韩国拟实施单一股票杠杆产品新规：收盘偏离率管理范围收紧至2%

The Odaily Planet Daily reports that the Financial Services Commission of South Korea has announced it will further raise the investor eligibility requirements for single-stock leveraged ETFs and ETNs, with the new regulations set to take effect on August 19. In addition to the existing 30 million KRW base margin requirement and 3 hours of pre-trading education, first-time retail investors in domestic and overseas single-stock leveraged products will also be required to complete simulated trading.

Furthermore, the deviation rate management standards for ETFs and ETNs will also be comprehensively tightened. For domestic Korean ETFs and ETNs, the closing deviation rate management range will be tightened from 3% to 2%, while for overseas products, it will be tightened from 6% to 5%. For deviation rates calculated as negative values, the absolute value will be used for calculation. Under the new rules, if the deviation rate exceeds twice the management range, it will trigger screening and designation notice; if it exceeds twice the range again within 10 trading days from the date of the designation notice, or exceeds the standard for two consecutive trading days, the product may be designated as an investment caution item, after which a 3-trading-day call auction will be implemented.

The Financial Services Commission of South Korea explained that the regulatory tightening is due to the negative compounding effect of single-stock leveraged products, which could result in losses for investors even when the underlying asset remains flat. The authority hopes investors will fully understand the product structure and risks before actually investing. (Yonhap News Agency)