國泰永續高股息成分股
The 國泰永續高股息成分股 is a sustainable and high dividend-paying stock index in Taiwan, consisting of companies that have a strong commitment to environmental, social, and governance (ESG) practices. Cathay Securities Investment Trust created this index to provide investors with a reliable way to invest in companies that prioritize sustainability and offer high returns in the form of dividends.
The companies included in the 國泰永續高股息成分股 are selected based on their dividend yields, positive ESG performance, and high business sustainability. As of June 2021, this index comprised 30 stocks from various industries, including technology, finance, and healthcare. Some of the top companies on the index include Taiwan Semiconductor Manufacturing Co., Ltd., HTC Corporation, and Uni-President Enterprises Corp.
Investing in the 國泰永續高股息成分股 provides an opportunity for investors to make a positive impact on society and the environment while also earning reliable returns on their investments. Furthermore, as ESG considerations become increasingly important for investors, this index can align financial goals with values and contribute to a more sustainable future.
High Dividend Yield Stocks in Cathay Sustainable Dividend Index
國泰永續高股息成分股 or Cathay Sustainable Dividend Index lists the top high dividend yield stocks in Taiwan. Companies with stable profits and high dividend payout ratios are included in this index. In this section, we will explore the benefits and features of this index, along with some of the high dividend yield stocks included in it.
Benefits and Features of Cathay Sustainable Dividend Index
Cathay Sustainable Dividend Index aims to provide investors with stable income streams through high dividend yield stocks while considering sustainable development principles. It selects companies with stable profits, good dividend payout ratios, and strong corporate social responsibility records. By investing in this index, investors can benefit from the following features:
- High Yield: As the name suggests, this index focuses on high dividend yield stocks in Taiwan. By investing in this index, investors can enjoy higher-than-average dividend yields.
- Stable Income: The companies included in this index have a track record of stable profits, ensuring a stable income for investors.
- Sustainable Principles: The index provider considers corporate social responsibility and sustainable development principles when selecting stocks for inclusion.
High Dividend Yield Stocks in Cathay Sustainable Dividend Index
Some of the high dividend yield stocks included in Cathay Sustainable Dividend Index are:
Stock Code Company Name Dividend Yield
1101 台泥 (Taiwan Cement Corporation) 6.73%
1301 台塑 (Formosa Plastic Group) 5.75%
2317 鴻海 (Hon Hai Precision Industry Co., Ltd.) 5.13%
2002 中鋼 (China Steel Corporation) 4.62%
The above stocks possess strong fundamentals, with stable profit performance and attractive dividend payout ratios. However, we caution that past performance is not indicative of future results.
Overall, Cathay Sustainable Dividend Index provides investors with a well-diversified portfolio of high dividend yield stocks with sustainable principles. As a result, investing in this index can benefit from both stable income and the potential for long-term capital appreciation.
Performance of Cathay Sustainable Dividend Index in recent years
Let’s take a closer look at the performance of 國泰永續高股息成分股 (Cathay Sustainable Dividend Index or CSDI) in recent years. The CSDI is a benchmark index designed to measure the performance of a portfolio of high dividend yielding, socially responsible companies listed in Taiwan. The index was launched in March 2014 and has since experienced significant growth.
Here’s a table showing the performance of CSDI in recent years:
Year CSDI Return Taiwan Stock Exchange (TWSE) Return
2016 21.88% 11.00%
2017 25.45% 15.54%
2018 -4.79% -6.23%
2019 18.67% 11.78%
2020 14.32% 16.93%
As we can see from the table, CSDI has outperformed the TWSE in most years since its launch, except for 2018 when it underperformed the TWSE. In 2020, CSDI performed well despite the challenges posed by the COVID-19 pandemic.
It’s worth noting that CSDI includes only socially responsible companies with a high dividend yield, which may explain its outperformance in certain years. Additionally, the fact that it only includes companies listed in Taiwan may limit its diversification and international exposure compared to other indices.
Overall, the performance of CSDI in recent years has been impressive, with strong returns and outperformance compared to the broader market in most years. However, it’s important to note that past performance does not guarantee future results. Therefore, investors should consider their investment objectives and risk tolerance before investing in any index or fund.
Benefits and Risks of Investing in Cathay Sustainable Dividend Index.
I have found that investing in the Cathay Sustainable Dividend Index, commonly known as 國泰永續高股息成分股, can provide investors with a range of benefits. However, it’s also important to understand the potential risks associated with this type of investment.
Benefits:
- Steady Dividend Income: The Cathay Sustainable Dividend Index consists of companies with a consistent track record of paying high dividends. Thus, investing in this index can provide long-term investors with a steady dividend income stream.
- Diversification: The index is broadly diversified, comprising companies across different sectors and industries. This allows investors to diversify their portfolio and mitigate risks associated with any particular industry or sector.
- Lower Risk: The companies in the index are well-established and financially stable, with strong fundamentals and a history of performing well. This can potentially result in lower investment risk than investing in individual stocks.
Risks:
- Market Fluctuations: Like any investment, the index is subject to market fluctuations, which can lead to volatility in the value of investments. This is an inherent risk associated with investing in the stock market.
- Limited Returns: Although investing in the Cathay Sustainable Dividend Index can provide investors with steady dividend income, returns may be limited compared to investing in high-growth stocks.
- Concentration Risk: The index comprises a relatively small number of companies, potentially resulting in concentration risk. This means that if any of the companies in the index underperform or go bankrupt, it can significantly impact the overall performance of the index.
Overall, investing in the Cathay Sustainable Dividend Index can benefit investors. Still, it’s important to carefully evaluate the potential risks associated with this type of investment. As with any investment, investors should consider their financial goals and risk tolerance before making investment decisions.