October 2 Investment Report: AI Value Investing Portfolio +63.8%

[Daily Market Insight] A Day That Brushed Past KOSPI 7,000 — Thanks to the Power of Semiconductors

On October 1, 2026, the Seoul stock market briefly brushed past the 7,000 mark intraday. The KOSPI surged 1.95% to close at 6,971.35, while the KOSDAQ jumped 4.48% to approach the 900 level. Compared with the modest gains on Wall Street, the strength of the Korean market was striking. Amid a session led by semiconductor and AI-beneficiary stocks, the AI Value Investing Portfolio also posted a dazzling performance, with cumulative returns reaching +63.78% and total assets growing to $16,377.

The Rally Resumes After a Pullback

A look at the portfolio's asset flow over the past five days shows that its growth has not been all smooth sailing. Assets climbed from $16,431 on the 25th to an intraday high of $16,519 on the 28th, then pulled back for two straight days to $16,243 on the 29th. However, the drawdown was a mere 2%, and by the 1st, assets had recovered to near-record levels. Given the portfolio's concentrated mix of leveraged products and large-cap semiconductor stocks, volatility is a given — but its resilience in shaking off corrections quickly speaks to a fundamentally solid structure.

What Price Relative to Growth Is Telling Us

The backbone of this portfolio remains semiconductors. From a valuation standpoint, the notable point is that despite seemingly high price-to-earnings ratios, prices relative to growth remain low. NVIDIA trades at 28.9 times earnings with a growth-adjusted ratio of 0.48, well below 1. Broadcom sits at 0.35 and Micron at 0.16, suggesting that in this phase of expanding AI and HBM demand, earnings are still growing faster than share prices. Micron in particular, at 14.3 times earnings, is undervalued even within the semiconductor sector. AMD, by contrast, carries a high 156.1 P/E yet maintains a growth-adjusted ratio of 0.62, making it a divided-opinion stock. Intel, despite weak earnings, has seen its shares rise 15% above purchase price on expectations of an AI supply-chain realignment, underpinning investment gains.

Ticker	Quantity	Purchase Price	Current Price	P/E
Broadcom	5.67 shares	$326.03	$351.19	44.9
AMD	7.17 shares	$198.62	$611.76	156.1
Amazon	1.95 shares	$208.39	$249.15	20.0
TQQQ	1.19 shares	$76.34	$78.03	31.7
Intel	2.80 shares	$104.56	$120.23	-
Meta	0.55 shares	$653.56	$725.18	27.3
NVIDIA	26.59 shares	$184.21	$228.38	28.9
SOXL	14.65 shares	$71.22	$147.86	49.2
Micron	0.42 shares	$987.48	$1065.11	14.3

A Trading Review That Delivers What It Promises

The recent trade history reflects a consistent principle. The manager gradually scaled out of SOXL, a 3x leveraged product, in five installments since early August to lock in profits, redeploying the proceeds into relatively undervalued individual stocks such as Micron, Broadcom, and Intel. It was a rebalancing move designed to reduce index-leverage volatility while maintaining alpha within the same sector. Intel, bought on August 14 in the $104 range, is a showcase result of this rotation. On the 18th, the manager added to Micron in the $977 range, signaling conviction in the memory supercycle — and Micron's subsequent move past $1,065 proved the timing precise.

Date	Type	Ticker	Quantity	Price
2026-09-18	Buy	Micron	0.19 shares	$977.50
2026-09-18	Sell	SOXL	0.77 shares	$114.82
2026-08-28	Sell	SOXL	0.81 shares	$123.05
2026-08-21	Buy	NVIDIA	0.84 shares	$216.85
2026-08-21	Sell	Meta	0.10 shares	$545.83
2026-08-21	Sell	Micron	0.03 shares	$974.33
2026-08-21	Sell	SOXL	0.85 shares	$122.21
2026-08-14	Buy	Intel	2.80 shares	$104.56
2026-08-14	Sell	SOXL	0.90 shares	$145.36
2026-08-07	Sell	SOXL	0.95 shares	$132.33

Outlook: Exchange Rates and Oil Prices Are the Wild Cards

Today's market action reaffirmed the semiconductor-led trend, with the Philadelphia Semiconductor Index rising 1.59% and pulling the Nasdaq higher. Still, headwinds remain: the won/dollar exchange rate edged up to the mid-1,358 range, and the U.S. 10-year Treasury yield holding at 5.2% keeps the high-rate environment a burden. WTI crude's 2.73% gain also fans inflation concerns. This portfolio — already restructured around undervalued individual stocks with reduced leverage — has built in defenses against such macro crosswinds. That said, valuation risk in expectation-heavy names like AMD and whether Intel can deliver an earnings recovery remain ongoing watch items. Pairing strong momentum with disciplined risk management — that is the posture most needed right now.

※ This report is an analysis of a simulated AI Value Investing Portfolio and does not constitute investment advice. Actual investment decisions should be made at your own discretion and responsibility.