FTS E Taiwan Index Series Review and Flow Implications

FTSE Russell's June 2026 index review will cause major rebalancing across Taiwan 50 and Dividend+ indices. The resulting US$13-14bn in passive flows is expected to trigger rotation from technology stocks into banks and other defensive sectors.

Key Takeaways

• 1.FTSE Russell announced quarterly index review changes for Taiwan indices, effective after market close on June 18, 2026.
• 2.Rebalancing is estimated to generate US$13-14bn in gross two-way passive flows for the Taiwan market.
• 3.Financials, Chemicals, Telcos, and Capital Goods are expected to see significant passive inflows, while Tech Hardware & Semis faces outflows.

Table of Contents

• What Happened?
• Constituent Changes
• Index Implications
• Sector Implications
• Historical vs. Current Patterns
• Disclosure Appendix