Retirees Are Using EWT to Ride Taiwan's Semiconductor Dominance

"Taiwan Semiconductor Manufacturing (NYSE:TSM) sits at the center of this fund, representing 22.3% of the portfolio - a concentration that reflects TSMC's irreplaceable role in global chip supply chains. It manufactures chips for Apple, Nvidia, AMD, and virtually every other major technology company, and that dominance shows up in its financials: 45% profit margin and 35% return on equity that few industrial companies anywhere in the world can match."

"iShares MSCI Taiwan ETF (NYSEARCA:EWT) tracks the MSCI Taiwan 25/50 Index, giving investors broad exposure to Taiwan's publicly traded companies. The fund holds $6.1 billion in net assets and charges an expense ratio of 0.59%, reasonable for a single-country emerging market fund. The return engine is straightforward: you own a basket of Taiwanese businesses and grow with them."

"Taiwan's market is not a diversified economy in the traditional sense. Information technology makes up 66% of the fund, with financials a distant second. This is essentially a tech fund with a Taiwan address."

iShares MSCI Taiwan ETF (EWT) tracks Taiwan's publicly traded companies with $6.1 billion in assets and a 0.59% expense ratio. The fund is heavily concentrated in technology, representing 66% of holdings, making it essentially a tech-focused investment with Taiwan exposure. TSMC dominates the portfolio at 22.3%, reflecting its critical role in global chip manufacturing for major technology companies. TSMC demonstrates exceptional financial performance with 45% profit margins and 35% return on equity. The fund has delivered strong returns, gaining 50% over the past 12 months and 13% year-to-date in 2026. A recent US-Taiwan trade agreement reducing tariffs from 20% to 15% provides additional support for Taiwanese tech exports.

Read at 24/7 Wall St.