SOL Global DRAM Semiconductor Plus ETF tops retail net purchases among new semiconductor ETFs in H2

Shinhan Asset Management said its SOL Global DRAM Semiconductor Plus ETF recorded the highest retail investor net purchases on its listing day among all semiconductor ETFs newly listed in the second half of this year.

According to Korea Exchange data, retail investors net purchased about 5.8 billion won ($4.32 million) in the ETF on Wednesday, the day it debuted — the largest first-day retail net purchase figure among the eight semiconductor ETFs newly listed on the domestic market in the second half of this year. Including purchases made through retirement pension accounts, total inflows reached approximately 11 billion won, Shinhan Asset Management said.

"Following SOL AI Semiconductor TOP2 Plus — this year's biggest hit product — which grew into a large ETF on the back of strong retail investor interest in the first half, SOL Global DRAM Semiconductor Plus has gotten off to a smooth start by confirming investment demand from its very first day of trading," said Kim Jeong-hyeon, head of Shinhan Asset Management's ETF business group. "It will offer investors who want to expand their exposure to the memory chip industry into key overseas companies such as Micron a new option."

SOL Global DRAM Semiconductor Plus concentrates investment in the world's core DRAM semiconductor companies — Samsung Electronics, SK hynix and US-based Micron. It extends the domestic semiconductor investment strategy of SOL AI Semiconductor TOP2 Plus, launched in the first half of this year, to global markets, packaging memory chip manufacturers from South Korea, the United States and Japan alongside storage and equipment companies into a single ETF.

The portfolio consists of 10 holdings. The underlying index is designed to allocate 25 percent each to Samsung Electronics, SK hynix and Micron at each regular rebalancing, concentrating exposure in the three major DRAM makers. The fund also includes NAND manufacturers SanDisk and Kioxia, storage device companies Seagate and Western Digital, and semiconductor equipment firms Applied Materials, Lam Research and KLA.

"A key strength is that investors can gain exposure to global memory leaders such as Samsung Electronics, SK hynix and Micron through pension savings and defined-contribution and individual retirement pension accounts," Kim said. "It will serve as a useful investment vehicle for pension investors who cannot directly hold overseas-listed ETFs but want to participate in the medium- to long-term growth of the global memory industry."

Funds are also flowing into the SOL Ultra Short-Term Bond Active ETF. Shinhan Asset Management said the product's net assets recently surpassed 1 trillion won. The inflows are seen as a result of demand from investors seeking a place to park short-term funds as stock market volatility has increased. As of Sept. 21, the ETF's annualized return over the preceding three months stood at 3.41 percent — outperforming major short-term financial products such as money market funds, given that the Korea Overnight Financing Rate and the 91-day certificate of deposit rate hovered in the 3.1 to 3.2 percent range over the same period.