Korean Composite Stock Price Indexes (KOSPI)

What are the Korean Composite Stock Price Indexes?

Korean Composite Stock Price Indexes (KOSPI) alludes to a series of indexes that track the overall Korean Stock Exchange and its parts. Every one of the KOSPI indexes are capitalization-weighted market midpoints.

The most popular of these indexes is the KOSPI 200, which contains the 200 biggest public common stocks traded in Korea, tracking generally 70% of the market value of the overall Korean Stock Exchange. The KOSPI 200 is utilized as a harsh benchmark when investors or traders allude to the performance of the Korean Exchange. Hence, and in light of the fact that its parts are [large-cap stocks](/enormous cap), individuals compare the KOSPI 200 to the S&P 500 in the United States.

Starting around 2021, major KOSPI 200 parts included consumer product maker Samsung Electronics, Hyundai Motor, semiconductor manufacturer SK Hynix, utility provider Korea Electric Power, and Shinhan Bank.

Understanding the Korean Composite Stock Price Indexes

The Korean Composite Stock Price Indexes (KOSPI) first appeared in the mid 1980s, with several variations carried out in subsequent years, including the KOSPI 100 which zeroed in on mid-covers, and the KOSPI 50 which addresses small covers. The KOSPI likewise alludes to a family of indices tracking specific industries including synthetic substances and banks, and the KODI index, which spends significant time in dividend stocks. Additionally, the KOSPI shows up on several different products that track the prices of futures, options, and sovereign bonds.

Note that while KOSPI alludes to the whole family of indexes, many market participants call the KOSPI 200 just the KOSPI.

History of the KOSPI 200

The KOSPI 200 started trading toward the beginning of January in 1983 at a value of 122.52. Its base value, indexed to January 4, 1980, is 100. The KOSPI 200 rose a greater number of than 8-overlay to a value of more than 1,000 by April of 1989, approximately two years following the Asian financial crisis. The index value flooded to 1,997.06 by its 30th birthday celebration toward the finish of 2012, trailing just the Hong Kong Stock Exchange and Taiwan Stock Exchange throughout a similar time period. The KOSPI 200 index remained at approximately 2,470 by mid-2018, up more than 20-crease since its presentation.

Eminent dates for the KOSPI incorporate June 17, 1988, when it gained around 8.5%, its biggest one-day percentage gain. It likewise fell over 12% on September 12, 2001, the day following the 9/11 fear based oppressor attack in the U.S. The index closed over 2,000 interestingly on July 24, 2007.

Experts, market participants, and the international financial news media all follow the KOSPI 200 to changing degrees. U.S.- based media sources like The Wall Street Journal and Bloomberg, as well as London-based Reuters, owned by Canada-based Thomson Reuters, frequently quote the index and utilize its values while reporting on market occasions in Korea.