Investors are taking on record levels of debts to buy stocks as the South Korean equity market is nearing this year’s high on the back of continued foreign buying and market-friendly policies, data showed Friday.

The so-called margin debt, or the amount borrowed to purchase securities, stood at 5.18 trillion won ($5.09 billion) Wednesday, the highest in 2014, according to the data compiled by the Korea Financial Investment Association.

The Wednesday figure is up 24 percent from the end of last year, and the margin debt level has been maintained at over the 5 trillion-won mark through this month.

Analysts said investors are increasingly confident they will be able to repay their debts and pocket a decent profit as markets rise.

“The market is on the upside after suffering corrections,” said Park Sun-hyun, an analyst at Hana Daetoo Securities. (Yonhap)