SK Hynix ADR enters U.S. semiconductor index with 4.8% weighting

  • Samsung Asset Management added SK Hynix ADR to its KODEX U.S. Semiconductor ETF.
  • SK Hynix ADR carries an approximately 4.8% weighting in the benchmark index.
  • The ADR listed on Nasdaq on July 10 and entered the index after September rebalancing.

SK Hynix's American Depositary Receipt (ADR), a U.S.-traded security representing shares in a foreign company, has joined the MVIS US Listed Semiconductor 25 Index with an approximately 4.8% weighting. Samsung Asset Management said on the 21st that its KODEX U.S. Semiconductor exchange-traded fund (ETF) added the ADR after the index's September regular rebalancing. The same change was made by VanEck Semiconductor ETF (SMH), the largest U.S.-listed semiconductor ETF, whose net assets are approximately $70 billion, or about 97 trillion won. SK Hynix ADR began trading on Nasdaq on July 10, meaning it entered the benchmark roughly two months after its debut. KODEX now provides Korean-won access to the same portfolio tracked by SMH, which previously contained 25 major U.S.-listed semiconductor companies including Nvidia, TSMC, Broadcom, ASML and Micron. The addition expands the fund's exposure beyond GPUs, ASICs, foundries and semiconductor equipment to include High Bandwidth Memory (HBM), a high-speed memory technology used in AI computing. The fund's total expense ratio is 0.09%, and it is available through standard brokerage accounts as well as pension savings and retirement pension accounts, including IRP and DC accounts. Han Dong-hoon, a portfolio manager at Samsung Asset Management, said the AI semiconductor industry is undergoing simultaneous changes during a period of rapid growth and described the inclusion as evidence that KODEX U.S. Semiconductor is quickly reflecting new industry trends and market representation. The inclusion also positions SK Hynix as a formally recognized core global semiconductor company in a benchmark followed by international investors. Passive funds tracking SMH could affect the liquidity and supply-demand dynamics of SK Hynix ADR, while the September rebalancing placed the security in both KODEX U.S. Semiconductor and SMH at the same time.

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SK Hynix ADR enters U.S. semiconductor index with 4.8% weighting - CoinPost Terminal