Taiwan Stocks Plunge 3.59% as ETF Turnover Surges
Taiwan stocks plunged 1612.60 points on November 3, closing at 43307.54, down 3.59%. Amid the market turmoil, ETF turnover expanded simultaneously. The actively managed CTBC Taiwan Income 00406A recorded daily trading volume of 1,608,938481 shares, or about 1.6089 million lots, with a transaction value of about 13.060 billion yuan, ranking first in listed turnover. Yuanta Taiwan 50 0050 traded about 302.40 million shares, or about 302,400 lots, with a transaction value of about 30.759 billion yuan. KGI Taiwan TOP 500 009816 traded about 265.47 million shares, or about 265,500 lots, 6547 with a transaction value of about 4.040 billion yuan.
00406A Falls Over 5% Below Ex-Dividend Reference on Ex-Dividend Day
00406A opened at 8.3 yuan on the day, with a high of 8.35 yuan and a low of 7.96 yuan, closing at 7.98 yuan. 0050 closed at 100.6 yuan, with a low of 100.5 yuan, while 009816 closed at 15.04 yuan. 00406A distributed 0.138 yuan per beneficial unit, with November 3 as the ex-dividend date and November 27 as the distribution payment date. According to the TWSE ETF dividend data, the ex-dividend reference price was 8.44 yuan, while the close was 7.98 yuan, 0.46 yuan lower than the reference price, or about 5.45%.
Government-Linked Buying Meets Institutional Selling
In terms of筹码, according to statistics on buying and selling by the eight major government-linked banks, on November 3, 00406A saw net buying of 115,714 lots, worth about 938 million yuan; 0050 saw net buying of 26,784 lots, worth about 2.725 billion yuan, showing some government-linked funds deploying amid market turmoil. However, buying and selling by the three major institutional investors pointed in a different direction. In 00406A, foreign investors sold a net 164,003 lots, dealers sold a net 977,521 lots, and investment trusts bought and sold 0 lots, for combined net selling of 1,141,1524 lots by the three major institutional investors.
Heavy Turnover Shifts Focus to Follow-Through in Chips
Overall, amid the sharp decline in Taiwan stocks, trading volume in 00406A, 0050 and 009816 expanded simultaneously, with 00406A exceeding 1.60 million lots to become the market trading focus. Expanded volume means larger-scale trading by both buyers and sellers and cannot be directly viewed as broad bargain hunting. Although the eight major government-linked banks bought, institutional investors as a whole still sold heavily. The market was not one-sided buying, but heavy turnover between different funds. It will be necessary to watch volume, institutional chips and changes in beneficiary numbers to judge whether funds continue to deploy.