The Korea Herald

지나쌤

Retail investors report dismal investment return

By Korea Herald

Published : Sept. 17, 2012 - 20:28

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Korean retail investors suffered a massive loss in their stock investment this year lagging behind robust profits boasted by institutional and foreign investors due to information disparity, data showed Monday.

Individual investors reported a net loss of 18.15 percent for their top 10 mostly purchased shares through Sept. 14 this year, according to the data compiled by the main bourse operator Korea Exchange.

On the other hand, foreign investors gained 4.6 percent from their top 10 most buying shares, while institutions raked in 19.17 percent profit over the cited period, data showed.

The lack of information and capital by individuals, as well as their tendency to invest on a short-term period, were behind their poor investment record, market experts said.

“Investor relations are usually held for foreign and institutional investors, and such information disparity comes as a drag for individuals,” said Kim Dong-soon, a business professor at Chungang University. (Yonhap News)