The American investment bank JP Morgan has projected that the KOSPI index could rise to 5,000 within the next two years. The prerequisite for achieving this '5,000 KOSPI' is the reform of corporations' governance.
According to Bloomberg on the 11th (local time), JP Morgan stated in its report that 'Korea is a key overweight market among Asian and emerging markets.' On that day, JP Morgan adjusted its investment opinion on Korean stocks from neutral to overweight (buy). JP Morgan cited the achievement of the KOSPI index of 5,000 and reform of corporations' governance, which are commitments made by President Lee Jae-myung during his term, as reasons for the adjustment.
JP Morgan forecasts that the KOSPI will maintain the range of 3,200 to 3,500 in the second half of this year, noting that 'if the push for governance reform proceeds smoothly, we recommend increasing weight.' However, it added that 'ironically, recent foreign buying momentum is much weaker compared to early 2024,' stating, 'Considering the attention global investors have for Korean stocks, this appears to be a wait for a better investment timing.'