'SOL AI Semiconductor TOP2 Plus' ETF Conducts Regular Rebalancing... Adds Wonik IPS and Others

Front-End Equipment Companies with Earnings Momentum Added to Portfolio

Shinhan Asset Management announced on the 15th that it has conducted a regular rebalancing of the ‘SOL AI Semiconductor TOP2 Plus’ Exchange-Traded Fund (ETF).

According to Shinhan Asset Management, the latest rebalancing resulted in the addition of Wonik IPS, Daeduck Electronics, PSK, VM, and Tess as new constituents. Meanwhile, LG Innotek, ISC, RFHIC, Korea Circuit, and Exicon were excluded from the portfolio.

The ‘SOL AI Semiconductor TOP2 Plus’ ETF, which was newly listed in March with a size of KRW 11 billion, has since grown into one of Korea’s leading semiconductor ETFs, now commanding net assets of over KRW 6 trillion. Since its listing, individual investors’ cumulative net purchases have reached KRW 3.4198 trillion, making it the number one semiconductor ETF in Korea this year in terms of cumulative net buying by individual investors.

After the rebalancing, the major components and their respective weights are: SK hynix at 25.75%, Samsung Electronics at 24.84%, SK Square at 16.20%, Samsung Electro-Mechanics at 15.04%, and ISU Petasys at 5.56%. The newly included stocks comprise Wonik IPS at 3.03%, Daeduck Electronics at 2.93%, PSK at 2.60%, VM at 1.71%, and Tess at 1.65%.

A Shinhan Asset Management representative explained, “This rebalancing reflects the expansion of capital expenditures by major memory semiconductor players like Samsung Electronics, SK hynix, and Micron, as well as the expected increase in orders for front-end process equipment as a result.”

Amid rising demand for AI infrastructure, semiconductor companies are pushing ahead with new plant construction and expansion schedules for existing production facilities. In particular, high-specification memory such as HBM requires larger wafer areas and involves more complex processes than general-purpose products, meaning that even with increased capital expenditure, actual gains in production capacity may be limited. As a result, it is expected that memory companies will likely continue to invest in facilities to meet customer demand.

Wonik IPS is a semiconductor equipment company supplying devices for both memory and foundry processes. PSK specializes in dry-strip equipment and has secured a global customer base, while VM is expanding its overseas clientele and developing next-generation etching equipment. Tess is considered to have its main performance momentum from the mass production entry of new equipment related to the HBM process.

Kim Junghyun, Head of the ETF Business Group at Shinhan Asset Management, said, “Through this rebalancing, we have incorporated front-end process equipment companies with improved earnings prospects in line with expanding capital expenditures by memory semiconductor companies into our portfolio.” He continued, “Going forward, we will continue to maintain the core investment structure around the two main constituents, Samsung Electronics and SK hynix, in accordance with the methodology of the underlying index, while adjusting stocks and weightings through regular rebalancing to keep pace with market and industry changes.”

He added, “We will ensure stable portfolio management in line with the product’s investment strategy and the underlying index methodology, and rigorously manage the quoting environment to maximize customer returns and investment efficiency.”

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