<SEC-DOCUMENT>0001193125-18-080424.txt : 20180516
<SEC-HEADER>0001193125-18-080424.hdr.sgml : 20180516
<ACCEPTANCE-DATETIME>20180313125932
<PRIVATE-TO-PUBLIC>
ACCESSION NUMBER:		0001193125-18-080424
CONFORMED SUBMISSION TYPE:	CORRESP
PUBLIC DOCUMENT COUNT:		1
FILED AS OF DATE:		20180313

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			TAIWAN FUND INC
		CENTRAL INDEX KEY:			0000804123
		IRS NUMBER:				042942862
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			0831

	FILING VALUES:
		FORM TYPE:		CORRESP

	BUSINESS ADDRESS:	
		STREET 1:		TWO AVENUE DE LAFAYETTE
		STREET 2:		PO BOX 5049 (02206-5049)
		CITY:			BOSTON
		STATE:			MA
		ZIP:			02111
		BUSINESS PHONE:		6176622789

	MAIL ADDRESS:	
		STREET 1:		TWO AVENUE DE LAFAYETTE
		STREET 2:		PO BOX 5049 (02206-5049)
		CITY:			BOSTON
		STATE:			MA
		ZIP:			02111
</SEC-HEADER>
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<TYPE>CORRESP
<SEQUENCE>1
<FILENAME>filename1.htm
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<TITLE>SEC Response Letter</TITLE>
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 <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">March&nbsp;13, 2018 </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><U>VIA EDGAR CORRESPONDENCE </U></P> <P STYLE="margin-top:6pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">Mr.&nbsp;John Grzeskiewicz </P>
<P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">Securities and Exchange Commission </P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">Division of Investment
Management </P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">100 F. Street, N.E. </P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">Washington, DC 20549 </P>
<P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">202.551.6961 </P> <P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P>
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<TD WIDTH="4%" VALIGN="top" ALIGN="left">Re:</TD>
<TD ALIGN="left" VALIGN="top">The Taiwan Fund, Inc. (&#147;Registrant&#148;) </TD></TR></TABLE> <P STYLE="margin-top:0pt; margin-bottom:0pt; margin-left:4%; font-size:10pt; font-family:Times New Roman">(<U>File No.&nbsp;811-04893)</U> </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">Dear Mr.&nbsp;Grzeskiewicz: </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman">This letter is
written in response to the comments that you provided on March&nbsp;8, 2018 regarding the preliminary proxy statement (&#147;Proxy Statement&#148;) for the above-referenced Registrant, which was filed on Schedule 14A with the Securities and Exchange
Commission (&#147;SEC&#148;) on March&nbsp;1, 2018. The comments of the SEC Staff and the Registrant&#146;s responses are listed below: </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>1. Comment</B>:
Regarding Proposal 2 of the Proxy Statement, describe the potential risks to the Fund if stockholders agree to amend the Fund&#146;s by-laws to remove a fundamental policy that restricts the Fund from investing more than 10% of the Fund&#146;s total
assets (taken at current value) in a single issuer. Also describe the Board&#146;s rational for concluding that these potential risks are outweighed by removing the restriction from investing more than 10% of the Fund&#146;s total assets (taken at
current value) in a single issuer. <B> </B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>Response</B>: The Registrant has modified the relevant disclosure as follows (new disclosure
<U>underlined</U>): </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; font-size:10pt; font-family:Times New Roman">The Board also considered the potential for increased risk in the Fund if the Fund invests in excess of 10% of total
assets (taken at current value) in a single issuer<U>, which include the potential for a less diverse portfolio of investments and individual risks being reflected to a greater extent. The Board concluded that the potential for improved performance
by the Fund&#146;s portfolio from permitting the Adviser to invest a greater amount in certain issuers that it has high conviction in outweighs the potential increase in risk of a less diverse portfolio. The Board also noted that it will continue to
monitor these risks like it does with other potential risks to the Fund</U>. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>2. Comment</B>: Consider disclosing immediately after each of Proposal 2
and Proposal 3 of the Proxy Statement the potential effect of the proposed change to the Fund&#146;s by-laws. </P>

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 <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>Response</B>: The Registrant includes in Appendix A of the Proxy Statement how each Proposal would affect the
Fund&#146;s by-laws. The Registrant feels that its disclosure is clear and adequate and respectfully declines to make this change. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>3. Comment</B>:
Regarding Proposal 2 of the Proxy Statement, describe the Board&#146;s rationale for removing the restriction that the Fund may not invest more than 25% of its total assets in obligations of the government of the Republic of China, its agencies or
instrumentalities. Also describe the potential risks to the Fund if it invests more than 25% of its total assets in obligations of the government of the Republic of China, its agencies or instrumentalities. </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>Response</B>: The Registrant has modified the relevant disclosure as follows (new disclosure <U>underlined</U>): </P>
<P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; font-size:10pt; font-family:Times New Roman">Section&nbsp;13.1 The Corporation will not purchase any security (other than obligations of the U.S. government, its agencies or
instrumentalities) if as a result: (i)&nbsp;as to 75% of the Corporation&#146;s total assets, more than 5% of the Corporation&#146;s total assets (taken at current value) would then be invested in securities of a single issuer, (ii)&nbsp;<STRIKE>as
to the remaining 25% of the Corporation&#146;s total assets, more than 10% of the Corporation&#146;s total assets (taken at current value) would then be invested in securities of a single issuer (except that the Corporation may invest not
</STRIKE>more than 25% of its total assets <B><U>would be invested</U></B> in obligations of the government of the Republic of China, its agencies or instrumentalities), (iii)&nbsp;more than 10% of the voting equity securities (at the time of such
purchase) of any one issuer would be owned by the Corporation, and (iv)&nbsp;more than 25% of <STRIKE>the Corporation&#146;s</STRIKE><B> its</B> total assets (taken at current value) would be invested in a single industry<B>, except that the
Corporation shall invest more than 25% of its total assets (taken at current value) in the semi-conductor industry</B>. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; margin-left:4%; font-size:10pt; font-family:Times New Roman">[Proposed
deletions in <STRIKE>strikethrough,</STRIKE> proposed additions in <B>bold</B>.] </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>4. Comment</B>: Regarding Proposal 3 of the Proxy Statement, disclose
what action, if any, the Fund intends to take in the event that the semi-conductor industry falls below 25% of the Fund&#146;s benchmark index, including whether, in such a situation, the Fund would seek stockholder approval to concentrate in a
different industry or not concentrate in any industry. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"><B>Response</B>: The Registrant has modified the relevant disclosure as follows (new disclosure
<U>underlined</U>): </P> <P STYLE="margin-top:6pt; margin-bottom:0pt; margin-left:4%; font-size:10pt; font-family:Times New Roman">The Board also discussed with the Adviser the fact that if the Fund amends one of its fundamental policies to require
the Fund invest in excess of 25% of its total assets in the semi-conductor industry, and thereby becomes &#147;concentrated&#148; in that industry, it must continue to do so unless stockholders approve removal of that amendment. The Adviser advised
the Board that it believes that the semiconductor industry is likely to remain one of the larger components of the investment universe of the Fund for the foreseeable future. <U>Should the semi-conductor industry cease to represent more than 25% of
the investment universe of the Fund, the Fund reserves the right to propose to stockholders that the Fund no longer be required to invest more than 25% of its total assets in the semi-conductor industry</U>. </P>

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 <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">If you have any further comments or questions, please contact me at (617)&nbsp;662-1504. </P>
<P STYLE="font-size:12pt;margin-top:0pt;margin-bottom:0pt">&nbsp;</P><DIV ALIGN="right">
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<TD VALIGN="top">Sincerely,</TD></TR>
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<TD HEIGHT="16"></TD></TR>
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<TD VALIGN="top"> <P STYLE="margin-top:0pt; margin-bottom:1pt; border-bottom:1px solid #000000; font-size:10pt; font-family:Times New Roman">/s/ Brian F. Link</P></TD></TR>
<TR STYLE="page-break-inside:avoid ; font-family:Times New Roman; font-size:10pt">
<TD VALIGN="top">Brian F. Link</TD></TR>
<TR STYLE="page-break-inside:avoid ; font-family:Times New Roman; font-size:10pt">
<TD VALIGN="top">Secretary</TD></TR>
<TR STYLE="page-break-inside:avoid ; font-family:Times New Roman; font-size:10pt">
<TD VALIGN="top">The Taiwan Fund, Inc.</TD></TR>
</TABLE></DIV> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman">Cc: Leonard Mackey, Esq. &#150; Clifford Chance US LLP </P>
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