How to invest in Taiwan using ETFs
How do I invest in Taiwanese stocks?
The easiest way to invest in the whole Taiwanese stock market is to invest in a broad market index. This can be done at low cost by using ETFs.
On the Taiwanese stock market you'll find 2 indices which are tracked by ETFs.
Alternatively, you may invest in indices on the Asia-Pacific region or emerging markets.
Performance of Taiwanese stocks (MSCI Taiwan 20/35)
Indices in comparison
The best indices for ETFs on Taiwan
For an investment in the Taiwanese stock market, there are 2 indices available which are tracked by 3 ETFs. On the MSCI Taiwan 20/35 index there are 2 ETFs. On the MSCI Taiwan 20/35 Custom index there is 1 ETF. The total expense ratio (TER) of ETFs on these indices is between 0.50% p.a. and 0.74% p.a..
| Index | Investment focus | Number of ETFs | Number of constituents | Short description |
|---|---|---|---|---|
MSCI Taiwan 20/35 |
Taiwan | 2 ETFs | 86 (31/03/2022) |
The MSCI Taiwan 20/35 index tracks large- and mid-cap companies from Taiwan. The weight of the largest constituent is constrained to 35% and the weights of all other constituents are constrained to a maximum of 20%.
Index factsheet |
MSCI Taiwan 20/35 Custom |
Taiwan | 1 ETF | 86 (31/03/2022) |
The MSCI Taiwan 20/35 Custom index tracks large- and mid-cap companies from Taiwan. The weight of the largest constituent is constrained to 35% and the weights of all other constituents are constrained to a maximum of 20%. A buffer of 10% is applied on these limits at each index rebalancing.
Index factsheet |
| ETF ISIN |
Fund size in m GBP |
TER in % |
Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| iShares MSCI Taiwan UCITS ETFIE00B0M63623 | 334 | 0.74% p.a. | Distributing | Ireland | Full replication | |
| Xtrackers MSCI Taiwan UCITS ETF 1CLU0292109187 | 93 | 0.65% p.a. | Accumulating | Luxembourg | Full replication | |
| HSBC MSCI Taiwan Capped UCITS ETF USDIE00B3S1J086 | 31 | 0.50% p.a. | Distributing | Ireland | Full replication |
| Index | 1 month in % |
3 months in % |
6 months in % |
1 year in % |
3 years in % |
|
|---|---|---|---|---|---|---|
| MSCI Taiwan 20/35 | 2.89% | -2.18% | -2.41% | 5.66% | 95.67% | |
| MSCI Taiwan 20/35 Custom | 2.92% | -2.44% | -2.42% | 5.72% | 97.60% |
| Index | 2022 in % |
2021 in % |
2020 in % |
2019 in % |
2018 in % |
|
|---|---|---|---|---|---|---|
| MSCI Taiwan 20/35 Custom | -6.69% | 28.87% | 32.88% | 30.10% | -4.13% | |
| MSCI Taiwan 20/35 | -6.34% | 28.60% | 31.30% | 31.21% | -4.47% |
Source: justETF.com; As of 31/05/2022; Calculations in GBP based on the largest ETF of the respective index.
The best Taiwan ETFs
by 1 year return
| 1 | HSBC MSCI Taiwan Capped UCITS ETF USD | 7.38% |
| 2 | Xtrackers MSCI Taiwan UCITS ETF 1C | 5.72% |
| 3 | iShares MSCI Taiwan UCITS ETF | 5.66% |
The cheapest Taiwan ETFs
by total expense ratio (TER)
| 1 | HSBC MSCI Taiwan Capped UCITS ETF USD | 0.50% p.a. |
| 2 | Xtrackers MSCI Taiwan UCITS ETF 1C | 0.65% p.a. |
| 3 | iShares MSCI Taiwan UCITS ETF | 0.74% p.a. |
Asia-Pacific indices with a share of Taiwan
Besides Taiwan ETFs you may consider ETFs on Asia-Pacific. In total, you can invest in 5 Asia-Pacific indices, which are tracked by 10 ETFs. The total expense ratio (TER) of ETFs on Asia-Pacific is between 0.12% p.a. and 0.74% p.a..
| Index | Investment focus | Number of ETFs | Number of constituents | Short description |
|---|---|---|---|---|
| MSCI AC Asia Pacific ex Japan | Asia Pacific
Taiwan: 15.09% (31/05/2022) |
1 ETF | 1,284 (31/05/2022) |
The MSCI AC Asia Pacific ex Japan index tracks equity markets of the emerging and developed countries of the Asia and Pacific region, excluding Japan.
Index factsheet |
| MSCI AC Asia ex Japan | Asia Pacific
Taiwan: 18.19% (31/05/2022) |
2 ETFs | 1,217 (31/05/2022) |
The MSCI AC Asia ex Japan index tracks equity markets of the emerging and developed countries of the Asia region, excluding Japan.
Index factsheet |
| MSCI AC Far East ex Japan | Asia Pacific
Taiwan: 21.30% (31/05/2022) |
2 ETFs | 1,111 (31/05/2022) |
The MSCI AC Far East ex Japan index tracks equity markets of the emerging and developed countries of the East Asian region, excluding Japan.
Index factsheet |
| MSCI Emerging Markets Asia | Asia Pacific
Taiwan: 20.41% (31/05/2022) |
4 ETFs | 1,162 (31/05/2022) |
The MSCI Emerging Markets Asia index tracks large and mid cap companies from Asian emerging markets.
Index factsheet |
| MSCI Emerging Markets Far East | Asia Pacific
Taiwan: 24.41% (31/05/2022) |
1 ETF | 1,056 (31/05/2022) |
The MSCI Emerging Markets Far East index tracks the largest companies in China (as accessible through the Hong Kong market), Indonesia, Korea, Malaysia, Philippines, Taiwan and Thailand.
Index factsheet |
| ETF ISIN |
Fund size in m GBP |
TER in % |
Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| iShares MSCI EM Asia UCITS ETF (Acc)IE00B5L8K969 | 1,338 | 0.20% p.a. | Accumulating | Ireland | Full replication | |
| iShares MSCI AC Far East ex-Japan UCITS ETFIE00B0M63730 | 1,093 | 0.74% p.a. | Distributing | Ireland | Full replication | |
| SPDR MSCI EM Asia UCITS ETFIE00B466KX20 | 868 | 0.55% p.a. | Accumulating | Ireland | Optimized sampling | |
| Amundi ETF MSCI Emerging Markets Asia UCITS ETF USDLU1681044563 | 777 | 0.20% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| HSBC MSCI AC Far East ex Japan UCITS ETF USDIE00BBQ2W338 | 394 | 0.45% p.a. | Accumulating | Ireland | Optimized sampling | |
| Lyxor MSCI AC Asia Pacific Ex Japan UCITS ETF - AccLU1900068328 | 368 | 0.60% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| Lyxor MSCI AC Asia Ex Japan UCITS ETF - AccLU1900068161 | 250 | 0.50% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| Lyxor MSCI EM Asia UCITS ETF - AccLU1781541849 | 182 | 0.12% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| UBS ETF (IE) MSCI AC Asia Ex Japan SF UCITS ETF (USD) A-accIE00B7WK2W23 | 154 | 0.23% p.a. | Accumulating | Ireland | Swap-based | |
| HSBC MSCI EM Far East UCITS ETF USDIE00B5LP3W10 | 19 | 0.60% p.a. | Distributing | Ireland | Optimized sampling |
| Index | 1 month in % |
3 months in % |
6 months in % |
1 year in % |
3 years in % |
|
|---|---|---|---|---|---|---|
| MSCI Emerging Markets Far East | 1.44% | -2.61% | -7.77% | -15.30% | 18.78% | |
| MSCI AC Far East ex Japan | 1.38% | -2.07% | -7.01% | -15.01% | 13.80% | |
| MSCI AC Asia ex Japan | 0.35% | -1.14% | -6.90% | -11.88% | 16.24% | |
| MSCI Emerging Markets Asia | 0.20% | -1.67% | -6.42% | -11.80% | 21.05% | |
| MSCI AC Asia Pacific ex Japan | 0.06% | 0.56% | -4.52% | -8.96% | 17.38% |
| Index | 2022 in % |
2021 in % |
2020 in % |
2019 in % |
2018 in % |
|
|---|---|---|---|---|---|---|
| MSCI Emerging Markets Far East | -7.77% | -8.41% | 25.71% | 15.27% | -11.15% | |
| MSCI AC Asia ex Japan | -5.91% | -4.75% | 20.25% | 13.57% | -10.04% | |
| MSCI Emerging Markets Asia | -5.50% | -5.32% | 23.41% | 14.84% | -11.28% | |
| MSCI AC Far East ex Japan | -5.41% | -9.26% | 21.04% | 15.02% | -10.95% | |
| MSCI AC Asia Pacific ex Japan | -3.99% | -3.00% | 17.82% | 14.45% | -9.67% |
Source: justETF.com; As of 31/05/2022; Calculations in GBP based on the largest ETF of the respective index.
Emerging markets indices with a share of Taiwan
As further alternative you may invest in ETFs on emerging markets. In total, you can consider 2 emerging markets indices tracked by 18 ETFs. The total expense ratio (TER) of ETFs on emerging markets indices is between 0.14% p.a. and 0.55% p.a..
| Index | Investment focus | Number of ETFs | Number of constituents | Short description |
|---|---|---|---|---|
| FTSE Emerging | Emerging Markets
Taiwan: 17.98% (31/05/2022) |
2 ETFs | 1,907 (31/03/2022) |
The FTSE Emerging index tracks stocks from emerging markets worldwide.
Index factsheet |
| MSCI Emerging Markets | Emerging Markets
Taiwan: 15.99% (31/05/2022) |
16 ETFs | 1,393 (31/05/2022) |
The MSCI Emerging Markets index tracks stocks from emerging markets worldwide.
Index factsheet |
| ETF ISIN |
Fund size in m GBP |
TER in % |
Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| Xtrackers MSCI Emerging Markets UCITS ETF 1CIE00BTJRMP35 | 4,387 | 0.18% p.a. | Accumulating | Ireland | Optimized sampling | |
| iShares MSCI EM UCITS ETF (Dist)IE00B0M63177 | 2,960 | 0.18% p.a. | Distributing | Ireland | Optimized sampling | |
| Amundi ETF MSCI Emerging Markets UCITS ETF DRLU1437017350 | 2,365 | 0.20% p.a. | Accumulating | Luxembourg | Full replication | |
| Vanguard FTSE Emerging Markets UCITS ETF DistributingIE00B3VVMM84 | 1,681 | 0.22% p.a. | Distributing | Ireland | Optimized sampling | |
| UBS ETF (LU) MSCI Emerging Markets UCITS ETF (USD) A-disLU0480132876 | 1,124 | 0.23% p.a. | Distributing | Luxembourg | Optimized sampling | |
| iShares MSCI EM UCITS ETF (Acc)IE00B4L5YC18 | 1,031 | 0.18% p.a. | Accumulating | Ireland | Optimized sampling | |
| HSBC MSCI Emerging Markets UCITS ETF USDIE00B5SSQT16 | 875 | 0.15% p.a. | Distributing | Ireland | Optimized sampling | |
| Amundi ETF MSCI Emerging Markets UCITS ETF USDLU1681045453 | 824 | 0.20% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| Xtrackers MSCI Emerging Markets Swap UCITS ETF 1CLU0292107645 | 783 | 0.49% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| Lyxor MSCI Emerging Markets (LUX) UCITS ETFLU0635178014 | 672 | 0.14% p.a. | Distributing | Luxembourg | Unfunded swap | |
| Invesco MSCI Emerging Markets UCITS ETFIE00B3DWVS88 | 489 | 0.19% p.a. | Accumulating | Ireland | Unfunded swap | |
| Amundi Index MSCI Emerging Markets UCITS ETF DR EUR (D)LU1737652583 | 279 | 0.20% p.a. | Distributing | Luxembourg | Full replication | |
| SPDR MSCI Emerging Markets UCITS ETFIE00B469F816 | 255 | 0.42% p.a. | Accumulating | Ireland | Optimized sampling | |
| Vanguard FTSE Emerging Markets UCITS ETF AccIE00BK5BR733 | 177 | 0.22% p.a. | Accumulating | Ireland | Optimized sampling | |
| Xtrackers MSCI Emerging Markets UCITS ETF 1DIE000GWA2J58 | 131 | 0.18% p.a. | Distributing | Ireland | Full replication | |
| Lyxor MSCI Emerging Markets UCITS ETF - Acc USDFR0010435297 | 114 | 0.55% p.a. | Accumulating | France | Unfunded swap | |
| Amundi Index MSCI Emerging Markets UCITS ETF DR - USD (D)LU2277591868 | 96 | 0.20% p.a. | Distributing | Luxembourg | Full replication | |
| Lyxor MSCI Emerging Markets (LUX) UCITS ETF - AccLU2200146228 | 79 | 0.14% p.a. | Accumulating | Luxembourg | Unfunded swap |
| Index | 1 month in % |
3 months in % |
6 months in % |
1 year in % |
3 years in % |
|
|---|---|---|---|---|---|---|
| MSCI Emerging Markets | 0.26% | -0.45% | -4.81% | -9.48% | 14.84% | |
| FTSE Emerging | -0.04% | -0.24% | -3.20% | -6.75% | 15.73% |
| Index | 2022 in % |
2021 in % |
2020 in % |
2019 in % |
2018 in % |
|
|---|---|---|---|---|---|---|
| MSCI Emerging Markets | -5.55% | -1.50% | 14.15% | 13.94% | -10.13% | |
| FTSE Emerging | -3.78% | 0.60% | 10.90% | 16.00% | -8.64% |
Source: justETF.com; As of 31/05/2022; Calculations in GBP based on the largest ETF of the respective index.