Young Koreans think real estate is the most critical investment when planning for their futures.
The number of active stock trading accounts at brokerage firms in Korea has passed 50 million, a record high, as stocks perform well and individuals pile into initial public offerings (IPOs).
A sign at Hana Bank in central Seoul on Wednesday shows the tech heavy Kosdaq closing at a record 1,047.36, breaking a record set just two days earlier. The main Kospi, which hit a new record on Tuesday, fell on Wednesday.
According to a survey by Samsung Securities released on Tuesday, 63.9 percent of 782 clients with a minimum 1 billion won ($885,000) in financial assets said they expect a “summer rally.”
Credit card balances hit a record high in 2020, with a total of 32 trillion won ($28.5 billion) of such credit extended in the country.
Korea logged a $7.06 billion current account surplus in January, the ninth consecutive positive monthly reading. The latest surplus was largely driven by strong exports, especially of automobiles and semiconductors.
Korea’s wealthiest are expected to increase investments in financial products and move away from real estate, which until now has been their main profit-generating investments.
In a rare divergence, the ruling Democratic Party (DP) is at odds with the government over a rule that would limit government spending and borrowing. The party questioned the motive on the new fiscal rule during an unprecedented economic crisis..
Koreans in their 20s and 30s have taken out a total of 62 trillion won ($53 billion) in so-called minus bankbook loans in the three years , indicating that young people are seeking alternative ways to raise money for real estate and stock investment.
The tax will be applied on yearly profits exceeding 50 million won ($42,000), not 20 million won as originally announced. And a part of the tax will come in a year later than originally planned.
Korea JoongAng Daily Sitemap
