After the fallout from Black Monday and Wednesday, 1,422hundred-million-won in forced liquidation occurred in a single day.

Individual investors were forced to liquidate 1,422hundred-million-won worth of positions in a single day. This liquidation came after the KOSPI plunged after three days and led directly to individual losses.

The targets of the forced liquidation are accounts that invested in stocks with borrowed money. As buy positions made through margin loans reached the securities firms' automatic liquidation conditions because of the stock-price decline, they were turned into sell orders.

The three-day plunge increased both trading value and volatility at the same time. As volatility rose, some buy orders failed to execute, and a flow that triggered additional liquidation was observed.

This incident drew attention to the concentration of individual investors in certain stocks and the size of margin balances. There have been cases where liquidation volumes increased in stocks with a high share of retail holdings.

By securities firm, the management of collateral ratios and the timing of automatic liquidation affected actual trading flows. Some accounts received notices to add collateral, and when additional margin was not paid, liquidation was carried out immediately.

The timing of this forced liquidation falls in 2026year 7the second week of month. Market participants are checking the stock price movement on the next trading day and changes in credit trading balances.

Relevant institutions and securities firms are tallying liquidation execution status and the scale of losses by account. This data is expected to be reflected in future credit trading risk assessments.