00878 Outshines China Steel to Become Taiwan Stock Market's Most Popular ETF with Six in the Top 20
In a remarkable shift in Taiwan’s stock market landscape, Cathay Sustainable High Dividend (00878-TW) has officially surpassed China Steel (2002-TW) in terms of shareholder numbers, registering a record-breaking 1,269,986 investors. This significant milestone not only cements 00878’s status as the preferred national ETF but also crowns it the new king of popularity among Taiwanese stocks. The rise in ETFs' prominence is highlighted by their strong representation in the list of top 20 stocks by shareholder numbers, where six are ETFs, predominantly themed around high dividends.
The surge in 00878’s shareholder base has been gaining momentum over the past six weeks, with a steady increase totaling 21,000 new investors since the end of April. This growth has propelled it to the pinnacle of Taiwan's stock market, making it the most widely held stock. The ETF’s draw increased further following the announcement of a higher dividend of NT$0.51 per unit for the second quarter, up from NT$0.40 in the previous quarter. This boost in dividend payouts sparked a rush among investors to secure or increase their holdings, driving the stock price to new heights and pushing the fund's total assets beyond NT$280 billion.
Historically, China Steel has been a staple in the portfolios of seasoned investors due to its stable dividend payouts. Typically, the anticipation of corporate giveaways at shareholder meetings has triggered long queues, but there has been a noticeable decline in its investor base over the past three weeks, reducing it to 1,264,960 shareholders, thus falling to second place in the rankings.
The third-largest in terms of shareholder numbers is TSMC (2330-TW), which has also experienced a decline over three consecutive weeks, now standing at 1,108,879 shareholders. TSMC's stock price recently hit a historic high of NT$856 mid-session on the 16th, before slightly retreating to close at NT$835 on the 17th, bringing its market capitalization to NT$21.66 trillion.
A closer look at the top 20 Taiwanese stocks reveals that ETFs such as Yuanta High Dividend (0056-TW), Yuanta Taiwan Value High Dividend (00940-TW), Capital Taiwan Select High Dividend (00919-TW), Fubon Taiwan Technology High Dividend (00929-TW), and Yuanta Taiwan 50 (0050-TW) are increasingly popular, illustrating a continued preference for the reliable cash flows associated with high-dividend themes among Taiwanese investors.
Of particular note is ETF 00940, which sparked widespread interest with its initial offering price of NT$10. Before its official listing, it had already amassed 708,000 shareholders, marking an impressive debut peak. After listing, its shareholder count rose to nearly a million, although it has seen a slight downward trend in recent weeks, currently at 991,006.
This restructuring of shareholder demographics represents a notable evolution in investor preferences, as evidenced by the rising allure of ETFs with high dividend yields, signaling a shift towards more diversified and sustainable investment strategies in Taiwan's stock market. Clearly, the investment landscape is being reshaped as 00878 leads the way in popularity, providing both sustainability and profitability to its broad base of investors, thereby echoing its initial groundbreaking surge as it continues to define its leadership role in the vibrant world of Taiwanese equities.
The surge in 00878’s shareholder base has been gaining momentum over the past six weeks, with a steady increase totaling 21,000 new investors since the end of April. This growth has propelled it to the pinnacle of Taiwan's stock market, making it the most widely held stock. The ETF’s draw increased further following the announcement of a higher dividend of NT$0.51 per unit for the second quarter, up from NT$0.40 in the previous quarter. This boost in dividend payouts sparked a rush among investors to secure or increase their holdings, driving the stock price to new heights and pushing the fund's total assets beyond NT$280 billion.
Historically, China Steel has been a staple in the portfolios of seasoned investors due to its stable dividend payouts. Typically, the anticipation of corporate giveaways at shareholder meetings has triggered long queues, but there has been a noticeable decline in its investor base over the past three weeks, reducing it to 1,264,960 shareholders, thus falling to second place in the rankings.
The third-largest in terms of shareholder numbers is TSMC (2330-TW), which has also experienced a decline over three consecutive weeks, now standing at 1,108,879 shareholders. TSMC's stock price recently hit a historic high of NT$856 mid-session on the 16th, before slightly retreating to close at NT$835 on the 17th, bringing its market capitalization to NT$21.66 trillion.
A closer look at the top 20 Taiwanese stocks reveals that ETFs such as Yuanta High Dividend (0056-TW), Yuanta Taiwan Value High Dividend (00940-TW), Capital Taiwan Select High Dividend (00919-TW), Fubon Taiwan Technology High Dividend (00929-TW), and Yuanta Taiwan 50 (0050-TW) are increasingly popular, illustrating a continued preference for the reliable cash flows associated with high-dividend themes among Taiwanese investors.
Of particular note is ETF 00940, which sparked widespread interest with its initial offering price of NT$10. Before its official listing, it had already amassed 708,000 shareholders, marking an impressive debut peak. After listing, its shareholder count rose to nearly a million, although it has seen a slight downward trend in recent weeks, currently at 991,006.
This restructuring of shareholder demographics represents a notable evolution in investor preferences, as evidenced by the rising allure of ETFs with high dividend yields, signaling a shift towards more diversified and sustainable investment strategies in Taiwan's stock market. Clearly, the investment landscape is being reshaped as 00878 leads the way in popularity, providing both sustainability and profitability to its broad base of investors, thereby echoing its initial groundbreaking surge as it continues to define its leadership role in the vibrant world of Taiwanese equities.
Last edited at：2024/12/16
#ETF#TSMC#Cathay Sustainability High Dividend ETF#0050-tw#China Steel Corporation