Yuanta Futures, already the largest futures company in Taiwan, has set its sights on the broader markets across Asia.

With a market share of more than 21% of the island's future trading volume, Yuanta's goals for 2015 is to expand its business across the region and augment its market share in its domestic market.

Carolyn Chou, vice chairman of Yuanta Futures, says the company's plans include establishing new business lines, and replicating its unique business model abroad.

The 2015 goals were a continuation of last year's objectives, which were to intensify a variety of business operations, including boosting the profitability of the shareholders' equity, implementing risk management practices, and to expand its presence across key Asian markets.

So far, Yuanta Future's expanded market share has been contributing significantly to earnings. Yuanta Future's after-tax earnings for 2014 was TW$870.6 million (US$28.2 million), which is a 33.15% increase from a year earlier. The Taiwanese futures company's pre-tax earnings per share in the period was TW$4.30, representing 28.74% increase from 2013.

Increasing local market

In order to increase its lead in Taiwan's future market, Chou and her team will create services that help differentiate Yuanta in the market, continue to develop foreign future categories, and provide customer service and research to clients 24 hours a day.

2014 Jan - 2015 Mar Trading Volume & Ranking

Source: Chinese National Futures Association

One of the specific goals Chou has in mind is introducing brokers to undertake the company's foreign futures business. Chou says, "Yuanta Futures has over 20 years of experience in trading foreign futures, which would help IB (introducing broker) develop the foreign futures business at each business location in order to increase the trading volume of foreign futures. With the advantage of having the membership of 12 foreign exchanges, 210 stations of FCM and IB in Taiwan, and 24 hours global operations centre in service, Yuanta intends to develop foreign futures products with a higher turnover to be expected."

Chou also intends on applying for the permission to trade with leverage that will allow it to continue to expand. "Expect to have leveraged trading setup in the second half of the year in order to add the relevant business services of long-term contracts, option contracts, swap contracts, and spread contracts, and to also provide our general customers and institutional investors with diversified products and hedging channels," Chou says.

Grow Internationally

Yuanta Futures has already begun its international expansion by starting off In Greater China, and establishing a subsidiary in Hong Kong. Chou now plans on replicating the business model that has worked in Taiwan in South Korea, a market of major interest for the company, and to also continue to develop and provide aid to its subsidiary in Hong Kong.

"Duplicate the successful business model to the South Korea and Hong Kong markets. Establish a golden triangle zone of Taiwan, Korea and Hong Kong to actively deploy the Asian market," adds Chou.