Taiwan and Japan Celebrate Milestone with Cross-Listed ETFs Launching Together

Major Financial Milestone: Taiwan and Japan Jointly Launch Cross-Listed ETFs

In a landmark event for regional financial cooperation, the Taiwan Stock Exchange (TWSE) and the Tokyo Stock Exchange (TSE) have ushered in a new era of financial integration with the simultaneous listing of their inaugural cross-border exchange-traded funds (ETFs) on September 18, 2025. This significant achievement showcases Taiwan's commitment to becoming a leading hub in Asian asset management.

The launch features two key ETFs: the Nomura TOPIX Feeder ETF (Ticker: 009812) on the TWSE and the NEXT FUNDS TIP FactSet Taiwan Innovative Technology 50 Index ETF (Ticker: 412A) on the TSE. The Nomura TOPIX Feeder ETF provides investors with access to Japan's robust equity market through the NEXT FUNDS TOPIX ETF (Ticker: 1306), recognized as Japan's largest ETF by assets under management. Additionally, it is part of Japan's NISA tax-free investment initiative, ensuring its popularity among retail investors.

Conversely, the NEXT FUNDS TIP ETF captures the essence of Taiwan's innovative technology sector, with a significant 72% of its total market capitalization represented by companies in the AI and semiconductor industries. In recent years, Taiwan's benchmark index has shown exceptional growth, more than doubling since 2020, with foreign investments nearing 46%.

TWSE Chairman and CEO Sherman Lin expressed pride in this collaborative achievement, stating, "These cross-listings signify a new chapter in financial cooperation between Taiwan and Japan, demonstrating substantial market confidence and Taiwan's unwavering dedication to innovation and global integration." During the event, both Lin and TSE President Iwanaga donned golden ties, symbolizing the radiant potential of the collaboration between the two nations' capital markets.

The day was marked by a joint ceremony attended by high-ranking officials from both exchanges and essential financial regulators. Notable attendees included Dr. Yen-liang Chen, Vice Chairperson of the Financial Supervisory Commission, and dignitaries from the Japan-Taiwan Exchange Association, who underscored the initiative's strategic importance. Dr. Chen stated, "This collaboration not only solidifies Taiwan's role in regional finance but also highlights the essential nature of cross-border innovation in driving sustainable growth."

Nobuo Suzuki, Senior Corporate Managing Director at Nomura Asset Management, emphasized the benefits these listings bring to investors, stating, "Both ETFs offer seamless access to diversified portfolios, fostering deeper connectivity between our markets and boosting investor engagement." Likewise, TSE President Iwanaga articulated the strategic significance of forming stronger partnerships within Asia's financial landscape.

Edith Lee, President of the TWSE, mentioned the potential of Japan's NISA program in enhancing market liquidity and encouraging retail investor participation, noting, "Taiwan's capital market has experienced dynamic growth, and this ETF launch prominently displays our technological strength to global investors."

In conclusion, the cross-listings represent a noteworthy advancement in Taiwan-Japan financial collaboration, promoting broader cross-border investment opportunities while reinforcing Taiwan's influence in the Asian asset management domain. As both nations continue to foster a framework of mutual growth and innovation, this cooperation signals a promising future for investors seeking exposure in this dynamic market.