00:02you're listening to AI prism from Seoul economic daily it's Tuesday July 28th let's look at what
00:09this means for retail investors in Korea if you hold the US index ETF this month split investors
00:16into clear winners and losers currency hedged S&P 500 funds gained ground while unhedged versions
00:24fell over four percent SK Hynix shares are falling faster than Samsung Electronics in this chip
00:31correction a conservative pension fund strategy just quietly beat the Cosby by more than double
00:37the wand strengthened sharply this month reversing a multi-year weakening trend that currency shift
00:45changed the math for anyone holding foreign asset ETFs at the same time semiconductor stocks entered
00:53a sharp correction hitting hedged and unhedged portfolios differently here's what the numbers
00:59show Tiger's currency hedged S&P 500 fund rose 0.29 percent this month while its unhedged version
01:09dropped 4.17 percent a swing of more than four percentage points the Korean won gained 5.61
01:18percent against the dollar this month falling from 1,555.81 to 1,468.51 per dollar SK Hynix's market
01:31cap fell
01:32to 87.1 percent of Samsung's down from over 100 percent in June as chip stocks corrected sharply SK Hynix
01:42shares
01:42dropped 37.7 percent from their peak compared to a 29.1 percent decline for Samsung over the same
01:50stretch a batch of pension allocation funds called DDIM funds posted returns up to 7.02 percent over three
02:00months more than double the Cosby's 3.3 percent gain by keeping bond weightings above 60 percent Nomura flagged
02:09semiconductor testing equipment as a new investment theme citing test costs rising from 1.9 percent to 3.3 percent
02:18of GPU production expense so what does this mean for retail investors in Korea earlier we said currency
02:27hedged funds were pulling ahead of unhedged ones here's what that actually means for you if you're holding
02:34unhedged US ETFs currency swings are now working against your returns not for them if you're holding
02:42SK Hynix directly or through a semiconductor ETF know that its price reacts more sharply to global chip
02:51cycles than Samsung's does for long-term retirement savings the DDIM funds show that a diversified bond
02:59bond-heavy approach cushioned this year's volatility better than a stock-heavy one what to watch SK Hynix reports
03:08second-quarter earnings on July 29th Samsung Electronics holds its earnings call on July 30th
03:16the US Federal Reserve's rate decision lands this week which could move the dollar and reverse some of
03:23this month's one strength that's today's AI prism retail investors this episode was produced with AI
03:32assistance based on sole economic daily reporting and reviewed by a human editor AI prism is a one ifra
03:41award-winning series we'll be back tomorrow you've been listening to AI prism from sole economic daily
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