Dr. Park Jong-seok, a psychiatrist treating financial distress, said novice retail investors are experiencing the recent KOSPI plunge as a shock comparable to being stabbed or surviving an earthquake.

Park said Wednesday evening in a telephone interview with CBS Radio's "Park Jae-hong's Hanpan Seungbu" that the number of patients seeking help for trading-related distress more than doubled compared to the previous week. He added that the average financial losses reported by patients more than tripled.

The remarks come as fear grips the markets, with the Korea Exchange triggering marketwide circuit breakers — temporary trading halts — for both the KOSPI and Kosdaq on consecutive days, Tuesday and Wednesday. On Wednesday, the KOSPI dropped to the 5,200 level during intraday trading before closing down 360.42 points, or 5.98 percent, at 5,663.24.

The psychiatrist said novice investors who entered the market during a rally can experience even greater fear.

"Because they have never experienced a market crash, these investors haven't built up any immunity to it," he said "They tend to suffer from much more severe symptoms of depression and panic compared to others."

Park detailed how the fear of missing out, or FOMO, triggers the brain's pain centers, explaining that these symptoms stem from emotional shocks comparable to severe physical trauma. He said the dorsal anterior cingulate cortex — the region that registers pain from being stabbed or burned — is the exact brain region that processes the isolation and deprivation of FOMO when others profit. Park also said in a separate recent interview that the pain caused by FOMO feels comparable to an injury requiring a four-week recovery.

He compared the shock of the recent plunge to the trauma of experiencing an earthquake.

"If this crash and these losses drag on for more than three days, from a psychiatric standpoint, I believe people experience a level of despair and depression on par with post-traumatic stress disorder," he said. "Suddenly losing tens or hundreds of millions of won can completely shatter the foundations of a person's life."

Offering practical advice, Park advised investors to delete their stock trading apps immediately.

"Do not overthink the situation right now. Delete your stock trading apps," he said. "You should distance yourself from all news and social media for two weeks."

He explained that stepping away from stock accounts for two or three days to a maximum of two weeks is necessary to regain even 20 to 30 percent of their original concentration and judgment.

This article from the Hankook Ilbo, the sister publication of The Korea Times, is translated by a generative AI system and edited by The Korea Times.