Taiwan Labor Funds Report NT$20.9 Billion Increase in October, Bolstering 2024 Earnings
In a significant boost for Taiwan’s labor funds, the Ministry of Labor’s Bureau of Labor Funds reported an increase of NT$20.9 billion (US$640.23 million) in October 2024. The total value of the funds as of October’s end has now reached NT$6.8814 trillion, marking a 14.96% return for the first ten months of the year.
According to the bureau’s latest performance report released on Monday, the funds have collectively delivered strong returns in 2024, with NT$93.91 billion in earnings so far. The results reflect robust management and strategic investments, despite the broader financial market’s mixed performance.
Labor Fund Breakdown: Performance Across Key Funds
The total amount of Taiwan’s labor-related funds is distributed across several key pension and insurance programs. The report highlights the growth in several of these funds:
- Labor Pension Fund (NT$4.5106 trillion): A strong 14.59% return.
- Labor Retirement Fund (NT$1.0469 trillion): Impressive return rate of 17.92%.
- Labor Insurance Fund (NT$1.0956 trillion): Recorded a solid 16.64% return.
- Employment Insurance Fund (NT$172.40 billion): Yielded a 3.42% return.
- Labor Occupational Accident Insurance Fund (NT$36.50 billion): Gained a modest 1.40% return.
- Arrear Wage Payment Fund (NT$19.40 billion): Showed a solid 11.64% return.
Moreover, the National Pension Insurance Fund reached NT$609.90 billion with a 16.01% return, while the Farmers’ Pension Fund saw an 18.56% return on NT$19.30 billion.
10-Year Performance Review: Steady Growth Amid Global Uncertainty
Looking at the 10-year period ending in October 2024, the combined funds, which include the Labor Pension Fund, Labor Retirement Fund, Labor Insurance Fund, Employment Insurance Fund, and Arrear Wage Payment Fund, posted an average return rate of 6.70%. The National Pension Insurance Fund performed slightly better with an average return of 7.24% over the same period.
This long-term stability reflects the strength of Taiwan’s labor fund management strategy, even amid fluctuating global economic conditions.
Taiwan’s Financial Market Performance: Challenges and Opportunities
While the funds performed well, the bureau’s report also highlighted Taiwan’s financial market challenges in October. Despite the overall strength of the stock market, the broader financial landscape faced pressures from multiple global factors.
The U.S. retail sales in September were solid, bolstered by strong non-farm payroll reports and the non-manufacturing index. However, Taiwan’s financial market performance remained relatively weak in October, signaling potential concerns for investors.
Factors such as interest rate policies, uneven growth in major economies, and geopolitical tensions—along with the rise of AI-related industries and the U.S. government’s fiscal policy—are contributing to global uncertainty. These developments could continue to influence Taiwan’s financial market performance in the coming months.
Table: October 2024 Labor Fund Performance by Category
| Fund Name | Total Value (NT$) | Return Rate (%) |
|---|---|---|
| Labor Pension Fund | 4.5106 trillion | 14.59% |
| Labor Retirement Fund | 1.0469 trillion | 17.92% |
| Labor Insurance Fund | 1.0956 trillion | 16.64% |
| Employment Insurance Fund | 172.40 billion | 3.42% |
| Labor Occupational Accident Insurance Fund | 36.50 billion | 1.40% |
| Arrear Wage Payment Fund | 19.40 billion | 11.64% |
| National Pension Insurance Fund | 609.90 billion | 16.01% |
| Farmers’ Pension Fund | 19.30 billion | 18.56% |
Frequently Asked Questions (FAQs)
- How much did Taiwan’s labor funds increase in October 2024?
- Taiwan’s labor funds saw an increase of NT$20.9 billion (US$640.23 million) in October 2024.
- What is the total value of the labor funds as of October 2024?
- The total value of Taiwan’s labor funds reached NT$6.8814 trillion by the end of October 2024.
- Which labor fund had the highest return in October 2024?
- The Labor Retirement Fund, with a 17.92% return rate, had the highest return in October 2024.
- How have Taiwan’s labor funds performed over the last 10 years?
- Over the past 10 years, the combined labor funds posted an average return of 6.70%, while the National Pension Insurance Fund had a higher average return of 7.24%.
- What external factors could affect Taiwan’s financial markets?
- Factors such as global interest rate policies, uneven economic growth, AI industry development, U.S. fiscal policies, and geopolitical conflicts may impact Taiwan’s financial markets.
Conclusion: Strong Performance Amid Financial Market Challenges
Taiwan’s labor funds have shown impressive performance in 2024, with NT$93.91 billion in gains as of October. Despite global uncertainties, Taiwan’s labor funds continue to demonstrate resilience, with strong returns across multiple key funds. However, the report also highlights the potential risks posed by global economic volatility, emphasizing the need for ongoing vigilance in fund management.
For more updates on Taiwan’s economic performance and government initiatives, visit CialisWeb.tw.
