April 20, 2024
Finance
Newcomers to MSCI Korea Index hit by short selling
[THE INVESTOR] Share prices of Samsung BioLogics and Hanwha Techwin have fallen since their inclusion in the Morgan Stanley Capital International’s Korea Index due to massive short selling, sources said on Dec. 6.
The Geneva-based MSCI announced Dec. 1 that Samsung BioLogics and Hanwha Techwin newly made its Korea Index designed to measure the performance of the large- and mid-cap segments of the South Korean stock market.
According to the sources, Samsung BioLogics, which got listed on the main stock market on Nov. 10, and Hanwha Techwin have become the target of short sellers since the inclusion, which has sent their share prices tumbling.
Short selling of the two stocks hit their all-time highs on Nov. 30, the eve of their inclusion in the MSCI Korea Index.
Investors short-sold a daily high of 458,000 shares of Samsung BioLogics on that day with the amount reaching 70.5 billion won (US$60.40 million). About 868,000 shares of Hanwha Techwin worth 41.6 billion won were also short-sold.
Their share prices took a beating from the massive short selling. Samsung BioLogics closed at 142,000 won Dec. 5, down 7.8 percent from Nov. 30.
Over the cited period, Hanwha Techwin nosedived 12.9 percent to 41,650 won.
(theinvestor@heraldcorp.com)
The Geneva-based MSCI announced Dec. 1 that Samsung BioLogics and Hanwha Techwin newly made its Korea Index designed to measure the performance of the large- and mid-cap segments of the South Korean stock market.
According to the sources, Samsung BioLogics, which got listed on the main stock market on Nov. 10, and Hanwha Techwin have become the target of short sellers since the inclusion, which has sent their share prices tumbling.
Short selling of the two stocks hit their all-time highs on Nov. 30, the eve of their inclusion in the MSCI Korea Index.
Investors short-sold a daily high of 458,000 shares of Samsung BioLogics on that day with the amount reaching 70.5 billion won (US$60.40 million). About 868,000 shares of Hanwha Techwin worth 41.6 billion won were also short-sold.
Their share prices took a beating from the massive short selling. Samsung BioLogics closed at 142,000 won Dec. 5, down 7.8 percent from Nov. 30.
Over the cited period, Hanwha Techwin nosedived 12.9 percent to 41,650 won.
(theinvestor@heraldcorp.com)
