Taiwan tracks second Chinese 'combat' patrol in a week, sends ships and jets to monitor
Taiwan sent ships and fighter jets to monitor the second Chinese "joint combat readiness patrol" in a week near the island, as Taipei steps up its guard over Beijing's activities.
US concerned by Taiwan defence delay 'concession' to China
Further delays to Taiwan military spending are a "concession" to China, the U.S. State Department said, as Taipei's defence ministry detailed the impact of projects excluded from a package passed by the opposition-controlled parliament.
Retirees Are Using EWT to Ride Taiwan’s Semiconductor Dominance
Most semiconductor ETFs spread exposure across the US, Netherlands, and South Korea. EWT takes a different approach, putting you squarely in Taiwan, the island manufacturing the chips powering AI servers, smartphones, and data centers worldwide. For retirees who want a slice of the semiconductor boom without building a stock portfolio from scratch, that specificity is... Retirees Are Using EWT to Ride Taiwan's Semiconductor Dominance.
ETFs to Gain as US & Taiwan Sign Trade Deal to Reduce Tariffs to 15%
A new US-Taiwan trade deal cuts tariffs to 15%, putting ETFs like EWT into focus.
EWT: Taiwan A Quiet Emerging Market Leader, Fresh All-Time High, Reiterate Buy
iShares MSCI Taiwan ETF (EWT) remains a buy, supported by attractive valuation and robust technical momentum. EWT boasts a 4.18% yield, a PEG ratio below 1, and a dominant 66% IT sector allocation led by TSM. Technical indicators signal bullish continuation, with a new upside target near $74 following an all-time high close.
EWT: Benefitting From The TSMC Surge, But Looks Overbought Now
EWT which covers 100 Taiwanese stocks, most of which are giant and large-caps is up by 25% YTD and outperforming global markets but underperforming emerging markets. EWT's performance is closely tied to TSMC, whose recent rally appears sentiment-driven as future growth and margins are expected to moderate. Taiwan's robust GDP and export growth backdrop support EWT, but semiconductor exports which have not been subject to a tariff rate, could face this risk going forward.
EWT: Taiwan Exposure With Tech Overload And Geopolitical Risk
EWT offers exposure to Taiwan's large- and mid-cap stocks, with a heavy tilt toward tech (66% of holdings), especially Taiwan Semiconductor, which alone makes up ~24% of the ETF. The expense ratio is relatively high at 0.59%, especially compared to the Franklin FTSE Taiwan ETF at 0.19%. At a P/E around 21x, the risk-reward balance doesn't seem compelling, as the country faces geopolitical risks.
EWT: Taiwan Semiconductor Surging, Lifting The Taiwan ETF
EWT remains a buy due to strong momentum, attractive valuation, and a technical breakout above key resistance. The ETF's performance is heavily tied to Taiwan Semiconductor, which now makes up over 24% of the fund and benefits from the AI rally. EWT offers a high dividend yield, growing assets, and robust liquidity, but investors should note its elevated risk and sector concentration.
EWT: Coming Out Of A Slump
Taiwan's economy has recovered from a brief recession in early 2023 but faces new challenges due to semiconductor industry volatility. Quarterly GDP growth dipped to 1.8% last quarter, indicating slower economic momentum. Trade war tensions are contributing to economic uncertainties and could impact future growth prospects.
EWT: In A Good Place, But Doesn't Offer Great Value
iShares MSCI Taiwan ETF has outperformed its peers with an 18.2% return in 2024, driven by strong performance from TSMC. Taiwan's macroeconomic environment remains robust, with GDP growth expected to surpass IMF forecasts, bolstered by domestic spending and a recovering manufacturing sector. With a 23% stake, the prospects of TSM weigh heavily on EWT's prospects; fortunately, the outlook looks bright.
Taiwan's Net Exports Surged To Record High In August
A surge in exports and a slowdown of imports led to a record high trade surplus of USD$11.5bn last month. The stronger-than-anticipated trade surplus should offer some support to Taiwan's third-quarter GDP.
EWT: Taiwan Sports Value Despite The Risks, Better Chart Today
EWT has given back some of its year-to-date gain due to US tech selloff spreading to foreign areas, including Taiwan. The Taiwan fund has a high concentration in Taiwan Semiconductor, making it vulnerable to weakness in chip stocks. EWT's valuation is compelling with an impressive EPS growth trajectory, but concentration risk and geopolitical issues should be considered.
