TWSE Reports Flourishing ETF Market at Regional Summit

by Finance Magnates Staff
  • TWSE has announced that ETFs now account for nearly 10 percent of total turnover compared to 1.8 percent in 2014.
TWSE Reports Flourishing ETF Market at Regional Summit
Bloomberg
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The Taiwan Stock Exchange (TWSE) announced today that since the Financial Supervisory Commission (FSC) amended its regulations to allow the listing of more diverse Exchange -traded products in 2014, Taiwan’s ETF market has experienced rapid growth and now accounts for almost 10 percent of total turnover on the TWSE, compared to only 1.88 percent in 2014.

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As of the end of May 2016, more than US$7,640 million was invested in the 46 ETFs listed on the TWSE, including 18 leveraged and inverse ETFs and ETFs tracking foreign markets including the United States, China, Hong Kong, Japan and India.

Number of ETFs on the Increase

The number of ETFs listed on the TWSE will grow to 49 by the end of June 2016, following the listing of the Yuanta EURO STOXX 50 ETF and the Yuanta Nikkei 225 ETF today (15 June) and the expected listing of the Fubon Nasdaq-100 ETF on 17 June.

TWSE Chairman, Mr. Sush-der Lee, commented: “In just a few short years, Taiwan has emerged as a truly global ETF market. Investors are able to trade many of the world’s major indexing products – a prospect that is attractive to both professional and occasional investors. The growing availability of more complex products, such as inverse and leveraged ETFs are also providing more investment alternatives for experienced investors.”

TWSE: New Stock Abbreviation System

TWSE also announced today that commencing 27 June, 2016, the number of bytes allotted for the stock symbols of all listed securities will increase from 6 to 16. The purpose of this is to open up new options to describe product characteristics and allow investors to more easily identify the type of products by simply observing the stock symbol.

The exchange said that the current 6-bit stock symbol system only allows for at most 3 Chinese characters or 6 English letters, which no longer adequately accommodates the increasing diversity of products provided by domestic issuers.

The Taiwan Stock Exchange (TWSE) announced today that since the Financial Supervisory Commission (FSC) amended its regulations to allow the listing of more diverse Exchange -traded products in 2014, Taiwan’s ETF market has experienced rapid growth and now accounts for almost 10 percent of total turnover on the TWSE, compared to only 1.88 percent in 2014.

The new world of online trading, fintech and marketing - register now for the Finance Magnates Tel Aviv Conference, June 29th 2016.

As of the end of May 2016, more than US$7,640 million was invested in the 46 ETFs listed on the TWSE, including 18 leveraged and inverse ETFs and ETFs tracking foreign markets including the United States, China, Hong Kong, Japan and India.

Number of ETFs on the Increase

The number of ETFs listed on the TWSE will grow to 49 by the end of June 2016, following the listing of the Yuanta EURO STOXX 50 ETF and the Yuanta Nikkei 225 ETF today (15 June) and the expected listing of the Fubon Nasdaq-100 ETF on 17 June.

TWSE Chairman, Mr. Sush-der Lee, commented: “In just a few short years, Taiwan has emerged as a truly global ETF market. Investors are able to trade many of the world’s major indexing products – a prospect that is attractive to both professional and occasional investors. The growing availability of more complex products, such as inverse and leveraged ETFs are also providing more investment alternatives for experienced investors.”

TWSE: New Stock Abbreviation System

TWSE also announced today that commencing 27 June, 2016, the number of bytes allotted for the stock symbols of all listed securities will increase from 6 to 16. The purpose of this is to open up new options to describe product characteristics and allow investors to more easily identify the type of products by simply observing the stock symbol.

The exchange said that the current 6-bit stock symbol system only allows for at most 3 Chinese characters or 6 English letters, which no longer adequately accommodates the increasing diversity of products provided by domestic issuers.

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