With ownership curbs lifted, Taiwan's insurance sector looks for higher returns

Taiwan's insurers drove a surge in issuance of foreign debt, as an easing of ownership curbs allowed them to seek higher returns on $580 billion of assets.

Corporates have sold 4.3 billion yuan ($699 million) of yuan-denominated Formosa notes since the rule change in May, compared with 1.5 billion yuan worth in the previous four months. Dollar debt offerings also picked up, climbing to $4.8 billion as Morgan Stanley raised $950 million in Taiwan's largest-ever such sale.

All of the US currency securities were bought by insurers, as were 40 percent of Formosa bonds with maturities of three and five years, according to CTBC Bank Co.