Battery-focused ETFs surge in South Korea as AI demand fuels optimism
Eight of the ten best-performing ETFs on the Korean exchange this month were linked to secondary batteries, driven by expectations of AI-related demand.
According to figures compiled by the Korea Exchange, secondary-battery exchange-traded funds were the standout performers on South Korea’s market this month, with eight of the ten top-ranking ETFs belonging to that sector. The KODEX Secondary Battery Industry Leverage ETF, managed by Samsung Asset Management Co., posted the highest return at 19.94%, while Mirae Asset Global Investments Co.’s TIGER KRX Second Battery Top10 Leverage ETF gained 18.45%.
Market participants are buying these funds in anticipation of rising demand from artificial-intelligence data-center construction, which is expected to lift the energy-storage system segment. Daishin Securities analyst Kim Gwi-yeon said the sector should see order momentum toward year-end and share-price gains next year as sales and profitability improve, maintaining an overweight rating. The strong performance reflects broader investor confidence in the battery industry’s role in supporting AI infrastructure.
Why it matters
The rally highlights growing investor confidence that AI expansion will drive demand for battery technology and related financial products.
In this story
