South Korean retail investors have bought a net $2.8 billion worth of Tesla Inc shares this year amid the electric carmaker’s worst-ever slump.
Day traders added $160 million in Tesla shares this month as of Dec. 27, on track for a third straight month of net buying, according to Korea Securities Depository. They continued to buy even as the stock plunged 44% in December, heading for its worst month ever.
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Tesla remains the most popular overseas stock among South Korean retail traders, who have sharply increased their investments during the pandemic. Elon Musk, who has built a loyal following in the Asian country, has attracted bargain hunters as it crashes in 2022, outpacing those who flocked to its surge over the past two years.
Tesla supplier LG Energy Solution Ltd. was also a beneficiary, with South Korean retail investors pouring record sums into the battery maker’s initial public offering in January. Shares of LG Energy have risen 46% since listing.
Retail investors in South Korea also remained loyal to their favorite domestic stock, Samsung Electronics Co., with a net purchase of $12.3 billion so far in 2022. Shares of the world’s largest memory maker have fallen 28% this year amid a global tech sell-off.
First published date: Dec 28, 2022 at 09:17 AM CST
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