High-net-worth investors in South Korea significantly increased their buying of **semiconductor stocks**, particularly **Samsung Electronics**, last month. This surge came while they actively divested from nuclear and defense-related shares, influenced by escalating geopolitical tensions surrounding the Iran conflict, according to data released Sunday.
An in-depth analysis by Samsung Securities, scrutinizing the trading patterns of clients holding over 3 billion won ($2 million) in assets, revealed that **Samsung Electronics** and **SK hynix** were the top two most net-bought stocks in March.
This marks a pivotal change from earlier in the year. In January and February, the investment focus was shared between Samsung Electronics and Hyundai Motor. However, buying interest in Hyundai Motor saw a sharp decline in March, pushing it out of the top five, as affluent investors concentrated their capital on the **semiconductor industry heavyweights**.
Specifically, **South Korea’s high-net-worth investors** substantially ramped up their acquisition of **Samsung Electronics shares**. Net buying of the tech giant’s stock reached 114.3 billion won in March alone, a significant increase compared to the 156 billion won accumulated over the first two months of the year. Including purchases of preferred shares, the total buying for March surpassed 130 billion won.
The scale of this accumulation also expanded dramatically. While **Samsung Electronics purchases** were approximately 1.5 times greater than those of the second-ranked stock in January and February, this gap widened to 3.5 times that of **SK hynix** in March, underscoring a strong conviction in the semiconductor sector.
This prominent buying trend suggests a strategic rotation by investors into leading **semiconductor companies**, simultaneously cashing in profits from sectors that had previously rallied due to geopolitical tensions and rising oil prices.
Among the new additions to the top purchases in March was the **Kodex Leverage ETF**, which tracks twice the daily performance of the Kospi 200 index. This indicates continued optimistic expectations for the broader **Korean stock market** despite lingering geopolitical uncertainties.
Investors also showed strong interest in the newly launched **KoAct Kosdaq Active ETF**, reflecting a growing anticipation for a rebound and growth within the **Kosdaq market**.
Conversely, on the selling front, Doosan Enerbility emerged as the most heavily net-sold stock in March. It was followed by Hanmi Semiconductor, LG Chem, and Hanwha Aerospace. The **Kodex 200 Futures Inverse 2X ETF** also featured prominently among the top net-sold positions.
Market analysts attributed this selling activity largely to profit-taking in sectors that had experienced significant surges amidst heightened Middle East tensions.
“Defense and nuclear-related stocks demonstrated relative strength as geopolitical risks intensified in March,” commented Shin Seung-jin, head of investment information at Samsung Securities. “Investors appear to have realized profits from these sectors and strategically reallocated funds into **semiconductor leaders** such as **Samsung Electronics** and **SK hynix**.”
He further noted that the introduction of a new **Kosdaq-focused active ETF** in March also captured significant attention, presenting an innovative alternative to traditional index-tracking investment products.
silverstar
