Overview
- Bank of America reports that in February long-only investors bought non‑US equities and sold US stocks, signaling a pronounced regional rotation.
- Combined active and passive funds saw their largest purchases in Emerging Markets at more than $17.6 billion and in Asia Pacific at over $14.9 billion, while US equities faced about $69.5 billion of outflows.
- TSMC is the most widely held stock among long‑only funds with 92% ownership globally, and BofA classifies it as a “Crowded Positive.”
- Morgan Stanley cautions that any closure of the Strait of Hormuz could disrupt semiconductor supply chains, with additional vulnerability from Taiwan’s reliance on LNG and TSMC’s 9%–10% share of the island’s electricity use.
- TSMC posted February net revenue of NT$317.66 billion, up 22.2% year over year but down 20.8% from January, with year‑to‑date sales up 29.9% versus 2025, as it remains the leading foundry for advanced chips used by Nvidia, AMD, and Apple.