KOSPI Breakthrough: ETF Surge and Shifting Investment Trends
The KOSPI index in the South Korean stock market has surpassed the 6000 mark for the first time, drawing considerable attention to ETF (Exchange-Traded Fund) investments. Semiconductor and automobile ETFs are particularly gaining popularity, supported by the rising stock prices of Hyundai and Kia. This shift in the market is prompting a migration of funds from long-term bank deposits to the stock market, with financial investors recording net purchases exceeding 13 trillion won.
With the KOSPI's market capitalization surpassing 5000 trillion won, securities firms have revised their KOSPI targets to 7000-8000. This reflects an accelerated influx of ETF funds, led by major stocks such as Samsung Electronics and SK Hynix. However, despite the index's rise, many stocks remain range-bound, resulting in a lower perceived return on investment for investors. Experts recommend leveraging market volatility with a dollar-cost averaging approach and maintaining traditional stock-bond investment ratios.
Conversely, inverse ETFs are experiencing a downtrend due to the strong market, while construction and steel-related ETFs continue to perform well. The volatility of thematic ETFs is becoming a critical element for investors in strategically selecting stocks. Recently, obesity treatment-related ETFs have shown weaker performance, contrasting with other trends.
Overall, investors are advised to carefully monitor the volatile market, focusing on major sector stocks for strategic entry or considering ETF dollar-cost averaging. Additionally, the growing total net asset value of domestic ETFs, alongside the increase in margin trading balances, reflects the fervent investment climate in the market.
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