MATFX vs. TWN

Last updated Jun 24, 2026

MATFX (Matthews Asia Innovators Fund) and TWN (The Taiwan Fund Inc.) are both Asia Pacific Equities funds. Over the past 10 years, MATFX returned 17.21%/yr vs 29.35%/yr for TWN. A 0.59 correlation means they provide meaningful diversification when combined.

Performance

MATFX vs. TWN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Matthews Asia Innovators Fund (MATFX) and The Taiwan Fund Inc. (TWN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MATFX achieves a 71.69% return, which is significantly lower than TWN's 78.55% return. Over the past 10 years, MATFX has underperformed TWN with an annualized return of 17.21%, while TWN has yielded a comparatively higher 29.35% annualized return.

MATFX

• 1D: 1.15%
• 1M: 11.53%
• YTD: 71.69%
• 6M: 73.75%
• 1Y: 105.03%
• 3Y*: 38.20%
• 5Y*: 11.98%
• 10Y*: 17.21%

TWN

• 1D: -5.65%
• 1M: 1.47%
• YTD: 78.55%
• 6M: 81.17%
• 1Y: 150.01%
• 3Y*: 59.72%
• 5Y*: 32.06%
• 10Y*: 29.35%

*Multi-year figures are annualized to reflect compound growth (CAGR)

MATFX vs. TWN - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
MATFX Matthews Asia Innovators Fund	71.69%	30.22%	16.47%	-1.77%	-24.66%	-5.90%	86.75%	29.60%	-18.59%	52.78%
TWN The Taiwan Fund Inc.	78.55%	54.11%	32.76%	51.73%	-38.54%	58.14%	40.71%	47.00%	-19.15%	33.80%

Correlation

The correlation between MATFX and TWN is 0.49, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.49
Correlation (3Y) Calculated over the trailing 3-year period	0.56
Correlation (5Y) Calculated over the trailing 5-year period	0.55
Correlation (10Y) Calculated over the trailing 10-year period	0.56
Correlation (All Time) Calculated using the full available price history since Dec 27, 1999	0.59

The correlation between MATFX and TWN shifts across timeframes, from 0.49 (1 year) to 0.59 (all time), reflecting how their relationship changes across market environments.

Return for Risk

MATFX vs. TWN — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

MATFX

MATFX Risk / Return Rank: 97
MATFX Sharpe Ratio Rank: 99
MATFX Sortino Ratio Rank: 95
MATFX Omega Ratio Rank: 95
MATFX Calmar Ratio Rank: 99
MATFX Martin Ratio Rank: 97

TWN

TWN Risk / Return Rank: 98
TWN Sharpe Ratio Rank: 100
TWN Sortino Ratio Rank: 97
TWN Omega Ratio Rank: 96
TWN Calmar Ratio Rank: 99
TWN Martin Ratio Rank: 99

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

MATFX vs. TWN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Matthews Asia Innovators Fund (MATFX) and The Taiwan Fund Inc. (TWN). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	MATFX	TWN	Difference
Sharpe ratio: Return per unit of total volatility	4.26	5.30	-1.04
Sortino ratio: Return per unit of downside risk	4.72	5.48	-0.76
Omega ratio: Gain probability vs. loss probability	1.74	1.77	-0.04
Calmar ratio: Return relative to maximum drawdown	9.79	16.25	-6.46
Martin ratio: Return relative to average drawdown	26.00	49.22	-23.22

MATFX vs. TWN - Sharpe Ratio Comparison

The current MATFX Sharpe Ratio is 4.26, which is comparable to the TWN Sharpe Ratio of 5.30. The chart below compares the historical Sharpe Ratios of MATFX and TWN, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

MATFX vs. TWN - Drawdown Comparison

The maximum MATFX drawdown since its inception was -76.88%, roughly equal to the maximum TWN drawdown of -79.52%. Use the drawdown chart below to compare losses from any high point for MATFX and TWN.

Drawdown Indicators

	MATFX	TWN	Difference
Max Drawdown Largest peak-to-trough decline	-76.88%	-79.52%	+2.64%
Max Drawdown (1Y) Largest decline over 1 year	-11.33%	-9.29%	-2.04%
Max Drawdown (3Y) Largest decline over 3 years	-18.19%	-29.97%	+11.78%
Max Drawdown (5Y) Largest decline over 5 years	-45.33%	-51.72%	+6.39%
Max Drawdown (10Y) Largest decline over 10 years	-52.42%	-51.72%	-0.70%
Current Drawdown Current decline from peak	0.00%	-6.13%	+6.13%
Average Drawdown Average peak-to-trough decline	-28.12%	-37.36%	+9.24%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.20%	3.06%	+1.14%

Volatility

MATFX vs. TWN - Volatility Comparison

Matthews Asia Innovators Fund (MATFX) and The Taiwan Fund Inc. (TWN) have volatilities of 14.66% and 14.11%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MATFX	TWN	Difference
Volatility (1M) Calculated over the trailing 1-month period	14.66%	14.11%	+0.55%
Volatility (6M) Calculated over the trailing 6-month period	23.26%	25.07%	-1.81%
Volatility (1Y) Calculated over the trailing 1-year period	26.09%	28.51%	-2.42%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	25.17%	24.33%	+0.84%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.01%	22.75%	+0.26%

Dividends

MATFX vs. TWN - Dividend Comparison

MATFX has not paid dividends to shareholders, while TWN's dividend yield for the trailing twelve months is around 6.51%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MATFX Matthews Asia Innovators Fund	0.00%	0.00%	0.00%	0.00%	26.54%	31.07%	1.67%	0.29%	2.63%	8.44%	0.00%	15.24%
TWN The Taiwan Fund Inc.	6.51%	11.62%	19.14%	1.26%	0.00%	7.78%	12.91%	8.26%	11.27%	3.16%	0.00%	0.00%

Frequently Asked Questions

Can I hold both MATFX and TWN in my portfolio?

MATFX and TWN have a correlation of 0.49, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MATFX or TWN?

MATFX has higher volatility (14.66%) compared to TWN (14.11%). In terms of maximum drawdown, MATFX dropped -76.88% vs TWN's -79.52%.

Which has better risk-adjusted returns?

TWN currently has the higher Sharpe Ratio (5.30 vs 4.26), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.