Financial Risk Analysis in Taiwan Area after Asian Financial Crisis

In late 1990s developing market around the world have faced financial crisis from mid-90 on the macroeconomic vulnerability has been obvious in Taiwan area. Through analysis in risk condition of each sector with in the area of Taiwan from financial engineer angle, mainly utilizing contingent claim balance sheet analysis approach, by use of information from the approach such as stock information reflected in balance sheet and market information in balance sheet, with the result of the study shows the match in the outcome and the actual economic condition in Taiwan area and proposes recommendations to corresponding policies to avoid crisis based on the finding.