After becoming the most popular South Korean singer on You Tube, Psy increased the value of his father’s company thanks to his famous hit “Gangnam Style”. The song, mocking the consumerism of the Gangnam district in Seoul, has raised awareness about his father’s software company, according to Reuters.
Psy never expected his single “Gangnam Style” to become as successful as it is today. The surprise was even bigger when his father’s software company, D I Corp almost doubled its value thanks to the single. As a chairman and controlling shareholder of South Korean semiconductor company, Park Won-ho saw its market capitalization grow to $101.29 million last Tuesday. Thus, D I Corp became the 459th most valuable stock measured by size.
Analysts have explained that the success of the company is related to the increasing popularity that Psy has gained on You Tube. However, the share value is expected to decrease in the following period as this type of growth doesn’t last for too long. “Gangnam Style” was well-received by online users because it pokes fun at people’s consumerist lifestyle in the district of Gangnam, Seoul. In addition, the interpreter made use of humorous images and dance moves, thus determining YouTube users to watch the video.
Since it was released in mid-July, “Gangnam Style” raised more than 267 million You Tube views. Investors, too, were enchanted by the sound of the new music hit, so they all turned their attention towards the company that is run by Psy’s father and uncle.
Using speculative stocks is the strategy that most middle-aged retail investors resort to when it comes to buying new shares. The software company of millionaire Ahn Cheol-soo lost great part of its value after the executive announced that he would run for the presidency of the country.