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AllianzGI maintains optimism for Taiwan's equities market despite ETF surge

EditorAmbhini Aishwarya
Published 10/12/2023, 02:12 PM
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Allianz (ETR:ALVG) Global Investors (AllianzGI) continues to express confidence in the potential of Taiwan's domestic actively managed equities funds market, despite the significant growth of Exchange-Traded Funds (ETFs) since 2018. The firm, which recorded a 25% increase in net income in 2021 and held NT$70.02 billion in assets with over 30,000 beneficiaries across three funds, remains committed to active investment strategies, according to data from Keystone Intelligence.

On Thursday, AllianzGI highlighted that active investment strategies cater to a broad range of investor needs and scenarios beyond beta. The firm is dedicated to nurturing strong local teams for these strategies and has consistently reaped benefits under Taiwan's Deep Cultivation Plan.

While ETFs have seen unrivaled growth in recent years, reaching NT$3.21 trillion (USD1 = TWD32.136) in August, local giants such as Yuanta Funds and Cathay Securities Investment Trust have significantly benefited from this trend. This surge has been largely influenced by investment-oriented influencers who have attracted younger retail investors to Taiwan's ETF boom through digital platforms.

Despite this shift, AllianzGI remains bullish on the potential of Taiwan's onshore market for actively managed equities funds. It cautioned against potentially misleading investment information from some influencers who present asset management in an overly simplistic way. AllianzGI stressed the importance of investor education to ensure informed decisions are made in the investing landscape.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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