Global Money Makes 20-Year Taiwan Bet

Moz Farooque ACCA

Thu, February 26, 2026 at 4:00 AM GMT+9 1 min read

In this article:

•                                       StockStory Top Pick 
  

  AMD

  -0.50%

  NVDA

  +2.27%

 TSM  

 +0.81%  

 

 

 DX-Y.NYB  

 -0.15%  

 

 

 AAPL  

 +0.96%  

This article first appeared on GuruFocus.

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) got a major boost after global investors poured $2.77 billion into Taiwanese stocks in a single day, the biggest buying spree in 20 years, signaling that the AI trade is far from over.

Warning! GuruFocus has detected 3 Warning Sign with CRCL.

Is AAPL fairly valued? Test your thesis with our free DCF calculator.

According to Bloomberg data, overseas funds were net buyers of $2.77 billion on Tuesday, the largest one day inflow since December 2005. It was also the sixth straight day of foreign buying. At the center of it all is TSMC, which now accounts for roughly 45% of the Taiex index, about triple its weighting from a decade ago. The stock is up about 30% this year, repeatedly hitting record highs as it manufactures advanced chips for Apple (NASDAQ:AAPL), AMD (NASDAQ:AMD) and Nvidia (NASDAQ:NVDA).

The surge in equity inflows also gave support to the Taiwanese dollar, although steady U.S. dollar buying from local insurers kept currency gains in check. If the pace holds, Taiwan could see about $7 billion in foreign inflows this month, while South Korea has experienced roughly similar outflows tied to its heavier memory exposure.

Terms and Privacy Policy

Privacy Dashboard

More Info