Taiwan's financial regulator on Tuesday said it would curb investments by domestic insurers in international corporate bonds redeemable by issuers within five years, as it moves to clamp down on risk.
Taiwan has sought to attract such bond listings to boost the global competitiveness of its capital markets, drawing in major international companies, including computer maker Apple Inc
and telecoms firm AT&T.
Taiwan's insurers had invested T$2.498 trillion ($78.8 billion) in bonds of this kind by November, regulator data shows.
Most of these bonds mature in one to seven years, but issuers have often exercised the option to redeem them early, provoking concern by the island's Financial Supervisory Commission this could jeopardise the stability of investments.