Korean investors net purchased $2.596 billion of US stocks from July 1 to 23, quadrupling the June amount of $632.96 million, as the KOSPI fell 21.1% from 8476.48 on June 30 to 6690.62 on July 24. The surge in US stock purchases reflected investor response to the sharp domestic market decline. Meanwhile, concerns about large-scale selling by the National Pension Service following the end of its domestic stock rebalancing deferral proved unfounded, with pension funds recording their first monthly net purchase of 68.4 billion won in the KOSPI in 2026.
Korean Investors Net Purchase $2.6 Billion US Stocks in July
According to the Korea Securities Depository's SEIBRO portal, Korean investors' net purchases of US stocks from July 1 to 23 reached $2.596 billion (approximately 3.8 trillion won), four times the June net purchase amount of $632.96 million (approximately 926.1 billion won). The KOSDAQ also declined 18.3% from 916.18 to 748.22 during the same period.
Buying concentrated on semiconductor and leveraged products. The top net purchase was the Direxion Daily Semiconductor Bull 3X ETF (SOXL), which received $1.305 billion (approximately 1.909 trillion won). SK Hynix American Depositary Receipts (ADR) followed with $675.55 million (approximately 988.4 billion won). The Direxion Daily MSCI South Korea Bull 3X ETF (KORU) saw net purchases of $213.12 million (approximately 311.8 billion won).
Domestic-listed US index ETFs also attracted significant inflows. According to KOSCOM ETF CHECK, TIGER US S&P500 received 221.4 billion won in net inflows over the recent week. TIGER US Nasdaq 100 and KODEX US S&P500 received 143.9 billion won and 139.2 billion won respectively.
Korean investors net purchased $1.691 billion of US stocks in March but switched to net selling of $468.93 million in April. Net selling expanded to $939.77 million in May before returning to net buying in June.
Domestic Market Funds Fall 35 Trillion Won
Investor deposits in the domestic market declined from a record high of 139.69 trillion won on July 4 to 104.29 trillion won on July 23, according to the Korea Financial Investment Association. Margin trading balances also decreased from 37.73 trillion won to 32.74 trillion won during the same period.
Pension Funds Record First Monthly Net Purchase in 2026
According to the Korea Exchange, pension funds including the National Pension Service net purchased 68.4 billion won in the securities market from July 1 to 24. This marks the first monthly net buying by pension funds in 2026, with only six trading days recording net selling.
Pension funds sold domestic stocks throughout the first half of 2026. Monthly net selling amounts were 1.891 trillion won in January, 681.6 billion won in February, 764.8 billion won in March, 896.1 billion won in April, 2.161 trillion won in May, and 2.337 trillion won in June. Market observers had projected potential selling of up to 74 trillion won after the National Pension Service's domestic stock rebalancing deferral ended in late June.
The top net purchase by pension funds was SK Hynix with 425.8 billion won. SK Innovation (224.7 billion won), S-OIL (174.4 billion won), DB Insurance (109.4 billion won), and Celltrion (95.3 billion won) followed. Conversely, pension funds net sold 575.7 billion won of SK Square. Samsung Electro-Mechanics (-313.6 billion won), Samsung Life Insurance (-123.8 billion won), LG Innotek (-111.9 billion won), and Samsung Electronics (-111.5 billion won) were also among top net sells.
Securities industry analysts attribute the reduced selling pressure to the KOSPI decline lowering both the valuation and portfolio weight of the National Pension Service's domestic stock holdings. National Pension Service Chairman Kim Seong-ju dismissed the possibility of a "selling bomb," stating that "large-scale selling cannot occur in a short period."
FAQ
How much did Korean investors net purchase in US stocks during July?
Korean investors net purchased $2.596 billion (approximately 3.8 trillion won) of US stocks from July 1 to 23, according to the Korea Securities Depository's SEIBRO portal. This amount is four times the June net purchase of $632.96 million.
What was the KOSPI's decline from June 30 to July 24?
The KOSPI fell 21.1% from 8476.48 on June 30 to 6690.62 on July 24. During the same period, the KOSDAQ declined 18.3% from 916.18 to 748.22.
Did pension funds sell large amounts of domestic stocks in July?
No. Pension funds including the National Pension Service net purchased 68.4 billion won in the securities market from July 1 to 24, marking their first monthly net buying in 2026. National Pension Service Chairman Kim Seong-ju stated that "large-scale selling cannot occur in a short period."
