🔴Leveraged bets on South Korean stocks are SKYROCKETING:
Margin loans in South Korea surged to a record ~$24.7 billion (38 trillion won) on May 29, up +39% from ~$17.8 billion (27.3 trillion won) at end-2025.
Margin debt in South Korea has more than DOUBLED over the last 12 months.
This figure likely understates the full picture, as many stock-backed loans are recorded under different categories or extended by smaller lenders outside the official reporting scope.
Margin loans carry annual interest rates of 7% to 9%, meaning if stock prices fall, brokerages can forcibly liquidate positions to recover their loans, setting the stage for a rapid and self-reinforcing selloff.
Leverage this extreme can turn a market correction into a margin call cascade.