A margin loan is borrowing from a brokerage to buy stocks; when a share price falls below the collateral value, the investor must add margin. If they cannot, the brokerage force-sells the shares.

When forced selling piles up, share prices fall further, which can trigger a vicious cycle of still more forced selling. Large-scale margin calls are read as a warning sign that market volatility has risen.

Experts warn that leverage beyond a bearable range magnifies individual losses and amplifies instability across the market. The importance of managing one's own investment size and risk is again stressed.

Sinophone Bridge Times conveys this from the standpoint of investment risk management rather than the rise or fall of any single stock. As Chinese investors in Korea are in the same market, they need to fully understand the risk of borrowed-money investing and judge carefully. This is information about risk, not a recommendation to invest.