: <3%
: >3%
2Y
3Y
3Y

13

: <2%

 by Henry Liu on 2015/8/27

Outsourcing:

(
)
Operation &
Cash


physical
delivery
Bills

(
)



(
)
:

:
(
100% 100%
: )

&

&



2/3 *3/4
=1/2 :

>min(1 ,1%)

>3%

1/5&
: 1
: 2

3 :
1
1

14

>1/2 :

&

 by Henry Liu on 2015/8/27

Compliance
Internal
Audit

()
()

Security

&

(
)

1Y

&


:

4 *
1 =4

report to
report to
(1)
(2) (3)

2/3

1Y
3Y
5Y
2Y
+2Y
5Y
IT 2Y +3M
<1/3
1

HR

10

:
10
>1M

20

()

:
Sales
Trader
Internal audit

15

 by Henry Liu on 2015/8/27

: ( training)

Internal Audit ()
12
20
19
30
60
30

8
24

24
:




:

10Y
5Y

3Y
3Y
/ 5Y

: 20

: 15
20~24

: 20
12M &

20

(Credit Line)
: 3 2

: >3

: 2 1
2
: 22*
If >20 >5
>20*5=100
=>

:


16

 by Henry Liu on 2015/8/27

>7

<7
:
= 2Y
*6.7

>NTD
>NTD
1000 150
+ >NTD
>NTD
1500 200

: >NTD 5000
20 -

1
Deposit
2
4
5

(Credit Line)

<35

([!] )

17

 by Henry Liu on 2015/8/27

/:

Deposit

min(20%,3 )

++
>min(30 ,5%)

for

Deadline
20
5

2M

2M & 4M

30

transaction details & stock positions

10
&
Loan
reports
10
>USD
10
500

30

: 10 30 & 2M
approve:
()

:
(=)
:

10
forward to for sign
off cc
15

15

15

Deadline
1

18

 by Henry Liu on 2015/8/27

Deadline
2
10
5

follow up
brokerage
Deposit

>3M

Stock & cash balance to

Stock & cash balance to

meeting minute

meeting minute

Deadline
60
7
14 ()
5 10

5
20
20

Review :
NTD 50

&

3M

IT
Y
Y
H**
M*

Y
H
M

:
2 /M

: Y
Y
H

: Y
: H
*///
=>
**H: 1~6 7~12

19

 by Henry Liu on 2015/8/27

2M

6M

6M

1Y
:
&
=/3
( 10Y)

=/3

15Y
5Y
2Y
: 3Y
: 1Y
: 6M
: 1Y
: 4M
: 2M
10Y
1M

/<1Y

>1Y
2M

: ( 6M )////
/
: (=>)
: 5Y except / meeting minute
: 6M
: 2M except ATM 6M=

5Y

5Y
Cash

5Y
()
5Y
Operation

5Y

meeting minute
5Y
/ meeting minute

2M
ATM
6M

6M

5Y

5Y

20

 by Henry Liu on 2015/8/27

:
3
ATM <95%& ATM>5

/
/1/3
min(20%,3
)

Cash

&

>2 >2

(Ex: :
)

21

Action

:
by
by
follow up
3M
:

:
:

according to

>USD 200 RMB 1000 NTD 6000

:
< USD 200 &:
&

X 165

(vs : )

 by Henry Liu on 2015/8/27

ATM

ATM / ATM

NTD 50 (=
)

For :
>NTD 1000
/>2Y :
: >400 &>NTD 4000
: >1000 &>NTD 1
10
>9 />5 />3

>1Y
1M
/

Action
:
:

:
: &
ATM ATM /
instead of
5
10

if (
): 2

If &3 /Y:

3Y

If 3 /Y

:
if :

if : &

22

 by Henry Liu on 2015/8/27

Action

&

2
If : 4

3Y

D/A (Documents against Acceptance)

action
23

If :
-
If :
:
=/3
()/()
30
10Y
&
:

: 4Y

2
If reject=>5
2
5

 by Henry Liu on 2015/8/27

Action

: 2 / 5 except 10
(): ( instead of )

3~10Y
&>1

// /

/
&>1

SEC OTC

10%
6M

&
>1
Ex:

:
~ 18

Vs :
2
Vs : 7
(If approval=>
2 )

24

>7Y
1Y
branch

<3Y

<3Y

3~10Y
>7Y

1000
~2
2500
~5

500
~2500
200
~1000
<500

1000
~2
2500
~5

1~7Y

<2000

3~10Y

1000
~2
1000
~2
<2000

3~10Y
1~7Y
3~10Y

1000
~2

3~10Y

1000

1M

=>
1/2

:
10
-
3

 by Henry Liu on 2015/8/27

>7Y

&>1

3~10Y

Ex:

1~7Y

by :

<3Y

2500

//

SEC
OTC

3~10Y

1~7Y
<2000

~2
2500
~5
1000
~2
1000
~2
<2000

=*10
3~(3+7)=10Y
1000 ~2

Ex:

25

=*2.5
>7Y
2500 ~5

&
>1

/
&
>1

&>1
Ex:

&
>1

 by Henry Liu on 2015/8/27

&Maturity
:

(=
)

&

(NCDs)

NTD

10

10
10

>NTD 50
NTD 3 ~100
>NTD 3

: <5
: <10
: <20
>NTD 50 /

: <USD 5000 /Y
/: <USD 500 /Y (
<NTD 50 )
: <USD 500 /Y
: <USD 10 / (if =>
)
: >USD 100 /
20 /: >USD 50 /

>NTD 400 /
>USD 2000 : 50%
CCS
vanilla option
<

<1
: <48
: <28
: 1 /M<70
: 5000 /M<35
>NTD 500 ()
26

 by Henry Liu on 2015/8/27

1M :
>1M : *80%

Maturity: ()
()

(NCDs)
( ending balance or maximum balance)
Repo ()

/:

: (=)()
: Money Trading (NCD, OD, Repo, Money Market)<1Y<

<30Y
<15Y
>2Y
1M~1Y
<1Y
<1Y
TTM<1Yduration<180

<180 (:
)
<180

&Tax
:

1000

10%*

5%*

:

withholding tax:

10%

NCD
>183
<183

20%
10%
10%
20%

10

<NTD 2000=>

<NTD 1000=>
:
()

10

27

 by Henry Liu on 2015/8/27

Cash ()

Payment
Account
Opening

Finance
Middle Office Valuation

: //()

NTD50 :
/(: )

()

(Ex: AIT)

/
/( by batch)
: /

:
//
=>

:
DBU: &NCD
OBU:
USD, JPY, EUR, GBP, CHF

()
:
:
:
: /
:
:

:
:
=

/
OBU
=> MTM=> MTM
28

 by Henry Liu on 2015/8/27

Middle Office
Risk Control

:
:
:
=-
match basis
:

70%=>
>=>
(Front Office, FO)//(Back Office, BO)(Middle Office, MO)
=>
FO:
FO ( BO )

Forward for sales:
forward
>1

NDF for trader:
NDF : /
NDF rollover rollback
OBU : A
BO:
e-mail if (1) (2)

BO

IT

:
NDF+FXO<1/5
3M
&
& FOB/FCA =>
=()
back date &<<<+21 <

=CIF/CIP*10%
/forfaiting
: CIF/CIP




2
29

 by Henry Liu on 2015/8/27

(=> support
IT )

=>:

3M

=

=
=>3M

=>:
:
if >max(20%,3 ) or
=>
Schedule:

deadline

7
: 7
5
: 28
exclude:


:
():
:
outsourcing :
:
:
//
</3
: 7AM~10PM

30

 by Henry Liu on 2015/8/27

:
: &()

:
COESOD
: management review, risk monitoring, SOD, GL substantiation & reconciliation
: =>>
: =>
:
NPR (New Product Review)(Credit Cycle):

4S: Simple, Speed, Security, Smile
:
5CCharacterCapacityCapitalCollateral
Condition
5PPeoplePurposePayment
ProtectionPerspective
: +()
:

Basel for :
:

:
=>
=>
:
: &
: ()

=>
2x
:

31