ETF Trading

The trading of the ETF is similar to that of the close-end fund. The ETF needs to be listed at TSEC. Trading and settlement of the ETF are same as those of securities. Investors are able to trade ETFs by their securities trading accounts with a brokerage house, with no additional accounts required. The NAV of the fund is calculated and will be disclosed by the TSEC in every 15 seconds during the trading hours, exactly the same frequency as the updates on the Index. ETFs are also immediately available for margin trading upon listing. Short selling of ETF units under margin trading is exempted from the tick rule.

For example, Fubon Taiwan Technology ETF provides international investors with an efficient and inexpensive method of gaining maximum exposure to a group of Taiwan’s leading blue chips.