“FTW’s benchmark index selects securities from the NASDAQ Taiwan Index and seeks to generate positive alpha by using the AlphaDEX methodology. Under normal market conditions, FTW invests at least 90% of its total net assets in American depositary receipts (ADRs), common stocks and global depositary receipts (GDRs) comprising its underlying index,” adds Investopedia.
Last year, Taiwanese stocks enjoyed a brief rally on hopes of a potential stock-trading link between Taiwan and Shanghai pushed shares higher – a similar program between Shanghai and Hong Kong has helped support a rally in both markets.
Taiwanese authorities also recently introduced limits on foreign investments in the corporate debt market in an attempt to diminish inflows that strengthened the local currency.
iShares MSCI Taiwan ETF
