GENERAL8 Sept 2026
Asias next leverage-driven market crash could be brewing: Manishi Raychaudhuri | Stock Market News
After South Korea's brutal summer selloff, experts worry Asia's margin debt could trigger another market crash. In India, the margin trading facility book jumped from just over $1 billion at the end of 2020 to $16.3 billion by August 31. South Korea's KOSPI had collapsed 39% in a month, showing how forced selling can erase billions even when fundamentals are intact. Watch your borrowing against shares.
Key Statutory Highlights
- South Korea's KOSPI collapsed 39% from June 22 to July 30 after retail investors unwound margin loans.
- India's Margin Trading Facility book surged from just over $1 billion at end-2020 to $16.3 billion as of August 31.
- Even a small margin balance relative to market cap, like South Korea's 0.6%, caused massive damage when unwound.
Actionable Advice for Taxpayers / Founders:If you trade on borrowed shares, check your broker's margin call rules and keep a cash buffer – don't ride a falling market with full leverage.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
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