According to Zhitong Finance APP, as interest in large technology stocks and leveraged funds grows, South Korean retail investors have for the first time increased their holdings of U.S. stocks to over $100 billion.
According to data from the Korea Securities Information Association, as of November 7, retail traders held a total of $101.4 billion worth of U.S. stocks. This represents a 64% increase compared to the entire previous year.
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An increasing number of individual investors are directly investing in U.S. stocks in search of better returns, as the decline of the Korea Composite Stock Price Index has made it one of the worst-performing stock indices globally this year. On the other hand, despite efforts by authorities to revitalize the local stock market by strengthening corporate regulations, they have net sold benchmark index stocks worth 4.4 trillion won ($3.2 billion) so far in 2024.
Assets in volatile sectors such as cryptocurrencies and technology stocks are their preferred choices. The most popular stock among South Korean investors is Tesla (TSLA.US), with individual investors holding a total of $16.7 billion in Tesla shares as of last week. Traders also hold $13.8 billion in NVIDIA (NVDA.US) shares, $4.6 billion in Apple (AAPL.US) shares, and $3.6 billion in Microsoft (MSFT.US) shares.
There is also high demand for leveraged ETFs tracking U.S. technology stocks. Among the six major funds held by these investors are an ETF that seeks to triple the daily gains of the Nasdaq 100 Index and another fund aimed at providing triple daily gains for U.S. chip stocks

NVDA

TSLA

South Korean retail investors have for the first time increased their holdings of U.S. stocks to over $100 billion, mainly attracted by large tech stocks and leveraged funds. According to data, as of November 7, the total value of U.S. stocks held by retail investors was $101.4 billion, a year-on-year increase of 64%. Tesla is the most popular stock, with retail investors holding $16.7 billion, followed by NVIDIA and Apple. Despite the poor performance of the local stock market, retail investors remain actively invested in volatile assets

- South Korean retail investors have increased their holdings of U.S. stocks to over $100 billion for the first time, reaching $101.4 billion as of November 7, a 64% increase from the previous year.  
- This surge is driven by a desire for better returns amid a decline in the Korean Composite Stock Price Index, which has performed poorly globally.  
- Popular stocks among these investors include Tesla, Nvidia, Apple, and Microsoft, with significant interest in leveraged ETFs tracking U.S. tech stocks.