Franklin Templeton has launched a Taiwan UCITS ETF within its Franklin LibertySharesTM range. This new addition expands the firm’s single-country, emerging market ETF offerings to five, alongside Brazil, India, China and Korea.
Franklin Templeton has launched a Taiwan UCITS ETF within its Franklin LibertySharesTM range. This new addition expands the firm’s single-country, emerging market ETF offerings to five, alongside Brazil, India, China and Korea.
The fund will list on the Deutsche Börse Xetra (XETRA) on 22 March and the London Stock Exchange (LSE) and Borsa Italiana on 23 March. The fund is registered in the UK, Ireland, Austria, Denmark, Finland, France, Germany, Italy, Spain and Sweden.
The Franklin FTSE Taiwan UCITS ETF will provide European investors with cost-efficient, UCITS- compliant, market-cap weighted exposure to Taiwanese assets and offers the lowest total expense ratios (TER) at 0.19 per cent in Europe (TER is on average 74 per cent lower than other emerging markets country UCITS ETFs) for its respective category.
As one of the world’s largest asset managers with dedicated emerging markets expertise, Franklin Templeton has approximately USD90 billion managed across the firm in emerging markets assets. This new passive ETF is benchmarked to the FTSE Taiwan 30/18 Capped Index, leveraging the global index provider’s capabilities and expertise.
Caroline Baron, Head of ETF Business Development, EMEA, Franklin Templeton says: “We are delighted to introduce this new Taiwan passive ETF at the lowest fee to European investors. Taiwan is home to some of the most technologically advanced companies globally and continues to offer attractive investment prospects, given its market leadership in high-growth sectors like electronic circuits, automation and semiconductors.”
“Our single-country ETFs allow investors to tailor their emerging market allocations rather than follow the country weights of broader emerging market indices where China could account for more than 35 per cent. By having access to our single-country ETF portfolio suite, investors can take a more targeted approach towards emerging markets and match the specific needs of their portfolio.”
Julian Ide, Head of EMEA distribution, Franklin Templeton says: “Franklin Templeton has more than 35 years of deep expertise in emerging market investing and we are very pleased to add Taiwan to our single-country LibertyShares ETF product suite. Offering greater choices to investors via low-cost emerging market ETFs will further enable our clients to use them as building blocks to diversify their portfolios.”
As of 28 February 2022, Taiwan accounted for over 18 per cent of the FTSE Emerging Market Index. Adding Brazil, India, China and Korea, these five countries collectively account for around 75 per cent of the FTSE Emerging Markets Index. The Franklin FTSE Taiwan UCITS ETF also has approximately 60 per cent of its portfolio invested in Taiwanese technology companies.
