TSMC Shares Surge as Taiwan Lifts Single-Stock Limit for Funds

Taiwan’s financial regulator removed single-stock investment limits for domestic funds, triggering a surge in TSMC shares as analysts project over $6 billion in fresh capital inflows. JPMorgan Chase estimates the policy shift could unlock significant institutional demand, reinforcing TSMC’s dominance in the global semiconductor market amid rising quantum and AI chip demand. The change, effective April 2026, allows Taiwanese funds to allocate more than the previous 10% cap per stock, directly benefiting TSMC as the island’s largest publicly traded company. Investors view the move as a strategic effort to bolster Taiwan’s tech sector, particularly as TSMC ramps up advanced node production critical for quantum computing infrastructure. Market reactions reflect broader confidence in TSMC’s role as a linchpin for next-gen computing, with shares climbing on expectations of sustained growth in high-performance chip manufacturing.