What it is
Averaging down means adding to a losing position at a lower price so the overall average cost falls. Buying more as a stock rises is sometimes called averaging up.
Formula
Average cost = (original cost + additional cost) ÷ (original shares + additional shares). Buying 100 shares at KRW 10,000 and 100 more at KRW 8,000 gives an average of KRW 9,000.
What to keep in mind
A lower average does not help if the reason for the decline persists — it only enlarges the loss. Understand why the stock fell and cap how much of your portfolio one stock can take.
This explanation is general information, not investment advice. Rules reflect September 2026 and may change; check official exchange and broker notices.