As we move into June, the weighted index has yet to recover from its decline this year, with a gap of over 6,000 points recorded in the first five months. Many tech stocks and thematic ETFs have plummeted, with declines exceeding 20%. In contrast, high dividend ETFs have shown relative stability, especially Yuanta Taiwan High Yield Low Volatility ETF (00713), which fell only 0.39% amidst market fluctuations.

Analysis of the top five high dividend ETFs in Taiwan shows that 00713 leads in performance for both the first five months and the month of May, with 0056 following closely with a slight decline of 0.9%. Meanwhile, the tech-heavy 00929 dropped by 2.7%, and 00878 underperformed the most with over a 4% drop. The 00919 fund carries high volatility due to its concentration in a few stocks.

Following a series of dividend reductions from 00878, 00713 has also lowered its dividend to NT$1.1 per share this quarter, translating to an annualized yield of approximately 8.6%. Analysts suggest that investors concerned about decreased dividends may worry about future cash flows; however, it's important to note that undisbursed portions in high dividend ETFs are still accumulated in net asset value, making total return with dividends the key metric to consider.

When comparing dividend-paying capabilities, the highest yield comes from 0056 at NT$4.1, followed by 00713 at NT$2.23, while 00878 is nearing its bottom with only NT$0.06. Should the Taiwan stock market rise in the future, there may also be opportunities to boost high dividend payments. Experts generally agree that high dividend stocks offer cash flow protection, making them suitable for investors looking to build cash flow; however, it's crucial to ensure stock price volatility remains low to avoid dividend payouts diminishing due to price fluctuations. When selecting dividend stocks, investors should pay attention to the diversification of constituent stocks and the low volatility of stock prices to ensure long-term holding.