Retail investors joined massive selling spree on Korean equities led by foreign players, reducing their oversized share of above-90 percent in the turnover at the secondary Kosdaq market to 80 percent in October.

According to the Korea Exchange on Tuesday, retail trading of Kosdaq shares valued at 116.4 trillion won ($102.3 billion) in October, making up 80 percent of total turnover in the lowest share since 78 percent in March 1999 when the country was still reeling from 1997-1998 near-default crisis. In January, their retail turnover reached 331.75 trillion won.

Retail investors accounted for 96.7 percent of Kosdaq’s turnover in March 2001. They kept dominant presence in Kosdaq witih share over 90 percent except for October 2008 when the Kosdaq index lost 30.12 percent in the aftermath of global financial crisis.

With the Kosdaq falling nearly 20 percent in October alone, retail share in trade turnover slipped to 80 percent after staying above 85 percent in the first half.

By Chung Seul-gi and Cho Jeehyun

[ⓒ Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]