Individual investors suffer huge losses over 3 months... Clear buying concentration during the KOSPI surge
Individual investment losses are the worst this year at -4.5%... Buying at peaks is the cause Check now the background behind failed buy and sell timing and market variables
It was found that individual investors in the stock market this year suffered large losses by mistiming their buying and selling. According to an analysis of data from the Korea Exchange, individual investors' trading performance through the 22nd this year stood at 4.5%, the worst level since 1999.
According to reports, individuals bought stocks aggressively during periods when stock prices had risen sharply, and in particular, they net bought 77.5 trillion won worth of stocks in May and June alone. Stocks bought during this period were estimated to have recorded large average losses as of the closing prices on the 22nd.
The article cited the National Pension Service's rebalancing delay, the launch of a singlestock leveraged ETF, and expectations in political circles for stock market stimulus as factors that boosted investor sentiment. It was also reported that the risks for individuals investing with borrowed money increased as margin loan balances and forced selling grew.