Caixin
Caixin Global – Latest China News & Headlines

Home >

ABOUT US

CX Tech is Caixin Global's real-time tech news portal, featuring 24-hour news, short-form analysis, and roundups from business and tech media in China.

TRENDING
Apple Swerves $150 Levy on iPhones As U.S. and China Strike Trade Deal
Alibaba Co-Founder Steps Down From Board Affiliated to Chinese EV Maker
China Merchants Bank Executive Arrested in Connection to P2P Business
LATEST
Ping An’s OneConnect Expands U.S. IPO to Raise $312 Million
China Hits the Accelerator on Road Surveillance Equipment
Baidu Unveils Budget Touch-Screen Smart Speaker with Focus on Child Safety
Alibaba Co-Founder Steps Down From Board Affiliated to Chinese EV Maker
Samsung Invests Additional $8 Billion in Flash Memory Chip Production in China
Markets Applaud Talk of U.S.-China Trade Deal
Chinese Genome Sequencing Firm to Supply Tech to Abu Dhabi Personalized Health Care Project
Apple Swerves $150 Levy on iPhones As U.S. and China Strike Trade Deal
China Merchants Bank Executive Arrested in Connection to P2P Business
Hillhouse-Backed Genor Plans $200 Million Hong Kong IPO
GitHub Looks to Open Subsidiary in China
5G Handsets Grow As Proportion Of China’s Sluggish Smartphone Market
China Executes Man Who Killed 3 Fearing Wife’s Forced Sterilization Under One-Child Policy
Agriculture Insurance Companies Take A Hit From African Swine Fever
Tencent-Backed News App Denies Explosive Fraud Allegations From U.S. Due-Diligence Firm
Defying Sentiment, WeWork’s China Rival Files for New York IPO
Electric Car Maker Nio Cuts 141 Jobs at North American Headquarters
Huawei Wins Telefonica Deal to Help Build German 5G Network
China Unveils First 3D Images From Newest Earth Observation Satellite
Tesla to Raise Prices in China Again, Sources Say
Taiwan Stocks Offer Hefty Yield But Investors Still Selling

By Bloomberg / Jul 22, 2019 10:44 AM / Finance

Photo: Bloomberg

Photo: Bloomberg

The cash reward for owning Taiwan stocks is larger than almost anywhere else in Asia. Global investors are ditching them anyway.

Even with the benchmark Taiex gauge near a record high, managers have pulled about $680 million from Taiwan stock funds this month, more than any other market in the region. The withdrawals come even as corporate dividends top U.S. yields and just as a record amount of debt globally yields less than zero.

Investors who leaped into Taiwan stocks earlier this year aren’t eager to do it again: the economy’s firms are so entwined with the global technology supply chain that they’ve been particularly vulnerable to the trade war and a slowdown in the smartphone market.

"High dividend yields make Taiwan stocks attractive to global investors in a low interest rate environment, but it’s only one of the elements to consider," said Agnes Lin, a global market strategist at JPMorgan Asset Management Taiwan Ltd. The island’s weak economic fundamentals, partly the result of the U.S.-China trade clash, are also turning investors off the equities, she said.

The Taiex measure rose 0.5% as of 9:08 a.m. Monday in Taipei.

Related: Populist Mayor Becomes Opposition Nominee for Taiwan Leader

Share this article
Open WeChat and scan the QR code