Invest in Korean Game Companies: You’ve dominated the battlegrounds in Erangel, grinded for levels in Aden, and witnessed the global phenomenon of K-culture. You know better than anyone that South Korean game companies are creative powerhouses. But have you ever considered moving from player to owner? The global success of titles from companies like Krafton and NCSoft presents a massive investment opportunity, yet for many US-based investors, the path feels locked.
This guide is your key. We’re breaking down the barriers and showing you exactly how to invest in Korean game companies from the comfort of your US brokerage account. We’ll cover the step-by-step process, analyze the biggest players from a gamer’s perspective, and help you decide between buying direct stock or diversifying with an ETF. It’s time to level up your portfolio.
How to Buy Korean Stocks from the US: Your 3 Main Options
Getting access to the Korea Exchange (KRX) isn’t as complex as it sounds. You have three primary pathways to add these gaming giants to your portfolio.
1. Use a US Broker with International Trading
The most direct way is to use a US-based brokerage that offers access to international markets. This allows you to buy shares of companies like Krafton (259960:KRX) directly.
- Interactive Brokers (IBKR): Widely regarded as the go-to for international stock trading, IBKR provides direct access to the Korea Exchange. Its platform is robust, though it can be more complex for absolute beginners.
- Fidelity: Certain Fidelity account types offer international trading, allowing you to place trades in foreign currencies. You’ll typically need to enable this feature and acknowledge the associated risks.
2. Invest Through Depository Receipts (ADRs/GDRs)
American Depositary Receipts (ADRs) are certificates that represent shares of a foreign stock and trade on US exchanges, making them incredibly easy to buy. While direct ADRs for many Korean game companies are uncommon, some, like Krafton, have offered Global Depository Receipts (GDRs) on other international exchanges. Always check with your broker to see which specific securities are available.
3. Buy a Gaming or South Korea-Focused ETF
This is by far the simplest and most diversified approach. Instead of betting on one company, you buy a fund that holds a basket of them. This is a great way to gain exposure while minimizing single-stock risk. We’ll explore this in more detail further down.
Krafton (259960:KRX): The Global Titan Behind PUBG
If you’re an investor who is also a gamer, you know Krafton is synonymous with one thing: PlayerUnknown’s Battlegrounds (PUBG). This franchise isn’t just a game; it’s a cultural icon that continues to print money through its PC, console, and, most importantly, mobile versions.
From a gamer’s perspective, Krafton’s strength is the enduring power of the PUBG IP. The game’s monetization through seasonal battle passes and cosmetic skins is a masterclass in recurring revenue. The key to their future is diversification beyond the battleground. Keep a close eye on their upcoming projects, like the extraction shooter Project BlackBudget and their adaptation of the Korean fantasy novel, The Bird That Drinks Tears.
Krafton Stock Forecast 2026: What’s Next After PUBG?
Krafton’s challenge is proving it’s not a one-trick pony. With analysts projecting steady growth in mobile revenue, Krafton’s outlook appears robust heading into 2026. Their future valuation hinges on their ability to launch a second global blockbuster. A successful new IP could lead to significant stock appreciation, while delays could cause stagnation.
NCSoft (036570:KRX): The MMO Powerhouse
NCSoft is royalty in the world of Massively Multiplayer Online games (MMOs). They are the legends behind the Lineage franchise, which has dominated the Korean market for decades and remains a cash cow. Their expertise lies in building deep, immersive worlds that retain players for years.
The investment thesis for NCSoft is built on its incredibly loyal player base and consistent subscription/microtransaction revenue from legacy titles. However, the gamer community has also criticized the company’s aggressive monetization in recent years. Their upcoming global releases, like Throne and Liberty, will be a critical test of whether they can innovate and capture a new generation of players.
Is NCSoft a Good Buy?
For an investor, NCSoft represents a more value-oriented play compared to high-growth prospects. The company generates stable, predictable revenue, but its stock performance is heavily tied to the success or failure of its next major title. Consensus analyst ratings often reflect this “wait-and-see” approach. If you believe in their pipeline and the enduring power of the MMO genre, it could be a solid long-term hold.
Mid-Cap Contenders: Netmarble vs Kakao Games Stock
Beyond the two giants, mid-cap players like Netmarble and Kakao Games offer different risk/reward profiles. They are often more agile and focused on the fast-moving mobile market.
The ETF Route: Finding the Best Gaming ETF with Korean Stocks
If picking individual stocks feels like too much of a high-stakes game, an ETF is your perfect solution. It’s like having a balanced team composition instead of relying on one star player. You get instant diversification across the industry and geography.
A top example is the VanEck Video Gaming and eSports ETF (ESPO). While its largest holdings are in US and Japanese companies, it consistently includes Korean giants. As of late 2025, you might find Krafton or other Korean developers in its portfolio, giving you managed exposure without having to trade on an international exchange. For broader exposure to the entire South Korean market, you could also consider an ETF like the iShares MSCI South Korea ETF (EWY).
Final Verdict: Direct Stock or ETF for Your Portfolio?
So, what’s the final play? The right choice depends entirely on your investor profile and risk tolerance.
- Go for Direct Stocks if: You are a hands-on investor with high conviction in a specific company’s game pipeline. If you’ve done the research and believe Krafton’s next game will be a global hit, buying the stock directly offers the highest potential reward. This is the high-risk, high-reward “carry” player role.
- Go for an ETF if: You are looking for a simpler, “set it and forget it” approach. For those who believe in the overall growth of the Korean gaming sector but don’t want to bet on a single winner, an ETF provides diversified, lower-risk exposure. This is the smart, supportive “tank” or “healer” role for a balanced portfolio.
Ultimately, knowing how to invest in Korean game companies is the first step. By combining your passion for gaming with sound investment principles, you can build a portfolio that truly reflects your interests.
Frequently Asked Questions (FAQ)
What are the risks associated with investing in the South Korean stock market?
Investing in any foreign market comes with unique risks. These include currency risk (fluctuations between the US Dollar and the Korean Won can affect your returns), geopolitical risk related to North Korea, and different regulatory and accounting standards.
Do I need to pay foreign taxes on dividends from Korean stocks?
South Korea typically withholds a tax on dividends paid to foreign investors. However, thanks to the U.S.-South Korea tax treaty, you can often claim a foreign tax credit on your U.S. tax return to avoid double taxation. It’s always best to consult with a tax professional.
Besides gaming, what are other major industries to invest in in South Korea?
South Korea is a global leader in several other sectors. Key industries include semiconductors and technology (e.g., Samsung Electronics, SK Hynix), automotive (e.g., Hyundai, Kia), and entertainment/media, famously known for K-pop and K-dramas (e.g., HYBE).
The Ultimate Investor’s Toolkit for Korean Gaming Stocks (2025-2026).pdf
Hi, I’m [jeybee]. As a long-time resident of Seoul, I’m passionate about uncovering the authentic, everyday magic of Korea. This blog is my way of sharing my favorite spots, tips, and cultural insights with you, beyond the usual tourist traps.