Leverage Regulations for Single-Stock Products Tightened; Deposit and Trading Unit Requirements Increased

The government has decided to strengthen investment regulations to mitigate stock market volatility caused by single-stock leverage products.

The Financial Services Commission, the Financial Supervisory Service, and the Korea Exchange have raised the minimum deposit requirement for single-stock leverage products from 10 million won to 30 million won, and mandated that it be held entirely in cash.

In addition, the trading unit will be increased from 1 share to 20 shares, and the listing of new products will be temporarily suspended until the market stabilizes.

The increase in the minimum deposit requirement is scheduled to take effect next month, while the expansion of the trading unit is set to be implemented in November.
※ Please note: This article was translated by AI and may contain errors.