Even with war, they ‘went all in’ with retirement savings… Sold gold and bought ‘this’

What ‘pension ants’ bought last month

Concentrated in semiconductors and the KOSPI

Semiconductor- and KOSPI-index-related exchange-traded funds (ETFs) were the most heavily purchased in major securities firms’ retirement pension accounts last month. The buying suggests many investors expect momentum in the semiconductor sector and Korea’s equity market rally to persist despite external uncertainties, including the U.S.-Iran war.

According to Mirae Asset Securities on the 4th, three of the top five net-bought ETFs in the firm’s retirement pension accounts last month tracked the semiconductor value chain, while two were KOSPI index ETFs. The brokerage holds the largest market share across the financial industry in the defined contribution (DC) retirement pension market as of the end of last year.

The most heavily net-bought ETF was “RISE Samsung Electronics–SK Hynix Bond Mix 50.” The ETF allocates 25% each to Samsung Electronics and SK Hynix—50% in total—while investing the remaining 50% in high-quality bonds such as Korean Treasury bonds. The purchases are seen as reflecting demand to use a bond-mixed ETF to maximize exposure to large-cap semiconductor stocks within pension accounts.

Second in net purchases was “TIGER Semiconductor TOP10.” The ETF invests in 10 core names across Korea’s semiconductor value chain, including SK Hynix (28.07%), Samsung Electronics (23.95%), Hanmi Semiconductor (17.49%) and Lino Industrial (7.96%). “TIGER 200” and “KODEX 200,” which track the KOSPI 200, followed. The newly listed “SOL AI Semiconductor TOP2 Plus ETF,” which debuted on the 17th last month, ranked fifth. It allocates 25% each to Samsung Electronics and SK Hynix, and holds 15% in SK Square—SK Hynix’s holding company—raising overall exposure to SK Hynix to around 40%.

The top net-sold ETF in retirement pension accounts was “ACE KRX Physical Gold.” With its return over the past month at -9.31% as of that day, investors are seen as having switched into domestic equity ETFs. Gold, widely viewed as a safe-haven asset, has fallen sharply in price since the Middle East situation. Funds also flowed out of “TIGER U.S. Tech TOP10 INDXX,” “TIGER U.S. 30-Year Treasury STRIP Active,” “TIGER U.S. 30-Year Treasury Covered Call Active,” and “TIGER High-Grade Corporate Bond Active,” among others.

By Bae Seong-su / Yang Ji-yoon