President Lai Ching-te recently announced the establishment of a sovereign fund aimed at creating a national investment platform, but specific details have yet to be revealed. Wang Boyuan, founder of Zhonglei Electronics and chairman of Yuhe Ventures, expressed a pessimistic view on the effectiveness of Taiwan's sovereign fund, posing a critical question: if China continues to rise, should Taiwan consider investing, given that all sovereign funds around the world are colorless?

During a seminar on sovereign funds hosted by the Yu Chi-chung Cultural and Educational Foundation, former Central Bank Vice President Hsu Chia-tung moderated discussions with several financial experts. Wang highlighted the shareholders' meeting of TSMC from June 4 last year, where the board composition changed from 6 Taiwanese and 4 foreigners to 4 Taiwanese and 6 foreigners. This shift indicates a growing influence of foreign capital within the board.

He pointed out that although TSMC is a government-supported key enterprise, the National Development Fund has significantly reduced its stake from over 40% to just 5-6%, with more than 70% of shares now held by foreign investors. Wang's skepticism about Taiwan's sovereign fund arises from a lack of talent and international networks necessary for effective direct investments. He emphasized that neglecting the potential of the Chinese market would undermine any expectations of performance from the sovereign fund.