After the outbreak of the war in Iran, exchange-traded funds (ETF), which follow foreigners’ trading..

After the outbreak of the war in Iran, exchange-traded funds (ETF), which follow foreigners’ trading, are doing better than ETFs that follow personal trading.

As of the 6th, the “RISE Donghak Ant” ETF fell 15.3% from the end of February. During the same period, the ‘WONK-Global Top Supply and Demand’ ETF fell 7.5%. The two ETFs invest in the top net purchases of domestic stock markets by individual and foreign investors, respectively. Followed by investor trends, the portfolio is subsequently replaced each month.

At the beginning of the year, when the stock market soared, RISE Donghak Ant, which formed a portfolio focused on individual-led stocks, laughed. However, after the outbreak of the war in Iran, large-scale dumping came out, and the atmosphere reversed. After the opening of the war, the WONK-Global Supply and Demand Index was relatively limited in its decline. In particular, it was smaller than the KOSPI and KOSDAQ indexes’ fall.

On this day, the top stocks in the WONK-Global supply and demand category are cosmetics stocks APR (12%), communication equipment stocks Seojin System (12%), and nuclear power plant stocks BHI (11%). It is investing in stocks with high foreign supply and demand among stocks that are not focused on specific sectors and improve earnings per share (EPS).

APR, which ranks first in the WONK-Global Supply and Demand List, saw its stock price jump more than five times in more than two years on the back of foreign buying. During this period, foreign ownership increased from 1 percent to 35 percent. Even after the outbreak of the war in Iran, foreigners have net purchased APRs of about 160 billion won.

Samsung Electronics (10%), SK Hynix (10%), and LG Innotek (7%) are the top stocks in the proportion of RISE Donghak ants. The portfolio is mainly composed of large stocks such as semiconductors and finance. Individuals net purchased Samsung Electronics and SK Hynix for a total of 21 trillion won after the outbreak of the war in Iran. In the future, the returns of the two ETFs are expected to be divided according to the flow of semiconductor stocks.