You Must Always Have a List of Stocks to Prepare for a Decline | Hong Seonae, Park Byeongchang, MP Partners CEO [Yeouido Insight]

Summary

Park Byeongchang, CEO of MP Partners, presents a bullish view on Korean equities, emphasizing that KOSDAQ is on the verge of breaking to new highs on strong momentum. He highlights Samsung Electronics and SK hynix as undervalued core holdings with fresh institutional buying, and adds Samsung Electro-Mechanics as an even stronger rebound candidate. He sees secondary opportunities in shipbuilding, nuclear, energy, and robotics sectors, while warning that potential MSCI developed market inclusion could hurt mid-caps. He advises investors to build a crash-buy list of these quality leaders to capitalize on any sharp market declines.

• KOSDAQ index is near its all-time high and momentum is expected to carry it past 9,000 points.
• Samsung Electronics and SK hynix remain globally undervalued and are seeing a shift from passive ETF flows into active institutional buying.
• Samsung Electro-Mechanics shows even stronger relative strength and is a top pick for a post-crash rebound.
• Secondary growth sectors such as shipbuilding, nuclear, energy, and robotics have the potential to set new highs as the market rotates.
• MSCI developed market inclusion would benefit large caps but likely cause outflows from mid/small caps, creating a headwind for those names.
• Volatility and rapid sector rotation lack continuity; the recommended approach is to hold core positions and trade sector leaders around dips and spikes.
• Investors should prepare a crash-buy list of high-quality stocks (semis and sector leaders) to buy immediately on sharp market declines.