AI Semiconductor War.. Samsung Electronics and SK Hynix Will Be the Winners. "Why Global Capital is Rushing to Korean Stocks" | CSOP Asset Management Executive Director Lee Je-chung

Summary

Lee Je-chung, Executive Director at CSOP Asset Management, explains why global capital is rushing to Korean stocks, particularly Samsung Electronics and SK Hynix, driven by the AI semiconductor supercycle. He highlights the strong earnings and pricing power of Korean chipmakers, the potential of China's STAR 50 index for hardware exposure, and the benefits to Korean power equipment firms from US data center build-out. He remains bullish on Korean equities through year-end, expecting further foreign inflows.

• Korean semiconductor stocks are the prime AI hardware beneficiaries with robust operating profits and pricing power.
• Hong Kong investors have driven massive demand for leveraged Korean chip ETFs, reflecting global interest.
• China's STAR 50 index offers exposure to growing Chinese semiconductor hardware, though government intervention may temper momentum.
• Korean power grid stocks HD Hyundai Electric, Hyosung Heavy, LS Electric benefit from US grid modernization and data center power demand.
• Overall Korean equity market is favored until year-end, supported by strong fundamentals and improving foreign supply-demand.
• Software/AI transition will come later, signaled by physical AI adoption in robotics and autonomous driving.
• Hong Kong's new single-stock ETFs for Korea, Japan, Taiwan may further boost Korean stock liquidity.