Taiwan TISA program reaches 240,000 accounts in first year

Taiwan's Taiwan Individual Savings Account (TISA) program has reached its one-year milestone, recording over 240,000 accounts and total assets of approximately NT$21.06 billion as of August 21. The program, which utilizes a ‘fund-first’ strategy with discounted management fees and waived subscription fees, aims to encourage long-term investment habits among the public.

The Financial Supervisory Commission (FSC) is now preparing for the second phase of TISA. Discussions are underway with relevant ministries to introduce tax incentives, such as deferred taxation, standard deduction increases, or special deduction reductions, similar to the voluntary contribution mechanism of the labor pension system.

Additionally, the government is extending long-term investment concepts to younger generations. President Lai Ching-te announced that a growth allowance for children aged 0 to 18 has been included in next year's central government budget, providing NT$5,000 per month to serve as a tool for long-term investment and education funds.