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  • Jangheung County Strengthens Measures to Prevent Livestock Damage Amid Prolonged Heatwave
    Jangheung County Strengthens Measures to Prevent Livestock Damage Amid Prolonged Heatwave As the ongoing heatwave raises concerns about heat stress and mortality among livestock, Jangheung County is intensifying on-site management and damage prevention efforts for local farms. On August 11, the county inspected a broiler farm in Yongsan-myeon, assessing the temperature inside the barn, ventilation systems, and overall farming conditions in response to the heatwave. This inspection was conducted to evaluate the situation on the ground and understand the challenges faced by farmers due to the prolonged high temperatures. Jangheung County Mayor Sa Sun-moon visited the farm, examining temperature control and the operation of ventilation systems. He also discussed the difficulties faced by farmers due to the extended heat and potential preventive measures. The farm raises approximately 110,000 broilers across five barns. The farm received chicks on August 4 and is scheduled to harvest on September 4, making effective management of the summer heat critical. The farm owner, who is also the president of the local poultry association, shared not only the specific challenges of his farm but also the difficulties and suggestions from other poultry farmers in the region regarding heatwave responses. To mitigate livestock damage from the heat, Jangheung County is investing a total of 3.8 billion won this year in related support projects. Key initiatives include providing livestock stress relief supplies, installing heat prevention facilities, implementing thermal insulation for barn roofs, and supporting livestock disaster insurance. The county aims to minimize livestock damage caused by high temperatures through facility improvements and proactive measures. Mayor Sa stated, "As the heatwave continues, we are concerned about heat stress and mortality among livestock. I urge farmers to strictly adhere to heat response guidelines, including ensuring adequate water supply, ventilation, and maintaining appropriate farming conditions." He added, "During this prolonged heat, we will enhance on-site inspections and farmer assessments while swiftly implementing necessary support measures." Jangheung County plans to continuously monitor the heat situation and the impact on livestock farms, maintaining on-site inspections and surveillance activities. In the event of damage, a rapid field investigation and follow-up response system will be in place.* This article has been translated by AI. 2026-08-11 18:52:00
  • Students in Gwangju, South Korea, Win Awards at National AI Education Competition
    Students in Gwangju, South Korea, Win Awards at National AI Education Competition Students from Gwangju, South Korea, showcased their data-driven problem-solving skills by winning multiple awards at a national competition that utilized educational public data and artificial intelligence (AI).The Gwangju Metropolitan Office of Education announced on August 11 that 16 teams from the region received four top awards and 12 excellence awards at the 8th National AI Utilization Competition for Educational Public Data, co-hosted by the Ministry of Education and regional education offices across the country.A total of 1,886 entries were submitted for this year's competition. After a thorough evaluation and public verification process, three grand prize winners, 36 top award winners, 104 excellence award winners, and 10 encouragement award winners were selected, totaling 153 final awardees.The competition focused on solving educational challenges or proposing new content using educational public data and AI technology. It was divided into two categories: 'Creating Promotional Videos for Schools Using AI' and 'AI Utilization Idea Planning.'In the school promotional video category, the 'Hanareum Future Exploration Team' from Hanareum Elementary School, led by student Yoon San, and the 'Rock Badger Team' from Eoryong Elementary School, consisting of students Go Myung-ji and Kim Seon-yu, received top honors.In the AI utilization idea planning category, the 'HOMO LUDENS' team from Jeonnam Science High School, comprising students Kim Ji-an, Jeong Yeo-jin, and Jeong Seon-a, along with the 'Bellman's Compass' team from Bongsun Middle School, consisting of students Lee Seung-yu and Yeom Ji-seong, were also awarded top prizes.Notably, these students did not merely use AI as a content creation tool; they proposed solutions to real educational issues, such as learning environments and educational funding.The 'HOMO LUDENS' team analyzed public data related to youth sleep and mental health using AI to offer a customized timetable that considers each student's learning load and health status, proposing a 'Brainwave (EEG) Integrated AI Learning Routine and User-Customized Management Service.'The 'Bellman's Compass' team presented an 'Educational Resource Allocation Policy Simulator' that combines school budget expenditure public data with AI reinforcement learning. This idea explores budget allocation strategies to reduce financial disparities among schools, extending the use of public data and AI into the realm of educational policy.In addition to these four teams, 12 other teams from Gwangju also received excellence awards, bringing the total number of award-winning teams to 16.Award-winning teams will receive certificates, cash prizes, and additional rewards, including digital badges. The winning projects will be showcased as examples of public data utilization on an educational data platform in the future.Kim Du-seok, head of the General Affairs Division at the Gwangju Metropolitan Office of Education, stated, "The students' exploration of educational issues using data and AI has led to impressive results. We will continue to support various educational activities to help students enhance their data-driven problem-solving skills and AI capabilities."* This article has been translated by AI. 2026-08-11 18:44:00
  • Mokpo City Takes Initiative on Integrated Special City Policies, Identifies 37 Key Projects
    Mokpo City Takes Initiative on Integrated Special City Policies, Identifies 37 Key Projects Mokpo City is taking proactive measures to incorporate key local issues into the policies and promises of the integrated special city of Jeonnam-Gwangju before they are finalized. The city has identified a total of 37 strategic projects, including Mokpo New Port, offshore wind energy, a national medical school, and the K-seaweed industry, with plans to expand them into city-wide initiatives. On August 11, Mokpo City held a strategy meeting on responding to the integrated special city promises, led by Mayor Kang Seong-hwi, to discuss ways to incorporate these 37 projects into future policies aimed at regional growth and balanced development in the southwestern region. The core of this initiative is to move away from the traditional approach of demanding project inclusion only after the promises of the integrated special city are finalized. Instead, the city aims to include Mokpo's key issues from the promise formulation stage. The city analyzed the policy plan released by the Jeonnam-Gwangju Transition Planning Committee in July, selecting 37 projects across seven areas: eight in future industries, six in balanced development, three in agricultural and life sciences, five in basic social services, six in culture and tourism, eight in green policies, and one in citizen sovereignty. Key projects include the establishment of a new industrial complex at Mokpo New Port, the MASGA project for ship maintenance, and the creation of an offshore wind energy industry cluster at Mokpo New Port. Also included are long-standing local issues such as the establishment of a national medical school and university hospital, the construction of a complex transfer center at Mokpo Station, the development of a global K-seaweed industry hub, the building of a regional convention center in the southwestern area, and the establishment of an integrated management system for the Yeongsan River estuary. Mokpo City plans to approach these projects not merely as local issues but as regional initiatives that will drive growth for the entire integrated special city and promote balanced development in the southwestern region. The strategy focuses on linking Mokpo's marine, port, fisheries, and cultural tourism resources to the growth of the integrated special city while enhancing the competitiveness of the southwestern region through improvements in medical, transportation, and industrial infrastructure. During the meeting, discussions centered on how individual projects could align with the promises of the integrated special city, the feasibility and urgency of these projects, and the need for financial and policy support at the regional level. Mayor Kang Seong-hwi stated, "If we wait until the promises of the integrated special city are finalized, it will be too late. We need to establish clear logic for each project now and actively persuade the relevant departments of the integrated special city." He further urged, "Please respond proactively to ensure that Mokpo's key projects are maximally reflected in the promises and policies of the integrated special city." Following this meeting, Mokpo City will begin formal discussions with the relevant departments of the integrated special city regarding the 37 projects. The city plans to continuously monitor the promise confirmation process and policy implementation trends to enhance the likelihood of project inclusion. Once the promises of the integrated special city are finalized in the second half of this year, Mokpo City will reassess the inclusion of the 37 projects. Projects that are included will move forward with securing budgets and establishing execution plans, while those not included will have their necessity and regional impact arguments strengthened for continued policy advocacy.* This article has been translated by AI. 2026-08-11 18:32:00
  • Kyobo Life Attempts to Reacquire AXA General Insurance After 20 Years
    Kyobo Life Attempts to Reacquire AXA General Insurance After 20 Years Kyobo Life is moving forward with plans to acquire AXA General Insurance, aiming to enhance its portfolio in the non-life insurance sector.According to financial industry sources on August 11, Kyobo Life is in the process of selecting an advisory firm for the acquisition. The company has sent out requests for proposals (RFPs) to global investment banks and accounting firms, and it is expected to begin due diligence once an advisor is chosen. Kyobo Life has confirmed its intention to pursue the acquisition of AXA General Insurance.AXA General Insurance is primarily owned by the French AXA Group, which holds a 99.76% stake. The company specializes in auto insurance and reported a net profit of 4.5 billion won in the first quarter of this year. Its solvency ratio (K-ICS) stands at 175.6% under transitional measures.AXA General Insurance was previously a subsidiary of Kyobo Life. Kyobo Life acquired Korea Automobile Insurance in 2001, operating it as Kyobo Automobile Insurance, before selling management rights to the AXA Group in 2007. The company considered reacquiring AXA General Insurance in 2020 and 2023, but those negotiations did not materialize.If Kyobo Life successfully acquires AXA General Insurance, it will establish a comprehensive financial subsidiary system that includes life insurance, non-life insurance, securities, asset management, and savings banks. In March, Kyobo Life acquired a 50% plus one share stake in SBI Savings Bank for approximately 900 billion won, and last month, it fully integrated Kyobo AXA Asset Management as a subsidiary.* This article has been translated by AI. 2026-08-11 18:32:00
  • Paris Baguette Opens First Store in Laos, Expanding Southeast Asia Presence
    Paris Baguette Opens First Store in Laos, Expanding Southeast Asia Presence Paris Baguette has made its debut in Laos, becoming the first domestic bakery brand to enter the country and expanding its Southeast Asian footprint to seven nations.The company announced on August 11 that it has opened its first store in Vientiane, the capital of Laos. Paris Baguette had been preparing for this entry since signing a master franchise agreement with KOLAO Group, a leading local company, in 2024.The new store is located on the first floor of the 'Kokkok Mega Mall Patuxai,' a newly built shopping complex in the bustling Patuxai area of Vientiane. The bakery café spans approximately 360 square meters and features 72 seats.Paris Baguette will offer a mix of products available globally and menu items tailored to local tastes. The offerings include 'Fresh Yogurt Cream Cake,' 'Best Ever Garlic Bread,' and 'Crunchy Choco Bun,' along with desserts like 'Mini Choco Twist' and 'Mr. & Miss Bear Madeleines.' Meal options include 'Classic PB Breakfast,' 'Baked Chicken Mushroom Risotto,' and a local specialty, 'Musang King Durian Roll Cake,' which incorporates the popular durian fruit.With this expansion, Paris Baguette now operates stores in seven Southeast Asian countries, including Singapore, Vietnam, Indonesia, Malaysia, the Philippines, and Cambodia.The company is actively enhancing its business presence in Southeast Asia. Last year, it completed a halal-certified production center in Johor, Malaysia, and in February, it obtained official halal certification from MUIS (Singapore Islamic Religious Council) for all its stores in Singapore. Last month, it also completed halal certification for all its stores in Indonesia.Heo Jin-soo, Vice Chairman of Paris Baguette, stated, "Entering Laos is significant for expanding our Southeast Asian business network and strengthening our global growth momentum. We will present an optimized business model based on our global capabilities and KOLAO Group's local market expertise."Currently, Paris Baguette operates over 730 global stores across 13 countries, including the seven Southeast Asian nations, the United States, Canada, France, the United Kingdom, China, and Mongolia.* This article has been translated by AI. 2026-08-11 18:28:00
  • Mayor Min Hyung-bae Requests President Lee Jae-myung to Attend Yeosu World Island Expo
    Mayor Min Hyung-bae Requests President Lee Jae-myung to Attend Yeosu World Island Expo Min Hyung-bae, the mayor of Jeonnam Gwangju Integrated Special City, officially requested President Lee Jae-myung to attend the opening ceremony of the 2026 Yeosu World Island Expo. With just 25 days until the event, he urged government departments and affiliated organizations to actively engage in ensuring the expo's success. Mayor Min attended the 35th State Council meeting at the Government Sejong Center on August 11, where he outlined the preparations for the 2026 Yeosu World Island Expo and emphasized the need for government support. "The Yeosu World Island Expo is the first international event since the establishment of Jeonnam Gwangju Integrated Special City and the first expo in the world focused on 'islands,'" he said. "It will be an opportunity to share the ecological, historical, and cultural values of islands and their growth potential with the world, presenting a blueprint for sustainable island development." He specifically requested President Lee's presence at the opening ceremony, stating, "This expo will showcase the future of Korea's islands and marine sector to the world. If the President attends, it will clearly demonstrate our national commitment to becoming a maritime powerhouse." He added, "It will also serve as a great encouragement to the citizens of Yeosu, who are facing difficulties due to the downturn in the petrochemical industry." Before Mayor Min's remarks, President Lee and the State Council members watched a promotional video for the Yeosu World Island Expo. Mayor Min also called for participation from government departments and affiliated organizations. He noted, "With government support, the facilities and exhibition preparations at the venue have been completed, and transportation and safety measures for visitors have been established. We will reassess the safety of facilities and overall event operations before the opening." He urged, "I hope each department and affiliated organization will take an interest and come to Yeosu to participate." The 2026 Yeosu World Island Expo will take place from September 5 to November 4 in Yeosu. As the opening approaches, Jeonnam Gwangju Integrated Special City is finalizing preparations for the venue and exhibitions, including enhancing KTX services and finalizing safety management measures. During the State Council meeting, Mayor Min also proposed expanding training for professionals in artificial intelligence (AI) to enhance the public sector's capabilities. He suggested that the Ministry of the Interior and Safety expand its 'AI and Data Utilization Professional Training Program' to enable civil servants with administrative experience to develop and apply AI-based administrative systems in the field. Mayor Min emphasized, "While hiring private developers is necessary, it is crucial to educate and utilize employees who understand the actual administrative processes and content." He highlighted the need for nurturing talent that combines administrative experience with AI technology by sharing examples of 7th-grade civil servants who developed systems like 'AI Yeobimon' and 'Contract Support System through Negotiation' after completing the training program. As the Yeosu World Island Expo will be the first international event since its establishment, Jeonnam Gwangju Integrated Special City plans to continue final checks on transportation, safety, facilities, and overall event operations in the remaining time.* This article has been translated by AI. 2026-08-11 18:28:00
  • Democratic Party Approves Light Revolution Charter Amendments with 98.06% Support
    Democratic Party Approves 'Light Revolution' Charter Amendments with 98.06% Support The Democratic Party has passed amendments to its charter that explicitly state the historical significance of the 'Light Revolution' and ensure fairness in the composition of delegates.On August 11, the party announced the results of the Central Committee vote held at the National Assembly, approving both the charter and party constitution amendments.In the charter amendment vote, 456 out of 465 participants voted in favor, resulting in a support rate of 98.06%, with 9 votes against.The party constitution amendment also passed with a 96.99% approval rate. Of the 465 voters, 351 supported the amendment while 14 opposed it.The approved charter amendment maintains the party's core values while reflecting the governance standards of the Lee Jae-myung administration. Yoo Dong-soo, the party's secretary-general, stated that the amendment aims to honor the spirit of the great citizens who defended the constitutional order during the 12.3 insurrection and to highlight the historical significance of the 'Light Revolution' in the charter's preamble.He further emphasized a commitment to a robust democracy defined by popular sovereignty, advocating for proactive labor market policies in the areas of economy, jobs, and labor, and pledging to harmonize economic growth with job security. Additionally, the charter amendment includes provisions to ensure youth participation in addressing youth issues and outlines a vision for regional balanced development, scientific technology, and educational innovation in line with the era of artificial intelligence.The party constitution amendment modifies the process for recommending delegates to ensure fairness and representation, allowing recommended delegates to be selected from party members with voting rights for public and party office elections.It also stipulates that the party affairs committee will ultimately decide on strategic regions and adjusts the voting ratio for the election of provincial party chairs to align with the one-person, one-vote system. Furthermore, the name of the social economy committee will be changed to the social solidarity economy committee to align with government policy directions.Earlier that day, the Democratic Party convened the Central Committee at the National Assembly to present the charter and party constitution amendments. Song Ok-joo, the vice chair of the Central Committee, encouraged committee members to vote, stating, "The charter and constitution are commitments to clarify what the Democratic Party aims for and the principles and values it will uphold in serving the public and party members."* This article has been translated by AI. 2026-08-11 18:24:00
  • Lotte Sells 1.3 Trillion Won Stake in Lotte Rental to TPG Amid Restructuring
    Lotte Sells 1.3 Trillion Won Stake in Lotte Rental to TPG Amid Restructuring Lotte has agreed to sell its management stake in Lotte Rental to global private equity firm TPG for 1.31 trillion won. This move is expected to accelerate the group's portfolio restructuring.On August 11, Lotte announced it had signed a contract with TPG for the sale of its entire 61.2% stake in Lotte Rental, which is held by Hotel Lotte and Busan Lotte Hotel. Hotel Lotte owns 38.1% of the shares, while Busan Lotte Hotel holds 23.0%. The sale price is set at 59,000 won per share, totaling 1.31 trillion won.Previously, Lotte had been negotiating with multiple potential buyers after its contract with the previous buyer, Affinity, ended in May. The company selected TPG as the final acquirer after a comprehensive review of the proposed corporate value, acquisition structure, employment guarantees, transaction completion likelihood, and funding capabilities.TPG plans to enhance Lotte Rental's competitiveness and corporate value based on its investment experience in global mobility companies like Uber.Lotte intends to use the proceeds from the sale to improve the financial health of Hotel Lotte and Busan Lotte Hotel and to invest in its core hotel business. With the increase in foreign tourist arrivals, the company aims to secure investment capacity to strengthen its global competitiveness.The group also plans to pursue further business restructuring. Lotte has already begun asset efficiency efforts, including the sale of its subsidiary Lotte Energy Materials, Lotte Eco-Wall, in May, and Lotte Chemical has achieved a turnaround to profitability through production optimization.A Lotte official stated, "We selected the acquirer after considering market conditions and our mid- to long-term growth strategy. We will focus more on strengthening the core business's fundamental competitiveness and enhancing our business portfolio."The transaction is expected to be finalized after receiving approval from the Fair Trade Commission for the business combination.* This article has been translated by AI. 2026-08-11 18:20:10
  • Pearl Abyss Reports 2nd Quarter Operating Profit of 67.6 Billion Won, Up 7388.9% Year-Over-Year
    Pearl Abyss Reports 2nd Quarter Operating Profit of 67.6 Billion Won, Up 7388.9% Year-Over-Year Pearl Abyss has significantly improved its second-quarter performance, driven by the global success of its new title, 'Crimson Desert.'The company announced on August 11 that it recorded consolidated revenue of 192.6 billion won and an operating profit of 67.6 billion won for the second quarter of this year. Revenue increased by 247.7% compared to the same period last year, while operating profit surged by 7388.9%. The net profit also turned positive.Overseas sales accounted for 91% of total revenue, with North America and Europe contributing 75% of that figure, highlighting the company's strong performance in the global market. Revenue from individual intellectual properties (IPs) included 55 billion won from 'Black Desert' and 136.1 billion won from 'Crimson Desert.''Crimson Desert' continues to expand its gameplay experience through updates based on user feedback since its launch. Pearl Abyss plans to enhance the value of the 'Crimson Desert' IP through storyline improvements and new content updates.The company is also pursuing follow-up strategies for long-term success. Downloadable content (DLC) is currently in the stage of assessing content direction and quality, with plans for a release by the end of the year.The Nintendo Switch 2 version of 'Crimson Desert' is focused on performance optimization, aiming for a launch in the first half of next year.As part of its package sales strategy, Pearl Abyss is considering discounts. The company is preparing various measures to expand sales, including discount policies.Meanwhile, Pearl Abyss plans to continue introducing new content and improving services in the second half of the year to enhance engagement with global users.* This article has been translated by AI. 2026-08-11 18:20:00
  • KOSDAQ roars back as leveraged bets unwind
    KOSDAQ roars back as leveraged bets unwind SEOUL, August 11 (AJP) — South Korea's long-neglected KOSDAQ is suddenly outrunning its bigger sibling and major stock markets around the world, gaining 19 percent in the first seven trading sessions of August as investors look beyond the leveraged chip trade that dominated the first half. The junior market closed Tuesday at 857.84, up 19.2 percent from 719.76 at the end of July. The benchmark KOSPI, by contrast, has lost 3.8 percent over the same period to 6,345.53. Among major global benchmarks tracked by AJP, KOSDAQ is the only one posting a double-digit gain so far this month. Yet the sudden reversal has barely dented the gulf built up over the year. KOSDAQ remains 7.7 percent below its 2025-end close of 928.99, while KOSPI is still up more than 50 percent from 4,214.17 at the end of last year. KOSDAQ, largely bypassed during the AI-fueled rush into Samsung Electronics, SK hynix and leveraged products tied to the chipmakers, is benefiting from a rotation as that trade cools. But the money flows so far point more to a tactical rebound than a broad vote of confidence in the junior market's earnings prospects. Korea Exchange data show institutional investors bought a net 1.52 trillion won ($1.07 billion) of KOSDAQ-listed shares between July 31 and Aug. 10. Retail investors sold a net 552.4 billion won, while foreign investors unloaded 1.01 trillion won. Investment trusts led the institutional buying with 515.9 billion won, followed by financial investment firms at 347.6 billion won, private funds at 247.5 billion won and pension funds and other institutional accounts at 222.3 billion won. Tuesday showed how quickly that pattern can change. Retail investors bought a net 558 billion won of KOSDAQ shares by the close, absorbing net selling of 482 billion won by foreigners and 98 billion won by institutions. The reversal underscores how fluid the rally remains. Institutions drove much of the rebound through Monday, but foreign investors have yet to return on a sustained basis. Woo Seok-jin, an economics professor at Myongji University, said part of the shift reflects Korean investors' strong appetite for higher-risk assets. “Korean investors tend to have a relatively high appetite for risk, and leveraged ETFs had been one way of pursuing that,” Woo said. “Now that tighter regulations have raised the barrier for retail investors to trade those products, some of that search for opportunities appears to have shifted toward KOSDAQ.” For institutions, he said, the motivation is more straightforward. “Institutional investors are naturally focused on finding opportunities that can generate returns.” Funds rediscover KOSDAQ Investment-trust activity provides another sign that fund managers have been rebuilding exposure to the junior market. Between July 31 and Aug. 10, investment trusts bought a net 590.7 billion won of KODEX KOSDAQ 150, one of the largest ETFs tracking major KOSDAQ companies, while also accumulating KOSDAQ-listed shares. ETF purchases and direct stock buying cannot simply be added together because of differences in the way the transactions are structured. Still, demand through both channels points to greater exposure to the junior market. The contrast with the main board is striking. Institutions were net sellers of KOSPI shares over roughly the same period while buying more than 1 trillion won on KOSDAQ, suggesting their appetite had tilted toward the junior board. But Yoon Jae-hong, an analyst at Mirae Asset Securities, cautioned that not everything recorded as institutional buying represents institutions making an independent bet on KOSDAQ. “A significant portion of the inflows came through ETFs,” Yoon said. “When retail investors buy ETFs, some of that demand is recorded under the financial-investment category.” The distinction matters because it makes the rally less clearly institution-led than the headline flow numbers suggest. Still, other forces are working in KOSDAQ's favor. Kim Dae-jong, an economics professor at Sejong University, pointed to the easing concentration in giant semiconductor stocks, bargain hunting after KOSDAQ's steep fall and expectations that government reforms will favor the junior market. “Some of the money that had been concentrated in large semiconductor stocks is spreading out, while KOSDAQ is benefiting from its steep earlier losses and expectations for supportive policies,” Kim said. Selling pressure has also eased as forced liquidation of margin positions subsided, he said, while investors returned to growth sectors including biotechnology, batteries, robotics and semiconductor materials and equipment. But Kim cautioned against mistaking a sharp rotation for the beginning of a lasting bull market. “For now, the move has more of the characteristics of a rotation driven by market flows than a long-term rally backed by earnings,” he said. “For the gains to become sustainable, we need to see continued buying by institutions and foreign investors as well as improvements in corporate earnings.” Woo pointed to another, less bullish explanation for renewed retail interest. “Some retail investors may have given up after taking losses, while others appear to be making one last attempt to recover before leaving the market,” he said. From leveraged chips to KOSDAQ? One catalyst coinciding with KOSDAQ's rebound has been the abrupt cooling of the speculative trade built around Korea's two biggest chipmakers. Financial regulators tightened rules on single-stock leveraged ETFs after extreme turnover raised concerns that the products were amplifying swings in Samsung Electronics, SK hynix and the broader market. The minimum cash deposit required for retail investors was raised from 10 million won to 30 million won, while authorities also restricted new products and advertising. Trading turnover in the products subsequently plunged from 12.45 trillion won on July 30 to 845.2 billion won on Aug. 7, according to KRX data. KOSDAQ began its sharp rebound at around the same time. The overlap raises the possibility that investors who had crowded into Samsung, SK hynix and leveraged products tied to them began hunting for returns elsewhere. It does not establish that money leaving those products went directly into KOSDAQ. “Some of the money appears to have moved over,” Woo said. The timing nevertheless marks a sharp reversal in the market hierarchy of the first half, when the AI chip boom sucked capital and attention toward a handful of KOSPI giants and left much of KOSDAQ behind. Rally meets a market cleanup KOSDAQ's revival is also arriving just as regulators are making it harder for weak companies to remain there. South Korea raised the KOSDAQ market-capitalization threshold for delisting to 20 billion won from July 1, with the floor scheduled to rise again to 30 billion won in 2027. According to corporate research institute Leaders Index, 152 KOSDAQ companies, or 8.7 percent of the market, had an average market capitalization below the current 20 billion won threshold in July. Another 83 had remained below 1,000 won for 30 consecutive trading days. At next year's 30 billion won threshold, 367 companies — about 21 percent of KOSDAQ — would fall below the market-cap benchmark based on their July average valuations, although falling below the line does not automatically mean delisting. Woo said the tougher rules could improve the credibility of a market long criticized for allowing financially troubled companies to linger. “Penny stocks like these should have been removed from the market much earlier,” he said. “If a company is financially troubled, it should not be allowed to remain listed and continue trading.” Allowing distressed companies to remain listed too long can instead attract speculative capital looking for heavily discounted assets, he said. But cleaning out weak companies solves only half the problem. For KOSDAQ to sustain investor interest, Woo said, Korea also needs to rebuild the venture ecosystem that once supplied the market with companies capable of delivering rapid growth. “Investors seeking higher returns are willing to bet on innovative companies because of their strong growth potential,” Woo said. “But there are too few promising venture companies right now. The venture ecosystem itself needs to recover.” Yoon pointed to another potential catalyst: plans to introduce a tiered KOSDAQ structure that would separate stronger companies into a premium segment. Such a structure could make it easier to build ETFs and other investment products around a smaller pool of higher-quality companies, potentially drawing more long-term money into the market. “There are expectations that retail investors will come in if ETFs are created around the premium segment,” Yoon said. “For the rebound to continue, the market reforms now being introduced need to be sustained.” For now, KOSDAQ has achieved something it rarely managed during the chip-dominated first half: it has investors' attention. Whether it keeps it is the harder test. Three decades after its launch, KOSDAQ's challenge is no longer simply getting investors back. It is giving them a reason to stay. AJP Takeaways • South Korea's KOSDAQ rose 17.79 percent from July 31 through August 11, 2026, sharply outperforming the benchmark KOSPI, which fell 3.16 percent over the same period. • South Korea's tighter rules on single-stock leveraged products coincided with the KOSDAQ rebound, as turnover in products linked to major stocks plunged from 12.45 trillion won on July 30 to 845.2 billion won on August 7, 2026. Economists said some investment may have rotated toward the KOSDAQ, although a direct link cannot be established. • Economists caution that the KOSDAQ rebound remains driven more by investment flows than stronger corporate earnings, meaning sustained institutional and foreign buying and improved earnings will be needed for the rally to last. • South Korea's tougher KOSDAQ delisting standards could reshape the junior market, with 367 companies, or 21 percent of the market, below the 30 billion won market-capitalization threshold scheduled to take effect in 2027 based on July 2026 averages. 2026-08-11 18:12:35