1. Through ECFA, cross-strait financial institutions have established subsidiaries and conduct financial investment mechanism. In response to such supervisory concerns, the FSC has established related supervisory regulations and will conduct examinations according to mutual agreements on MOU.


2. According to Supervisory Cooperation Memorandum of Understand (MOU) signed by the FSC and financial supervisory agencies of Mainland China, both agencies may carry out off-site supervision, on-site examination and commissioned examination for banking institutions, and conduct examination in an appropriate way through mutual negotiation and agreement for insurance and securities institutions. The FSC will conduct examinations in an appropriate way in response to its supervisory concerns.