The Taiwan Stock Exchange (TWSE) has recently launched two new platforms, the ESG InfoHub and the Investment InfoHub, in a bid to attract more foreign capital and provide investors with comprehensive information for making informed investment decisions.
Taiwan’s capital market has been showcasing its strength and resilience, with robust fundamentals, high dividend returns, and a thriving information and communication technology (ICT) sector. The influx of foreign capital into the market has been driven by the recent AI boom and the anticipated end to US rate hikes. As of June 30, 2023, foreign capital in Taiwan’s stocks accounted for over 40%, leading to a significant rise in stock prices. In fact, Taiwan’s stock market has risen by 19.65% this year, ranking fourth among major global markets and second among Asian markets, only behind Japan.
Listed companies in Taiwan have also achieved remarkable results, with total revenue reaching a record high of USD 1.31 trillion in 2022, marking an annual growth rate of over 5%. Notably, the estimated dividend yield is close to 5%, placing Taiwan among the top performers globally. More than 50% of the constituent stocks in the Taiwan stock index consist of technology, semiconductor, and electronic component companies.
Chairman and CEO of the TWSE, Sherman Lin, emphasizes the sound fundamentals of Taiwan’s stock market and its ability to continuously attract foreign investment. The launch of the ESG InfoHub and Investment InfoHub aims to enhance investors’ understanding of the advantages of listed companies in Taiwan and attract more foreign investment into the market.
The Investment InfoHub website provides investors with a one-stop platform for accessing integrated information to aid their investment decisions. It consolidates essential information from the TWSE’s official website, Market Observation Post System, and Market Information System websites. The platform presents key market and company information through graphics and visualized analytic reports, enabling investors to compare and analyze data effectively. All reports are available in various file formats, allowing investors to process and utilize the data as needed.
On the other hand, the ESG InfoHub website integrates ESG information and products from listed companies, establishing a convenient resource for investors interested in environmental, social, and governance factors. The platform enables investors to search for specific companies’ ESG information, compare companies within industries, and identify opportunities in the ESG market. The launch of the ESG InfoHub demonstrates TWSE’s commitment to promoting sustainable finance and making ESG a competitive advantage for Taiwanese companies in the global market.
To further strengthen Taiwan’s positioning in the international capital market, TWSE is arranging a delegation visit to New York in September for roadshows and meetings with major institutional investors. This visit aims to establish long-term relationships and collaboration with international financial institutions and attract more foreign investment. TWSE has already visited Singapore, Malaysia, Japan, and Vietnam in the first half of the year.
TWSE has also made additional strategic moves, including adjusting the industry classification of listed companies by adding four new categories: Digital and Cloud Services, Sports and Leisure, Green Energy and Environmental Services, and Household. This change aims to draw investors’ attention to distinctive listed companies within these industries. Furthermore, TWSE will launch the Taiwan New Economy Industry Index, which includes companies from the newly added industries, and the Taiwan Innovation Board Index to highlight Taiwan’s new economy companies.
In July, TWSE also introduced a new Corporate Identification System (CIS) design, emphasizing the value of innovation. This update is the first since 2008 and underscores TWSE’s commitment to staying current with evolving market needs and trends.
With these initiatives, TWSE aims to provide valuable resources for investors, enhance the international competitiveness of Taiwan’s capital market, and attract more foreign investment. The launch of the ESG InfoHub and Investment InfoHub demonstrates TWSE’s dedication to optimizing information disclosure and fostering a sustainable and vibrant market.
