AJU PRESS ASIA FIRST NEWS AGENCY

Journalist

Shin Dong-kyun
  • Foreign and Institutional Investors Turn Net Buyers as Retail Investors Post Record Selling
    Foreign and Institutional Investors Turn Net Buyers as Retail Investors Post Record Selling Foreign and institutional investors reversed course within a month, shifting from heavy selling to net buying, while retail investors moved in the opposite direction with record-scale net sales. As foreigners and institutions bet on further gains led by large semiconductor stocks, retail investors appeared to lock in profits and take a more defensive stance. According to the Korea Exchange on the 26th, the KOSPI has risen 28.1% this month, staging a sharp rebound and reaching record levels, including an intraday move above 6,500. Large-cap stocks led the advance: market heavyweight Samsung Electronics gained 31.2%, and No. 2 SK hynix rose 51.4%. Buying by foreigners and institutions stood out. After posting a record monthly net sale of 35.88 trillion won in the KOSPI market last month, foreign investors turned net buyers this month, purchasing more than 2.5 trillion won worth of shares through the 24th. Institutions, which sold about 1 trillion won last month, bought more than 6.9 trillion won this month. By stock, foreigners were net buyers of Doosan Enerbility (1.133 trillion won), Samsung Electronics (867 billion won) and SK hynix (710.5 billion won). Institutions bought SK hynix (1.5587 trillion won), Samsung SDI (575.1 billion won) and Samsung Electronics (554.1 billion won). Retail investors showed the opposite pattern. This month, individuals have sold a net 14.7 trillion won, putting them on track to set a new monthly record for net selling. The total has already surpassed the previous record set in September last year. Still, retail buying has continued over the past three trading sessions, leaving open whether the record will ultimately be extended. Profit-taking in major semiconductor names was particularly pronounced. Individuals sold a net 6.5814 trillion won of Samsung Electronics and 2.498 trillion won of SK hynix this month. That contrasts with last month, when retail investors bought on weakness, purchasing a net 16.8172 trillion won of Samsung Electronics and 7.0705 trillion won of SK hynix during a steep market drop. The KOSPI fell 19.08% last month as tensions between the United States and Iran escalated, and retail investors then moved quickly to realize gains during the rebound, the report said. The market is focusing on rapidly rising earnings expectations for semiconductors. With memory prices climbing and supply remaining tight, some expect the industry upturn to persist for the time being. Brokerages said the KOSPI is also rewriting record highs, lifting the uptrend to a higher level. Kim Jong-min, a researcher at Samsung Securities, said, “The current uptrend is unlikely to break easily and is expected to move to a higher stage.” He added, “As supply is absorbed, the continued record-high flow creates strong upward momentum, so rather than leaving the market based on premature peak calls, this is the time to use the energy of the rise.” 2026-04-26 14:09:18
  • KOSPI Surge Lifts Minors’ Stock Holdings to Nearly $3 Billion Despite Fewer Shares
    KOSPI Surge Lifts Minors’ Stock Holdings to Nearly $3 Billion Despite Fewer Shares A sharp rally in South Korea’s stock market last year pushed the value of stocks held by minors higher even as the number of young shareholders and the amount of shares they owned declined, data showed. According to the Korea Securities Depository on April 26, minors under 20 held about 2.9761 trillion won in shares at the end of last year among 88 companies in the top 200 by market capitalization that disclosed shareholder data by age. The total number of minor shareholders at those firms was 728,344. The depository provides stock-distribution data only for companies that have appointed it as their transfer agent. The shift was clear compared with a year earlier. The average number of minor shareholders per company fell to 8,277 from 8,466, and average shareholdings slipped to about 370,000 shares from about 400,000. But the average value of those holdings jumped more than 72% to 33.8 billion won from 19.6 billion won, reflecting rising stock prices. By company, Samsung Electronics drew the largest number of minor shareholders. At year’s end, 343,694 minors held 16,063,292 shares of the chip and electronics giant. While the number of minor shareholders and shares held fell about 13% and 17%, respectively, the stock price surged to 119,900 won from 53,200 won over the same period, lifting the per-person holding value to about 5.6 million won. Similar patterns appeared elsewhere. At LG Energy Solution, 34,329 minors held 116,072 shares, with per-person holdings valued at about 1.24 million won. At Samsung Biologics, 3,928 minors held 22,882 shares, with per-person holdings valued at about 9.87 million won. Other large-cap stocks also showed minors’ holdings valued in the millions of won per person, including Samsung Electro-Mechanics (about 4.06 million won), Samsung C&T (about 5.49 million won) and Shinhan Financial Group (about 2.59 million won). The depository said it could not confirm stock-distribution data for some companies, including No. 2 market-cap SK hynix, apparently because they did not appoint it as transfer agent. As a result, the total value of stocks held by minors is likely higher than the disclosed figure. Market watchers attributed the changes to profit-taking during the rally and shifting investment behavior. Last year, individual investors reduced exposure to sharply rising stocks by taking gains while moving funds into exchange-traded funds, or ETFs. 2026-04-26 12:57:47
  • South Korea watchdog begins inspections of brokerage hub branches, starting with Hana Securities
    South Korea watchdog begins inspections of brokerage hub branches, starting with Hana Securities South Korea’s Financial Supervisory Service has begun on-site inspections of securities firms’ hub branches, part of an inspection plan it has outlined in its work program. According to financial authorities on the 23rd, the FSS is conducting an on-site inspection of Hana Securities. The scope covers sales processes at hub branches and other outlets, as well as the head office’s overall internal control system. The FSS previously said it would expand inspections after checking hub branches at Samsung Securities and Meritz Securities last year. At this year’s briefing on supervision of the investment sector, it said it would move quickly with additional inspections if it finds illegal or improper conduct, or weaknesses in internal controls, during branch reviews. Internal controls at branches and possible mis-selling of high-risk investment products are expected to be key areas of focus. Industry changes in branch networks are also cited as a backdrop. While the number of branches has fallen, assets have increasingly been concentrated in a smaller number of hub locations, and concerns about internal controls during that shift have persisted. The FSS plans to soon begin an unscheduled inspection of Korea Investment & Securities branches as well. A Hana Securities official said the FSS had launched an on-site inspection and that the firm understands other brokerages will be reviewed in sequence. * This article has been translated by AI. 2026-04-23 18:51:21
  • Retail Trading in Single-Stock Futures and Options in South Korea Triples Amid Rally
    Retail Trading in Single-Stock Futures and Options in South Korea Triples Amid Rally As South Korea’s stock market rally continues, retail investors are increasing high-risk leveraged bets, with trading in derivatives tied to individual stocks surging more than threefold from a year earlier. The rise in debt-funded investing has also accelerated, prompting warnings that household investor risk is approaching dangerous levels. According to the Korea Exchange, retail investors traded 276.605 trillion won ($276,605,000,000,000) in domestic single-stock futures from January through April 21. That was about 3.44 times the 80.3073 trillion won ($80,307,300,000,000) recorded in the same period last year. Retail trading in stock options totaled 230 billion won ($230,000,000,000), up 5.85 times from 39.3 billion won ($39,300,000,000) a year earlier. Derivatives linked to individual stocks are generally considered riskier than index-based products because they tend to be more volatile. The jump reflects both expectations for further gains and increased volatility, analysts said. Derivatives allow investors to bet on either rising or falling prices and can be used for hedging, but they also attract money seeking profits when price swings widen. With relatively small margin requirements, investors can take large positions. Margin rates vary, but current conditions allow leverage of roughly three to 10 times, a range that can expand or shrink with market conditions. The concern is that heavier use of leverage can amplify losses. With 10-times leverage in futures, a 10% drop in the underlying asset can wipe out the entire investment. Options positions can also generate rapidly growing losses if the trade moves the wrong way, and some structures can produce losses exceeding the initial principal. Leverage is also rising through margin borrowing. The Korea Financial Investment Association said outstanding margin loans stood at about 34.4694 trillion won ($34,469,400,000,000) as of April 21, repeatedly setting record highs as more individuals borrow to invest amid the market’s climb. Such debt-backed investing can support prices in a rising market, but it can deepen shocks when sentiment turns. If share prices fall, collateral values drop, and positions can be forced into liquidation, including broker-initiated sell-offs, potentially accelerating declines. Retail investors, the report said, posted losses every year over the five-year period from 2020 to 2024. Experts urged individuals to focus less on short-term gains and better understand the risks embedded in leveraged products. “If leveraged investing surges during a period of rising volatility, losses can spread quickly even from a small shock,” a financial investment industry official said. “In a rising market, repeated profit-taking can make it easy to underestimate risk. When the market’s direction changes, losses can expand sharply, so investors should be cautious about excessive leverage.”* This article has been translated by AI. 2026-04-23 18:07:12
  • Korean Brokerages Ramp Up Marketing for Domestic Derivatives as Retail Trading Grows
    Korean Brokerages Ramp Up Marketing for Domestic Derivatives as Retail Trading Grows A bull market is drawing more retail investors into derivatives, intensifying marketing competition among brokerages. Firms are cutting fees and offering gift-card promotions. Experts warn that if the rally fades, losses from leveraged derivatives trading could fall squarely on individuals. According to the securities industry on the 23rd, brokerages are stepping up campaigns tied to domestic derivatives. Brokerage A said it will offer up to three months of discounted fees for domestic futures and options customers and provide gift cards to clients who meet trading requirements. Brokerage B is targeting new and inactive customers with gas gift cards, cash and fee coupons to spur first trades. Brokerage C is offering cash for completing education and additional rewards based on trading volume. The industry is broadly competing on incentives to expand domestic derivatives trading. The shift is also seen as a response to tighter oversight that has made aggressive marketing harder for overseas stocks and overseas derivatives, pushing firms to focus on domestic derivatives, which face relatively fewer restrictions. Brokerage results from last year underscore the trend. As of the end of last year, brokerages’ fee income from domestic derivatives (excluding overseas) totaled 508.9 billion won, up 13.8% from 447.1 billion won a year earlier. Over the same period, interest income from credit provision rose 8.5% to 3.1073 trillion won from 2.8626 trillion won. The structure rewards higher trading volumes with more fees, and expanding debt-funded investing boosts interest income. Still, responsibility for investment decisions and losses rests with individuals, prompting calls for caution. Futures and options are typical leveraged products that allow large positions with small margin deposits, meaning losses can multiply if investors bet the wrong way. Margin trading carries similar risks. Data from the office of Rep. Heo Young, a member of the National Assembly’s Political Affairs Committee, show individual investors posted cumulative losses of about 3.667 trillion won in domestic derivatives from 2020 to 2024. Losses were recorded each year over the five-year period, though the first half of 2025 saw a profit of 326.3 billion won. Heo said investors who meet eligibility requirements may mistakenly believe they are fully prepared for high-risk trading and take on excessive speculation, adding that brokerages’ sales practices that stoke get-rich-quick sentiment through promotions should be examined. Financial authorities, meanwhile, have not issued specific warnings on exchange-traded domestic derivatives. They highlighted risks in leveraged ETFs and overseas derivatives trading late last year and early this year, but have provided no separate guidance for domestic exchange-traded derivatives. A Financial Supervisory Service official said there are no plans yet to respond regarding domestic derivatives, adding that exchange-traded derivatives are handled by investors who have completed education, making them different from products such as ETFs traded by the general public.* This article has been translated by AI. 2026-04-23 18:00:55
  • Shinhan Investment posts 288.4 billion won Q1 net profit on stock market boom
    Shinhan Investment posts 288.4 billion won Q1 net profit on stock market boom Brokerages have begun reporting first-quarter results, and Shinhan Investment was among the first, posting a sharp jump in profit as a stock market rally lifted trading activity. Other securities firms are also expected to report strong gains. Shinhan Investment said Thursday its first-quarter net profit rose 167.4% from a year earlier to 288.4 billion won. Operating profit climbed 228.5% to 386.4 billion won. Operating revenue increased 90.2% to 701.5 billion won, while operating expenses rose 25.4% to 315.1 billion won, highlighting improved profitability. By revenue source, fee income totaled 407.4 billion won, the largest share. Brokerage commissions accounted for 293.5 billion won, followed by financial product fees of 28.3 billion won and investment banking fees of 42.6 billion won. Product management income came to 162.3 billion won, and net interest income was 131.7 billion won. Profitability indicators also improved, with return on assets at 1.97% and return on equity at 20.00%. The company attributed the gains to higher trading value amid the market upswing. “Along with an increase in stock brokerage commissions, profit and loss from product management improved,” a Shinhan Investment official said, adding that results strengthened broadly across business lines including brokerage, investment banking and financial products. 2026-04-23 15:12:06
  • Samsung Electro-Mechanics Ends 11-Session Rally, Falls 5% on Profit-Taking
    Samsung Electro-Mechanics Ends 11-Session Rally, Falls 5% on Profit-Taking Samsung Electro-Mechanics ended an 11-session winning streak and turned lower, as investors locked in gains after a sharp run-up, analysts said. As of 2:29 p.m., the stock was down 44,000 won, or 5.42%, at 768,000 won, according to the Korea Exchange. The shares had risen for 11 straight sessions from April 8 through April 22, surging from 514,000 won to 812,000 won and setting fresh record highs along the way. The rally reflected expectations that demand for electronic components would improve as artificial intelligence use spreads. Investors also focused on anticipated growth in demand for package substrates used in AI servers and multilayer ceramic capacitors, or MLCCs. Brokerages have also raised their price targets. Daishin Securities lifted its target to 920,000 won, citing expectations for an industry upturn. It forecast structurally tight MLCC supply and expanding demand led by AI and automotive electronics. The shift is expected to support broader profitability gains. The company is seen maintaining high utilization in its FC-BGA and MLCC businesses while improving its product mix by increasing the share of higher value-added products. Some in the market expect results to come in above existing forecasts. From the second quarter of 2026, operating profit is expected to top the market consensus in an earnings surprise. While the stock has jumped 66.2% over the past month, adding to near-term 부담, analysts said the pace of earnings improvement suggests further upside may still be possible. Still, the heavy short-term gains appeared to spur profit-taking on the day, pushing the shares lower.* This article has been translated by AI. 2026-04-23 14:42:17
  • South Korea watchdog, industry group move to curb misleading investment ads
    South Korea watchdog, industry group move to curb misleading investment ads South Korea’s financial watchdog is moving to tighten oversight of investment advertising as some promotions use misleading phrases such as “steady like monthly rent” — which can be read as guaranteeing profits — or “targeting 15% annual returns,” which highlights unrealized performance. The Financial Supervisory Service said it has begun a broad overhaul of advertising rules with the Korea Financial Investment Association to block false or exaggerated ads by financial investment firms and strengthen investor protection. The FSS and the association said on the 23rd they launched an “advertising system improvement” task force with financial investment companies and held a kickoff meeting. The group includes industry participants such as securities firms and asset managers, as well as the Korea Financial Consumer Protection Foundation, to discuss changes from a consumer-protection perspective. As stock investing by individual and institutional investors has expanded, the capital market has grown quickly and marketing competition among financial investment firms has intensified. Net stock buying by individual investors swung from 19.2 trillion won in net selling last year to 26.5 trillion won in net buying through the first quarter of this year. Regulators said some firms, amid the competition, have omitted essential information such as fees and risks or used exaggerated claims like “guaranteed profits” and “highest returns.” They also pointed to the rise of ads on social media and YouTube, including promotions using so-called “finfluencers,” and said existing rules have limits in managing them. The task force will focus on expanding the scope of ads subject to prior review, improving review procedures and strengthening internal controls at firms. Discussions include reinforcing the association-led pre-screening function and improving oversight of companies’ own advertising channels. The FSS and the association said they plan to gather views broadly from the industry and financial consumers and finalize measures in the third quarter of this year. “Financial investment company advertising should provide accurate information that helps investors make rational decisions,” said Seo Jae-wan, senior deputy governor of the FSS. “False and exaggerated advertising can undermine trust in the capital market,” he said, calling for active industry participation and stronger internal controls. 2026-04-23 10:07:10
  • SK hynix Hits Record High After Q1 Earnings Surprise
    SK hynix Hits Record High After Q1 Earnings Surprise SK hynix shares rose sharply in intraday trading after the company posted a surprise first-quarter profit on surging demand tied to artificial intelligence chips. According to the Korea Exchange, SK hynix was trading at 1.26 million won as of 9:44 a.m. Thursday, up 3.03% from the previous session. Earlier, it climbed 3.6% to 1.267 million won, setting a fresh record high. The move followed an earnings beat. SK hynix said its first-quarter operating profit on a consolidated basis totaled 37.6103 trillion won, up 405% from a year earlier. Revenue rose 198% to 52.5763 trillion won, well above market expectations. FnGuide’s consensus had projected revenue of 50.1046 trillion won and operating profit of 34.8753 trillion won. The company also surpassed its previous quarterly records set in the fourth quarter of last year, when it posted revenue of 32.8270 trillion won and operating profit of 19.1700 trillion won. Its operating margin reached 72%, up from 58% the prior quarter, marking a record high. The results were driven mainly by a surge in demand for high-bandwidth memory, or HBM, as investment in AI servers expanded. Some analysts said the broader memory chip market is entering a “supercycle” as global big tech companies increase data center spending. Samsung Electronics, another major player in semiconductors, earlier reported preliminary first-quarter results of 133 trillion won in revenue and 57.2 trillion won in operating profit, underscoring strong conditions across South Korea’s chip sector. Samsung shares also touched a record high of 228,000 won early Thursday.* This article has been translated by AI. 2026-04-23 09:51:37
  • DS Investment Raises Samsung Biologics Target Price to 2.1 Million Won, Keeps Buy Rating
    DS Investment Raises Samsung Biologics Target Price to 2.1 Million Won, Keeps Buy Rating DS Investment & Securities on Wednesday maintained its “buy” rating on Samsung Biologics and raised its target price to 2.1 million won from 1.3 million won, citing steady growth after first-quarter results broadly matched market expectations. . Analyst Kim Min-jung said Samsung Biologics posted 2026 first-quarter revenue of about 1.2571 trillion won, up 25.8% from a year earlier, and operating profit of about 580.8 billion won, up 35.1%. Operating margin was 46.2%. The results were in line with prior market forecasts of 1.2797 trillion won in revenue and 590.2 billion won in operating profit. Kim said plants 1 through 4 were running at full capacity and previously deferred revenue was recognized, supporting the quarter’s performance. She added that the 180,000-liter Plant 5 is expected to begin contributing to revenue in the second half of this year, with structural operating-profit growth anticipated from 2027. The purchase price for GSK’s U.S. plant was finalized at $353 million — $280 million for the facility and $73 million for inventory and spare parts — and revenue from the plant is expected to be reflected starting in the second quarter. The acquisition is expected to be consolidated into results and could be a key driver for upward earnings revisions, Kim said. On a separate basis, Kim projected Samsung Biologics’ full-year 2026 revenue at 5.3843 trillion won and operating profit at 2.6772 trillion won, up 18.2% and 28.2%, respectively, from the previous year. DS Investment said the company’s medium- to long-term growth outlook remains intact. Samsung Biologics recently applied to the Incheon Free Economic Zone Authority for a permit to build Plant 6, aiming to break ground within the year and complete construction in 2027. It also plans to accelerate expansion of domestic production facilities following completion of the U.S. plant acquisition and easing uncertainty over tariffs. Kim said the U.S. plant has capacity of about 60,000 liters, with orders already secured for about 50% of that capacity. She said additional orders could leave room for higher revenue estimates. Kim added that while the stock has been weak in the short term due to labor-management disputes, concerns about production disruptions are overdone and core processes are expected to remain stable. * This article has been translated by AI. 2026-04-23 08:00:18