Economy - The Korea Times

Alteogen's KOSPI move fuels concerns amid widening KOSPI-Kosdaq gap

Biotech giant Alteogen’s move toward a KOSPI listing transfer is fueling concerns within the venture capital industry and the Kosdaq market that the secondary bourse could become even more marginalized, according to industry officials and analysts Wednesday. The sense of crisis comes amid an unprecedented divergence in returns between the country’s main bourse, the KOSPI, and the Kosdaq. While the benchmark index has been driven higher by semiconductor heavyweights such as Samsung Electronics and SK hynix, major Kosdaq sectors, including biotech and battery stocks, have struggled to maintain momentum. Earlier in the day, the Korea Venture Capital Association, the Kosdaq Association and the Korea Venture Business Association released a joint statement calling on leading Kosdaq-listed companies to remain on the market, warning that the departure of blue-chip firms could weaken investor confidence and undermine the broader innovation ecosystem. The joint appeal by the three organizations is widely seen as a response to Alteogen’s planned move to the KOSPI. The biotech firm, currently

May 13, 2026By Jun Ji-hye

Alteogen's KOSPI move fuels concerns amid widening KOSPI-Kosdaq gap

New rules aim to simplify banking for millions of Koreans living abroad

For the millions of Koreans living abroad, the simple act of managing a bank account in Korea has long been tethered to the slow, physical reality of the 20th century. To authorize a transaction through a representative, an overseas citizen had to visit an embassy, secure a physical seal and entrust the document to an international courier — a process fraught with delays and the lingering anxiety of a lost envelope. On Wednesday, that paper-bound era moved toward its conclusion. The Overseas Koreans Agency (OKA), the Financial Services Commission and the Korea Financial Telecommunications & Clearings Institute announced a landmark agreement to launch the Digital Consular Authentication Financial Power of Attorney Service. The initiative, set to begin in July 2026, replaces the post office with the blockchain. Under the new protocol, once a citizen’s power of attorney is authenticated at an overseas mission, it is transformed into a digital document and transmitted instantly to a recipient bank in Korea. The use of a shared blockchain system allows financial institutions to verify th

May 13, 2026By Lee Kyung-min

New rules aim to simplify banking for millions of Koreans living abroad

Overdraft borrowing jumps as investors chase KOSPI rally

Park, 35, an office worker living in Mapo District, Seoul, recently transferred 20 million won ($13,600) from his overdraft account to a brokerage account to buy shares of SK hynix. Watching semiconductor stocks leading the KOSPI rally surge higher, he said, “I felt anxious that if I kept waiting, prices would climb even further. It was difficult to time investments with just my salary, so I eventually turned to my overdraft account.” Another office worker in her 40s living in Seongnam, Gyeonggi Province, also recently withdrew around 10 million won from her overdraft account. “While deposit and savings rates have fallen, I keep hearing people around me talk about profits from stocks,” she said. “It wasn’t so much that I was short on living expenses, but rather that I didn’t want to miss out on investment opportunities.” She also invested part of the withdrawn funds in shares of Samsung Electronics and SK hynix. As of last Thursday, personal overdraft loan balances at the country’s five major banks — KB Kookmin, Shinhan, Hana, Woori and NH NongHyup — totaled 40.5 tri

May 11, 2026By Jun Ji-hye

Overdraft borrowing jumps as investors chase KOSPI rally

KOSPI rally masks widening market polarization, economic divide

Even as the KOSPI fuels one of the strongest bull runs in the market’s history, experts warned Thursday that the surge in the benchmark index should not be interpreted as a sign that economic conditions are improving evenly across society. They noted that with gains concentrated in a small group of heavyweight exporters, particularly semiconductor stocks, a considerable number of retail investors are finding it increasingly difficult to benefit from the rally, reinforcing market polarization in what is being described as a “K-shaped” trend. At the same time, elevated oil prices and broader cost-of-living pressures continue to dampen consumer sentiment, leaving small merchants and self-employed workers under financial strain. On Wednesday, the KOSPI jumped 6.45 percent from the previous trading day to close at 7,384.56, surpassing the 7,000 threshold for the first time since the index was introduced in 1983. On Thursday, it opened another 114.51 points, or 1.55 percent, higher at 7,499.07 and briefly climbed above the 7,500 mark for the first time intraday before ending the session

May 7, 2026By Jun Ji-hye

KOSPI rally masks widening market polarization, economic divide

Stock market investment gains still being funneled into real estate: BOK report

The Bank of Korea (BOK) on Thursday assessed that investors are funneling their positive returns from stock investment into the local property market instead of on consumption. The report by the BOK comes as the nation's benchmark KOSPI index surged past the 7,300 mark for the first time a day earlier, fueled by rallies from technology stocks. According to the BOK's latest report, Korean investors spent about 130 won ($0.08) for every 10,000 won earned through stock investment on consumption, equal to 1.3 percent of their capital gains. The figure is in contrast to 3 to 4 percent of stock investment gains going into consumption by investors in other advanced nations, according to the findings. The report assessed that Koreans still preferred their investments going into real estate despite the recent rally. In case of households that own no homes, about 70 percent of their capital gains from stock investments have been moved to the property market, the central bank said. It then recommended that authorities need to "establish an investment environment that can turn the stock market into a

May 7, 2026By Yonhap

Stock market investment gains still being funneled into real estate: BOK report

KOSPI breaks 7,000 milestone as chip rally fuels market surge

The KOSPI closed above the 7,000 mark for the first time on Wednesday, just about two months after crossing 6,000 points, extending its rally and repeatedly setting new record highs despite ongoing Middle East tensions. The KOSPI’s total market capitalization also surpassed 6,000 trillion won ($4.1 trillion) for the first time. The combined market capitalization of the KOSPI and Kosdaq had earlier exceeded the 6,000 trillion won mark on April 27. So far this year, Korea’s benchmark stock index has surged more than 70 percent from Dec. 30, 2025, fueled by strong liquidity driven by expectations for the artificial intelligence (AI) industry and earnings growth at semiconductor companies. This marks the fastest rally among G20 markets. Over the same period, Taiwan’s TAIEX index has risen about 40 percent, while Japan’s Nikkei 225 has gained around 18 percent. Notably, the KOSPI had dropped to 2,293.70 at the close on April 9, 2025, amid turbulence linked to U.S. tariff policy uncertainty, but has since surged nearly threefold in just over a year. The KOSPI opened at 7,093.01, up 2.25

May 6, 2026By Jun Ji-hye

KOSPI breaks 7,000 milestone as chip rally fuels market surge

Omnibus account reforms spur foreign retail inflows, boost KOSPI rally

Improvements to the omnibus account system for foreign investors earlier this year led to a rise in foreign retail inflows into Korea’s stock market, supporting the KOSPI’s recent upward momentum, market experts said Tuesday. Korea introduced the omnibus account system in 2017 to facilitate foreign investors' trading of Korea-listed stocks. However, its adoption remained limited due to stringent eligibility criteria and unclear guidelines. To address this, the Financial Services Commission revised the relevant rules earlier this year, scrapping restrictions on account eligibility. The change allows overseas investors to trade Korean stocks directly through offshore brokers without opening separate accounts with local securities firms, significantly improving market access. “Foreign investors, who had been attracted to Korea’s strong semiconductor earnings and relatively low valuations, previously gained exposure mainly through exchange-traded funds. However, the easing of omnibus account regulations has paved the way for direct inflows of foreign retail capital,” said Kang Ji

May 5, 2026By Jun Ji-hye

Omnibus account reforms spur foreign retail inflows, boost KOSPI rally

KOSPI tops 6,900 for 1st time as chip rally outweighs geopolitical tensions

The KOSPI surged more than 5 percent Monday to close above the 6,900 mark for the first time on record, driven by strong gains in semiconductor stocks, despite ongoing geopolitical tensions. The Kosdaq index and the Korean won also strengthened. The benchmark index opened at 6,782.93, up 184.06 points, or 2.79 percent from the previous close, and surpassed its intraday record of 6,750.27 set on Thursday. It maintained an upward trajectory throughout the session, quickly moving past the 6,800 level and then the 6,900 mark, before closing at 6,936.99, up 338.12 points, or 5.12 percent. On a closing basis, it exceeded its previous record close of 6,690.90 set last Wednesday, setting a new high in just two trading sessions. Samsung Electronics and SK hynix led the rally, jumping more than 5 percent and 12 percent, respectively. Notably, SK hynix rose above 1.4 million won ($955) per share, pushing its market capitalization past 1,000 trillion won for the first time. The secondary Kosdaq opened at 1,212.28, up 19.93 points, or 1.67 percent, and closed at 1,213.74, up 21.39 points, or 1.79 perc

May 4, 2026By Jun Ji-hye

KOSPI tops 6,900 for 1st time as chip rally outweighs geopolitical tensions

KOSPI tops 6,750 intraday, ends 1.38% lower after 3-day streak on oil surge

The KOSPI briefly rose above the 6,750 mark to hit a new intraday high Thursday, but later gave up its gains to finish lower amid rising global oil prices. The benchmark index opened at 6,739.39, up 48.49 points, or 0.72 percent, from the previous close, and quickly climbed to 6,750.27, surpassing Tuesday’s intraday record of 6,712.73. It then turned downward in the afternoon and closed at 6,598.87, down 92.03 points, or 1.38 percent. The index’s strong start was fueled by better-than-expected first-quarter results from four major Big Tech companies. However, the rally lost momentum as global oil prices climbed after the U.S. reaffirmed its maritime blockade against Iran. West Texas Intermediate crude futures hovered around $109 per barrel in after-hours trading. Investor sentiment was further weighed down by a hawkish readout of the Federal Open Market Committee (FOMC) meeting. Despite the late-session decline, KOSPI has maintained an upward trend in recent days, driven by strength in semiconductor shares. A day earlier, the benchmark had finished at a record 6,690.90, up 49.88 point

Apr 30, 2026By Jun Ji-hye

KOSPI tops 6,750 intraday, ends 1.38% lower after 3-day streak on oil surge

Bloomberg: Samsung family becomes Asia’s 3rd richest as wealth doubles in a year

The Samsung family’s fortune has more than doubled in a year, making it Asia’s third-richest family, Bloomberg reported Wednesday. According to the Bloomberg Billionaires Index, the family’s wealth stood at $45.5 billion as of March, up from $20.1 billion a year earlier. The figure put the Lee family behind only India’s Ambani family, which controls Reliance Industries, and Hong Kong’s Kwok family, behind property developer Sun Hung Kai Properties. Bloomberg noted that after former Samsung Chairman Lee Kun-hee died in 2020, the family faced two major challenges: a massive inheritance tax bill and the imprisonment of Samsung Electronics Chairman Lee Jae-yong. At the time, some observers questioned whether the family’s grip on the conglomerate could weaken. Five years later, however, the rise of artificial intelligence has lifted the value of Samsung’s semiconductor business, reinforcing the family’s control and swelling its fortune, according to the report. It went on to note that Samsung Electronics Chairman Lee Jae-yong, who had largely kept out of public view amid legal

Apr 29, 2026By Hankookilbo

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