South Korea Faces Investor Trauma After Market Slump
South Korea is grappling with severe retail investor losses after the KOSPI benchmark dropped 30 percent from its peak. The downturn has sparked political fallout and rising mental health stress.
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South Korea's benchmark KOSPI plunged 30% from its June peak, wiping out billions and igniting political fallout over leveraged retail trading. The dramatic reversal follows a retail-driven stock mania fueled by single-stock leveraged ETFs and an artificial intelligence boom. The fallout exposes vulnerabilities in Asia's fourth-largest economy as retail investors face severe financial and psychological trauma.
