Korea Weekly Kickstart

Latest edition · August 28, 2026

Korea Weekly Kickstart KOSPI declined by 2 despite continued stronger KRW and strong performances by industrials

The KOSPI declined 2% this week driven by foreign net selling in Tech, even as the KRW appreciated and industrial sectors outperformed. High overall foreign index ownership is distorted by heavy weighting in Samsung Electronics and SK hynix, while sector-level tech ownership has dropped more than 2 SD below historical averages.

Goldman Sachs' Korea Weekly Kickstart highlights that the KOSPI declined 1.8% to 2% over the week despite KRW appreciation against major currencies (+0.8% vs USD) and strong rallies in Construction (+15.6%), Machinery (+12.9%), and Shipbuilding (+11.0%). Foreign investors were net sellers of KRW9.2tn, primarily exiting Tech (KRW7.4tn). Headline foreign ownership on KOSPI remains at +1.3 standard deviations due to index concentration in Samsung Electronics and SK hynix, but ex-semiconductors, ownership is near historical means. Additionally, the FTSE September 2026 GEIS rebalancing is projected to drive net passive inflows of US$1.2bn into Korea, predominantly benefiting Tech Hardware & Semiconductors (+US$1.2bn).

Key takeaways from the latest edition

• 1.KOSPI fell 2% wow despite KRW strength, led lower by underperformance in Tech, Auto, and Retail sectors, whereas Construction, Machinery, and Shipbuilding outperformed.
• 2.Foreign ownership of the KOSPI remains 1.3 standard deviations above historical average due to index concentration in Samsung Electronics and SK hynix, but semiconductor sector foreign ownership has dropped >2 standard deviations below historical mean.
• 3.The upcoming FTSE September 2026 GEIS rebalancing is expected to generate net passive inflows of US$1.2bn into Korea, heavily concentrated in Tech Hardware & Semis (+US$1.2bn).

What this series covers

• Charts of the week: Foreign Ownership Breakdown
• Charts of the week: FTSE Global Equity Index Series Rebalancing Review and Flow Implications (September 2026)
• Summary
• Investment flows
• Macro Indicators
• Performance
• Valuations
• Valuation discount relative to Global and Asia regional peers
• Flows
• Currency, rates and commodities
• Korea ERB, Credit and Market Technicals
• Disclosure Appendix

Edition archive

• Korea Weekly Kickstart KOSPI declined by 2 despite continued stronger KRW and strong performances by industrials

  August 28, 2026

• Korea Weekly Kickstart KOSPI down by 5 amid continued volatility and foreign outflows despite broader market breadth

  August 7, 2026

• Korea Weekly Kickstart KOSPI declined by 2 despite foreign inflows and Alphabet's AI capex boost

  July 24, 2026

• Korea Weekly Kickstart KOSPI dropped by 4 amid continued market volatility and foreign outflows

  July 4, 2026

• Korea Weekly Kickstart KOSPI ended the week down moderately amid continued volatility and the US core CPI below consensus

  June 12, 2026

• Korea Weekly Kickstart KOSPI gained 5 amid encouraging Nvidia earnings

  May 24, 2026