Taiwan Stocks Plunge Over 1000 Points as Trading Volume Surges to Daliang
Taipei stocks opened lower and moved lower on the 30th, with the weighted index closing down 1156.5 points at 45211.83 points, down 2.49%, with turnover of NT$8777.3 billion. Amid heightened volatility, investors and small investors are closely watching the downside performance of their actively managed ETFs, and resilience has Powertech become a key focus for recent review.
Performance Diverges Among Three Popular Actively Managed ETFs
According to MacroMicro statistics for June 24, 2026 to October 28, 2026, three popular new actively managed ETFs showed clear divergence. Active KGI Taiwan (00407A) led with a -2.83% range return, followed by Active CTBC Taiwan Income (00406A) at -6.07%, while Active Uni-President Upgrade 50 (00403A) was third at -7.16%, with a 4.33 percentage-point gap between 00407A and 00403A. Small-investor guru Dr. Selena (Dr. Yang Qianlin) said investing should not only focus on which rises the most, but also on which is more resilient on the way down. The three have different positionings: 00406A uses a Covered Call strategy with monthly distributions for cash flow, 00403A focuses on large high-quality Taiwan enterprises, while 00407A adopts a no-distribution strategy combining quantitative stock selection and dynamic allocation, emphasizing long-term capital growth.
Three Keys to 00407A Resilience and Investment Reminder
Dr. Selena summarized three observable factors behind the relative resilience of 00407A. First is human-machine collaborative stock selection, combining quantitative model screening with the research team's industry analysis to improve selection efficiency. Second is dynamic allocation, without following the fixed weights of traditional market-cap indexes — for example, its TSMC (2330) holding accounts for only about 10%, reducing the impact of a single heavyweight stock decline. Third is active management, adjusting holdings and sector weights as markets change to balance growth and risk control. She also cautioned that 00407A still has relatively high technology sector exposure and should not be viewed directly as a purely defensive ETF. She said she also holds actively managed ETFs such as 00981A and 00991A, and stressed that star managers are not No. 1 forever; the focus should be on manager stock-picking ability, drawdown control in volatility, and long-term total return capturing growth on rebounds. She advised investors to keep reviewing individual stock fundamentals and valuations, look for staged entry opportunities, find the ETF that suits them, and build wealth through discipline and time. All investing involves risk; read the prospectus carefully before subscribing and evaluate risks prudently.