In fact, on the days the Stabilization Fund was executed in 2003 and 2008, both the KOSPI and KOSDAQ rose, with the KOSDAQ market, which has high beta (volatility), experiencing significant gains.
According to the Korea Exchange on the 11th, on the most recent execution date of the Stabilization Fund, November 21, 2008, the KOSPI rose by 5.8%, and the KOSDAQ increased by 6.25%. The KOSPI, which was close to 2000 in early 2008, plummeted to around the 1000 level following the bankruptcy of Lehman Brothers, while the KOSDAQ, which had exceeded 700 that year, fell to below 200, more than halving its value. In response, financial authorities established a Stabilization Fund of 515 billion won and executed 103 billion won each month for five months.
In 2003, when the 'Card Crisis' occurred domestically and the Iraq War broke out internationally, a Stabilization Fund of 400 billion won was created as the stock market plummeted. When the fund was injected on February 3, the KOSPI closed up 1.44%, and the KOSDAQ rose by 1.64%.
In the securities industry, it is explained that stocks with large market capitalizations and low trading volumes are more likely to benefit from the Stabilization Fund. The larger the market capitalization, the more funds are injected, and the lower the trading volume, the greater the volatility resulting from the injected funds.
Kang Dae-seok, a researcher at Yuanta Securities, analyzed, "This time, sectors such as semiconductors, secondary batteries, and automobiles, which have large market capitalizations and have recently seen a sharp decline in trading volume, are expected to yield significant returns."
[Reporter: Kim Jeong-seok]
