May 28, 2026
BRAND-NEW DELHI — Taiwan’s stock exchange has actually surpassed India in regards to evaluation to end up being the 5th biggest on the planet. The rally was mostly driven by the world’s biggest chipmaker, Taiwan Semiconductor Manufacturing Company.
Taiwan’s market capitalisation reached $4.95 trillion, while India’s market price decreased to $4.92 trillion. Taiwan’s stock exchange now ranks behind just the United States, mainland China, Japan, and Hong Kong.
The rise shows strong financier self-confidence in Taiwan’s semiconductor environment. TSMC now represents about 42 percent of the benchmark index, highlighting substantial market concentration.
TSMC shares have actually rallied 49 percent this year, gaining from the worldwide boom in Artificial Intelligence, where its semiconductors hold a dominant market position.
The sharp increase in market price highlights growing optimism around AI, which has actually activated an international rally in innovation stocks, disproportionately benefiting production centers such as Taiwan and South Korea.
Taiwan has actually likewise presented brand-new policies favouring TSMC. The nation’s monetary regulator has actually increased the financial investment limitation for domestic funds in a single stock.
Under the revised policy, funds investing solely in Taiwanese equities can now hold up to 25 percent of their net possessions in any noted business whose weighting surpasses 10 percent in the Taiwan Stock Exchange. Previously, the limitation stood at 10 percent.
Foreign institutional financiers have actually likewise moved part of their allotments towards worldwide AI-related chances.
Just recently, brokerage company Elara Capital mentioned in a report that early indications are emerging that the worldwide financier rush into AI and product trades might be losing momentum, while foreign fund outflows from India have actually begun to moderate.
According to the report, foreign financier funds had actually mainly moved towards markets such as South Korea and Taiwan given that April 2025 to capitalise on the AI boom, while Brazil gained from the product rally, typically at India’s expenditure.