] South Korea’s securities companies have advised their customers to buy stocks and were against selling in their analysis reports, according to data released on Jan. 10.
Mirae Asset Daewoo and 17 other brokerage companies here have not suggested selling at all over the past three years, only nudging people to buy shares.
The practice raises doubts about any substantial help to investors seeking an appropriate time for profit-taking or cutting losses.
Forty-six brokerage firms in South Korea, including foreign ones, released a total of 80,564 analysis reports between 2014 and October last year, according to the Financial Supervisory Service. It submitted related data to Rep. Park Yong-jin of the main opposition Democratic Party.
Merely 1,904 of the reports, or 2.4 percent, proposed selling, while 84.1 percent advised buying and 13.5 percent adopted a neutral position.
Hanwha Investment & Securities had the highest rate of selling positions, with 2.9 percent of its analysis reports. Eighteen other local brokerage firms, on the other hand, have not issued any selling advice over the three years.