| dc.description.abstract | The paper introduces the core concepts and characteristics of ETFs, and the growth of the global ETF market demonstrates its importance in investors’ asset allocation. ETFs achieve portfolio diversification and effective risk dispersion through investment strategies across asset classes, regions, or industries. Optimized factor strategies and asset allocation in ETF investments produce excellent investment results, helping investors reduce risk and increase returns in different market environments.
This study examines five Taiwanese ETF targets with different factors, including market capitalization weighting, industry, dividend yield, market, region, and ESG standards, with each ETF possibly having two or more factors. The paper assesses the effectiveness of different factors between the targets, showing the performance of each ETF at different times. The paper provides investors with a clear message: by actively and aggressively selecting factor strategies, it is possible to obtain better excess returns than market capitalization weighting. | en_US |