The Taiwan Weighted Stock Index (TWSE) measures the performance of all listed common shares on the Taiwan Stock Exchange (TWSE). It reflects the health of Taiwan's stock market, with a base value of 100 set on February 1, 1966.
The index uses a weighted arithmetic average of share prices, adjusted for stock splits and new listings. Each company's weight corresponds to its market capitalization. The TWSE calculates the index daily during trading hours, providing real-time updates.
The index includes all common stocks listed on the TWSE, currently around 800 companies. The largest sectors by weighting are electronics (30%), financials (20%), and cyclical consumer goods (15%).
In 2020, the index reached a record high of 16,850 points as global demand for Taiwanese tech products surged. This reflected the strong performance of semiconductor manufacturers like TSMC, which comprises about 30% of the index's weight.