[Edaily Reporter Kim Kyung-eun ] As the domestic stock market continues to experience sharp swings, individual investors are turning their attention to exchange-traded funds (ETFs) tracking major U.S. indices. These ETFs are attracting attention as relatively stable investment vehicles suitable for long-term investing, leading to a massive influx of funds into them.

According to Koscom’s ETF Check on the 19th, the “TIGER U.S. S&P 500” was the domestic ETF that attracted the most capital over the past month, with 1.1152 trillion won flowing into the fund during this period. Following this, four products tracking major U.S. indices made it into the top seven: △KODEX U.S. Nasdaq 100 (3rd place, 707.3 billion won), △TIGER U.S. Nasdaq 100 (5th place, 528.6 billion won), and △KODEX U.S. S&P 500 (7th place, 437.3 billion won).

In particular, buying momentum from retail investors was notable. Over the past month, the top three retail net purchases were: △TIGER U.S. S&P 500 (611.9 billion won), △KODEX U.S. Nasdaq 100 (418.4 billion won), and △KODEX U.S. S&P 500 (337.0 billion won), in that order. The “TIGER U.S. Nasdaq 100” also attracted 287.4 billion won in funds, ranking fifth in net purchases by individual investors.

The trend over the past week has been similar. Among the top five in retail net purchases over the past week were: △TIGER U.S. S&P 500 (2nd place, 119.8 billion won), △KODEX U.S. Nasdaq 100 (4th place, 68.4 billion won), and △KODEX U.S. S&P 500 (5th place, 66.9 billion won).

During the same period, the top and third spots for retail net buying were taken by “KODEX 200 Futures Inverse 2X” and “KODEX Inverse,” respectively. This indicates a mixed investment strategy toward the two markets, with retail investors simultaneously buying inverse products—which bet on a decline in the KOSPI—and products that track major U.S. indices. This behavior can be interpreted as investors remaining cautious about the possibility of further corrections in the domestic stock market while maintaining hope for further upside potential in the U.S. stock market.

In fact, the KOSPI fell more than 22% during the month of July, marking its worst monthly decline since the global financial crisis. The KOSPI, which has been fluctuating since the start of this month, recovered to the 7,200 level during intraday trading yesterday (the 18th) but then reversed course and closed at the 6,800 level, continuing its dizzying volatility. On this day, it fell 5.80% from the previous trading day, dropping to the 6,400 level.

The three major U.S. stock indices in New York also closed lower across the board on the 18th (local time). However, analysts note that investors remain relatively optimistic, as these indices have shown smaller swings compared to the KOSPI and have demonstrated stability and diversification benefits within their recent trading range.

Jeon Gyun, an analyst at Samsung Securities, explained, “Following a capital inflow of 5.1 trillion won into overseas asset ETFs in July, capital inflows have continued this month as well,” adding, “It appears that some of the funds that have flowed out of domestic assets have been directed toward overseas assets.” He continued, “As the U.S. stock market has been on a bullish streak this month, hitting record highs, investment demand for overseas asset ETFs—particularly those focused on U.S. stocks—appears to have expanded.”

Demand for long-term, regular investment plans—driven by confidence in major U.S. indices—is also supporting these inflows. Analysts note that these plans, which have become core assets in retirement accounts such as retirement pensions and pension savings accounts, generate a steady monthly inflow of funds through regular purchases, forming the basis for net buying by individual investors.

Kim Sang-yul, Head of the Global ETF Management Division at Mirae Asset Management, explained, “The increase in net purchases by individual investors of leading U.S. investment ETFs reflects a demand to diversify investments across long-term, proven benchmark indices rather than focusing on short-term sector selection amid volatile market conditions.”