Taiwan Stock Exchange and Korea Exchange Expand Ties with Cross-Listed ETFs

The Taiwan Stock Exchange Stock Exchange A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin Read this Term (TWSE) and the Korea Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term (KRX) today announced the cross listing of ETFs tracking the benchmark indices of both markets.

The move further expands the growing links and cooperation between the two bourses. Both ETFs will be the first index-based products to track Korean and Taiwanese securities in each market.

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In Taiwan, the 'Yuanta Korea KOSPI 200 ETF' has been listed on TWSE. Managed by Taiwan’s Yuanta Securities Trust Co., it tracks the benchmark KOSPI 200 index, comprised of the 200 largest companies listed on the KRX’s KOSPI market and representing 95 percent of its total market capitalisation.

Dr. Jun-Ji Shih, Chairman of TWSE, commented: “We are extremely pleased to be expanding our cooperation with KRX. I am especially pleased that we have been able to cross list ETFs less than a year since the signing of the MoU with KRX. Our deepening cooperation with KRX is the latest part of our ongoing strategy to work with overseas exchanges to help create listed products that further internationalize the Taiwan capital market.”

In Korea, the 'TIGER TAIWAN TAIEX(H) ETF' has been listed on KRX. Managed by Korea’s Mirae Asset Global Investment, it tracks the benchmark TAIEX index, which covers all listed common shares traded on TWSE and is the benchmark index for the Taiwan securities market.

Dr. Chan-woo Jeong, Chairman and CEO of the Korea Exchange, said the listing of ETFs on both markets is expected to serve as an exemplary practice that will pave the way for expansion of investment in capital markets in Taiwan and Korea through cooperative exchanges between the two markets.

The KRX and TWSE intend to continue working together on new projects, which may include jointly compiling new indices of Taiwanese and Korean-listed companies based on themes such as high dividends or prominence in the technology industry.