The Taiwan Monthly
Financial Products
ETF Market Development: Expanding Scale and Broad-Based Participatio
1. Sustained Growth in Beneficiary Accounts
In 2025, Taiwan’s ETF market continued to expand, with cumulative beneficiary accounts reaching 14.136 million, representing a 19.8% increase from 11.803 million at the end of 2024.
ETF participation is concentrated among investors aged 30–50, who account for nearly half of trading activity. DCA participation skews even younger, with investors aged 21–50 accounting for over 70% of participants.
This reflects a structural shift from short-term trading toward long-term, disciplined asset accumulation, supporting household financial resilience.
2. Record-High Asset Scale
Total listed ETF assets reached NT$4.63 trillion at the end of 2025, representing 35.8% annual growth. Taiwan equity ETFs accounted for NT$3.8 trillion, increasing 40.4% year-on-year.
Passive Taiwan equity ETFs expanded steadily, while active ETFs—launched in May 2025—surpassed NT$120 billion in assets within eight months, reflecting increasing investor acceptance of active management strategies.
This dual-track development of passive and active ETFs marks a new phase of maturity in Taiwan’s ETF market.
3. Strong Performance Across Taiwan Equity ETFs
The average dividend-adjusted return of passive Taiwan equity ETFs reached 19.9%, while active ETFs delivered 29.4%. The overall average for Taiwan equity ETFs was 21.0%.
Of 68 Taiwan equity ETFs, 65 recorded positive returns, resulting in a 95% positive-return ratio.
This demonstrates that market gains in 2025 were broadly distributed. Investors utilizing diversified ETF allocations were generally able to capture overall market growth rather than relying on exposure to a single large-cap stock.
High-dividend ETFs remained popular in terms of investor preference, while market-cap weighted and technology-oriented ETFs generally delivered stronger price returns. Each product category played a complementary role within diversified portfolio strategies.