TSMC Shares Surge to All-Time High as Taiwan Relaxes Fund Investment Caps — A13 Chip Announced for 2029

Taiwan Semiconductor Manufacturing Company (TSMC) shares surged 5% to a fresh all-time high on April 24, 2026, after Taiwan's financial regulator announced it would loosen limits on funds' allocations to single stocks. Under the revised framework, domestic equity funds and actively managed ETFs focused exclusively on Taiwanese stocks will be allowed to allocate up to 25% of their assets to any listed firm carrying a weighting above 10% on the Taiwan Stock Exchange — removing a prior constraint that capped single-stock exposure. Separately, TSMC announced its next-generation A13 chip (2nm-class process) is on track to enter volume production in 2029, maintaining the company's technology leadership in AI, high-performance computing, and mobile applications. TSMC also confirmed plans to establish a new advanced chip packaging facility in Arizona by 2029 — extending the US CHIPS Act manufacturing diversification program. TSMC reported robust Q1 2026 earnings with revenue rising 40.6% year-over-year, driven by surging demand for AI chips. The company's ~72% global foundry share and near-total dominance of advanced logic (<7nm) chips remains central to Taiwan's strategic significance — what analysts call the 'silicon shield.' As the Trump-Xi summit approaches (May 14-15), Taiwan's semiconductor sector represents both economic leverage and geopolitical risk concentration for all parties.