Constituents of FTSE TWSE Taiwan 50 Index unchanged after review
After a quarterly index review, the constituents of the FTSE TWSE Taiwan 50 Index remained unchanged, the Taiwan Stock Exchange said Saturday.
As of the market close on Friday, Taiwan Semiconductor Manufacturing Co. (TSMC, ) accounted for 24.16 percent of the Taiwan 50 Index, the largest-cap stock in the index, followed by Hon Hai Precision Industry Co. ( ) with 8.62 percent, and MediaTek Inc. ( ) with 4.21 percent, according to the TWSE.
The TWSE launched the Taiwan 50 Index in October 2002 alongside the FTSE, a global index provider. The index is usually closely followed by foreign institutional investors, as it comprises the top 50 large cap stocks in Taiwan, accounting for over 70 percent of the local main board’s total capitalization On Friday, the Taiwan 50 Index fell 0.08 percent from the previous session to 6,875.36, while the weighted index on the main board closed down 0.09 percent, at 9,340.13 points.
While leaving the Taiwan 50 Index unchanged, the TWSE said it has placed five stocks on the waiting list for the next quarterly review. The five are Eclat Textile Co. ( ), contract PC maker Compal Electronics Inc. ( ), integrated circuit designer Novatek Microelectronics Corp. ( ), bicycle vendor Giant Manufacturing Co. ( ), and shoe maker Feng Tay Enterprises Co. (
). Also after the index review, the TWSE said, it decided to include communications device supplier Wistron NeWeb Corp. ( ), Taiwan Life Insurance Co. ( ), and uninterruptible power system maker Voltronic Power Technology Corp. ( ) in the FTSE TWSE Taiwan Mid-Cap 100 Index.
The Taiwan Mid-Cap 100 Index comprises the next 100 Taiwanese companies after the Taiwan 50 Index in terms of market capitalization. The Taiwan-Mid-Cap 100 Index accounts for 20 percent of the total market capitalization on the main board.
The TWSE also decided to remove Prince Housing & Development Corp. ( ), Sinyi Realty Inc. (
), and speaker maker Merry Electronics Co. ( ) from the Taiwan Mid-Cap 100 Index. Wistron MeWeb will be added to the FTSE TWSE Taiwan Technology Index after the review, while Merry will be removed from the technology index, which comprises all information stocks in the Taiwan 50 and the Taiwan MidCap 100 indexes.
The index adjustments are scheduled to become effective on June 22.