Foreign investors lift KOSPI stake above 37%

Foreign investors’ stake in South Korea’s benchmark KOSPI index has risen above 37 percent, reaching its highest level in nearly six years.

According to the Korea Exchange on Jan. 25, the KOSPI’s total market capitalization stood at 4,155.6 trillion won as of Jan. 23. Foreign investors held 1,520 trillion won, or 36.58 percent, of that total. Their share peaked at 37.18 percent on Jan. 7, marking the highest level since April 9, 2020, when foreign ownership reached 37.34 percent as the KOSPI fell below 2,000 amid the COVID-19 outbreak.

Foreign ownership hovered around 32 percent in the first half of last year amid heightened political and economic uncertainty, including the declaration of martial law, impeachment proceedings against the president, and the United States’ announcement of reciprocal tariffs. The share climbed above 35 percent in late October and has remained between 36 and 37 percent so far this year.

From July 1 last year through Jan. 23 this year, Samsung Electronics led net foreign buying by trading value, totaling 10.56 trillion won. Its preferred shares followed with 2.31 trillion won in foreign purchases.

Foreign investment has expanded this year into sectors such as shipbuilding, defense, and nuclear power generation. From Jan. 2 to Jan. 23, Hanwha Ocean led net foreign purchases at 942.6 billion won, followed by Doosan Enerbility with 829.3 billion won, HD Hyundai Heavy Industries at 519.8 billion won, and Samsung Heavy Industries at 519.7 billion won.


지민구 warum@donga.com