Samsung Asset Management: "Korean Stock Market Historically Undervalued... Profits to Drive Upside, Shareholder Returns to Support Downside"

YouTube Live Briefing Held on the 16th
Release of "Mastering ETFs in Just One Week" Guidebook
Explanation of Key Questions and Second-Half Market Strategy Announced

At this point in time, industry experts have assessed that the Korean stock market is historically undervalued. There is an analysis suggesting that a revaluation will take place in the second half of the year, driven by profit growth and a changed approach to shareholder returns.

On September 16, Lim Taehyeok, Managing Director of ETF Management at Samsung Asset Management, stated at an online live briefing, "If you compare the 12-month forward price-to-earnings ratio (PER) based on the MSCI Country Index, the United States is almost at 20 times, developed markets are at 18 times, and even Japan is at 16 times, while China and emerging markets are at 10 times. However, Korea's ratio is not even five times. It hasn't been this low since 2006. This is an extraordinary deep discount phase," he said.

He predicted that a revaluation would begin in the second half of the year, supported by solid profits from leading semiconductor companies and shareholder returns. Lim explained, "We will continue to demonstrate profit growth, and beyond the value-up policy, various shareholder return policies are being implemented. We expect profits will open up the upside, while shareholder returns will provide downside protection."

He also emphasized the robust profit generation capability of other KOSPI 200 components, such as shipbuilding and automotive stocks, in addition to semiconductors. Lim commented, "Some people might say there is nothing aside from Samsung Electronics and SK hynix, but the KOSPI 200 is a gathering of 'all-stars.' For the automotive sector, the robotics division, in addition to hybrids, has a promising future, and in finance, record-high profits and an expansion of shareholder return are expected to continue."

On this day, Samsung Asset Management also released the foundational guidebook "Mastering ETFs in Just One Week." The book is designed in a one-week completion worksheet format, enabling anyone to build a strong framework for ETF investment.

"Mastering ETFs in Just One Week" is a guidebook compiled by Samsung Asset Management employees, featuring the most frequently encountered practical questions from direct communication with investors throughout the past year. By adopting a worksheet format, it allows readers to cover five key questions in just 10 minutes a day and immediately review with related quizzes and practical problems.

Kim Dohyung, Head of ETF Consulting at Samsung Asset Management, said, "Many investors still face difficulties in understanding the essential basic concepts and structures amid the flood of information. We designed this foundational guidebook so that anyone can easily build the framework for investment by investing just 10 minutes a day for a week and solving quizzes independently. We hope this guidebook will become a solid stepping stone to successful long-term investing."

Lim added, "At first glance, ETFs may seem easy, but once you start investing, you realize there are actually many questions. The book released today addresses these questions over about 100 pages. As with any investment product, simply investing with proper understanding can save a considerable amount of invisible costs, and we are confident that these aspects will greatly help the long-term returns of one's portfolio."

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