As the leading brand for financial innovation and specializes in Great China Capital
market, the growth of Polaris Financial Group (PFG) was centered around Polaris
Securities, which was established in 1988. To date, the group has total assets exceeding
NT$300 billion, and its business covers Polaris International Securities Investment
Trust, Polaris MF Global Futures etc. It offers ¡§trans-regional¡¨
and ¡§trans-platform¡¨ high quality services to investors in Asia.
Pioneer of Online Trading
PFG has successfully redefined the financial market through financial innovation.
It introduced E-Winner in 1998, the first online trading platform in Taiwan to incorporate
stocks, futures, and options. E-Winner has dominated the market of online trading
for almost ten years and is the most widely used brokerage software in Taiwan.
In 2002, PFG introduced an options online trading platform well ahead of the industry
in aimed at simplifying options trading for Taiwan index futures and modularing
trading strategies. Not only did this breakthrough lead to imitations by many competitors,
Taiwan has become world's third largest options exchange while its futures ranks
among world's top twenty derivative exchanges.
Multidimensional wealth management services
In November 2005, wealth management in Taiwan was officially under government supervision
in an attempt to ensure consistency in service quality among banks and wealth managers.
PFG thus revolutionized the present wealth management structure with the introduction
of Taiwan¡¦s first online wealth management platform, Smart FP, to provide world-class
professional wealth management services to retirees and investors.
The Smart FP system focuses on customized financial analysis and the privacy and
freedom of personal financial management. To maximize the performance of its wealth
management, PFG cooperated with Russell Investment Group, the world¡¦s largest pension
investment institution, to launch the introduction of the world renowned Multi-manager
Funds to provide investors long-term retirement planning services.
Leader ETF and Asset Management
PFG's leadership not only lies in innovative brokerages, but also in the introduction
of new financial products. In 2003, Polaris International Securities Investment
Trust (PISIT) obtained the authority to issue Taiwan's first ETF. The Polaris Taiwan
Top 50 Tracker Fund (TTT) was successfully marking new world records including the
shortest preparation taken to public listing, the largest initial offering, and
undergoing the most amended regulations. TTT has become an investment target to
The establishment of the TTT marks a big step forward in the globalization and diversification
of Taiwanese funds. It was accredited the Most Innovative Product in Taiwan by Asia
Asset Management Magazine , a world renown financial media. PISIT is not only a
ETF specialist , it commands over 90% of total ETF-invested assets in Taiwan. ¡§P-shares¡¨
is the brand name for offering a comprehensive line of ETF and will be listed on
overseas stock exchange.
Innovator of Financial Engineering
The Polaris name is associated with financial innovation in Taiwan. Other than being
the pioneer of Taiwan¡¦s financial innovation and devoting to new product designs,
PFG has also established leadership position in financial engineering. PFG is also
a leading house of equity derivatives and is the largest market-maker of index futures
and options. The futures proprietary trading division of Polaris MF Global Futures
is the top investment performer in Taiwan¡¦s futures market.
In asset management, Polaris International Securities Investment Trust (PISIT) has
an exclusive quantitative investment division called P-MAX who provides quantitative
investment services to corporate customers and introduces diverse financial products
for investors. Currently PISIT is the first asset management company in Taiwan with
an exclusive quantitative investment R&D department.
Dominate of Options & Futures
Eying the potential growth of derivatives, PFG has been aggressively promoting the
futures and options trading platforms. The transaction volume of domestic futures
has grown by more than 90% over the last three years, commanding a 15.7% market
share. The transaction of options was even more promising, growing from the initial
6,000 units to over 1 million units in 2007. Together with volumes from market-maker
, PFG commands a 20% market share in domestic options.
Polaris MF Global Futures is the largest futures broker and as the leading broker
for both domestic and offshore markets in Taiwan. It gained recognition of the CME
Group in 2004 for its strong analytical talents and robust risk management, and
was qualified as the first gold market-maker in Asia. Currently, Polaris MF Global
Futures has not only secured the leadership in domestic and offshore futures markets
for five consecutive years, but is also the first futures broker-dealer to be listed
over the OTC.
Strong Great China Corporate Finance Presence
The underwriting business opportunities have always fall into the hands of international
investment banks, at year 2000, since the set-up of Polaris Capitals in year 2000,
combine with Polaris Securities Capital Market, Yuanta Securities (Hong Kong) Company Limited,
and Polaris Securities (Shanghai) Co., pave a way for Polaris Financial Group to
enter international capital market and investment banking business, in merely 7
years, it has accomplished several number one records in the market.
At year 2003, successfully raised 104 million USD for SAMPO Corporation through
GDR, and it is the first Taiwan securities brokerages houses to be the lead underwriters;
at year 2006, Polaris Capital successfully assist HannStar Board International Holdings
Limited to be listed on the Hong Kong Stock Exchange, with 10 times over subscriptions
by the international investors, and 312 times over subscriptions by the local public
offerings, and combine capital raised for $78 million USD, breaking the record for
the Taiwanese enterprise to raise capital at IPO stage in Hong Kong, Polaris¡¦ remarkable
performances at the international capital market, not only proven that Polaris has
comprehensive clienteles base and also its innovation, professional management and
corporate reputations has set up new role model for Taiwan securities houses to
transform into investment bank.
Visionary Global Expansion
Being Taiwan's leader of innovative financial products, PFG¡¦s highest brand value
and competitive advantage lies in ¡§cultivating the local financial market with a
global vision¡¨. The spirit of globalization is not merely establishing overseas
branches, but exporting our product designs. With offices in Hong Kong, Beijing,
Shanghai and Guangzhou, working closely together ,Polaris Securities has established
a truly unique Greater China presence. This is an unrivalled advantage both deal
flows and fund flows. Going forward, PFG will establish its presence where capitals
accumulation, such as New York, London, Vietnam, Singapore and Abu Dhabi, and striving
forward for its global deployment.
- Introduction to Polaris Securities
Established in 1988, Polaris Securities (TSE Code 2854) is a leader of online trading
and financial innovation . With over twenty years of dedication to the innovation
of the finance industry, Polaris Securities introduced E-Winner in 1998, the first
online trading platform in Taiwan to incorporate stocks, futures, and options. ahead
of its competitors, and was the first qualified warrant issuer in Taiwan. Backed
by a stable growth in earnings, Polaris Securities is the first securities brokerage
company to be listed in 1996 and is the largest independent securities company.
Traditional securities brokerage companies who mainly derive revenue from brokerage,
Polaris Securities involves in a wide range of businesses through six divisions:
brokerage, international finance, investment market, financial market, capital market,
and wealth management. In the brokerage business, Polaris Securities ranks among
the top three brokers of the local stock market and overseas sub-brokerage business.
It remained as the leader of online trading.
Polaris is the largest issuer of NTD denominated structured products. As a pioneer
of derivatives, Polaris is the largest market-maker of index futures and options.
Whether it is structured notes, warrants, or REITs, Polaris Securities has set the
record for the highest value issued, most diverse products, and fastest license
Polaris Corporate Finance team is the leading arranger of Greater China placement
deals to global private equity and hedge funds. . In 2005, Polaris Securities successfully
supported the public listing of HannStar Board in Hong Kong, and raised a record-breaking
US$74 million of capital, the highest amount ever raised by a Taiwanese company
in Hong Kong in 2006. In 2003, it successfully assisted Sampo for the issuance of
global depository receipts (GDR) and raise US$104 million. With offices in Hong
Kong, Beijing, Shanghai and Guangzhou, working closely together ,Polaris Securities
has established a truly unique Greater China presence. This is an unrivalled advantage
both deal flows and fund flows.
Wealth management is one of Polaris Securities' most important business in recent
years. In addition of becoming one of the first few Taiwanese securities brokers
to be granted a wealth management license, Polaris Securities introduced the first
online wealth management system¡XSmart FP. In 2005, it introduced into Taiwan the
Multi-manager Funds from Russell Investment Group, an investment portfolio diverse
in management style, asset types, and fund managers, which received overwhelming
feedback. With the approval of money trust and marketable securities trust businesses
to securities brokers, Polaris Securities expects to incorporate its competitive
advantages in financial innovations and technological financial management, achieve
great successes in wealth management that improves overall business and group profitability.
- Introduction Polaris MF Global Futures (TSE Code: 6023)
Established in 1997, Polaris MF Global Futures (abbreviated hereafter as PMF) was
the first publicly traded FCM (Futures Commission Merchants) in Taiwan with an average
profit per share and shareholder equity surpassing all financial stocks. The principal
activities of PMF cover a wide range of brokerage businesses that include domestic
and offshore futures products, consulting, managed futures and futures trust business.
PMF retains the leadership in Taiwan¡¦s futures market as the most successful FCM
due to its solid and thriving performances in domestic and international broking
business, dealer market performance and the size of its deposit amount. PMF also
prides itself as the unique professional trader with the ability of offering global
research resources and multinational IT platforms. Riding on PMF¡¦s successes, MF
Global ¡V the world¡¦s largest futures broker which was floated on NYSE in 2007, becomes
a shareholder of the company. PMF is the first futures broker-dealer to be listed
over the OTC in 2007.
In Taiwan, PMF boasts 102 sales channels and partners and maintains 15 percent of
market share in the local futures market, 20 percent in the local options and dealer
market and 30 percent in the global futures market. The combination of which consolidates
the strength of PMF¡¦s business model in successfully displaying the advantages of
a single-point sales of physical channels and the eased of virtual channels.
On the global stage, PMF maintains partnership with over 30 international futures
exchanges. Armed with accurate analytical power and well-planned risk control mechanisms,
PMF became the first qualified gold market maker in Asia for the CME Group. PMF
possesses the broadest scope of capabilities in servicing products from commodities,
energy, foreign exchange, stock indices, bonds and even transactional tools from
the OTC market with its well-built support base from operations to research resources.
Futures traded on Taiwan¡¦s financial market comprises a meager 0.73 times of over-the-counter
trade at present. Against the global backdrop whose market is trading at 1.76 times,
it is estimated that growth in Taiwan¡¦s futures market has the potential to double
its growth. Further, when the futures trust business is formally introduced onto
the Taiwan¡¦s financial stage, the estimated market scale is valued at over $200
billion. PMF has proven itself with its vision in taking the business overseas as
well as establishing a wealth management platform. As the industry leader, the success
story of Polaris MF Global will undeniably continue to play a dominant role in the
Taiwan¡¦s futures market.
- Introduction Polaris International Securities Investment Trust
Established in 1992, Polaris Investment Trust is one of the top three asset management
companies and the largest ETF(Exchange Traded Funds) issuer in Taiwan. By the end
of 2007, we have a comprehensive line of 22 public offered funds which include:
equities funds, bond funds, balanced funds, global equities funds, global fund of
funds, ETF and REITs funds, our total AUM has increased by 10.9% in the year 2007,
far beyond the overall domestic AUM growth.
In the discretionary account management business, we developed a customized service
for our institutional investors, which we provide customized quantitative solutions
and investment allocation that pursue the best NTD return while combining different
asset classes in order to provide products that focus on ¡§Absolute Return¡¨ and ¡§Target
Differ from the rest of the fund houses in Taiwan, which only focus in fund raising,
Polaris SITC introduced ¡§P-shares¡¨ and ¡§P-Max¡¨ as sub-brandings in order to differentiates
us from the industry. These 2 sub-brandings focus on dedicated financial products,
asset management technologies and quantitative management modules. Thus, making
Polaris SITC that has the best R&D capability in Taiwan.
¡§P-shares¡¨ is the only full dimension ETF wealth management brand in Taiwan that
offers a wide range of services including, ETF product design and issuance, investment
management, SBL, market making, investment consultant and asset allocation. P-shares
offer a comprehensive line of ETF that covers from Cap Weighting, High-Dividend,
Regional Oversea, Thematic, Leverage and Short ETF, while AUM capturing over 90%
of the ETF AUM in Taiwan.
¡§P-MAX¡¨ has the largest team of quantitative researcher in Taiwan that provides
a 360-degrees quantitative strategy solution. Consolidating resources from equities,
fixed-income, derivatives and index investments within Polaris SITC and provide
an asset allocation called ¡§Overall Portfolio¡¨ with well control risk management
using quantitative method.
Polaris SITC not only continues on the development of domestic market, but also
strife for expansion on the global market as well. Other than transferring the successful
experience in product development, PSITC will develop its own branding in Asia to
become a specialist of indexing, quantitative and active asset management.
- Introduction to Polaris Capital
Polaris Capital was founded at the height of the global digital revolution in early
2000 to leverage off growth in the Asia Pacific region. We believe that investment
prospects for companies in the Region, particularly Greater China, hinge on how
ready they are to embrace and integrate the transforming forces of the knowledge-based
Polaris Capital's management team is composed of experienced professionals from
Hong Kong, Taipei and Shanghai in the fields of corporate finance, stockbroking
and research. All senior members of our team have extensive working experience with
leading multinational corporations.
Our management team aspires to create a corporate culture of success. Our sole performance
yardstick is the core competence to deliver the best products and services to our
customers. We are building a new investment-banking group without the disadvantages
of being part of a commercial banking giant.
Polaris Capital has become the premier Greater China investment bank serving small
to medium sized corporate clients. By leveraging the Management Team's unique Greater
China cross-border networking experience supplemented by Internet technology, Polaris
Capital Group offers significant value-added to corporate issuers, potential investors
and business corporations.
Our objective is "Build to Last". Polaris aims at further consolidating our position
as a boutique investment bank with a solid revenue base and cash flow. This is our
base from which we strive for better shareholders' returns.
- About Polaris Research Institute
Founded in April 2004, the Polaris research Institute (PRI) is a legal entity integrating
general economic research. Financially supported by the Polaris Financial Group
(PRG, Bloomberg Ticker: 2854 TT), it is the first economic and finance think tank
supported by private financial corporations in Taiwan.
Headed by President Liang Kuo-Yuan, a known econometrician with a Ph.D. from Duke,
the PRI has three research teams dedicated to the research of regional economies,
interest and exchange rates, and the commodity markets. The focus of the regional
economies and interest and exchange rates teams include the forecast of Taiwan economy
and other major country¡¦s survey, interrelation analysis of international business
cycles, judgment of political/economic events, transmission mechanism analysis,
and analysis of equinity prices, interest rates, commodity prices and exchange rates
volatility. To date, the PRI has completed the Taiwan macroeconometric forecast
model, stock market cycle and sector rotation model, and a prototype of the exchange
rate forecast model.
Given the increasingly rapid changes in the prices and fundamentals of the commodity
markets, the PRI established the commodity market research team to study the market
supply/demand and price trends of crude oil, industrial and precious metals, agricultural
and soft commodities. The focus is establishing the links between business cycle
predictions and fundamentals changes in commodity markets, analyzing commodity price
volatility, and the effects of emerging market developments on commodity prices.
Among other accomplishments, in 2005 the team predicted the rise of crude oil prices
to over US$100/b, way ahead of competitors in the industry. Currently, the PRI has
published multiple reports on crude oil price, industrial and precious metal prices,
and perspectives on agricultural commodity prices.
The PRI publishes reports on a routine basis covering global, regional and individual
economies, interest/exchange rates and commodity prices. It also provides timely
analysis on the effects of major political/economic events on Taiwan and global
economies. As the primary consultant agency of PRG in the Greater China area and
cornerstone in PRG¡¦s global development, the PRI aim to assist investors to stay
aware on the risk of change in economic environments and timely adjust their investment
strategies. In addition, on a quarterly basis, PRI hosts the Taiwan Economic Prospect
press conference to report the results of PRI¡¦s continued observation on changes
in the economic growth paths of Taiwan and other parts of the world. Over the years,
the PRI has established as a leading research institute with increasing influence
among the media, academia, business entities and government finance and economic
agencies with reliable accuracy on predicting the twists and turns and changes in
the economic trends of Taiwan.