"I Can't Buy at These Prices"... Experts Recommend This Instead of Samsung Electronics and SK hynix

KOSPI 200 ETF Investment Proposed
"Semiconductor weighting at about 60-70%"

As Samsung Electronics and SK hynix are driving the rise of the KOSPI, the so-called 'FOMO' (Fear Of Missing Out) sentiment—fear of being left out of investment opportunities—is growing. In response, experts are recommending an investment strategy that utilizes KOSPI 200 exchange-traded funds (ETFs), rather than focusing on individual stocks.

On the 9th, the KOSPI, SK hynix, and Samsung Electronics stock prices were displayed on the status board in the dealing room of Hana Bank in Jung-gu, Seoul. On the day, the KOSPI opened at 9,288.89, up 225.05 points (2.48%) from the previous day, and the KOSDAQ index opened at 1,001.40, up 0.47 points (0.05%). Yonhap News Agency

On June 19, Choi Changkyu, Head of ETF at Mirae Asset Global Investments, appeared on YTN Radio and said, "Among financial products that are heavily weighted toward semiconductors, the most representative is the KOSPI 200. Although it doesn't carry the word 'semiconductor' in its name, it includes Samsung Electronics, SK hynix, SK Square, Samsung Electro-Mechanics, and LG Innotek."

He continued, "If you include Samsung Electronics, SK hynix, and SK Square, roughly 60% to 70% of the index consists of semiconductor-related companies. If you currently don't hold any semiconductor stocks and feel that SK hynix shares are too expensive and Samsung Electronics has already risen significantly, you don't need to overthink it—just invest in an ETF composed of the KOSPI 200."

He added, "If you see the number '200' at the end of the name, it means it is an ETF that tracks the KOSPI 200. I think it's best to invest even a small amount in an ETF based on the KOSPI 200."

Choi also assessed that SpaceX, the aerospace company that garnered global investor attention with its record-breaking IPO, has also lost some momentum as it has been overshadowed by the semiconductor sector. As of June 18 (local time), SpaceX's share price closed at $184.98 per share, down 3.6% from the previous day. With the stock price declining for two consecutive trading days, investors' average returns have returned to break-even levels.

He said, "SpaceX, too, has been overshadowed by semiconductor companies like Micron Technology and Nvidia. Although it is currently overshadowed by the semiconductor sector, it is expected to be included soon in the Nasdaq 100 ETF, and there are discussions about its inclusion in the MSCI ETF and Russell ETF. From a stock price perspective, we can expect a positive trend."

Additionally, he pointed to the power infrastructure for artificial intelligence (AI) data centers as the next sector to lead the market after semiconductors. Choi stated, "In particular, I think attention should be paid to the power equipment sector. There are products on the market labeled as power equipment, but ultimately, they are infrastructure."

He continued, "Data centers require cooling and refrigeration facilities, and attention will inevitably turn to optical communications as well. While you may be focusing on Samsung Electronics and SK hynix, this market is growing. I recommend paying more attention to infrastructure sectors related to this market," he emphasized.

This content was produced with the assistance of AI translation services.