Chinese mutual funds are increasing Korea exposure as global AI demand lifts the country’s tech sector, launching Korea-themed ETFs and raising Korea allocations in active QDII equity mandates. Asset managers say Korean equities trade below US peers and that AI-driven long-term upside leaves scope for valuation re-rating. Several firms have warned about speculative trading in recent Korea-themed ETFs.

2026-06-19

Chinese mutual funds are increasing Korea exposure as global AI demand lifts the country’s tech sector, launching Korea-themed ETFs and raising Korea allocations in active QDII equity mandates. Asset managers say Korean equities trade below US peers and that AI-driven long-term upside leaves scope for valuation re-rating. Several firms have warned about speculative trading in recent Korea-themed ETFs.