Korea / Special Situations, Clepsydra Capital

Sanghyun Park

I investigate special situations in Korea.

Korea / Special Situations

Korea Local Banks: New Dividend Tax Effectively Locks in a De Facto Minimum Yield Play

Real-Time Read on Korea’s Top Market Narrative — Tax Reform Play

Korea's Dividend Narrative Is Back: Unpacking the DP's New Bill and Its Backstory

Everything to Know About the Year-End CGT-Driven Retail Sell-Off & KOSPI Basis Move

60 Stocks Screened by Tax Draft Setup — Short-Term Policy Flow Targets

Tax Pivot in Play: Ruling Party Rethink Could Flip Market Narrative

Korea / Special Sits, Pairs, Index Rebalancing

Clepsydra Capital

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

Event-Driven

Korea Stock Exchange KOSPI 200 / Event-Driven

Korea Stock Exchange KOSPI 200 (KOSPI2 INDEX EQUITY)

<ul>
<li>With new tax rules kicking in from FY2026, firms may hold back FY2025 dividends to front-load later, creating potential downside surprise purely from tax-driven deferral, not fundamentals.</li>
<li>If FY2025 payouts fall short, dividend names could go ex-div on inflated expectations, then trade heavy — setting up mispricing risk around year-end dividend capture trades.</li>
<li>This may weaken post-ex-div price rebounds, creating dividend trap risks and short-term mispricing that traders can exploit via shorts, dip buys, or dividend swap long-short strategies.</li>
</ul>


With new tax rules kicking in from FY2026, firms may hold back FY2025 dividends to front-load later, creating potential downside surprise purely from tax-driven deferral, not fundamentals.
If FY2025 payouts fall short, dividend names could go ex-div on inflated expectations, then trade heavy — setting up mispricing risk around year-end dividend capture trades.
This may weaken post-ex-div price rebounds, creating dividend trap risks and short-term mispricing that traders can exploit via shorts, dip buys, or dividend swap long-short strategies.


A Hidden Trading Angle from Dividend Tax Reform: Tax Timing Creates Dividend Trap Risks