ETF Craze Sweeps South Korean Market, Retail Investors' Net Purchase Nears 70 Trillion KRW

BlockBeats News, July 26th. According to South Korean media, as the exchange-traded fund (ETF) market in South Korea has rapidly expanded this year, the net purchase amount of ETFs by retail investors has reached 700 trillion Korean won, equivalent to 70% of the main board's buy orders. Even with the stock market experiencing a pullback this month, retail investors' net buying amount continues to rise. Based on data released by the Korea Exchange (KRX) and the financial data company Yonhap Infomax on the 26th, as of the 24th, the net purchase amount of ETFs by South Korean retail investors this year has reached 695 trillion Korean won, approaching 700 trillion Korean won.

During the same period, the net purchase amount by retail investors in the main board market was 1,099 trillion Korean won, accounting for 63.2% of the total net purchase amount by retail investors in the main board market. In other words, if a retail investor invests 10 million Korean won in the main board, 6.3 million Korean won of that amount is used to purchase ETFs.