15 hours Ago By Korea Bizwire
The Stock Exchange of Hong Kong Limited (Image courtesy of Yonhap) SEOUL, March 11 (Korea Bizwire) — Amid China’s rapid advancements in high-tech industries, South Korean investors are increasingly turning to Chinese stocks, fueling a surge in trading volumes, according to Chinese state media. China Central Television (CCTV) recently reported, citing data from the Korea Securities Depository, that the total trading volume of Chinese mainland and Hong Kong-listed stocks by South Korean investors reached $782 million (approximately 1.1 trillion won) last month.
This marks a nearly 200% increase from the previous month and the highest level since August 2022. Notably, South Korean investments in Chinese equities surpassed those in European and Japanese markets during the same period. CCTV attributed this trend to growing international interest in China’s booming tech sector.
Reporting from Seoul’s financial district of Yeouido, a CCTV correspondent noted that an increasing number of South Korean investors are looking beyond domestic markets, with China emerging as a key focus. According to a major South Korean securities firm, six of the top ten most-purchased foreign stocks by South Korean investors between February 17 and 28 were Chinese. Many of these were leading companies in electric vehicles, artificial intelligence (AI), and semiconductors—sectors where China is making significant strides.
The investment surge comes amid optimism surrounding China’s annual “Two Sessions” meetings, which are set to conclude on March 11. Policies announced during the sessions, including economic stimulus measures and support for advanced industries such as robotics, semiconductors, and autonomous driving, are expected to sustain investor enthusiasm for Chinese stocks. CCTV also highlighted the strong performance of China-related exchange-traded funds (ETFs) listed on the Korea Exchange.
As of late February, 44 China-focused ETFs were listed in South Korea. One of the best-performing China ETFs posted a staggering 62.8% return over the past month, compared to less than 10% for U.
S.-focused ETFs. Following the CCTV report, numerous Chinese media outlets echoed the coverage, and the topic gained significant traction on Weibo, China’s social media platform, under the trending phrase: “South Koreans Begin Mass Buying of Chinese Stocks.
” With China’s technology sector gaining momentum, market observers anticipate that South Korean investors will continue their pivot toward Chinese equities in the months ahead. M. H.
Lee ( [email protected] ).
