A recent survey reveals a shift in investment patterns among South Korean university students. The study, conducted by Korea Investment and Securities, shows 40% of students invest in cryptocurrencies and overseas stocks.
The survey polled over 400 students between June 11 and June 22. It found 72% invest in overseas stocks, primarily in NYSE-listed companies. Of these, 89% plan to expand their NYSE portfolios.
Cryptocurrency investment is significant, which is fascinating. 40% of students invest in both stocks and crypto. Over half chose crypto for its "high expected rate of return". One in five believe coins will have "high value in the future".
Interest in other Asian markets is low. Only 5% invest in Japan and 3% in China.
The survey suggests young South Koreans lack faith in the domestic market. They cite "relatively low volatility and stability" as reasons for preferring foreign stocks.
Investment activity among students has increased. A study two years ago showed 18% had invested for at least three years. That figure is now 54%.
Investment amounts have grown. Most invest over $3,590, with 40% investing over $7,180. Some students (17%) have gone into debt to buy stocks and crypto. And that is truly stunning.
Students also invest in other financial products. These include principal-guaranteed assets, ETFs, funds, and bonds.
The trend reflects broader skepticism among young South Koreans. A separate survey in April found 75% of people aged 20-39 "don't trust" state pensions. Over 52% instead invest in stocks, bonds, funds, and crypto.