Even with KOSPI at 6,500..."Selling Samsung and SK hynix for Cash," Individuals Net Sell 14.7 Trillion Won This Month
Samsung Electronics and SK hynix Top Individual Net Sales List
Inverse ETFs See Net Buying as Individuals Bet on Market Decline
With the KOSPI continuing its upward trend this month, surpassing the 6,500 mark during intraday trading for the first time in history, individual investors have been selling their holdings at a record pace.
According to the Korea Exchange on the 26th, individual investors recorded a net selling amount of 14.767 trillion won in the KOSPI market from the beginning of this month through the 24th.
On the 23rd, when the KOSPI surpassed the 6550 mark during trading hours, reaching an all-time high, an employee was monitoring the stock market and exchange rates in the dealing room at the head office of Hana Bank in Jung-gu, Seoul.
View original imageThis figure far surpasses the previous record for the largest monthly net selling amount, which was set in September of last year. At that time, individuals had a net selling amount of 10.4858 trillion won in the KOSPI market.
Looking at this year by month, individuals posted a net sale of approximately 400 billion won in January. Then, when the KOSPI hit an all-time high in February, individuals turned net buyers, purchasing more than 4 trillion won, and continued to buy up to the 3.3 trillion won range last month. However, this month, individuals have once again turned to net selling. This contrasts with foreign investors, who recorded a net purchase of 2.53 trillion won in the KOSPI market during the same period.
In particular, individuals have recently realized profits mainly in Samsung Electronics and SK hynix, both of which have hit record-high prices. According to the Korea Exchange, the stock most heavily net sold by individuals this month was Samsung Electronics, with net sales amounting to 6.581 trillion won. The second was SK hynix, with net sales of 2.498 trillion won. These two stocks accounted for 62% of the total net selling amount by individuals this month.
During the same period, individuals also bought inverse ETF products, betting on a decline in the KOSPI.
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According to financial data provider Yonhap Infomax, the exchange-traded fund (ETF) most heavily net purchased by individual investors from the beginning of the month through the 24th was the 'KODEX 200 Futures Inverse 2X.' Individuals recorded a net purchase of 540.2 billion won of this ETF. This ETF tracks twice the daily inverse return of the KOSPI200 futures index. Likewise, individuals net purchased 165.6 billion won of the 'KODEX Inverse' ETF and 6.3 billion won of the 'TIGER Inverse' ETF, both of which are designed to profit when the KOSPI declines.
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