KOSPI, continues to soar due to AI proliferation... Future assets, increase the proportion of core themes

In the domestic stock market, based on the continued rise of expectations related to artificial intelligence and the trend of improving corporate value, future asset management companies believe that the medium- to long-term dominance of industries led by artificial intelligence semiconductors, electricity, finance, and other sectors is likely.

On the 8th of this month, Kim Seung-beom, representative of Future Asset Asset Management’s asset allocation department, stated in an interview at the company’s headquarters in Jongno-gu, Seoul, that the AI industry revolution is still in the early stages of widespread diffusion. He explained that the recent rise of the KOSPI is less a simple liquidity rally and more the result of the combined effects of benefits to domestic hardware companies driven by AI diffusion, government value enhancement policies, and listed companies’ efforts to increase shareholder value. Although some market opinions remain cautious about the index rising excessively in the short term, considering the evolution from AI based on large language models to autonomous judgment and task execution, and further to robotic AI, the growth potential of related industries remains substantial.

However, he believes that in the short term, there may be increased pressure on index levels. After the KOSPI surpasses 7,000 points, profit-taking may occur, and psychological burdens could lead to increased market volatility. He predicts that within the same AI theme, there may be rotation among individual stocks, and capital flows between industries could accelerate. He recommends that in such an environment, investors should avoid over-concentration in specific stocks and instead adopt a strategy of selectively allocating to market-leading themes while maintaining overall asset stability.

Beyond semiconductors, he mentioned other sectors worth paying attention to, including nuclear power, finance, and information technology. He explained that as AI data centers rapidly increase, electricity demand will also grow, and industries related to power equipment and nuclear power are expected to benefit indirectly. He also assessed that if government policies aimed at value enhancement continue, the re-evaluation of undervalued stocks could strengthen, and if schemes to expand capital allocation through national growth funds are realized, investment flows could spread to small- and mid-cap stocks and the KOSDAQ market. Regarding foreign capital, although there was some exit after net buying in April, the characteristic of overseas pension funds and developed country funds adjusting their allocations mechanically based on target yields suggests that this should not be viewed as a trend reversal.

The Korea Active Theme ETF Wrap launched by Future Asset Asset Management on April 27 also reflects this judgment. Unlike typical ETFs that diversify investments across about 20 listed index funds, this product adopts a concentrated investment structure in 4 to 6 core themes. Currently, it focuses on four pillars: AI, power equipment, finance, and information technology, and plans to flexibly adjust the portfolio according to market conditions, such as increasing cash holdings. For individual investors who find it difficult to track the market in real time, this model of rapid theme screening and rebalancing by experts can serve as an alternative. This trend may become a key variable in determining the dominant industries and investment strategies in the domestic stock market, depending on the speed of AI industry diffusion, the sustainability of government stock market stimulus policies, and the strength of foreign capital inflows.