Global investors are increasingly favouring South Korea and Taiwan over India, with technology companies linked to the AI ecosystem driving strong stock market gains in both countries. Data from a financial research platform shows that a small group of major tech firms is contributing heavily to the market rallies in these economies.
In Taiwan, TSMC alone contributes nearly 38% of the country’s total market capitalisation of $5 trillion. The top 5 companies account for almost 50% of the market, while the top 10 firms contribute 56%. Taiwan’s overall market cap has surged 54% in 2026 so far, largely supported by AI-focused technology companies.
South Korea is witnessing a similar trend. Samsung and SK Hynix together account for 46% of the country’s $4.8 trillion market cap, while the top 10 companies contribute 58%. After excluding Samsung and SK Hynix, South Korea’s market cap growth falls sharply from 81% to 40%.
In comparison, India’s market performance has remained under pressure despite having a broader and deeper capital market. The country has more than 6,186 actively traded stocks, compared to 2,730 in South Korea and 2,437 in Taiwan.
India’s top 3 companies — Reliance Industries, HDFC Bank, and Bharti Airtel — together contribute only 9% to the country’s $4.9 trillion market cap. The top 10 firms account for just over 18%.
Foreign Portfolio Investors continue to pull money out of Indian equities. FPIs have sold shares worth $24.3 billion or ₹2.3 lakh crore till May 27, exceeding the $18.9 billion or ₹1.7 lakh crore outflow recorded in 2025. India’s total market capitalisation has also declined by nearly 7% since the start of 2026, while none of the country’s top 10 companies by market value have delivered positive returns this year.
The growing global demand for AI-linked technology companies continues to attract stronger investor interest toward Taiwan and South Korea.
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