0050 ETF Size Exceeds NT$1.5 Trillion; 2X Leveraged 00631L Surpasses NT$100 Billion Milestone

(Central News Agency, reporter Tseng Jen-kai, Taipei, 16th) The stock price of Taiwan's "護國神山" (Sacred Mountain protecting the nation) TSMC has broken past the NT$2,000 mark, propelling Taiwan stocks to new highs and attracting a flood of investors. The asset size of the flagship Taiwan stock ETF, Yuanta Taiwan 50 (0050), has reached NT$1.55 trillion. Its 2x leveraged counterpart, Yuanta Taiwan 50 Daily Bull 2X (00631L), also smashed through the NT$100 billion threshold today, becoming the first leveraged Taiwan stock ETF to achieve this milestone.

Citing data from the Taiwan Stock Exchange and the Taiwan Depository & Clearing Corporation, Yuanta Funds stated that from the beginning of this year to April 15, 00631L received a net subscription volume of NT$30.8 billion. During the week ending April 10, the number of investors increased by 94,000. Driven by the influx of funds and the rising Taiwan stock market, the fund's size reached NT$101.6 billion on April 16, crossing the 100 billion mark for the first time.

Yuanta Funds pointed out that 00631L is a 2x leveraged ETF aiming for a daily return equivalent to twice that of the Taiwan 50 Index. Looking at actual performance, 00631L's return from its inception until the end of March this year was 2,016%, which is 4.7 times higher than the Taiwan 50 Index's return of 352% during the same period.

At the end of March, 00631L completed a high-ratio 1-to-22 stock split, dropping its price per share from over NT$400 to just over NT$20. The lowered trading threshold successfully boosted trading volume. According to Taiwan Stock Exchange statistics, the average daily trading value of 00631L was NT$3.08 billion from the start of the year to March 24. After trading resumed post-split on March 31 until April 15, the average daily trading value grew to NT$4.97 billion.

However, Yuanta Funds reminded investors that 00631L is a strategic trading product carrying leveraged operational risks. It is not suitable for long-term holding, and only investors who meet the qualification conditions set by the Stock Exchange should trade it.