EXPLOSIVE GROWTH:
As worldwide issuance of active ETFs is going through a catapult launch, so it goes in Taiwan, with 28 active ETFs coming online in just a year
By Crystal Hsu / Staff reporter
Taiwan’s actively managed exchange-traded funds (ETFs) have become an investment frenzy, with several offerings more than doubling in value within a year as strong market gains and notable returns draw a surge of investor money into the fast-growing area.The rapid ascent of active ETFs is the newest phase in Taiwan’s retail investing cycle, following earlier waves of enthusiasm for high-dividend strategies and market-cap weighted index funds.Fund managers say the shift has become so pervasive that many retail investors are increasingly embracing “saving through ETFs” as a long-term strategy, rather than relying on traditional stock picking.
Nomura Asset Management Taiwan Ltd president Jeff Huang, center, and other executives celebrate the launch of the company’s active exchange-traded funds at an event in Taipei on May 4.
