Preferred Shares Hit 52.74% Discount to Common Stock in South Korea on July 13, Up from 37.43% Year-End

According to the Korea Exchange, preferred shares of major South Korean firms including Samsung Electronics, Hyundai Motor, and Mirae Asset Securities widened their discount to common stock to 52.74% as of July 13, expanding 15.31 percentage points from 37.43% at year-end 2025. The discount widened across the top 10, 20, and 30 preferred share issues by market cap, driven by retail and passive fund demand focusing on growth-oriented common stock in semiconductors, robotics, and nuclear energy sectors. Samsung Electronics announced a 2024-2026 shareholder return policy including 9.8 trillion won in annual dividends and 50% of free cash flow returns; Mirae Asset Securities approved a 300 billion won buyback targeting preferred shares.
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