An individual investor switched their entire portfolio to Samcheonang Pharmaceutical stocks after forced liquidation of an SK Hynix margin position, according to a post on online community Fmkorea on the 21st. The investor had posted on the 18th requesting a loan to cover 140 million won in margin debt on a 230 million won SK Hynix position showing a 32 million won loss. Following the margin call, the investor's account showed 100% allocation to Samcheonang Pharmaceutical, a KOSDAQ-listed company recently designated as a cautionary investment stock due to rapid price increases.
Investor Posted Margin Call Request on SK Hynix Position
Investor A posted on Fmkorea on the 18th with the title "Must sell by Monday due to margin call status. Please help." The investor stated the account held 230 million won in total value with 140 million won in margin debt. The post included a screenshot showing 100% allocation to SK Hynix stocks with an unrealized loss of approximately 32 million won (-13.89%). The investor wrote "I know this is shameless and embarrassing, but is there anyone who can lend me money to cover the margin debt" and added "I will offer 10 million won as thanks once I sell at breakeven."
Margin trading allows investors to purchase stocks by paying only a portion of the settlement amount as short-term credit. If the investor fails to cover the payment within the deadline, the brokerage firm conducts a forced sale known as contra-trading.
Portfolio Shifted to Samcheonang Pharmaceutical After Liquidation
Following the margin call, investor A's portfolio changed from SK Hynix to 100% Samcheonang Pharmaceutical, a KOSDAQ-listed company. Samcheonang Pharmaceutical had been designated as a cautionary investment stock due to recent sharp price increases.
Samcheonang Pharmaceutical Fell to Daily Limit Down
On the 21st, Samcheonang Pharmaceutical fell 29.92% (71,500 won) from the previous trading day, closing at the daily limit down price of 167,500 won.
The post has been deleted.
Online Community Reactions
Community members who read the post responded with comments including "This is not investing, it's gambling," "Cut losses and entered an even riskier position for revenge," "The psychology of trying to recover quickly after losing money causes further collapse," and "When you're heavily underwater, thoughts of breaking even prevent rational judgment."
FAQ
What happened to the investor who posted about the SK Hynix margin call?
The investor's portfolio switched from 100% SK Hynix to 100% Samcheonang Pharmaceutical after the margin call. The SK Hynix position showed a 32 million won loss (-13.89%) with 140 million won in margin debt out of 230 million won total value when the investor posted on the 18th requesting a loan.
How did Samcheonang Pharmaceutical stocks perform on the 21st?
Samcheonang Pharmaceutical fell 29.92% (71,500 won) from the previous trading day on the 21st, closing at the daily limit down price of 167,500 won. The company had been designated as a cautionary investment stock due to recent rapid price increases.
