AI Investment Report Taming Semiconductor Volatility with Risk Management Achieves 47% Cumulative Return

The Trend of the Semiconductor Rally: The Direction of the 'AI Value Investment Portfolio'

July 22, 2026—Global financial markets are walking a tightrope between a semiconductor-centric 'tech boom' and a 'valuation scale' attempting to deflate bubbles. While the Philadelphia Semiconductor Index (SOX) surged more than 5% against the previous trading day, reclaiming the 12,000 mark amidst strong upward momentum, the 'AI Value Investment Portfolio' is quelling market volatility and generating steady returns. Recording a return of approximately 47% relative to initial capital, this portfolio is navigating an era of uncertainty not through reckless betting, but through thorough risk management and valuation balance.

Behind the Scorecard: Patience that Subdues Volatility

Asset flows over the past five days have not been smooth. After surpassing $16,000 on the 15th, asset values underwent a temporary adjustment, reorganizing to the early $14,000 range. This occurred as overall market volatility (VIX) expanded to 17 and U.S. 10-year Treasury yields soared to the 4.6% range, causing a brief shuffle in tech growth stocks. However, this portfolio controlled downside risk not simply by riding the soaring semiconductor index, but by selling off key positions in tranches and maintaining cash reserves. The fact that it preserved returns even as KOSPI and KOSDAQ oscillated in a volatile market is the result of the aesthetics of 'profit taking' and 'defense'.

Holding Diagnosis: The Verdict of Solid EPS and PEG Ratios

While key holdings record high Price-to-Earnings (PER) ratios, a closer look reveals that the PEG ratio—a crucial measure for evaluating corporate value—remains low, suggesting that the logic of 'undervaluation' remains valid.

Nvidia (NVDA) and Broadcom (AVGO) show high PERs ranging from 60 to 160 times, but their PEG ratios remain below 1.0, indicating that their growth potential is not yet priced in or remains at reasonable levels. In particular, Micron (MU) presents a rationale for 'value' amidst industry overheating concerns with a low PER of 19.6 and an overwhelming PEG figure of 0.12. Meanwhile, while Quantum and the thematic ETF SOXL exhibit high volatility, their low PEG bases offer a structure favorable for capturing short-term momentum.

Ticker	Qty	Bought At	Current Price	PER
Nvidia (NVDA)	25.76	$183.15	$203.28	31.1
Micron (MU)	0.25	$996.00	$865.46	19.6
Amazon (AMZN)	1.95	$208.39	$249.99	29.9
Broadcom (AVGO)	5.67	$326.03	$378.16	62.9
AMD	7.17	$198.62	$503.57	166.7
TQQQ	2.86	$76.34	$67.65	34.7
SOXL	16.30	$61.36	$136.81	23.3
Meta (META)	0.89	$653.56	$645.85	23.5

Recent Trading Review: The Courage to Go Against the Flow

A standout feature of this portfolio's recent trading activity is the attitude of 'choosing reason over greed.' On July 17, despite concerns over intensifying competition in Meta's (META) advertising business, the stock surged, prompting a partial sale to hedge risk. Similarly, during SOXL's surge, portions were liquidated to rebalance the portfolio. Conversely, on July 10, when the bullish trend of mega-cap tech stocks was confirmed, TQQQ was purchased to aggressively capture upside momentum. These trades are not merely actions of selling when prices rise and buying when they fall, but sophisticated asset allocations that comprehensively consider valuation indicators and market conditions.

Date	Type	Symbol	Qty	Price
2026-07-17	Sell	META	0.05	$664.54
2026-07-10	Buy	TQQQ	2.86	$76.34
2026-07-10	Sell	SOXL	0.86	$192.45
2026-07-03	Sell	AMZN	0.10	$242.67
2026-07-03	Sell	META	0.05	$582.90
2026-06-26	Buy	NVDA	1.29	$195.74
2026-06-19	Sell	SOXL	0.90	$279.29
2026-06-05	Buy	MU	0.25	$996.00
2026-06-05	Sell	SOXL	0.95	$262.70
2026-04-27	Buy	NVDA	0.59	$216.61

Market Outlook: The Backbone of the Rally Continues

The market currently stands at a crossroads where the variables of interest rates and corporate earnings intersect. While the rise in U.S. 10-year yields holds the 'magic thread' taut, the Philadelphia Semiconductor Index's powerful ascent is evidence that tech fundamentals remain solid. In particular, the low PEG ratios in the semiconductor sector suggest that the current valuation expansion is not yet overheated when growth potential is taken into account.

However, warning sirens are sounding from leading indicators, such as the bearish sentiment in Nasdaq futures. With fatigue accumulating after the steep climb, this portfolio will continue to bet on 'selection and concentration.' A balanced approach between undervalued growth stocks and short-term momentum may be the surest path to piercing through a chaotic market.

※ This report analyzes the simulated operating history of the AI Value Investment Portfolio and does not constitute investment advice. Actual investments should be made at your own discretion and responsibility.