40% of South Korean University Students Say They Invest in Crypto
South Korean university students appear to be turning to cryptoassets such as Bitcoin (BTC), with 40% saying they invest in tokens as well as overseas stocks.
Per Delighti, a survey was conducted by the investment banking and brokerage service provider Korea Investment and Securities.
This survey saw researchers speak to over 400 South Korean university students between June 11 and June 22.
South Korean University Students Becoming Crypto-keen?
The researchers found that 72% of the respondents said they were investing in overseas stocks, with most claiming they had bought shares in New York Stock Exchange-listed firms.
And 89% of this number said they wanted to expand their NYSE portfolios in the near future.
And even those who do not have NYSE portfolios say they want to buy US shares, with 87% of respondents saying they “had plans to [do so] in the next 12 months.”
Forty percent of respondents answered that they were investing in both stocks and cryptoassets.
More than half of this number said they chose crypto because of tokens’ “high expected rate of return.”
One in five respondents said they expected that coins would have a “high value in the future.”
Only a small number of respondents said they invested in other Asian stock markets, with just 5% investing in Japan and 3% investing in China.
The survey appears to show that young South Koreans have little faith in the domestic stock market.
Among the main reasons they gave for investing in foreign stocks was that overseas firms have “relatively low volatility and stability compared to South Korean stocks.”
The media outlet noted that more college students than ever now appear to be investing their money.
South Korean universities seek to lure more foreign students https://t.co/x0Exio5hDD
— ST Foreign Desk (@STForeignDesk) June 21, 2024
Some Students Go into Debt to Buy Coins
Students are also making larger investments. Korea Investment and Securities conducted a similar study two years ago.
Then, just over 18% of respondents said they had started investing at least three years ago. That figure has since risen to 54%.
Most said they had invested more than $3,590, although 40% said they had invested over $7,180.
Some (just over 17%) said they had gone into debt to buy stocks and crypto.
Students also said they invested in financial products such as principal-guaranteed assets, exchange-traded funds (ETFs), funds, and bonds.
The survey underlines how little faith many young South Koreans have in systems such as the pension service, savings accounts, and the domestic stock market.
Financial troubles at South Korean developers may worsen as they start to bear the brunt of a market slump that weighs on their earnings, the central bank said https://t.co/fsa3Tr5GuM
— Bloomberg Markets (@markets) June 26, 2024
Over 52% of respondents said they were instead making “investments in stocks, bonds, funds, and cryptoassets.”
