“It’s scary, I’ll never invest in Korean stocks again”...Bloomberg spotlights the KOSPI hit by a leverage backlash

Bloomberg says South Korean retail investors have been pulling back after sharp swings in the KOSPI, amid heavy selling and a shift away from the market.

Single-name leveraged ETFs and concentration in chip giants like Samsung Electronics and SK hynix amplified volatility in the index.

Investors say regulators moved too late, even after tighter rules, fueling criticism of market oversight and policy credibility.

The setback adds pressure to President Lee Jae-myung’s “KOSPI 5000” vision and makes restoring retail trust a key reform priority.