The Korean ETF market has shown remarkable growth. ETFs, which are low-cost, diversified, and highly convenient investment products, have recorded a high average annual growth of 33% since their introduction in Korea. The growth rates surpass those of global ETF markets in terms of both market...

Previous literature has shown that individual investors in the stock markets trade excessively and underperform the market index. Since the COVID-19 outbreak in 2020, the annual trading turnover of individual investors in the Korean stock markets is estimated as above 1,600% and their investment...

Purpose The authors investigate the 2008-2009 short-sales ban in Korea, one of the most comprehensive and restrictive short-selling bans worldwide. The purpose of this paper is to examine: whether the ban stopped a destabilizing effect, if there was any, of short-selling activities; whether the...

We examine the effects of price limits on the idiosyncratic volatility of individual stocks. When estimating idiosyncratic volatility, we adopt the Gibbs-sampling method to resolve the problem of censored returns caused by price limits. Results show that idiosyncratic volatility is significantly...