[Edaily Reporter Park Sun-Yeop ] As the KOSPI broke through the 9,000 mark for the first time in history and the domestic stock market rally continued, returns on domestic equity funds also surged significantly. Strong performance by large-cap semiconductor stocks, led by SamsungElectronics(005930)and SK hynix(000660), drove the index higher, and as investor sentiment toward artificial intelligence (AI) semiconductors spread across the entire electrical and electronics sector, KOSPI 200 and information technology (IT)-related leveraged products swept the top spots in weekly performance rankings.

According to fund rating agency KG Zeroin on the 21st, based on a survey of domestic equity funds with a net asset value (aggregated across classes) of 10 billion won or more and and a management period of at least one month, the “TIGER 200IT Leverage” exchange-traded fund (ETF) from Mirae Asset Management took first place with a 47.87% gain. Its return over the past month was 85.10%, and its year-to-date return reached 869.73%.
Second place went to Hanwha Asset Management’s “Hanwha 2.2x Leverage Index” fund, which rose 44.92% over the week. Next were BNK Asset Management’s “BNKK 200 Index 2x Leverage” fund with a 40.68% return, KB Asset Management’s “KB Star Korea Leverage 2.0” fund with a 40.52% return, and Hanwha Asset Management’s “PLUS 200 Futures Leverage” ETF with a 40.51% return. In effect, the top ranks of weekly performance among domestic equity funds were dominated by KOSPI 200 and IT sector leverage products.
This sharp rise in returns was largely driven by the rally in large-cap semiconductor stocks, which propelled the KOSPI above the 9,000 mark. Foreign buying flowed in as expectations of easing geopolitical risks in the Middle East coincided with a recovery in global semiconductor investment sentiment, and large-cap semiconductor stocks such as SamsungElectronics and SK hynix led the index higher. The market’s focus on semiconductors not only fueled the index’s rise but also widened the performance gap between funds.
During this period, the KOSPI rose 16.74%, and the KOSPI 200 rose 18.49%. The large-cap index also rose by 17.93%. In contrast, mid-cap stocks rose by only 2.50%, small-cap stocks by 2.97%, and the KOSDAQ index by just 0.40%. As the KOSPI surpassed the 9,000 mark, large-cap semiconductor stocks drove the index higher, while mid- and small-cap stocks and KOSDAQ listings were relatively left behind.
By sector, the concentration on semiconductors was also evident. The electrical and electronics sector recorded the highest weekly gain, rising 22.02%. The insurance sector rose 18.61%, and the manufacturing sector rose 18.45%. In contrast, the telecommunications sector fell 6.15%, and the food and beverage sector (-2.80%) and the textiles and apparel sector (-1.08%) also showed weakness. Even within the same domestic equity funds, performance varied depending on the weighting of semiconductors and large-cap stocks in their portfolios.
Lee Jae-won, an analyst at Yuanta Securities Korea, assessed this rebound as “a period of normalization following excessive fear.” He explained that as oil prices quickly stabilized following the easing of U.S.-Iran tensions and U.S. Treasury yields also fell, the market’s burden—which had previously reflected concerns about war, oil prices, interest rates, and AI investments all at once—was alleviated. The analyst said, “After the SpaceX IPO concluded, short covering and foreign buying flowed into the market, centered on large-cap KOSPI stocks.”

The performance of domestic equity funds as a whole also improved significantly. The average return for all domestic equity funds stood at 16.86% for the week. By category, K200 index funds posted the highest return, rising 18.53%, while general equity funds rose 16.05%. Dividend equity funds rose 12.57%, and small- and mid-cap equity funds rose 8.56%. As the market continued to focus on large-cap semiconductor stocks, the performance of index-based and large-cap-focused funds stood out relatively.
Overseas equity funds also showed an upward trend, driven by the AI semiconductor rally. During the same period, the average return for overseas equity funds was 4.45%. By category, Asia-Pacific equity funds recorded the highest return at 11.50%, while Japanese equity funds rose 8.63% and global equity funds rose 7.06%. By sector, multi-sector funds posted the highest return at 13.57%, while the basic materials sector (9.54%), the energy sector (7.73%), and the information technology sector (6.90%) also performed strongly.
Global stock markets also showed an overall upward trend. The U.S. S&P 500 Index was buoyed by easing inflation concerns as international oil prices fell amid growing expectations that the Strait of Hormuz would reopen following the U.S.-Iran peace agreement. This was compounded by news of a partnership between Intel and Apple, a surge in semiconductor stocks, and strength in AI-related technology stocks, leading to a rally centered on the Nasdaq. However, the Federal Reserve’s (Fed) hawkish stance limited the extent of the gains.
Japan’s Nikkei 225 Index rose sharply as the weak yen boosted earnings expectations for exporters. Europe’s Euro Stoxx 50 Index rose, driven by a rebound in cyclical stocks, while China’s Shanghai Composite Index rose on the back of the Chinese government’s measures to expand the application of AI in the consumer sector.
Looking at fund flows, the assets under management (AUM) of domestic equity funds decreased by 173.2 billion won over the week to 19.5118 trillion won. However, driven by the sharp rise in stock prices, net asset value increased by 9.8930 trillion won to 74.2585 trillion won. The assets under management (AUM) of bond funds decreased by 5058억 won to 32조 6629억원, while net assets fell by 3731억 won to 32조 7278억원. The AUM of money market funds (MMFs) rose by 8조 1359억원 over the week to 176조 1828억원.