Brokerages race to capture foreign retail investors as they emerge as a force in Korean equities

AI핵심 요약

• ·Omnibus accounts and a surging Kospi are drawing overseas retail investors into Korean equities, promising fresh inflows while raising volatility concerns.Capital moves in and out of Korea, driven by a range of economic and geopoltiical forces.
• ·In our "Money Mover" series, we explore key market developments that could shape investment decisions and influence the flow of global funds.
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• ·For decades, foreign participation in Korea’s stock market has been dominated by institutional investors, in part due to limited access and relatively muted interest compared with Asian peers such as Japan.
• ·Now, a red-hot Kospi rally and the rollout of omnibus accounts, which enable foreign investors to trade Korean stocks directly through their existing overseas brokers, are drawing overseas retail traders, a shift that could inject fresh liquidity — and volatility — into one of the world’s best-performing equity markets since last year.