Free Practice Questions for Taiwan Securities Firm Specialist Examination

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Exam Review

Key Facts: Taiwan Securities Firm Specialist Examination Exam

100

Official exam questions (50 per subject)

SFI

140 / 200

Minimum aggregate passing score (min 50 per paper)

SFI

NTD 730 / 1,130

Standard examination fee (Paper / CBT)

SFI

150 min

Total testing time across two papers

SFI

The standard examination has 100 MCQs in 150 testing minutes. Passing requires 140/200 in aggregate with neither paper below 50; common-subject, training, registration, and role-specific requirements are separate from passing these professional papers.

Sample Taiwan Securities Firm Specialist Examination Practice Questions

Try these sample questions to review concepts for the Taiwan Securities Firm Specialist Examination exam. Each question includes a detailed explanation. Start the interactive quiz above for the full 40+ question experience with AI tutoring.

1Under Article 172 of Taiwan's Company Act (公司法), how far in advance must shareholders of a public company be notified of a regular shareholders' meeting (股東常會)?

A.30 days

B.20 days

C.15 days

D.10 days

Explanation: Article 172 requires 30 days' notice for a public company's regular meeting. It specifies 15 days for a public company's extraordinary meeting, while the ordinary non-public-company periods are 20 and 10 days.

2A company has nine directors. Under Article 246 of the Company Act, what is the minimum attendance and affirmative vote count for a corporate-bond issuance resolution when exactly the minimum quorum attends?

A.Five attend and three approve

B.Six attend and four approve

C.Six attend and three approve

D.Nine attend and five approve

Explanation: Article 246 requires attendance by at least two-thirds of all directors and approval by a majority of those present. With nine directors, the minimum quorum is six and a majority of six requires four affirmative votes.

3For a company required to replace supervisors with an audit committee under Securities and Exchange Act Article 14-4, which board members compose that committee?

A.Executive directors selected by the general manager

B.All directors, including executive directors

C.The company's independent directors

D.The external auditor and the chief financial officer

Explanation: Article 14-4 requires the audit committee to comprise the independent directors. It must have at least three members, with at least one possessing accounting or financial expertise.

4Assume all issued shares carry voting rights and no special rule applies. Which attendance and approval thresholds apply to an ordinary shareholders' resolution under Company Act Article 174?

A.At least one-third of issued shares attend; two-thirds of present votes approve

B.At least two-thirds of issued shares attend; a majority of present votes approve

C.Any attendance; three-quarters of present votes approve

D.More than half of issued shares attend; more than half of present voting rights approve

Explanation: Article 174 sets a majority attendance quorum and majority approval among voting rights present, unless another provision applies. The attendance and approval requirements are separate conditions.

5A company has paid all taxes, covered accumulated losses, and has earnings available for distribution. Its legal reserve is below paid-in capital. What allocation does Company Act Article 237 ordinarily require?

A.Set aside 10% as legal reserve

B.Set aside 5% until the reserve reaches half of paid-in capital

C.Set aside 20% of revenue before expenses

D.Allocate only whatever amount the board voluntarily chooses

Explanation: Article 237 requires a 10% legal-reserve allocation when distributing earnings after taxes. The mandatory allocation does not apply once the reserve has reached paid-in capital.

6A shareholder owns 100 shares in an election of five directors under Company Act Article 198. How may the shareholder use the resulting 500 election votes?

A.Only 100 votes may be used in total

B.All 500 may be concentrated on one candidate or distributed among candidates

C.Exactly 100 must be given to each candidate

D.No candidate may receive more than 100 of the shareholder's votes

Explanation: Cumulative voting gives each share votes equal to the number of directors to be elected. The shareholder may concentrate those votes or distribute them among candidates.

7At a Taiwanese company's board meeting, Director Lin owns the proposed transaction's counterparty, and her interest is likely to prejudice the company. She also holds another director's voting proxy. Which response complies with Company Act Articles 206 and 178?

A.Disclose the interest and cast both votes because disclosure cures the conflict

B.Abstain on her own vote but cast the other director's proxy vote

C.Explain the material interest at the meeting and cast neither her own vote nor the proxy vote on this matter

D.Cast both votes because ownership was disclosed in last year's annual report

Explanation: Article 206 requires explanation of the material personal interest at the board meeting. Where the interest is likely to prejudice the company, the applied voting restriction excludes participation in the vote and proxy voting for another director.

8What share-count ceiling applies to treasury-share repurchases under Securities and Exchange Act Article 28-2?

A.5% of total issued shares

B.20% of total issued shares

C.30% of total issued shares

D.10% of total issued shares

Explanation: Article 28-2 limits the quantity repurchased to 10% of total issued shares. A separate monetary ceiling also applies, so satisfying the share-count limit alone does not establish that a repurchase is permissible.

9An issuer proposes a public securities offering with no applicable exemption. Which prerequisite follows from Securities and Exchange Act Article 22?

A.Its filing with the competent authority must become effective before the offering

B.Filing alone permits immediate sales regardless of effectiveness

C.A listing application alone replaces the required effective offering registration

D.Board and lead-underwriter approval alone permits public sales

Explanation: Article 22 generally requires effective registration with the competent authority before public offering and issuance. The article provides specified exemptions, which are excluded by the question's facts.

10A prospectus materially misstates a section not certified by an outside professional. Under Securities and Exchange Act Article 32, what can support the underwriter's defense against liability for that section?

A.The issuer promised to accept all liability

B.Evidence of due care and reasonable grounds to believe the material contents were true and complete

C.The offering was oversubscribed

D.The underwriter did not personally buy shares

Explanation: Article 32 gives specified non-issuer parties a due-care defense under its conditions. Investor demand or an issuer's private promise does not replace the required diligence and reasonable belief.

About the Taiwan Securities Firm Specialist Examination Exam

Independent practice by OpenExamPrep for 證券商業務員資格測驗, administered by SFI on behalf of the Taiwan Securities Association (中華民國證券商業同業公會). The standard two-paper examination uses Traditional Chinese; eligible foreign-credential applicants have a separate Chinese-or-English validation paper. This English-language MCQ study adaptation covers selected corporate law, securities practice, valuation, and financial-analysis topics. It is not an official translation or test simulation.

Exam sponsor: Securities and Futures Institute (財團法人中華民國證券暨期貨市場發展基金會 / SFI). The requirements and fees below concern the certification or admission exam, separate from our free practice resources.

Assessment

Subject 1: 證券交易相關法規與實務 (60 minutes, 50 MCQs). Subject 2: 證券投資與財務分析 (90 minutes, 50 MCQs). All questions are single-choice objective questions with four options.

Time Limit

Standard examination: 150 testing minutes, comprising 60 for Regulations and Practice and 90 for Investment and Financial Analysis. The separate foreign-credential validation manual does not specify its duration; consult that route's examination notice.

Passing Score

Standard examination: at least 140/200 across both subjects, with each at least 50/100. Separate foreign-credential validation paper: at least 70/100.

Exam / Certification Fees

Standard examination: NTD 730 paper-based or NTD 1,130 computer-based. Regular foreign-credential license-validation examination: NTD 8,700.

Exam sponsor website

Fees, eligibility, and exam policies can change. Confirm them with the exam sponsor before applying or paying.

Official sources

SFI official examination handbooks · Source checked 2026-10-22Standard route: eligibility, two 50-question papers, 60/90 testing minutes, 140/200 with at least 50 per paper, and NTD 730 paper or NTD 1,130 CBT fee.
SFI Securities Specialist License Validation Exams for Foreign Examinees · Source checked 2026-10-22Equivalent-credential eligibility, Chinese or English written delivery, one 50-question regulations paper, 70-point pass standard, and regular NTD 8,700 fee. It is an alternative qualification route, not an English version of the ordinary two-paper sitting. Current 2026 activity: https://www.sfi.org.tw/News?id=2533.
Securities and Exchange Act (證券交易法) · Source checked 2026-10-22Primary statute governing public offerings, insider trading, market manipulation, securities firms, and stock exchanges.
Company Law (公司法) · Source checked 2026-10-22Statutory rules on companies limited by shares, shareholder meetings, directors' conflicts, legal reserves, and corporate-bond resolutions. Audit-committee requirements come from Securities and Exchange Act Article 14-4.
TWSE trading and settlement rules · Source checked 2026-10-22Daily limits, continuous trading, order conditions and margin thresholds. Customer versus broker settlement deadlines: https://www.twse.com.tw/en/clearing/clearing/operations.html.
Securities Transaction Tax Act · Source checked 2026-10-22Article 2 ordinary share-sale tax; reduced rates and exemptions must be considered separately.
CFA Institute: financial analysis and valuation · Source checked 2026-10-22Ratios and DuPont analysis; dividend valuation, bond mathematics, portfolio risk, and performance measures checked against the related primary CFA Institute readings.
IFRS Foundation: IAS 7 and IAS 33 · Source checked 2026-10-22Cash-flow reconciliation and classification principles; dilutive versus anti-dilutive EPS treatment also checked at https://www.ifrs.org/issued-standards/list-of-standards/ias-33-earnings-per-share/.

Our practice resources: topics covered

We aim to reflect publicly available exam outlines and topic information in our study resources. Coverage, format, and difficulty may differ from the actual exam, and we cannot guarantee that every detail is accurate or current. Confirm exam requirements, fees, and policies with the official exam sponsor.

8 study questions

Company Law & Corporate Governance (公司法與公司治理)

Meeting notices, ordinary resolutions, cumulative voting, conflicts of interest, legal reserves, corporate bonds, audit committees, and treasury-share ceilings.

12 study questions

Securities & Exchange Act and Market Practice (證券交易法規與市場實務)

Registration, prospectus responsibility, underwriting, TWSE settlement and price limits, margin calculations, insider rules, large holdings, tax, and FOK orders.

10 study questions

Investment Principles & Portfolio Analysis (證券投資與投資組合概論)

Dividend and bond valuation, duration, beta, Sharpe and Treynor measures, moving-average crossovers, market efficiency, portfolio return, warrants, and hedging.

10 study questions

Financial Statement & Ratio Analysis (財務分析與財務比率)

Liquidity and leverage ratios, DuPont, inventory turnover, breakeven, dividend payment, indirect cash flows, treasury-share accounting, and diluted EPS.

Preparing for the Taiwan Securities Firm Specialist Examination Exam

What You Need to Know

Passing score: Standard examination: at least 140/200 across both subjects, with each at least 50/100. Separate foreign-credential validation paper: at least 70/100.
Assessment: Subject 1: 證券交易相關法規與實務 (60 minutes, 50 MCQs). Subject 2: 證券投資與財務分析 (90 minutes, 50 MCQs). All questions are single-choice objective questions with four options.
Time limit: Standard examination: 150 testing minutes, comprising 60 for Regulations and Practice and 90 for Investment and Financial Analysis. The separate foreign-credential validation manual does not specify its duration; consult that route's examination notice.
Exam / certification fees: Standard examination: NTD 730 paper-based or NTD 1,130 computer-based. Regular foreign-credential license-validation examination: NTD 8,700. Official sources

Using Our Practice Resources

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Taiwan Securities Firm Specialist Examination: Suggested Study Strategy

1Master the distinction between underwriting types: firm commitment underwriting (包銷) vs best-efforts agency selling (代銷).

2Distinguish the 130% securities-margin threshold from futures margin rules, and the 18-hour post-disclosure trading restriction from the six-month short-swing profit rule.

3Practice standard financial ratio calculations including current ratio, quick ratio, inventory turnover, debt-to-equity, and Dupont analysis.

4Treat a moving-average crossover as a technical interpretation rather than a guarantee; explain which information set each efficient-market hypothesis assumes.

Frequently Asked Questions

What is the passing standard for the Taiwan Securities Firm Specialist Examination?

Candidates must achieve a combined score of at least 140 points across the two subjects (out of a 200-point total), provided that neither subject falls below 50 points. Both conditions must be met simultaneously.

How many questions are on the official examination?

The official examination contains 100 multiple-choice questions in total: 50 questions in Securities Trading Regulations and Practice (60 minutes) and 50 questions in Securities Investment and Financial Analysis (90 minutes).

Is the official examination offered in English?

The standard two-paper sitting uses Traditional Chinese. SFI also offers a separate one-paper license-validation route in Chinese or English for applicants with accepted equivalent foreign credentials. That route has different eligibility, scope, fee, and passing requirements. Our English-language MCQs are independent study material, not an official translation or simulation of either route.

What is the common subject requirement for registration?

Registration also requires satisfying the separate Financial Markets and Ethics (金融市場常識與職業道德) requirement and the applicable training and registration conditions. Check SFI's current common-subject validity and exemption rules rather than treating the two professional papers as the whole registration process.