South Korea’s **Kosdaq**, the nation’s secondary bourse, experienced a robust surge of nearly 5 percent on Friday, propelled by heightened investor optimism surrounding a newly launched **public investment fund** designed to bolster **strategic industries**.
Closing at 1,161.13, the **junior bourse** marked a significant 4.99 percent advance from its previous session.
**Foreign investors** were key drivers, net buying 702.8 billion won ($468.5 million), with **institutional investors** also contributing significantly, adding 288.1 billion won to the impressive rally. Conversely, **retail investors** were the only net sellers, divesting a net 969.2 billion won.
Notably, a **buy-side sidecar**, a mechanism designed to temporarily halt program buy orders and curb market volatility, was triggered for the second consecutive session at 9:33 a.m.
**Investor sentiment** towards the **tech-heavy Kosdaq** notably sharpened following the public launch of this attractive **investment fund**, which offers compelling **tax breaks** and **loss coverage**.
This pivotal **fund** is poised to direct substantial investments into critical **strategic industries**, encompassing sectors like **Artificial Intelligence (AI)**, **rechargeable batteries**, **hydrogen technology**, and **biotechnology**. This focus is set to significantly benefit numerous **Kosdaq-listed companies**.
Demonstrating its immediate appeal, the fund garnered overwhelming **investor demand** on its debut, with allocations across certain **distribution channels** reportedly selling out within just 10 minutes of its launch.
Fueled by this strong anticipation and the fund’s potential, the majority of **large-cap Kosdaq shares** experienced sharp rallies.
Leading the gains were prominent **battery materials makers**, with **EcoPro BM** surging by 10.77 percent and **EcoPro** climbing an impressive 12.87 percent.
**Jusung Engineering**, a distinguished first-generation **chipmaking equipment company** in Korea, also saw significant appreciation, soaring by 20.95 percent.
However, the rally in **large-cap biotech shares** showed comparatively modest gains. **Alteogen** recorded a 3.7 percent increase, while **Kolon TissueGene** advanced by 3.59 percent.
silverstar
