KGI Investment Advisory Sees AI Supercycle Driving Taiwan Stocks’ Long-Term Trend

KGI Investment Advisory Chairman Chu Yen-min said the accelerating commercialization of AI agents, together with Anthropic’s demonstrated profitability, has strengthened market confidence in returns on AI investment. Continued growth in corporate AI capital spending is expected to lift earnings across the semiconductor and server supply chains, providing a major pillar for the long-term trend in Taiwan stocks.

As of July 20, 2026, Chu characterized the recent sharp decline in Taiwan stocks as a healthy correction following an extended rally and urged investors to keep leverage under tight control while building positions in stages. He expects the AI supercycle to continue, supporting investment enthusiasm in both Taiwanese and U.S. equities. The reports did not disclose any specific capital-spending figures or a target level for Taiwan’s stock market.