Taiwan Market Value Rises 61% to NT$158 Trillion as Asset Management Push Expands

NT$60 trillion surge puts finance at the centre of Taiwan's ambitions

Taiwan's stock market value reached NT$158 trillion at the end of October 2026, up from NT$98 trillion a year earlier, Financial Supervisory Commission Chairman Peng Jin-lung said on November 3. The NT$60 trillion increase, equivalent to about 61.2%, forms the backdrop to a government campaign to turn the island's technology wealth into a larger international asset management business.

Speaking at the opening of Taiwan Week, Peng said the TAIEX stock index had climbed from about 28,000 points at the end of October 2025 to about 45,000 at the end of October 2026. He linked that expansion to Taiwan's semiconductor and artificial intelligence industries, alongside record revenue and profits at listed companies.

President Lai Ching-te said Taiwan had become the world's fourth largest national stock market, worth about US$5.3 trillion, behind the United States, China and Japan and ahead of India. He also cited economic growth of 14.36% in the third quarter, the strongest growth for that quarter in 48 years.

The government's next task is to connect that market scale with more investment services, international funding and opportunities for household saving. Its Asian Asset Management Center programme combines changes to financial rules, private banking, investment products and a proposed tax deduction for contributions to Taiwan Individual Savings Accounts, known as TISA.

What the stock market numbers mean

Market capitalisation is the combined market value of company shares. Taiwan's increase from NT$98 trillion to NT$158 trillion means the market became roughly 1.6 times its previous size in one year. The TAIEX rose about 60.7% over the same October comparison, using the rounded index levels Peng supplied.

Share prices were retreating on the day of the address, however. The market had fallen more than 5,800 points from a peak near 50,000, a decline equivalent to roughly 11.6% of that peak. The annual expansion and the recent pullback therefore describe different parts of the same market cycle.

Peng said stronger company revenue and profits supported the market's growth. Lai placed it within a broader economic expansion, saying Taiwan grew 8.76% in 2025 and was forecast to grow by more than 11% in 2026. The latter figure is a forecast, while the third quarter figure describes growth already recorded.

For investors, the combination of a large annual rise and a sharp recent retreat makes company earnings especially relevant. A higher share price increases what investors pay for a stake in a business; future profits help determine whether that price remains attractive.

How technology wealth becomes an asset management business

Peng described Taiwan's semiconductor and AI supply chains as a connected industrial network that needs continuing access to money, skilled workers and international partners. The government's ambition is to make Taiwan a place where more of that money is managed as well as invested.

Asset management means looking after investments for individuals, companies or institutions. A larger business can support fund managers, banks and financial services while creating more channels through which savings reach companies and public infrastructure.

Taiwan's financial sector managed NT$48.38 trillion at the end of September, more than NT$15 trillion above its level in June 2024. Peng separately described an annual increase of NT$12 trillion, or 33%. Those comparisons use different starting dates.

Peng was also quoted as putting the annual increase at NT$42 trillion, alongside the same 33% growth rate. The NT$12 trillion figure is consistent with an increase of about one third to a total near NT$48 trillion.

The policy has two connected aims: keep more wealth under management in Taiwan and attract capital from abroad, then channel investment toward domestic industry. Measures include asset management zones, broader investment products, easier establishment of private banking operations and proposed legislation for real estate investment trusts, which pool money for property investment.

Kaohsiung and private banking show early expansion

The Kaohsiung Asset Management Zone had attracted 62 financial institutions, according to Peng. The zone is one of the government's practical tools for expanding financial services alongside the national programme of regulatory changes.

Bank clients with substantial assets increased by 7,300 over the year, while the assets managed for that client group rose by NT$804.1 billion. Five private banking operations were added, with assets increasing by NT$1.4745 trillion. Peng was also quoted as giving a higher increase of NT$1.7745 trillion for private banking assets.

Private banking provides investment and related financial services to wealthy customers. The expansion gives those clients more options for having their money managed locally, a central objective of the government's effort to retain wealth.

The wider programme also includes easing rules for private funds, encouraging foreign fund managers to establish regional centres and developing an Asian innovation capital fundraising demonstration base. Together, these measures address both sides of the market: people and institutions supplying investment money, and businesses seeking it.

ETFs grow to NT$11.6 trillion

Taiwan's exchange traded fund market reached NT$11.6 trillion, which Peng described as the third largest in Asia Pacific. He was also quoted as giving an ETF total of NT$1.16 trillion, while the NT$11.6 trillion figure appeared repeatedly in his opening remarks as relayed publicly.

An ETF holds a collection of investments and trades on an exchange like a company share. Many ETFs follow an index. An actively managed ETF instead gives investment managers discretion to choose holdings within the fund's stated strategy.

Taiwan's first actively managed ETF listed in May 2025. Assets in the category approached NT$1 trillion in a little over a year, equivalent to roughly 8.6% of the NT$11.6 trillion ETF market. Peng presented that growth as evidence of expanding local fund management capacity.

Taiwan and Japan began their ETF dual listing initiative in September 2025, and four funds had listed under the arrangement. Such cooperation gives the two markets another channel for investment products to reach investors across borders.

The innovation board also added 12 listings, with its market value increasing by NT$129.6 billion. That gives the financial expansion a fundraising dimension alongside the growth in funds and wealth management.

What the proposed TISA deduction would do

TISA launched in July 2025 and reached 285,400 accounts in its first phase. The programme seeks to make regular investment a more established household saving habit, extending the asset management campaign beyond wealthy banking customers.

The Executive Yuan approved a second phase of tax incentives in October 2026. Under the proposal, annual contributions of up to NT$24,000 per eligible person could be deducted from consolidated income, covering the individual, a spouse and dependent minor children.

The proposed benefit would reduce taxable income. For example, an eligible NT$24,000 contribution would reduce the income used to calculate tax by NT$24,000. The amount saved in tax would depend on the applicable tax rate.

The incentive is not yet in force. Amendments to the Securities Investment Trust and Consulting Act are required, and Peng said the FSC would seek to complete the legislative process promptly. No enactment date was given.

The annual limit works out to NT$2,000 a month. That provides a useful way for households to understand the scale of the proposal, although the stated cap applies annually. The eventual benefit for savers will depend on the legislation that passes.

Taiwan Week brings investors and institutions together

Taiwan Week runs from November 3 to 13, with 45 events comprising 12 core events and 33 related activities. The FSC is organising it with the Taiwan Stock Exchange, Taipei Exchange, Taiwan Futures Exchange and Taiwan Depository and Clearing Corporation.

The programme covers asset management, innovative fundraising, startup businesses, bonds, sustainable finance, cybersecurity, virtual assets, futures and derivatives, wealth management and private investment in public infrastructure. Its breadth reflects the government's effort to build financial activity beyond share trading.

The inaugural Taiwan Week in 2025 drew 28,000 participants, more than 1,200 institutional participants and over 250 international investor representatives, Peng said. Those figures give the 2026 gathering a concrete base for its effort to deepen international connections.

Representatives from Nasdaq, the Tokyo Stock Exchange, MediaTek and Bloomberg were invited to share their observations. The Asian Corporate Governance Association's 25th annual conference was also scheduled in Taipei alongside Taiwan Week, while the programme included links with the Asian Securities Association annual meeting.

Lai said the government would make financial markets more international, continue capital market reforms and strengthen corporate governance and sustainability disclosures. Corporate governance concerns how companies are directed and held accountable; sustainability disclosures give investors information about matters such as environmental and social risks.

The milestones behind the campaign

Taiwan's asset management expansion spans several product launches and policy decisions. The sequence shows how the November announcements build on initiatives introduced during 2025.

• May 2025: Taiwan's first actively managed ETF listed.
• July 2025: TISA launched, later reaching 285,400 accounts in its first phase.
• September 2025: Taiwan and Japan began their ETF dual listing initiative.
• End of October 2025: Peng's main annual comparison placed the TAIEX near 28,000 and market capitalisation at NT$98 trillion.
• October 2026: The Executive Yuan approved the proposed second phase of TISA tax incentives.
• End of October 2026: Peng put the TAIEX near 45,000 and market capitalisation at NT$158 trillion.
• November 3 to 13, 2026: Taiwan Week hosts 45 events.

Peng was also quoted as using April 2025 for the starting index comparison, although his main comparison paired the end of October in 2025 and 2026. The October dates underpin the annual growth calculation.

A dedicated law is the next policy step

Peng said the FSC would accelerate work on a dedicated Financial Market and Asset Management Development Act. The proposed law is intended to give the asset management campaign a firmer legal structure and bring Taiwan's rules closer to international practice.

The legislative work sits alongside the TISA amendments and proposed real estate investment trust legislation. For financial institutions, these measures concern the services and products they can develop. For households, the TISA changes concern the cost of saving through eligible investments.

Peng assessed progress against the government's earlier goals of producing noticeable results in two years, changes in four years and success in six years. He said the first stage had been achieved and the second was already taking shape.

Taiwan's immediate position combines a much larger stock market, expanding fund assets and more banking services with a recent market correction. The next stage depends on turning proposed rules into operating arrangements while companies deliver the earnings that investors expect.

Key Points

• Peng put Taiwan's stock market value at NT$158 trillion at the end of October 2026, up about 61.2% from NT$98 trillion a year earlier.
• Financial sector assets under management reached NT$48.38 trillion at the end of September.
• Kaohsiung's asset management zone attracted 62 financial institutions.
• Taiwan's ETF market reached NT$11.6 trillion, with actively managed ETFs approaching NT$1 trillion.
• TISA reached 285,400 accounts; its proposed annual income deduction of up to NT$24,000 per eligible person still requires legislation.
• Taiwan Week runs November 3 to 13, while the FSC prepares a dedicated financial market and asset management development law.