Taiwan Fund, Inc. (The) (TWN)

All Comments on TWN

  • commenter
    Ho Len Bao
    Sep 03 07:22 PM
    Emerging Markets With Low Valuations [view article]
    The Chinese internet B2B portals are where the action is in now.

    My favorite is MYST.OB. A Google partner.     Reply
  • commenter
    zawy
    Sep 03 09:34 AM
    Emerging Markets With Low Valuations [view article]
    Malaysia is a play similar to Brazil: they have oil and food, and one of the safest markets, comparable to australia and singapore. Reply
  • commenter
    mtp
    Sep 03 09:24 AM
    Emerging Markets With Low Valuations [view article]
    would be helpful to have a reference point for the US market to understand relative value. brazil looks interesting though. Reply
  • commenter
    George
    Spritzer
    Aug 19 04:20 PM
    My Website
    Fundamental Analysis for Emerging Markets [view article]
    MXF has annual tender offers where you exchange your MXF shares at NAV in return for Mexican securities. This is a good deal, since MXF sells at a double digit discount to NAV.

    But in order to do this efficiently, you need a large position (at least 100K) and use a broker who can sell shares on the Mexican stock exchange.     Reply
  • commenter
    Qniform
    Aug 18 06:56 PM
    Single Country Emerging Markets ETFs, ETNs and Closed-End Funds [view article]
    They left out the Swiss Helvetica Fund (SWZ, I think) the only single country CEF for Switzerland I know of. Reply
  • commenter
    Michael
    Turton
    Jul 15 02:25 AM
    My Website
    Made in Taiwan: 3 Funds for the Next Asian Market Bubble [view article]
    Hi Tom! Good to see you writing about Taiwan.

    +++++
    In March, a new president won power in Taiwan. This new president wants to mend Taiwan’s relationship with China… and eventually unify the two countries. This was the basis of his election platform. Restoring transport links between the two countries was his first step.
    +++++

    The new President, Ma Ying-jeou, is from the KMT, the party that lost the civil war.

    +++++
    Starting on Saturday, 36 flights will connect Taiwan and China every weekend. Several airlines – from both Taiwan and China – will fly between different Chinese and Taiwanese airports.
    +++++

    Right. However, Chinese tourists can only travel on Chinese aircraft.

    +++++++++++++
    In 1987, a new president won power in Taiwan… the first native Taiwanese to head the government.
    +++++++++++++

    Lee Teng-hui did not become president until Jan of 1988.

    ++++++
    The new president started loosening regulations. He encouraged citizens to buy luxury American goods. He freed the press. He allowed opposition political parties to compete for power. He let Taiwanese citizens send money abroad. And he let Taiwanese citizens travel to China to visit relatives… for the first time since the revolution.
    +++++++

    All this began before Lee, although Lee expanded and consolidated these trends.

    ++++++
    The Taiwanese stock market loved these new policies. Between 1987 and 1990, Taiwan had one of the greatest stock market bubbles in history. Taiwan’s market rose from 1,100 to 12,054… a gain of 991%… and the Taiwanese currency rose another 40%. Foreign investors would have made 14 times their money in just three years by investing in Taiwan.
    ++++++++

    Yes, I was living in Taiwan at the time. Money practically walked up to you on the street and begged you to take it home...

    ++++++
    Now I think we’re about to see another huge rally in Taiwanese stocks. Since 1990, Taiwan’s stock market has been the worst-performing major stock market in the world, except for Japan. Today the index is at 7,523. That’s a fall of 38% from 1990 levels.
    ++++++++

    The bubble was pricked and since then the market has been flat. At present it is at a 20 month low and probably headed down. The market does not perform well because Taiwan's companies are not shareholder responsive, are not transparent, do not use it as a source of funding, and other issues. The market is not in a "huge rally" but in a state of collapse at the moment. It does not appear to have a bottom, falling 322 points to 6834 today. Ugh.

    +++++++++
    The new president is freeing up regulations between Taiwan and China. Transport comes first. Capital regulations will come next. Taiwan’s new president has said he wants to help Taiwan’s financial industry go to the mainland. Hong Kong’s stock market rose 55% in 10 weeks last year after Hong Kong opened its markets to Chinese investors in August 2007.
    +++++++

    That was before the sub-prime mess, etc. President Ma's economic team is mired in 1970s policy solutions, and Ma himself is weak, not good at working with others, and despised by the elites of his own party, who carry on backchannel negotiations with China behind his back.

    The negotiations on cargo links and other things Taiwan needs are not due out until the fall. The regulations that permit Taiwanese firms to invest in China may help individual firms but do nothing for Taiwan. I'd wait to see whether the market rallies before investing in Taiwan.

    Michael

     Reply
  • commenter
    User 225251
    Jul 11 08:35 PM
    Made in Taiwan: 3 Funds for the Next Asian Market Bubble [view article]
    taiwan is part of china! it belongs to china1 Reply
  • commenter
    User 225251
    Jul 11 08:31 PM
    Made in Taiwan: 3 Funds for the Next Asian Market Bubble [view article]
    taiwan is part of china!!! Reply
  • commenter
    vitaminc
    Jul 08 08:02 PM
    Made in Taiwan: 3 Funds for the Next Asian Market Bubble [view article]
    Without going into the political discussions, much of Taiwan's new exports are in outsourcing electronic related design and productions. All those companies will feel sharp pain from sluggish US and Western Europe economies.

    But long-term speaking, Taiwan will greatly benefit from taking a more open stance on globalization.     Reply
  • commenter
    GMiki
    Jul 08 04:46 PM
    Made in Taiwan: 3 Funds for the Next Asian Market Bubble [view article]
    Jim Rodgers expressed a strong interest in Taiwan recently, as did an Asian-based trader on Bloomberg, whose name I didn't pay any attention to. I have a small investment in one of the funds, just because. It's my only investment outside of natural resources, gold and silver. Reply
  • commenter
    frdm45
    Jul 08 03:46 PM
    Made in Taiwan: 3 Funds for the Next Asian Market Bubble [view article]
    The party with power in the Taiwanese legislature and now the presidency is the KMT; they are not encouraging reunification, they are just stepping back from the pro-independence policies of the former president Chen Shui Bian and his party. The KMT stance on reunification is and has been for a while: they will consider it if the mainland becomes a fully democratic nation, which is unlikely to happen in the near future. The KMT default position while the Mainland remains communist is to keep the status quo, that is not to push for independence nor to acquiesce to the Mainland's calls for reunification, and increase trade and travel links which benefit both countries. I agree with the premise of the article that the new administration will bode well for the economy of Taiwan, with the caveat that if for some reason hardliners in the PRC can hijack the agenda of the politburo they will push to advance the reunification timetable (and I think the chance of this has decreased with the election of the new Taiwanese president Ma Jing Jou). Reply
  • commenter
    buckmaker
    Jul 08 02:39 PM
    Made in Taiwan: 3 Funds for the Next Asian Market Bubble [view article]
    I just don't understand why Taiwan would encourage reunification, which is never addressed in the article. Since they did so well on their own, what's in it for them to become dominated by the mainland? Reply
  • commenter
    mmbc
    Jul 08 11:00 AM
    My Website
    Made in Taiwan: 3 Funds for the Next Asian Market Bubble [view article]
    Nice article, good historical coverage on Taiwan and its economy.

    For relative performance (rankings/signals) on these EWT, TWN, TFC you can visit my ranking and signals page
    www.maxmoneyblog.com/b...
    and here
    www.maxmoneyblog.com/b.../
     Reply
  • commenter
    kaps
    Jun 27 02:12 AM
    Fundamental Analysis for Emerging Markets [view article]
    Inflation in Spore is 1%?? Check your stats again..it is nearly 6-7%. 0.5-1% is the central bank target. Reply
  • commenter
    zawy
    Jun 26 12:45 PM
    Fundamental Analysis for Emerging Markets [view article]
    Don't forget singapore. PE is 14, inflation is a shockingly low 1%, and growth is among the best. It's the new new york. A uniquely independent and mixed center of Asian business and culture and one of the most trusted markets in the world. Housing has always been expensive there and has not gone up much in the past 8 years. A fantastic place for the young and food lovers, it will continue to be a center of biomedical research and the business and cultural elite. What country has a better personality and looks so happily towards the future?

    Another bet similar to the Brazil play (good growth and net exporter of oil and food), Malaysia is in a similarly great situation with a 23% lower PE than Brazil and lower inflation and equal growth. Malaysia surprisingly (to me) has one of the most trusted markets in the world, better than Brazil and Australia. Malaysia also has better P/B and dividends. FSLR chose it as it's home for new high-tech solar plants. Also compare Malaysia to Thailand: similar PEs even after a recent 20% drop in Thailand, Thailand is oil-dependent, higher inflation, similar growth, less-trusted market, and current political risk. Only thing good about thailand is that it makes a lot of cars (for foreign companies) that could get sold to china.     Reply
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