TISA system launched to strengthen citizen financial planning

Taipei, June 30 (CNA) The Taiwan Individual Savings Account (TISA) system, designed to encouraging public participation in long-term investment and asset management, was launched Monday, according to Taiwan Depository & Clearing Corp. (TDCC).

In tandem with the system's launch, a dedicated portal -- TISA account inquiry platform (https://tisa.tdcc.com.tw/home/ssm101) -- also officially went online Monday to help investors more efficiently track their investments and account details, TDCC said.

TISA accounts provide a simpler, more efficient way for individuals to invest, allowing them to hold various assets such as mutual funds, stocks, bonds and other securities in a single account.

In addition to Taiwanese nationals, foreign residents in Taiwan are also eligible to open a TISA account, TDCC said.

TDCC Chairman Lin Bing-huei (林丙輝) said the TISA mechanism features expert-curated fund selections, dedicated account management and an ultra-low entry threshold (starting at NT$1,000), with the aim of helping individuals start saving early and improve their financial planning for retirement.

Lin noted that TISA accounts are built on the existing centralized securities depository system. Through TISA, investors can clearly track their annual investment principal and holding periods, thereby enhancing asset allocation efficiency.

In the initial period, the program will focus on mutual funds, with plans to expand to other products such as stocks and ETFs depending on future policy developments, he said.

Lin also said that TDCC formed a TISA Fund Committee in May composed of experts from industry and academia, which is responsible for screening qualified domestic mutual funds. In the first wave, 10 fund companies have submitted 16 funds to the Financial Supervisory Commission for approval. Investors can check approved TISA-class funds and sales channels via the TISA account inquiry platform.

The TISA funds offer lower management fees compared to typical funds, and waive subscription fees for purchases, according to TDCC.

The TDCC further explained that investors can apply for TISA accounts and purchase TISA funds through fund sales institutions, such as banks and securities firms or fund platforms. They can also use the TISA account inquiry platform or the TDCC's e-PASSBOOK App to view their TISA account balances and transaction details.