 |
A Seoul branch office of Korea Investment & Securities puts up a banner for SK ie technology's initial public offering on the Kospi market on April 28. (Yonhap) |
South Korean retail investors’ deposits for stock investments reached a record 77.9 trillion ($69.28 billion) as of Monday, according to the Korea Financial Investment Association Wednesday.
The outstanding deposits for stock investments marked some 77.9 trillion won, adding a whopping 19.49 trillion won from Friday. It also surpassed the previous record of 74.46 trillion won seen on Jan. 12.
Deposits in cash management accounts here also surged by 22.97 trillion won to 68.39 trillion won overnight.
The total amount of funds parked with brokerage accounts either before making stock purchases or profits earned after transactions jumped by 42.45 trillion won from a day earlier.
Market watchers attribute the increased deposits to fund inflows from SK ie technology’s blockbuster initial public offering subscription refunds.
Investors who failed to obtain the battery separator maker’s new shares through a two-day retail tranche got their subscription funds back Monday.
While some 80.9 trillion won of SKIET’s subscription deposits were refunded, about 52.4 percent (42.45 trillion won) was kept for future stock investments.
Small domestic investors poured out record amounts of cash -- some 80.9 trillion won -- to obtain new shares of SK Innovation’s battery materials subsidiary during its two-day public subscription for an IPO.
Since SKIET’s upcoming Kospi market debut is viewed as the last mega IPO deal before a ban takes effect on multiple applications for new share subscriptions, investors were eager to submit large deposits.
By Jie Ye-eun (
yeeun@heraldcorp.com)
