Why Are Individual Investors, Foreigners, and the National Pension Service All Selling? | Chesley Investment Advisory Executive Director Park Se-ik

Summary

Park Se-ik explains why individual investors, foreigners, and the National Pension Service are all likely to sell during KOSPI rallies, creating a range-bound market until October. He discusses how KOSDAQ's high valuation is distorted by loss-making biotech stocks and recommends active biotech ETFs instead of individual names. He also shares his personal preference for Samsung Biologics as the only biotech stock he invests in.

• KOSPI expected to stay in box range until October as multiple selling forces cap rallies.
• Contrarian trading (buy lower end, sell upper end) is advised within the range.
• National Pension Service must sell equities when stock prices rise above its strategic allocation cap (28.8%).
• KOSDAQ PER appears high due to biotech losses; valuation is better assessed via 3-year average market cap.
• Biotech investing is like gambling with only ~10% of drug candidates reaching approval; active biotech ETFs reduce risk.
• Park Se-ik personally invests only in Samsung Biologics among Korean biotech stocks.
• A potential KOSPI breakout could occur from late October if rates decline and foreign funds return.