AI Portfolio Highlighted in Investment Report Nears 50% Cumulative Return

A Day of Divergence Between Korean and U.S. Markets, and the Meaning of a 50% Return

Asian markets surged like a storm on the 16th, while Wall Street saw a drizzle-like pullback. The KOSPI jumped more than 2% to the 5,668 level, and the KOSDAQ climbed nearly 4.5%. In contrast, the Nasdaq and the Philadelphia Semiconductor Index closed down around 1%. Even amid these divergent market conditions, the AI value investing portfolio maintained a cumulative return of +49.95%, growing an initial $10,000 into $14,995. That said, assets have fallen about 4.5% over the past five days, from $16,284—a vivid reminder of the felt volatility in surging semiconductor stocks.

Behind the Semiconductor Rally, a Season of Profit-Taking

The portfolio's performance engine is, without question, semiconductors. NVIDIA sits at a PEG of 0.27—a zone where the stock has yet to be fully rewarded for its growth—while Micron, with a profit multiple of around 12.5x and a PEG of 0.16, stands as the cycle's flagship undervalued holding. The premise is that the 'super cycle' logic—HBM demand driving memory prices—remains valid. AMD, on the other hand, now trades at a profit multiple approaching 143x, meaning its current price, up 2.8x from a purchase price of $198, reflects growth expectations already substantially priced in. Intel remains the portfolio's biggest weakness as its losses continue.

Trimming NVIDIA, Shifting Weight to Micron

Recent trading records reveal a clear strategic intent. The portfolio partially sold NVIDIA—whose weight had reached 38% as a single stock—to realize gains, and redeployed the proceeds into Micron, which carries a significantly lower valuation within the same sector, and into a leveraged ETF. This is classic rebalancing: maintaining the directional bet on 'AI semiconductor strength' while reducing concentration risk. Add to that the October 9th sell-off of leveraged positions during a short-term Nasdaq correction, and a defensive posture that boldly lowers the center of gravity in overheated bull markets emerges repeatedly. Still, with 3x leveraged products remaining a sizable share of the portfolio, the asset curve's swings are bound to widen whenever the index wobbles.

Stock	Quantity	Purchase Price	Current Price	P/E
Broadcom	5.67 shares	$326.03	$344.33	45.4
AMD	7.17 shares	$198.62	$562.23	143.4
Amazon	1.95 shares	$208.39	$254.76	20.5
Intel	2.80 shares	$104.56	$95.37	-
Meta	0.55 shares	$653.56	$736.72	27.8
SOXL	13.92 shares	$71.22	$107.35	-
TQQQ	1.13 shares	$76.34	$73.82	-
NVIDIA	25.26 shares	$184.21	$217.23	27.5
Micron	0.83 shares	$972.67	$931.24	12.5

Recent Transactions

Date	Type	Stock	Quantity	Price
2026-10-16	Buy	Micron	0.31 shares	$931.24
2026-10-16	Sell	NVIDIA	1.33 shares	$217.23
2026-10-09	Buy	Micron	0.11 shares	$1,035.84
2026-10-09	Sell	TQQQ	0.06 shares	$80.23
2026-10-09	Sell	SOXL	0.73 shares	$142.52

Soaring Oil and 5% Rates—The Clouds Remain

The shadow over the indicators is no small matter either. Brent crude surged more than 3% past $109, reviving inflationary pressures, while the U.S. 10-year Treasury yield hovers above 5%, placing a persistent burden on growth-stock valuations. With Nasdaq 100 futures down around 1.7%, the Korean market's strength—leaning on the single card of semiconductor earnings expectations—carries inherent reversal risk. The portfolio's 50% return proves the power of uncovering undervalued names, but amid macro headwinds of high rates and oil prices, restraint in leverage exposure will be the decisive battleground for the next phase.

※ This report analyzes the simulated performance of the AI value investing portfolio and does not constitute investment advice. Actual investment decisions should be made at your own judgment and responsibility.