Why are US stocks so cheap, while Taiwan stocks are so expensive? Understand how many shares are in one stock lot, and you'll get it.

I often see people complaining that, when it comes to buying stocks, U.S. stocks can be bought at around four or five hundred dollars per share, while Taiwanese stocks start at tens of thousands of dollars per sheet. Where does this difference come from? Ultimately, it’s a matter of trading rules.

Stock Price ≠ Trading Cost, The Difference Lies in Trading Units

Many people are confused by stock prices. Tesla(TSLA) is now $254 per share, which seems high. But in U.S. markets, the trading unit is one share, so you can buy one at $254.

In Taiwan, the price per share might only be a few dollars, but you can’t buy just one share. The trading unit in Taiwan is one sheet, and one sheet equals 1000 shares. That’s why, although Taiwanese stocks look cheap, the actual purchase cost can be higher.

For example: TSMC(2330.TW) has a stock price of 1080 New Taiwan Dollars per share. Buying one sheet requires 1080×1000=1,080,000 New Taiwan Dollars. It looks like a large amount, right? But it’s because one sheet equals 1000 shares.

Different Markets, Different Trading Units

• U.S. Stocks: The trading unit is 1 share. For example, Tesla’s current price is $254.11. Buying one share costs $254.11. Flexible and affordable.

• Taiwan Stocks: The trading unit is 1 sheet, which equals 1000 shares. For example, Taiwan Cement(1101.TW) at 32.10 New Taiwan Dollars per share, buying one sheet costs 32.10×1000=32,100 New Taiwan Dollars.

• Hong Kong Stocks: The trading unit is called “1 lot,” but the number of shares per lot varies. Depending on the stock price, 1 lot could be 100, 500, 1000, or even 2000 shares. For example, Tencent(0700.HK) with a current price of 418 HKD, 1 lot=100 shares, so one lot costs 418×100=41,800 HKD.

Why Are They Designed This Way?

This has historical reasons. In Taiwan, the face value of stocks was fixed at 10 NT dollars in the early days. Later, for easier trading and settlement, the minimum trading unit was set as one sheet(1000 shares). Hong Kong and the U.S. have their own rules.

But for investors, the key is to understand that stock price and trading cost are two different things. The same company, even if its stock price is high, as long as the trading unit is small(like in the U.S. with 1 share), the entry capital requirement is low. Conversely, even if the stock price looks cheap, if the trading unit is large(like in Taiwan with 1 sheet), the actual capital needed is higher.

Takeaway

This also explains why many beginners feel that U.S. stocks are “cheap”—not because the stock price is low, but because the trading threshold is low. To enter the global stock market with less capital, understanding the trading unit rules of different markets is very important. Whether buying stocks in any market, it’s wise to check how many shares are needed per trade and calculate the total cost carefully before making an investment.