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How can you achieve these results?

Sector Rotation is a dominant feature of the Taiwan Stock Market. Find out how to profit from it.

The Long/Short Portfolio

A 30 asset portfolio created from the official subsectors of the TWSE. The System picks the three most promising sub-sectors and has the option of going short. Since this portfolio has the option of “shorting the market” we have not included any cash portfolios. While we have included trading costs, the returns are hypothetical and unleveraged. Find out more!

The Long Only Portfolio

A 30 asset portfolio created from the official subsectors of the TWSE. The System picks the three most promising sub-sectors. Since the portfolio cannot short, we have included three cash assets for those times when positive returns look scarce. Although we have accounted for trading expenses, the returns are hypothetical and unleveraged. Find out more!

Taiwan Market Comments 2010/10/15

FINIs
* 33% of US$7.5bn turnover in 4 names. Narrow and getting more narrow
* FPG 1301 +US$104mm. After that small buying.
* Catcher 2474 +1.9% of company. Wintek 2384 another +1.6%. FINIs keep buying Wintek.
* Unimicron 3037 bashed -2.38% sold.
* Previously hot names HTC 2498 Mediatek 2454 HH 2317 all seeing better selling. US$7.5bn for the week with limited action.
ITCs
* Top buy 1704 +$19mm. This is a big bet in this environment.
* Selling HTC 2498 -$22mm and Unimicron 3037 -$22mm. Bad news in Unimicron is in market.
* Total trading of US$900mm, w/ a low bias towards the sell side.
Local Prop
* Buying Unimicron 3037 +4.6mm w/ decent bias 48. 1704 bought w/ ITCs, as well as other petrochem names.
* Selling of Wintek 2384 and HH 2317, but nothing aggressive.
* Total volume $1.3bn, slightly better sellers.
IRP L/S Picks
1. Autos 汽車類指數
2. Cable 電器電纜類指數
3. Textile 紡織纖維類指數
IRP Long Only Picks
1. Autos 汽車類指數
2. Consumer 貿易百貨類指數
3. Tourism 觀光類指數

Taiwan Market Comments 2010/10/08

FINIs
* 33% of US$7bn turnover in 4 names. Still focused on a handful of names.
* No bias significantly greater than -+50 Novatek 3034 +$26mm, Inotera 3474 -$18mm.
* Selling of Mediatek 2454 increased, other names bought.
*Other than HH 2317 +$102mm, Mediatek 2454 -$217mm, only significant move was another 1.5% of Wintek 2384 bought

ITCs
* Twn Fertilizer 1722 +$33m. Major buy of the week bias 97.
* No other buy/sell exceeding $14mm +-
* Slightly increased volume close to $1bn.

Local Prop
* No major buy/sell bias in either direction
* $1.5bn, no aggressive moves greater than $10mm into any name.
* Slight bias in HH 2317 +25, following FINIs

IRP L/S Picks
1 Autos 汽車類指數
2 Consumer 貿易百貨類指數
3 Tourism 觀光類指數

IRP Long Only Picks
1. Autos 汽車類指數
2. Consumer 貿易百貨類指數
3. Tourism 觀光類指數

Taiwan Market Comments 2010/10/01

FINIs
* 33% of US$5bn turnover in 4 names. Even more narrow
* No bias significantly greater than 50. Hon Hai 2317 top buy $120mm, then tailing off.
* Selling of major tech names Mediatek 2454/TSMC 2330 and HTC 2498, but again conviction low.
* Local fav Wintek 2384 bought. +3.4% of the company. Mediatek 2454 saw -1.5% of company sold.

ITCs
* Epistar 2448 $42mm, heavy favorite.
* Other names like GET 3519 seeing big moves +4.7% of company.
* Volume light at $780mm, with no moves into other names.

Local Prop
* Bot $10mm HTC 2498, remaining bullish.
* Epistar 2448 US$-8mm. Scalping ITCs
* Very neutral bias in other names

IRP L/S Picks
1 Autos 汽車類指數
2 Consumer 貿易百貨類指數
3 Tourism 觀光類指數

IRP Long Only Picks
1 Autos 汽車類指數
2 Consumer 貿易百貨類指數
3 Tourism 觀光類指數

Expectations of increased consumer spending, either from local consumers or mythical China Tourists.

Taiwan Market Comments 2010/9/19

FINIs
* 33% of US$4.6bn turnover in 5 names. Narrow
* Bias (Buy – Sell)/(Buy+Sell) was significant in Hon Hai 2317 (selling) AUO 2409 and CMI 3481 (buying). Otherwise tepid – no conviction.
* CHT 2412 continues to see buying again this week, with strong bias 55%. Seeking shelter in the dividend.

ITCs
* Strong buying in HTC 2498 +$58mm vs FINI $35mm. Bias of 90% indicating strong preference.
* Selling of Yang Ming 2609 and Evergreen 2603 with 95% bias. A single fund getting out. Also selling HH 2317 with FINIs
* $1bn trading w/ no significant buying outside HTC. Skittish.

Local Prop
* Bot $30mm HTC 2498, indicating uniform local conviction in this name.
* Small buyers $8mm of HH 2317. Possibly a small pop this week?
* Turnover $1.4bn, 15% in 4 names. Avoiding big bets.

Like the rest of the world, Taiwan institutions are in “risk off” mode, despite the market slowly clicking up.

Welcome to Taiwan Market Analytics

On the tabs, you will find a quantitative breakdown of the most recent Taiwan Market Statistics. We will update the information as often as the TWSE (some of the data is daily, some is weekly).

Why is this important?

Because the Taiwan Market is ID based, the statistics released by the Taiwan Stock Exchange (TWSE) offer a very complete view of who’s buying, who’s selling and how much everyone is holding. Unfortunately, that data isn’t always in an easily digestible format. One of the most useful features of the website is our Overweight/Underweight vs. MSCI tab. This not only tells you how over or underweight QFII/FINI investors are but also how many days of average trading it will take to get back to a fair weighting. The information is available, why not use it?

This website is a part of what we do at Independent Research Partners. If you want to see more, please feel free to click on some of the links.