In the main board market of the Korea Composite Index, foreign investors adopted a catch-up strategy to buy rising individual stocks, and the excess profit obtained was six times the excess income that retail investors received when buying at the bottom of the downturn. Retail investors use falling stock prices as an opportunity to pick up bargains, while stocks with foreign capital and institutional capital tendencies that are already trending upward have widened the income gap between the two. On the 26th, the Korea Capital Market Research Institute released a research report on the trading behavior and stock price performance of the Korean stock market: Between 2020 and 2025, retail investors accounted for a high share of net purchases of KOSPI stocks, which outperformed the market by an average of 0.21 percentage points in the six months after the purchase. In comparison, individual stocks with a focus on net purchases by foreign investors outperformed the index by 1.29 percentage points during the same period, and the profit level was more than six times that of retail investors; net purchases of individual stocks by institutions outperformed the index by 0.82 percentage points, which is also superior to retail investors. Hong Ji-yeon, a senior researcher at the Korea Capital Market Research Institute, said that retail net buying portfolios do not have stable excess returns, but institutional and foreign holdings can bring relatively steady excess returns.

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