Archive · 29 Jul 2025
Taiwanese Investors Shift Funds from US to Europe
Taiwanese investors, who usually invest in the US, are now putting their money into Europe instead.
They're moving money from US-focused investments to Europe-focused investments.
This is happening because investors want to spread their money around to avoid risks.
Also, the value of the Taiwan dollar has increased compared to the US dollar, which caused losses for companies and investors.
They're looking at European investments as an alternative.
This change is important because Taiwan is a big investor in the US, and this shift shows how global money movement can change.
Taiwanese investors are shifting investments from US-dollar assets to Europe.
Taiwanese funds holding European assets reached NT$13.7 billion by June 2025, the highest since 2019.
Over the first half of 2025, NT$14.1 billion was invested in Europe-focused funds, the largest six-month injection since 2021.
Taiwan-based US-focused funds saw a NT$538 billion decline in the first half of 2025.
The shift is influenced by factors like currency volatility and a desire for diversification.
- Who
- Taiwanese investors, including institutional and retail investors.
- What
- Taiwanese investors are shifting investments from US to Europe.
- When
- Over the first half of 2025, and continuing.
- Where
- Taiwan and Europe.
- Why
- Due to currency volatility, desire for diversification and potential gains in the European market.
Risk Mitigation
Diversification
Investment strategy
Risk Mitigation
Focus on US assets, concentrated exposure to USD.
Diversification
Diversifying outside US-denominated assets, focusing on euro assets.
- Europe-focused funds (June 2025)
- NT$13.7 billion
- Europe-focused funds (first half of 2025)
- NT$14.1 billion invested
- US-focused funds decline (first half of 2025)
- NT$538 billion
- Taiwan's US Treasury holdings (end of May)
- $292.9 billion
- Taiwan dollar appreciation (vs. USD)
- More than 10% in 2025