(Seoul = Yonhap News) Reporter Kim Tae-jong = As the domestic stock market's trading range continues, 'lost' funds appear to be flocking to parked ETFs (exchange-traded funds).
A parked ETF is an ETF that temporarily stores money that has not been decided on where to invest. It is a product that earns interest by putting cash in short-term financial products, like parking a car for a while.
According to ETF Check on the 12th, the ETF with the most capital inflow in the past week was TIGER Money Market Active, with the inflow amounting to 552.3 billion won.
Money Market Active is an ETF containing short-term financial products that are operated stably like cash and seek slightly higher returns than deposits. It is a representative parked 'cash standby' product that invests in short-term bonds and short-term financial products.
Following TIGER Money Market Active [0043B0], RISE Money Market Active [455890], another brand of the same product, saw the second largest inflow of 363.3 billion won.
KODEX CD interest rate active (synthetic) followed with an inflow of 312.5 billion won. CD Interest Rate Active is an ETF that tracks the rate of return of an index based on the 91-day interest rate of CDs (certificates of deposit) issued by banks to raise money.
This product is also a cash standby ETF along with Money Market Active.
These three ETFs ranked 1st to 3rd in fund inflows over the past week.
In addition, KODEX KOFR Interest Rate Active [423160] (synthetic), an ETF designed to generate profits equal to KOFR (Korea Overnight Financing Repo Rate), Korea's risk-free interest rate index, also saw an inflow of KRW 169.6 billion, the seventh largest amount. This ETF is also used to raise standby funds.
KODEX Money Market Active [488770] (14th) also received funds worth close to 100 billion won (92.2 billion won).
The funds flowing into these five major parked ETFs in one week amounted to 1.4899 trillion won.
An official in the investment industry said, "After the rebound in semiconductor stock prices, the need to move to safe assets has recently emerged," and added, "The recent rise in market interest rates seems to have played a role in the fact that the attractiveness of parked products is being highlighted."
KRW 407.7 billion also flowed into ETFs tracking these representative U.S. indices, including KRW 180.3 billion and KRW 117.9 billion into the TIGER U.S. S&P500 (4th) and KODEX S&P500 (8th), respectively, and KRW 109.5 billion into the TIGER U.S. Nasdaq 100 [418660] (10th).
Individual investors purchased the largest amount of TIGER US S&P 500 ETF (KRW 108.2 billion) and sold the largest amount of KODEX 200 [069500] (KRW 236.7 billion) during the same period.
In addition, they net bought KODEX 200 Futures Inverse and KODEX 200 Target Weekly Covered Calls worth KRW 105.9 billion and KRW 99.3 billion, respectively, while net selling KODEX Leverage [122630] and KODEX SK Hynix Single Stock Leverage, the second and third largest amounts, at KRW 172.9 billion and KRW 158.8 billion, respectively.
Meanwhile, stock market standby funds, which had fallen below 100 trillion won, increased by more than 10 trillion won in two days.
According to the Korea Financial Investment Association, as of the 10th, investor deposits amounted to 107.6572 trillion won. It was an increase of 4.8111 trillion won from the previous day, an increase of 10.67 trillion won in two days.
On the 9th, KOSPI regained the 7,000 level after 33 trading days, and although it fell slightly (0.25%) the previous day, it is interpreted that expectations for an increase are reflected as it maintained the 7,000 level.
On the 10th, the credit transaction loan balance, which is an indicator of 'debt investment' (investment by borrowing money), was found to be 32.3598 trillion won, a decrease of 49.3 billion won from the previous period. It has been falling for 4 consecutive trading days.
