Fubon Asset Management has announced the launch of its "Fubon Flagship 50 (009802) ETF," a market capitalization-based exchange-traded fund, after a two-year hiatus. The announcement was made on February 13, highlighting the anticipated volatility in the Taiwan stock market this year. To help investors navigate these conditions, Fubon recommends employing a momentum strategy through ETF 009802. The fundraising for this ETF is scheduled from February 24 to February 26, with pre-order subscriptions available on Fubon's website starting February 14.
Lawrence Hsu, an investment strategist at Fubon Asset Management, outlined three major international financial events likely to increase market volatility. He mentioned that Trump's tariffs 2.0 have led to increased volatility but should be seen as investment opportunities rather than threats. The upcoming Federal Open Market Committee (FOMC) meeting in March could also impact the market if it takes a hawkish stance on interest rates. Additionally, Nvidia's GTC conference is expected to focus on AI and robotics applications, potentially affecting GPU demand and stock prices.
Hsu suggests using momentum strategies to mitigate difficulties related to stock selection and timing decisions amidst these volatile conditions. He emphasizes that price continuation is key in momentum strategies and advises against impulsive reactions to news events. Instead, he advocates for consistent application of such strategies.
ETF009802 stands out due to its features: trend power, endurance, and resilience—qualities that make it suitable for long-term investment according to Hsu. It complements the Fubon Taiwan 50 (006208) ETF for comprehensive asset allocation in Taiwan's stock market.
Hsu underscores that whether investing in high-dividend stocks or those based on market capitalization, capital appreciation remains the ultimate goal. He recommends choosing momentum strategies for faster wealth accumulation and suggests ETF009802 as an effective tool for navigating potential consolidations and sector rotations in Taiwan's stock market this year.
(Note: Indices mentioned reflect historical performance only; past trends do not guarantee future results.)