Taiwan stock market sees strong AI and high-dividend ETF performance

The Taiwan stock market has experienced significant growth, with the local market leading global gains at 69.8% year-to-date. This surge has driven exceptional performance in various Exchange Traded Funds (ETFs).

In the technology sector, AI-themed ETFs are seeing a diffusion effect, moving from cloud computing and chips toward the broader supply chain, including advanced packaging, cooling systems, and edge AI devices. The Schroders AI Tech Taiwan Active ETF (00419A) is positioned to capture this expansion by covering semiconductors, infrastructure, and new AI applications.

High-dividend ETFs are also performing strongly, challenging the perception that they only offer income without capital growth. The Fuhua Taiwan Tech High Dividend ETF (00929) has achieved a return of 79.8%, outperforming the broader market by leveraging its focus on the technology sector, specifically semiconductors and electronic components.