How many Korean retail investors hold or buy more losing stocks instead of selling?

In the Toss Insight survey, 42.2 percent of respondents said they continued holding losing stocks, while 24.4 percent said they bought more shares to lower their average purchase price. The survey covered 1,000 people in their 20s to 50s who had invested in domestic or overseas stocks.

How did reported losses differ between investors who cut losses and those who held losing stocks?

Over the previous year, 26.5 percent of investors who cut losses according to predetermined rules reported losses in stocks. The share was 41.7 percent among investors who continued holding losing stocks.

Why did Toss Insight say investor education should account for actual investing behavior?

The survey found a gap between self-assessed risk tolerance and actual exposure: 66 percent of respondents who called themselves conservative had high-risk portfolios. A Toss Insight official said education and support should help investors understand the risks they take and establish sound investment principles.

Korean retail investors struggle to cut losses, holding on to or buying more losing stocks

Listen

Summary

A survey by Toss Insight found that Korean retail investors often hold losing stocks or buy more shares instead of selling at a loss. The online survey of 1,000 stock investors found that 42.2 percent kept holding losing stocks and 24.4 percent bought more to lower their average purchase price. Investors who followed predetermined loss-cutting rules were less likely to report losses, while many self-described conservative investors held high-risk portfolios. A Toss Insight official said investor education and support should reflect actual behavior and risk exposure.

Key Facts

The survey was conducted from July 11 to Aug. 21 among people in their 20s to 50s with experience investing in domestic or overseas stocks.
Among investors who cut losses according to predetermined rules, 26.5 percent reported stock losses over the previous year, compared with 41.7 percent of those who continued holding losing stocks.
Among respondents who described themselves as conservative investors, 66 percent were found to have high-risk portfolios.
The survey found that investment outcomes appeared more closely linked to holding periods, investment experience and responses to losses than to stated strategies or self-assessed risk tolerance.

By Park Han-sol

Published Nov 12, 2026 4:20 pm KST
Updated Nov 12, 2026 6:12 pm KST

A stock ticker at Hana Bank's headquarters in Seoul shows the benchmark KOSPI closing at 5,342.73, down 0.61 percent from the previous close, Thursday. Yonhap

Two-thirds of Korean retail investors hold on to losing stocks or buy more in an attempt to lower their average purchase price, rather than sell at a loss, a report showed Thursday.

The findings are based on an online survey of 1,000 people in their 20s to 50s with experience investing in domestic or overseas stocks, conducted by financial research institute Toss Insight from July 11 to Aug. 21.

Of the respondents, 42.2 percent said they continued holding losing stocks, while another 24.4 percent said they bought more shares to bring down their average purchase price.

The survey also found that investors who cut their losses according to predetermined rules were less likely to report losses in stocks. Over the previous year, the share reporting losses stood at 26.5 percent in this group, compared with 41.7 percent among those who continued holding losing stocks.

It also revealed a gap between investors’ perceived risk tolerance and their actual exposure. Among respondents who described themselves as “conservative” investors, 66 percent were nevertheless found to have high-risk portfolios.

Overall, investment outcomes appeared to be more closely linked to actual investing habits — including holding periods, investment experience and responses to losses — than to investors’ stated strategies or self-assessed risk tolerance.

“This study highlights the importance of looking at how investors actually behave, rather than relying on their age or stated risk tolerance,” a Toss Insight official said. “Education and support should be tailored to investors’ behavior to help them better understand the risks they take and establish sound investment principles.”

Explore More