According to Taiwanese media reports TSMC is not just the lifeblood of global technology industry but also the key to profit or loss for Taiwan’s labor pensions.
According to reports, TSMC’s latest shareholder register shows that the Taiwan Labor Retirement Fund holds 279,408 TSMC shares (thousand shares), which is equal to every 1 yuan (unit: New Taiwan dollar, the same below) TSMC’s share price rises or falls. The labor retirement fund has been able to either earn or lose 280m yuan. Calculated using the total number of 7,245,165 employees who contributed to the retirement income, each worker would see a 38.6 yuan loss. In the reverse direction, if TSMC is increased by 1 yuan the labor retirement fund as well as the worker will have a relative record income.
The share price for TSMC fell from 615 yuan (2021) to only 540 yuan (June 2). In the last five months, it has fallen 75 yuan. This will result in a 21 billion yuan decrease in the net book value for the labor retirement fund. Other holdings will see a loss of 141.5 million yuan in April at the Labor Retirement Fund.
According to the Labor Retirement Fund’s announcement, the top ten holdings include MediaTek and UMC, Hon Hai and Cathay Pacific. Fubon Gold, Chunghwa Electric. Sinosteel and Nanya. There will be some systemic risk pressure if the Taiwan stock market drops sharply again, like it did in April and may. The market’s investors suffer massive losses, as well as the government funds. It is impossible to ignore the consequences.
According to market analysts, the liquidity of global financial markets will decline in the second half this year and Taiwan stocks will be in crisis within the next few months.