Retail investors drove the KOSPI to a 101.14% surge in the first half, with the index rising from 4214.17 to 8476.48 between January 2 and last month 30th, according to Korea Exchange data released on the 5th. Individual investors net purchased 161 trillion won in KOSPI stocks during this period, exceeding the combined annual net purchases of 54 trillion won in 2020 and 75 trillion won in 2021. Last month alone saw 56 trillion won in net purchases despite extreme volatility, with 17 trillion won flowing into Samsung Electronics and 15 trillion won into SK Hynix. A financial industry official stated that retail investors viewed the sharp decline as an opportunity, influenced by brokerage firms' buy recommendations on semiconductor leaders.
Retail Investors Net Purchase 56 Trillion Won During Last Month Volatility
Retail investors maintained their buying strategy last month despite rollercoaster market conditions. The KOSPI net purchase volume reached 56 trillion 533.1 billion won during a period when the KOSPI 200 Volatility Index, known as Korea's fear gauge, hit intraday highs. Samsung Electronics received 17 trillion 119.3 billion won in net purchases, while SK Hynix attracted 15 trillion 632.6 billion won. A financial industry official explained that investor sentiment was stimulated by learning the "sharp decline followed by rebound" pattern, and that valid buy recommendations from securities firms on the two semiconductor leaders had a positive effect.
Samsung Electronics Gains 178.57% as Top Retail Purchase
The performance of retail investors who concentrated on KOSPI stocks was successful. Samsung Electronics, the most purchased stock, rose 178.57% compared to the beginning of the year. SK Hynix surged 307.07%, jumping approximately four times. Other stocks in the top 10 net purchases also posted significant gains: Hyundai Motor (66.95%), SK Square (361.14%), Hyundai Mobis (34.0%), and LG Electronics (120.89%).
Samsung Electro-Mechanics Leads Returns with 756.47% Surge
The stock with the highest return in the first half was Samsung Electro-Mechanics, which was most heavily purchased by foreign investors. Samsung Electro-Mechanics started trading at 255,000 won on January 2 and closed at 2,184,000 won at the end of last month, surging 756.47%. The company is attracting attention as an "AI beneficiary stock" by producing high-performance multi-layer ceramic capacitors (MLCC) in high demand for artificial intelligence server applications.
KOSDAQ Sees 10 Trillion Won Net Outflows in First Half
The concentration of retail funds into KOSPI became more pronounced. In the KOSDAQ market last month, 2 trillion 861.1 billion won in retail funds flowed out. The scale of retail investors' net sales in KOSDAQ exceeded 10 trillion won in the first half.
FAQ
How much did retail investors net purchase in Korean stocks during the first half?
Retail investors net purchased 161 trillion 120.1 billion won in KOSPI stocks from January 2 to last month 30th, according to Korea Exchange data released on the 5th. This amount exceeds the combined annual net purchases of 54 trillion won in 2020 and 75 trillion won in 2021.
What were the returns on the most purchased Korean stocks?
Samsung Electronics, the most purchased stock by retail investors, rose 178.57% from the beginning of the year. SK Hynix surged 307.07%, approximately quadrupling in value. Samsung Electro-Mechanics, most purchased by foreign investors, posted the highest return at 756.47%, rising from 255,000 won on January 2 to 2,184,000 won at the end of last month.
