KOSDAQ Market Cap Surpasses 500 Trillion KRW Intraday… Investor Sentiment Stirred by Government Policies

Source: TokenPost Original Title: KOSDAQ Market Cap Surpasses 500 Trillion Won Intraday… Investor Sentiment Surges on Government Policy Original Link: https://www.tokenpost.kr/news/market/311469 The KOSDAQ market’s capitalization surpassed 500 trillion won intraday for the first time ever, setting a new record. This increase is attributed to heightened investor sentiment spurred by expectations surrounding the government’s recent policies to foster venture capital, driving gains in the KOSDAQ market, which is centered on small and mid-cap stocks.

According to the Korea Exchange, as of around 9:40 a.m., the KOSDAQ market capitalization reached 502 trillion won, surpassing the 500 trillion won mark intraday for the first time. This result follows a six-day consecutive rally, with the previous day’s closing market cap at around 497 trillion won.

However, the upward momentum did not last long. From about 10:14 a.m., the index reversed and began to decline, causing the market capitalization to decrease as well. By market close, it had fallen to 499.2416 trillion won, dropping back below the 500 trillion won threshold.

The KOSDAQ’s recent strength is largely due to the government’s strong policy commitment. In particular, the government’s pledge to support the venture capital ecosystem sent a positive signal to the market. The Chairman of the Financial Services Commission mentioned the introduction of corporate growth collective investment vehicles ((BDC)) and plans to expand the preferential allocation ratio for public offerings by KOSDAQ venture investment funds.

Additionally, reports that the government is considering comprehensive KOSDAQ market measures to expand tax benefits for individual investors and pension funds further fueled investor sentiment. The market welcomed the prospect of future policy announcements, leading to active capital inflows.

Whether this trend continues will depend on the concreteness of future government policies. Since the short-term rally has been driven only by policy expectations, the speed and effectiveness of actual policy implementation will be key. If the government moves forward in earnest with support for venture and SME financing, the KOSDAQ market’s growth momentum could strengthen even further.