Summary

  • Investor deposits, a pool of cash waiting on the sidelines of the stock market, fell 5.1133 trillion won ($3.7 billion) over two days to 85.2209 trillion won ($61.7 billion), the lowest level this year.
  • Outstanding margin loans fell 1.5211 trillion won ($1.1 billion), or 5.42%, in a day to 26.5494 trillion won ($19.2 billion), marking the second-largest daily drop this year.
  • The value of forced liquidations tied to unpaid balances jumped 66.3% from the previous trading day to 63.041 billion won ($45.6 million), while the ratio also rose to 5.7%, adding to supply pressure.

Forecast Trend Report by Period

Investor deposits, a key gauge of buying power in South Korea’s stock market, fell by more than 5 trillion won ($3.6 billion) over two days to the lowest level this year. Margin loan balances tied to stock purchases with borrowed money also dropped more than 5% in a day, while forced liquidations linked to unpaid balances surged.

Data from the Korea Financial Investment Association showed investor deposits stood at 85.2209 trillion won ($61.7 billion) as of Nov. 10, down 3.44% from the previous trading day. That was below the previous low for the year of 88.0489 trillion won ($63.7 billion) set on Jan. 13 and the lowest level since Dec. 24, 2025.

Deposits fell for a second straight session, sliding from 90.3342 trillion won ($65.4 billion) on Nov. 6 to 88.2540 trillion won ($63.9 billion) on Nov. 9 and 85.2209 trillion won ($61.7 billion) on Nov. 10. The total decline over the two days was 5.1133 trillion won ($3.7 billion). Investor deposits refer to cash parked in brokerage accounts for stock purchases and are widely used as a measure of investors’ buying capacity.

Outstanding margin loans also contracted quickly. The balance stood at 26.5494 trillion won ($19.2 billion) on Nov. 10, down 1.5211 trillion won ($1.1 billion), or 5.42%, from a day earlier. That was the second-largest daily decline this year. Loan repayments, sales of existing holdings and a pullback in new margin trades can all contribute to a drop in outstanding balances.

By contrast, the value of actual forced liquidations tied to unpaid balances rose 66.3% from the previous trading day to 63.041 billion won ($45.6 million). It was the highest since Oct. 15. The amount increased from 7.022 billion won ($5.1 million) on Nov. 6 to 37.915 billion won ($27.4 million) on Nov. 9, then rose again on Nov. 10. The share of forced sales relative to unpaid balances also climbed over the same period, from 0.8% to 4.2% and then 5.7%.

Forced sales related to unpaid balances occur when investors fail to pay for stock purchases by the settlement deadline and brokerages liquidate the shares. Because of settlement lags from earlier trades, such selling can emerge even when stock prices are rebounding.

The Kospi and Kosdaq rose 2.60% and 5.62%, respectively, on Nov. 11, but individual investors were net sellers in both markets. A securities industry official said a rebound in the indexes after a sharp drop does not mean investor sentiment recovers immediately. Deposits, margin loan balances and trading flows by investor type need to be assessed together, the person added.

YM Lee