Korean brokers, convened by the Korea Financial Investment Association on Tuesday, agreed in principle to tighten investor protections for single-stock leveraged ETFs tracking Samsung Electronics and SK Hynix.
One proposal under discussion would raise minimum margin requirements from 10 mln won to 50 mln won, a fivefold increase aimed at curbing retail leverage. Firms also agreed to add age- and portfolio-targeted risk warnings, step up investor education on product structure and risks, and spread rebalancing and hedging trades more evenly across the trading day to reduce end-of-day market impact.
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