Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Korea/Asia, Events, IPOs

Douglas Research Advisory

Equity Bottom-Up

<ul>
<li>Among the various industries, the banking sector could be negatively impacted if Lee Jae-Myung becomes the next President of Korea.</li>
<li>Lee Jae-Myung has pledged providing a "basic loan" of 10 million won per citizen which is likely to negatively impact the Korean banks since it lacks rigorous credit checks. </li>
<li>There is an increasing likelihood that Lee Jae-Myung could raise the pressure on local banks to share the responsibility of social policies by contributing more money to support them.</li>
</ul>


Among the various industries, the banking sector could be negatively impacted if Lee Jae-Myung becomes the next President of Korea.
Lee Jae-Myung has pledged providing a "basic loan" of 10 million won per citizen which is likely to negatively impact the Korean banks since it lacks rigorous credit checks. 
There is an increasing likelihood that Lee Jae-Myung could raise the pressure on local banks to share the responsibility of social policies by contributing more money to support them.


Lee Jae-Myung's Policies Likely to Negatively Impact Korean Banks

Asia Pac IPO & Placement Research, China biotech, Aequitas Research

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Quantitative Analysis

<ul>
<li>We analyzed the changes in foreign holdings of KRX stocks as of Apr 18th which has an aggregated holding worth USD474.6bn.</li>
<li>We estimate that foreign flows to be outflows of USD41mln. We tabulate the league table for top changes by value for 1W/4W/1Y and top stocks held by foreign institutions.</li>
<li>We highlight changes of foreign holdings in Hdhms, Celltrion, SK Hynix, Samsung Electronics, Hyundai Motor.</li>
</ul>


We analyzed the changes in foreign holdings of KRX stocks as of Apr 18th which has an aggregated holding worth USD474.6bn.
We estimate that foreign flows to be outflows of USD41mln. We tabulate the league table for top changes by value for 1W/4W/1Y and top stocks held by foreign institutions.
We highlight changes of foreign holdings in Hdhms, Celltrion, SK Hynix, Samsung Electronics, Hyundai Motor.


KRX Foreign Holding Weekly (Apr 18th): Hdhms, Celltrion, SK Hynix, Samsung Electronics

Event-Driven

<ul>
<li>On 18 April, it was reported that Douzone Bizon (012510 KS) will become the second largest shareholder of Jeju Bank (006220 KS).</li>
<li>Douzone Bizon invested 57 billion won for a 14.99% stake in Jeju Bank. Through this investment, Douzone will aim to enhance the digital business of Jeju Bank.</li>
<li>This deal is likely to positively impact Jeju Bank's shares as this capital raise is used to further invest in ERP based banking that could further boost its sales. </li>
</ul>


On 18 April, it was reported that Douzone Bizon (012510 KS) will become the second largest shareholder of Jeju Bank (006220 KS).
Douzone Bizon invested 57 billion won for a 14.99% stake in Jeju Bank. Through this investment, Douzone will aim to enhance the digital business of Jeju Bank.
This deal is likely to positively impact Jeju Bank's shares as this capital raise is used to further invest in ERP based banking that could further boost its sales. 


Jeju Bank: Douzone Bizon Becomes Second Largest Shareholder

Korea / Special Situations, Clepsydra Capital

Sanghyun Park

Korea / Special Situations

Korea / Special Sits, Pairs, Index Rebalancing

Clepsydra Capital

Investigate special situations, pairs, and index rebalancing trades in Korea.

Index Rebalance

<ul>
<li>June rebalance drops mid-May, goes live post-KOSPI 200 expiry. Back to 100 names—net outflow setup with more deletes than adds. ETFs rebalance into June 12 close.</li>
<li>KRX confirmed 10 special entries for June; results likely out in May with Value-Up rebalance. 12 protected names stay. Stocks over 10% weight, like Samsung and SK Hynix, remain.</li>
<li>Value-Up disclosure isn’t mandatory yet—rule starts June 2026. But compliant firms get a screening boost. Around 76 spots remain, filled via quant screen after excluding 24 protected names.</li>
</ul>


June rebalance drops mid-May, goes live post-KOSPI 200 expiry. Back to 100 names—net outflow setup with more deletes than adds. ETFs rebalance into June 12 close.
KRX confirmed 10 special entries for June; results likely out in May with Value-Up rebalance. 12 protected names stay. Stocks over 10% weight, like Samsung and SK Hynix, remain.
Value-Up disclosure isn’t mandatory yet—rule starts June 2026. But compliant firms get a screening boost. Around 76 spots remain, filled via quant screen after excluding 24 protected names.


June Value-Up Rebalance: Hype Fading, But Key Flags Remain

Derivatives and Quantitative Strategist

Gaudenz Schneider

Equity Derivatives

Korea Stock Exchange KOSPI 200 / Equity Derivatives

<ul>
<li>
Market Reaction: The announcement of US reciprocal tariffs caused significant declines across Asia-Pacific markets. Although initial losses were partially recovered during the day, most markets closed substantially lower.</li>
<li>
Impact on South Korea: South Korea faces a 25% tariff. This led to a 1.5% drop in the <a href="https://www.smartkarma.com/entities/korea-stock-exchange-kospi-200" target="_blank" data-smartkarma-citation="entities:26021:1" rel="noopener">Korea Stock Exchange KOSPI 200 Index (KOSPI2 INDEX).</a> </li>
<li>
Volatility Increase: The Kospi 200 VIX index rose to a high of 28.64 before retreating to 26.05, indicating the 99th percentile of implied volatility.</li>
</ul>



Market Reaction: The announcement of US reciprocal tariffs caused significant declines across Asia-Pacific markets. Although initial losses were partially recovered during the day, most markets closed substantially lower.

Impact on South Korea: South Korea faces a 25% tariff. This led to a 1.5% drop in the Korea Stock Exchange KOSPI 200 Index (KOSPI2 INDEX). 

Volatility Increase: The Kospi 200 VIX index rose to a high of 28.64 before retreating to 26.05, indicating the 99th percentile of implied volatility.


KOSPI 200 (KOSPI2 Index) Hits 99th Percentile Implied Volatility Amid US Tariff Impact

South Korea

Shinhan Financial Group Co., Ltd., a holding company, provides a full range of consumer and commercial banking-related financial services.  The company's main businesses include banking, securities brokerage, trust banking, and assets management to individuals, businesses, and other financial institutions.

Price Gauge
52-week Range	0.00 - 0.00
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Shinhan Financial (055550 KS)

Lee Jae-Myung's Policies Likely to Negatively Impact Korean Banks

Among the various industries, the banking sector could be negatively impacted if Lee Jae-Myung becomes the next President of Korea.

Douglas Kim

KRX Foreign Holding Weekly (Apr 18th): Hdhms, Celltrion, SK Hynix, Samsung Electronics

We analyzed KRX foreign holding data for the past week and highlighted foreign holding changes in Hdhms, Celltrion, SK Hynix, Samsung Electronics,...

Ke Yan, CFA, FRM

Jeju Bank: Douzone Bizon Becomes Second Largest Shareholder

On 18 April, it was reported that Douzone Bizon (012510 KS) will become the second largest shareholder of Jeju Bank (006220 KS).

Douglas Kim

June Value-Up Rebalance: Hype Fading, But Key Flags Remain

This post gives a quick pulse check on the June Value-up Index rebalance—hype’s cooling off, but there are still a few key things to flag.

Sanghyun Park

KOSPI 200 (KOSPI2 Index) Hits 99th Percentile Implied Volatility Amid US Tariff Impact

US reciprocal tariffs announcement caused significant declines in Asia-Pacific markets, impacting South Korea with the KOSPI 200 implied...

Gaudenz Schneider

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Lee Jae-Myung's Policies Likely to Negatively Impact Korean Banks

Among the various industries, the banking sector could be negatively impacted if Lee Jae-Myung becomes the next President of Korea.

Douglas Kim

KRX Foreign Holding Weekly (Apr 18th): Hdhms, Celltrion, SK Hynix, Samsung Electronics

We analyzed KRX foreign holding data for the past week and highlighted foreign holding changes in Hdhms, Celltrion, SK Hynix, Samsung Electronics,...

Ke Yan, CFA, FRM

Jeju Bank: Douzone Bizon Becomes Second Largest Shareholder

On 18 April, it was reported that Douzone Bizon (012510 KS) will become the second largest shareholder of Jeju Bank (006220 KS).

Douglas Kim

June Value-Up Rebalance: Hype Fading, But Key Flags Remain

This post gives a quick pulse check on the June Value-up Index rebalance—hype’s cooling off, but there are still a few key things to flag.

Sanghyun Park

KOSPI 200 (KOSPI2 Index) Hits 99th Percentile Implied Volatility Amid US Tariff Impact

​US reciprocal tariffs announcement caused significant declines in Asia-Pacific markets, impacting South Korea with the KOSPI 200 implied...

Gaudenz Schneider

US reciprocal tariffs announcement caused significant declines in Asia-Pacific markets, impacting South Korea with the KOSPI 200 implied...