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Three chipmakers, 29% of an index: the MSCI emerging markets concentration that has investors alarmed

7/21/2026

TSMC, SK Hynix, and Samsung Electronics together account for 29% of the MSCI Emerging Markets index, a single-sector concentration that has investors questioning what diversified developing-world exposure is actually worth.

When three companies in one industry hold nearly a third of a major benchmark, the label on the tin stops describing what is inside it.

What 29% costs a passive holder A passive allocation to MSCI Emerging Markets is not a neutral bet on developing economies.

At a combined weight of 29%, it is a bet on three Asian chipmakers and on everything that affects them: supply chain stability, semiconductor demand, the geopolitical climate of the region where all three operate.