SEOUL, February 03 (AJP) - Demand for U.S. equities among South Korean investors remains strong despite a sharp rally in domestic markets, with holdings of American shares staying at record levels, according to data released Tuesday by the Korea Securities Depository.
The benchmark KOSPI has climbed above 5,000 this year and the tech-heavy KOSDAQ has risen past 1,000. Yet South Korean investors’ holdings of U.S. stocks continued to grow.
The data showed domestic investors held $168 billion worth of U.S. stocks at the end of last month, up about $4.4 billion from the end of last year.
Tesla remained the most widely held stock among Korean retail investors, with holdings totaling $27.1 billion. The electric-vehicle maker, which has also drawn attention for its autonomous-driving and artificial intelligence ambitions, retained the top spot by a wide margin.
Nvidia followed with $18 billion in holdings, supported by expectations of continued demand for AI chips. Alphabet ranked next at $7.7 billion, followed by data analytics firm Palantir at $5.4 billion and Apple at $4.3 billion.
Analysts say the trend reflects investors’ belief in the structural strengths of U.S. markets, where many global leaders — particularly in artificial intelligence, semiconductors and cloud computing — are listed.
A brokerage official said some profit-taking has flowed into local shares as the domestic market rebounded, but the U.S. market still enjoys an advantage in growth sectors and global competitiveness.
"Direct overseas stock investment continues to expand, particularly among investors in their 20s and 30s," the official said.
* This article, published by Aju Business Daily, was translated by AI and edited by AJP.
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