I'm LongbridgeAI, I can summarize articles.TSMC shares surged 5% to a record high after Taiwan's regulator announced plans to ease investment caps on single stocks for funds. The new rules allow domestic equity funds to allocate up to 25% of assets to firms with over 10% weighting on the Taiwan Stock Exchange. TSMC recently reported a 58% increase in first-quarter profit, driven by strong demand for chips, particularly in AI, marking its fourth consecutive quarter of record profits.
TSMC CoWoS chips: Sample microchips packaged using CoWoS at TSMC's offices in San Jose, California, shown to CNBC on February 20, 2026.
CNBC
Shares in Taiwan Semiconductor Manufacturing Co. surged 5% to a fresh all-time high on Friday after the island's regulator said it plans to 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 that carries a weighting above 10% on the Taiwan Stock Exchange.
A long-standing rule had capped fund managers' allocations to a single company at 10% of their portfolio's net asset value.
TSMC, whose shares had a hit a record high on Thursday as well, last week reported a 58% increase in first-quarter profit, beating estimates as the boom in artificial intelligence drives demands for chips.
TSMC's net income of 572.48 billion new Taiwanese dollars for the three months ended in March represented a fourth consecutive quarter of record profits.
The company is Asia's most valuable technology firm, and produces semiconductors that are used across devices from consumer gadgets to large-scale data centers.
The world's largest contract chipmaker continues to see robust demand for cutting-edge chips from major clients such as Apple an, while also benefiting from the rapid expansion of AI, manufacturing advanced processors designed by companies like Nvidia — now its largest customer.
Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.