South Korea’s Financial Supervisory Service said that, as of July 13, more than 1.2 million leveraged retail accounts across the local stock market had hit margin call thresholds. Of those, roughly 320,000 to 360,000 accounts were fully liquidated by brokerages. Measured against the country’s population base, that means about one in every 30 adults, or roughly 3.4%, was facing liquidation risk.
Estimated total losses tied to broad leveraged positions reached about KRW 2.15 trillion, or around $1.44 billion. Forced liquidations in July alone totaled KRW 344.2 billion. On July 9, one-day liquidations came in at KRW 142.2 billion, up nearly fivefold from KRW 28.8 billion a day earlier.
Retail margin deposit balances also fell sharply. Compared with the end of June, they dropped by nearly KRW 30 trillion to KRW 107.1 trillion, the lowest level since June 2020. The figures were cited by Odaily, referencing a report from Wallstreetcn.
More than 1.2 million leveraged retail accounts in South Korea’s stock market had reached margin call levels as of July 13, according to data from the Financial Supervisory Service.
About 320,000 to 360,000 of those accounts were fully liquidated by brokerages. Based on South Korea’s population base, that works out to about one in every 30 adults, or roughly 3.4%, facing liquidation risk. Estimated losses across broad leveraged positions were put at KRW 2.15 trillion, equivalent to about $1.44 billion.
Forced liquidations in July had reached KRW 344.2 billion in total. On July 9 alone, liquidations hit KRW 142.2 billion, nearly five times the KRW 28.8 billion recorded the previous day.
Retail margin deposit balances fell by nearly KRW 30 trillion from the end of June to KRW 107.1 trillion, the lowest level since June 2020.
The figures were cited by Odaily, referencing Wallstreetcn.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
