SK hynix single-stock leveraged ETFs sweep ranks 2–8 this month

Covered-call, parking-type and US index ETFs draw retail buying

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Semiconductor-related ETFs have posted strong gains this month as share prices of Samsung Electronics and SK hynix climbed, but retail investors have been quick to lock in profits as the rally unfolded.

According to Korea Exchange and Koscom CHECK, nine of the top 10 best-performing ETFs listed in South Korea from Sept. 1 to 7 were semiconductor-related products. Seven SK hynix single-stock leveraged ETFs swept ranks 2 through 8.

ACE SK hynix Single Stock Leverage rose 12.65% over the period, making it the second-best performer behind TIGER Global Resource Producers, which gained 16.82%.

It was followed by RISE SK hynix Single Stock Leverage (12.11%), KODEX SK hynix Single Stock Leverage (11.77%), SOL SK hynix Single Stock Leverage (11.76%), 1Q SK hynix Futures Single Stock Leverage (11.70%), TIGER SK hynix Single Stock Leverage (11.57%) and KIWOOM SK hynix Futures Single Stock Leverage (11.43%).

TIGER Semiconductor TOP10 Leverage ranked ninth with a gain of 10.86%, while KODEX Semiconductor Leverage came in 10th at 9.80%.

The ETF gains tracked a broader move in the underlying stocks: Samsung Electronics rose 3.85% and SK hynix advanced 6.51% over the same period.

Despite the strong performance of semiconductor ETFs, investor sentiment toward these products remains largely frozen.

From Sept. 1 to 7, KODEX SK hynix Single Stock Leverage recorded net retail selling of 94.3 billion won ($69.6 million), making it the third-heaviest net-sold ETF among retail investors, behind KODEX Leverage (230.1 billion won) and KODEX 200 (215.8 billion won).

KODEX Semiconductor Leverage (52.3 billion won), TIGER Semiconductor TOP10 (50.1 billion won), TIGER 200 (49.2 billion won) and KODEX SK hynix Single Stock Leverage (48.4 billion won) followed.

The selling pressure reflects profit-taking that emerged precisely because share prices had finally moved higher after a prolonged lull.

Retail investors, by contrast, were net buyers of covered-call ETFs, so-called parking-type ETFs and products tracking major US indexes.

TIGER US S&P500 attracted the largest net retail purchases at 125.9 billion won.

Other US index ETFs also ranked among the top net-bought products, including KODEX US NASDAQ 100 (fifth, 69.3 billion won), KODEX US S&P500 (sixth, 66 billion won) and TIGER US NASDAQ 100 (seventh, 47.4 billion won).

Retail investors also favored products suited to volatile markets, such as KODEX 200 Target Weekly Covered Call (fourth, 72.1 billion won) and KODEX Money Market Active (11th, 32 billion won).

"Amid a mix of caution and expectation, covered-call ETFs — which can hedge against volatility — and insurance products with strong defensive characteristics in a rising interest-rate environment ranked among the top inflow categories in the domestic ETF market," said Jang Chi-young, a researcher at Hana Securities. "AI and other semiconductor-themed ETFs, which are growth-style products sensitive to interest rates, generally saw outflows."


jiyun@heraldcorp.com