Impax Asset Management, an investment management firm based in London, specializing in sustainable investing, released its first-quarter 2026 investor letter for its “Impax Global Environmental Markets Fund”. A copy of the letter is available to download here. The Fund stood resilient in the quarter by outperforming its primary benchmark, the MSCI ACWI index. The stock selection in Information Technology (IT), along with businesses with strong earnings and Materials, drove the performance in a volatile environment. Global equity markets started the year on a positive note, but finished lower due to a risk-off environment. In this landscape, the firm’s emphasis is on solutions such as renewable energy to improve energy security and efficiency, as well as on more efficient grids, power storage, and technologies that reduce energy intensity. In addition, please check the firm’s top five holdings to know its best picks in 2026.
In its first-quarter 2026 investor letter, Impax Global Environmental Markets Fund highlighted Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM). Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is the world’s leading contract chip manufacturer, producing advanced semiconductors for major global technology companies. On June 2, 2026, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) closed at $446.69 per share. One-month return of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) was 6.48%, and its shares gained 120.70% over the past 52 weeks. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) has a market capitalization of $2.317 trillion.
Impax Global Environmental Markets Fund stated the following regarding Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its Q1 2026 investor letter:
“Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) (Efficient IT, US) has a leading role in enabling the growth of, and satisfying the demand for, advanced chips and ever faster computer power by both consumer and industrial end-markets. TSMC delivered very strong results supported by ongoing secular AI demand.”
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is in 6th position on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 234 hedge fund portfolios held Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) at the end of the first quarter, up from 224 in the previous quarter. In Q1 2026, Taiwan Semiconductor Manufacturing Company Limited’s (NYSE:TSM) revenue increased 6.4% (in U.S. dollar terms) sequentially to $35.9 billion, modestly exceeding the first quarter guidance. While we acknowledge the risk and potential of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) and shared the list of best most active stocks to buy according to hedge funds. In addition, please check out our hedge fund investor letters Q1 2026 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
