How to Buy Korean Stocks

by Harris Krumme ; Updated June 27, 2018
How to Buy Korean Stocks

South Korean stocks may be bought on the Korean Exchange, established in the 1950s. Some large Korean companies also offer their stock on the New York Stock Exchange through American depository shares. Korean stocks can also be purchased indirectly through exchange-traded funds focused on South Korea or the Asia-Pacific region. In all instances, shares must be purchased through a licensed securities dealer.

Step 1

Gather information on the stocks available for purchase on the Korean Exchange or Korean stocks available for purchase on U.S. exchanges. Most of the traded companies are headquartered in South Korea.

Step 2

Determine which stock you would like to trade. Obtain the latest news and information about companies at the Korea Exchange website, which includes price history, current prices and the latest news releases. For shares traded in the United States, gather information from the appropriate exchange's website, such as the New York Stock Exchange if the stock is traded there.

Step 3

Decide how many shares you wish to purchase, and check the latest share price. You can find share prices online through brokerage websites or a variety of stock market information sites, many of them free to use

Step 4

Select a licensed broker/dealer, and then purchase the stock or exchange-traded fund through the broker. As a non-licensed individual, you will not be able to purchase the shares directly from either the Korean exchange or U.S. exchanges. You can generally buy and sell stock online through a broker and pay a smaller fee than working directly with an individual person at a brokerage, unless there are special requirements that you have.

Step 5

Submit your order with your broker. The broker should confirm your trade and detail the number of shares you bought and the price per share.

Items you will need

  • Computer
  • Internet access

Tips

  • Full-service brokers provide the highest level of service. They contact their customers with stock ideas and may suggest changes to portfolios. Full-service brokers are also the most expensive. Discount brokers charge mid-level commission rates for trades but offer a lower level of service. Online brokers are the cheapest option, but they only provide market access, rather than personalized advice.

Warnings

  • Investing in stocks is risky. You may lose money if the value of your stock declines, so do not invest more than you can afford to lose. Remember, you are not guaranteed to make money on stock investments.

About the Author

Harris Krumme has been writing professionally since 2007 and has been published in "The Daily Progress" and "The Virginian-Pilot," two newspapers in Virginia. He has covered macroeconomic subjects such as the Federal Reserve, monetary policy, and stock markets. He holds a Bachelor of Arts in journalism from Washington and Lee University.

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