Risk appetite in South Korea is exploding: Margin loans outstanding on Korean stocks are up to a record $24.3 billion. Since the start of 2025, margin debt has surged +140% and is up +32% since the beginning of this year alone. To put this into perspective, the value of leveraged bets on Korean stocks was ~$5.0 billion in 2020. This also likely understates the real scale, given that many loans taken out to buy stocks are labeled under other categories. Meanwhile, domestic investors have poured ~$25.3 billion into South Korean shares year-to-date. Retail investors in South Korea are aggressively rushing into stocks.(The Kobeissi Letter)