"All-in with 2.3 Billion Won Using Loans": Public Official Who Previously Went All-in on SK hynix Shares Certifies Leveraged Investment
Certified High-Risk Investment at 4.4 Times Personal Funds of 500 Million Won
16 Billion Won in Margin Loans from Securities Firms at 7-9% Annual Interest
Amid the recent upward trend in the KOSPI index and a surge in retail investors borrowing money to trade stocks, a post verifying an investment of 2.3 billion KRW in a single stock, SK hynix—including a 1.7 billion KRW loan—has become a hot topic online.
A story about a public official who purchased SK hynix stocks worth a total of 2.2 billion KRW by combining 500 million KRW of personal funds with 1.7 billion KRW in loan financing has become a hot topic online. Blind capture
View original imageAccording to the anonymous workplace community Blind, on May 7, a user who identified as a public official posted an account statement photo along with the message, "Let's go all in with a 2.2 billion KRW full purchase of SK hynix using loan financing."
According to the account statement disclosed by the author, referred to as Mr. A, he concentrated his purchases of SK hynix shares using both loan and cash accounts. The largest portion was in a loan account, where he bought 1,327 shares (totaling 2.19 billion KRW), of which 1.697 billion KRW was financed through a securities firm loan.
Loan financing is a service where a securities firm lends investors the shortfall for stock purchases; annual interest rates range from 7% to 9%, and there is a risk of forced liquidation if the stock price falls.
Mr. A's personal funds amounted to approximately 492.78 million KRW, meaning he invested about 4.4 times his own capital. His average purchase price was 1,650,438 KRW per share, and when the account statement was captured, the share price had dropped slightly, resulting in a loss of about 4.56 million KRW. The loan is set to mature on September 8 of this year.
In addition to the loan financing, Mr. A also invested in SK hynix through direct cash purchases and fractional share investments, essentially going "all in." He held 84 shares (about 138 million KRW) in his cash account, and about 1.14 million KRW in a fractional share account, presumed to have been purchased at a previous low. The total valuation across all his accounts was approximately 2.325 billion KRW.
He stated, "I'm the same public official who previously went all in with 500 million KRW on SK hynix," and added, "I kept the fractional shares as a memento."
He further explained, "I posted on May 7, and some are asking if the loan date is really May 11 or claiming it's fabricated, but the loan date is recorded as D+2 trading days."
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Meanwhile, according to Kiwoom Securities the previous day, as of May 6, the outstanding margin loan balance for SK hynix stood at 2.27 trillion KRW, an increase of 156.8% since the beginning of the year. Over the past year, the balance has risen by 437.4%.
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