Individuals investing more in stock market amid COVID-19 outbreak
- 4 years ago
“재테크 기회”… 코로나 시대에 늘어난 주식투자
COVID-19 led to historic dips in stocks earlier this year. But, what it's also done in Korea is that it's drawn new, individual investors who have taken crisis and turned it into opportunity.
Eum Ji-young reports.
Beginner investor Kim Ha-young has become more interested in the stock market since the onset of the outbreak.
"I've been living off my income but the outbreak has made me feel very insecure about my job so I realized the importance of investing and having financial knowledge."
With more individual investors coming in, the country's benchmark KOSPI index is close to erasing its year-to-date losses,… jumping about 50 percent from its March low as of Tuesday.
Fueled by a recent market bull run, outstanding margin loans which investors take out to buy stocks have exceeded 9 billion U.S. dollars, indicating investor hopes for price gains down the road.
And people are also looking to learn more about investing well.
"YouTubers who share their own financial strategies and advice - including on how to invest in stocks - have quickly gained traction among individual investors looking for tips."
Well-known finance expert John Lee, who shares his investment tips on YouTube, says people are investing more during the outbreak based on what they learned from previous crises.
"Most people who bought stocks at that time made money. When you invest, you buy low, sell high. So when this kind of crisis happens, share price is down. So they take opportunities."
However, he emphasized that what's really important is not the timing but to invest for the long-term.
And mobile apps that help customers invest are also seeing a boom. Digital investment management app service AIM has grown roughly 17-fold on-year as more people look to avoid face-to-face contact amid the outbreak.
"The mobile app systematically manages customers' assets with a set of algorithms very similar to those used by the world's top one percent of institutional investors."
AIM's CEO added that more people investing in the stock market is a good trend saying that it is difficult to build wealth just through income from labor alone.
Eum Ji-young Arirang News.
COVID-19 led to historic dips in stocks earlier this year. But, what it's also done in Korea is that it's drawn new, individual investors who have taken crisis and turned it into opportunity.
Eum Ji-young reports.
Beginner investor Kim Ha-young has become more interested in the stock market since the onset of the outbreak.
"I've been living off my income but the outbreak has made me feel very insecure about my job so I realized the importance of investing and having financial knowledge."
With more individual investors coming in, the country's benchmark KOSPI index is close to erasing its year-to-date losses,… jumping about 50 percent from its March low as of Tuesday.
Fueled by a recent market bull run, outstanding margin loans which investors take out to buy stocks have exceeded 9 billion U.S. dollars, indicating investor hopes for price gains down the road.
And people are also looking to learn more about investing well.
"YouTubers who share their own financial strategies and advice - including on how to invest in stocks - have quickly gained traction among individual investors looking for tips."
Well-known finance expert John Lee, who shares his investment tips on YouTube, says people are investing more during the outbreak based on what they learned from previous crises.
"Most people who bought stocks at that time made money. When you invest, you buy low, sell high. So when this kind of crisis happens, share price is down. So they take opportunities."
However, he emphasized that what's really important is not the timing but to invest for the long-term.
And mobile apps that help customers invest are also seeing a boom. Digital investment management app service AIM has grown roughly 17-fold on-year as more people look to avoid face-to-face contact amid the outbreak.
"The mobile app systematically manages customers' assets with a set of algorithms very similar to those used by the world's top one percent of institutional investors."
AIM's CEO added that more people investing in the stock market is a good trend saying that it is difficult to build wealth just through income from labor alone.
Eum Ji-young Arirang News.