Semiconductor & Tech ETFs Surge despite ‘AI Bubble’ concerns
Seoul, South Korea – November 29, 2023 – Despite warnings of a potential “AI bubble” impacting the domestic stock market last week, several semiconductor and technology-focused Exchange Traded Funds (ETFs) delivered strong returns, bucking the broader negative sentiment. Data from KG Zeroin reveals significant gains for these funds during the week of November 22-28.
Leading the pack was the ‘RISE Fn5G Tech ETF,’ posting a remarkable weekly return of 4.55%, with year-to-date gains reaching 124.66%. Over the past month, the ETF has climbed 10.78%.
The ‘KODEX AI Semiconductor core Equipment ETF’ also demonstrated robust performance, achieving a 3.88% weekly increase. it’s one-month return stands at 9.59%, and year-to-date gains are at 93.95%. this ETF tracks the ‘iSelect AI Semiconductor Core Equipment Index’ and is heavily weighted towards key players including ISU PETASYS (27.00%), Hanmi Semiconductor (18.45%), and Reno Industrial (17.27%).
A key driver of these gains is the performance of ISU PETASYS, a component of both the RISE and KODEX ETFs. The company recently hit a 52-week high, fueled by expectations of increased demand for its Tensor Processing Units (TPUs) – AI semiconductors used by Google. Industry sources indicate ISU PETASYS holds approximately a 40% share of the Google TPU market, with demand anticipated to surge ahead of the release of Google’s next-generation AI model, ‘Gemini 3.’
Strong performance wasn’t limited to domestic funds.Among overseas stock funds, Mirae Asset Global Investments’ ‘ACE US Big Tech TOP7 Plus Leveraged ETF’ recorded the highest return, rising 7.32% during the same period. Its one-month return is 10.33%, and year-to-date gains have reached 31.49%. This leveraged ETF tracks 2x the daily return of the ‘Solactive US BigTech TOP7 Plus PR Index,’ which comprises ten major tech companies listed on NASDAQ, including Alphabet A (18.78%), Apple (15.13%), Nvidia (14.14%), Amazon.com (13.56%), Microsoft (13.36%), Broadcom (10.76%), and Meta (9.22%).
reported by Kim Da-sol, money Today Broadcasting MTN.
