Originally posted by the Voice of America.
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Observers: Taiwan Positioned for Role in Wealth Management and Corporate
Financing

Joyce Huang

   Taiwan is well-positioned to seize potential capital outflows triggered
   by the enactment of a new security law in Hong Kong and the
   intensifying trade frictions between the United States and China, three
   analysts told VOA.

   This will pave the way for the island to create a niche as a regional
   corporate financing or high net worth asset management center, although
   mounting challenges lie ahead for it to deregulate its financial
   industry in achieving the goal, the analysts added.

   The goal is in line with President Tsai Ing-wen's, who told local
   business tycoons last week that her administration plans to liberalize
   the local economy soon by becoming an Asian financial hub.

   Hong Kong's capital flight

   "Under its new security law, Hong Kong's role as a regional financial
   hub has been greatly weakened when it comes to its function in both
   wealth management and corporate financing," said Hwang Dar-yeh, dean of
   the privately run Academy of Promoting Economic Legislation. "(Any
   capital flight), especially by Chinese-speaking investors, is likely to
   next go to Singapore or Taipei. So, now presents a great opportunity
   for Taipei to pursue that goal."

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