When foreign investors cough, South Korea’s stock market catches a cold, local analysts say. Research notes issued by foreign brokerages are increasingly affecting stock prices of major Korean companies as foreign investors own nearly a third of South Korea’s stock market.
The growing influence of foreign brokerage reports were recently highlighted by plunges of stock prices in Samsung Electronics and SK Hynix, after JP Morgan and Credit Suisse issued “sell” reports on the companies respectively. Read more
Whoops, looks like some Indian brokerages got a bit ahead of themselves in trying to attract US investors.
On Tuesday, the US Securities and Exchange Commission charged four financial services firms in India for providing brokerage services to US institutional investors without being registered. Read more
Barely one month after Interbolsa said it planned to expand into Chile and Peru, investors in Colombia’s largest brokerage were greeted with a bombshell.
On Thursday, the company warned that its trading wing was facing a “temporary liquidity shortage”, which, according to analysts, means it will be hard for Interbolsa to borrow money based on the money the brokerage is making.
The stock closed down 30 per cent to hit an all time low of 980 pesos. Read more