Rally Market Ants' Favorite Stocks: 'Samsung Electronics' & 'Gopbeoseu'

Individuals Net Buy Samsung Electronics 296.4 Billion KRW in Two Days
Continuous Purchase for 11 Trading Days Totaling 2.8 Trillion KRW
Inverse ETFs Also Rank Among Top Net Buyers

On the morning of the 15th, the KOSPI opened at 3,012.62, up 23.98 points (0.80%) from the previous day, as dealers were working in the dealing room at the Hana Bank headquarters in Jung-gu, Seoul.
[Image source=Yonhap News]

[Asia Economy Reporter Minwoo Lee] Recently, as the KOSPI surpassed the 3000-point mark again, the stocks most frequently purchased by individual investors during the rebound were Samsung Electronics and the ‘Gopbus (Gopbagi+Inverse)’ products, which bet on a decline in the index.

According to the Korea Exchange on the 15th, during the rebound from just before the KOSPI broke below the 2900-point level on the 13th and 14th, the stock most bought by individual investors was Samsung Electronics. Over the two trading days, net purchases amounted to 296.4 billion KRW, securing an overwhelming first place. The ‘ants’ love for Samsung Electronics has continued steadily since the 28th of last month. Individual investors net bought Samsung Electronics for 11 consecutive trading days. During this period, individuals purchased a total of 2.8401 trillion KRW worth of shares. On the 12th, when the closing price fell to the 60,000 KRW range for the first time since December 3rd last year, they bought 842.4 billion KRW worth of shares. This was the largest single-day net purchase since August 13th.

It is interpreted that investors engaged in bottom-fishing as the stock price fell amid forecasts of a sluggish semiconductor market. Taiwan’s semiconductor market research firm TrendForce predicted that memory semiconductor DRAM prices will fall by an average of 15-20% next year. Even securities firms lowered Samsung Electronics’ target price, which had been expected to reach the 100,000 KRW range, down to 82,000 KRW (Mirae Asset Securities). However, after the Philadelphia Semiconductor Index surged 3.08% in the U.S. stock market early that morning, and Taiwan’s foundry (semiconductor contract manufacturing) company TSMC and U.S. memory semiconductor company Micron Technology both rose by over 2%, Samsung Electronics also rebounded, recovering to the 70,000 KRW range.

Individual investors also focused on buying ‘Gopbus’ products, which expect a market decline, during the rebound. The ‘KODEX 200 Futures Inverse 2X’ ranked second in net purchases by individuals on the 13th and 14th with 72.9 billion KRW. This product is an inverse leveraged exchange-traded fund (ETF) managed by Samsung Asset Management that tracks twice the inverse of the KOSPI 200 index. When the KOSPI 200 index rises 1%, it falls 2%, and when the index falls 1%, it rises 2%. During the same period, ‘KODEX KOSDAQ 150 Futures Inverse’ also ranked sixth with 37.1 billion KRW. The two consecutive days of index gains are interpreted as a strategic move anticipating the release of profit-taking sell orders.