A new opinion piece in Chosun argues that day traders—holding stocks for just 9 days on average—have no interest in corporate futures, and this is stifling growth.
The article distinguishes between the secondary market (investor-to-investor trading) and the primary market (where companies raise funds via IPOs or rights offerings).
While debt financing increases leverage, equity issuance through IPOs or capital increases strengthens balance sheets by boosting equity capital.
The piece warns that excessive short-term speculation undermines the primary market's role in funding long-term business expansion.
It calls for policy attention to curb excessive day trading and encourage long-term investment for sustainable corporate growth.
According to Chosun, the average holding period for Korean stocks has dropped sharply, reflecting a shift toward speculative trading.