Whereas the nation’s benchmark share index has dropped about 4 per cent because the drama was launched in mid September, dozens of shares within the vibrant leisure sector spanning Ok-pop bands to cinema have gone into overdrive.
South Korea is greatest identified to shoppers within the US and Europe for its Samsung smartphones and Hyundai automobiles however nearer to house, in Asia, it is usually a power in cultural exports akin to movie and music.
The hope now in Seoul is that Squid Recreation’s success helps take this business international.
“The stage has been set for ‘Ok-dramas’ and content material to develop and attain an excellent wider viewers,” mentioned Lee Sang-Hun, a senior analyst at HI Funding & Securities in Seoul.
“The shares of corporations on this space – giant caps and small caps – mirror these expectations.”
Bucket Studio, which holds a stake in an company that represents lead actor Lee Jung Jae, has rallied by about 35 per cent because the sequence was launched on September 17. Squid Recreation producer Siren Footage just isn’t listed.
Studio Santa Clause Leisure, the producer of the crime sequence My Title, is up about 50 per cent, having surged 30 per cent in a single notably feverish day of commerce.
Different shares to learn embrace Astory, producer of the Netflix zombie thriller sequence Kingdom, visible results manufacturing agency Dexter Studios, manufacturing home Showbox, native leisure firm CJ ENM, which additionally controls Studio Dragon and Jcontentree, which has a contract with Disney+ for content material.
All up, this has introduced a 23 per cent rally within the Kosdaq Recreation & Tradition Index since Squid Recreation’s launch, simply beating the broader market.
International funds added a web 106 billion gained ($90 million) price of shares within the Kosdaq tradition sub-gauge from the identical start line, in keeping with information compiled by Bloomberg via October 22. Native retail buyers purchased a web 257bn gained price, the information present.
“Numerous issues helped make Squid Recreation a hit,” mentioned Shin Su-Yeon, an analyst at Shinyoung Securities. “We will’t ignore the affect of teams like BTS and Blackpink – pop artists who’ve performed a task in rousing curiosity in Korean tradition.”
To make certain, the foundations for the present energy of the sector return a great distance, a minimum of way back to the presidency of Kim Dae-jung within the late Nineteen Nineties. ––
Policymakers then recognised the potential for the leisure business and introduced in guidelines and tax incentives to advertise native content material.
Up to date: October twenty fourth 2021, 8:24 AM